- 1 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 16TH DAY OF JUNE, 2025 BEFORE THE HON'BLE MR JUSTICE UMESH M ADIGA MISCELLANEOUS FIRST APPEAL NO. 6752 OF 2016 (MV-I) C/W MISCELLANEOUS FIRST APPEAL NO. 7238 OF 2015 (MV-I) IN MFA No. 6752/2016 BETWEEN: KARUNAKAR SHETTY, S/O LATE RAJU SHETTY, AGED ABOUT 59 YEARS, R/O SWARNA MEGHA HOUSE, NEAR OIL MILL, KATTINGERI VILLAGE, MOODUUBELLE POST, UDUPI TALUK - 576 101. …APPELLANT (BY SMT. SWATHI G. HEGDE, ADVOCATE FOR SRI. H. PAVANA CHANDRA SHETTY, ADVOCATE) AND: 1. MANAGING TRUSTEE, M/S. JEEVAN WELFARE TRUST, REP. BY SISTER DONALD PAIS, AGED ABOUT 73 YEARS, D/O SEBASTIAN PAIS, ARUNODAYA SPECIAL SCHOOL, TALUK OFFICE ROAD, KARKALA KASABA VILLAGE, KARKALA TALUK - 576 101. Digitally signed by SHARADAVANI B Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 2. THE BRANCH MANAGER UNITED INDIA INSURANCE CO. LTD., KARKALA BRANCH, SRINIVAS COMPLEX, A.S. ROAD, KARKALA TALUK - 576 101. …RESPONDENTS (BY SRI. A.M. VENKATESH, ADVOCATE FOR R2; VIDE ORDER DATED 23.05.2023, NOTICE TO R1 IS DISPENSED WITH) THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 08.06.2015 PASSED IN MVC NO.1068/13 ON THE FILE OF THE SENIOR CIVIL JUDGE & AMACT, KARKALA, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. IN MFA NO. 7238/2015 BETWEEN: M/S. UNITED INDIA INSURANCE COMPANY LIMITED KARKALA BRANCH, SRINIVAS COMPLEX, A.S. ROAD, KARKALA TALUK, NOW REPRESENTED BY ITS DIVISIONAL OFFICE, BAJAL COMPOUND 1ST FLOOR, POST BOX-11, MANIPAL-576104, UDUPI DISTRICT, REP. BY ITS DIVISIONAL MANAGER ...APPELLANT (BY SRI. A.M. VENKATESH, ADVOCATE) AND: 1. MR. KARUNAKAR SHETTY, S/O LATE RAJU SHETTY, AGED ABOUT 58 YEARS, R/O SWARNA MEGHA HOUSE, - 3 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 NEAR OIL MILL, KATTINGERI VILLAGE, MOODUUBELLE POST, UDUPI TALUK - 576 101. 2. MANAGING TRUSTEE, M/S. JEEVAN WELFARE TRUST, REP. BY SISTER DONALD PAIS, AGED ABOUT 72 YEARS, D/O SEBASTIAN PAIS, ARUNODAYA SPECIAL SCHOOL, TALUK OFFICE ROAD, KARKALA KASABA VILLAGE, KARKALA TALUK - 574 104. ...RESPONDENTS (BY SMT. SWATHI G. HEGDE, ADVOCATE FOR SRI. H. PAVANCHANDRA SHETTY, ADVOCATE FOR R1; SRI. VIJAY KRISHNA BHAT M, ADVOCATE FOR R2) THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 08.06.2015 PASSED IN MVC NO.1068/2013 ON THE FILE OF THE SENIOR CIVIL JUDGE AND AMACT, KARKALA, AWARDING THE COMPENSATION OF RS.2,71,430/- WITH INTEREST AT 8% P.A., FROM THE DATE OF PETITION TILL THE DEPOSIT. THESE APPEALS, COMING ON FOR ADMISSION, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE UMESH M ADIGA - 4 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 ORAL JUDGMENT Both these appeals arises out of judgment and award dated 08.06.2015 passed in MVC No.1068/2013 by the Senior Civil Judge and MACT, Karkala, (for short ‘the Tribunal’). MFA No.6752/2016 is filed by the claimant for enhancement. 2. For the sake of convenience, the parties are referred to as per their ranking before the Tribunal. 3. Brief facts of the case are that on 27.06.2013 at about 8.45 a.m., the petitioner met with an accident near Mayadi of Kowdoor Village, due to rash and negligent driving of the Force Toofan Vehicle bearing Reg.No.KA-20- B-2515 by its driver. As a result, the claimant sustained grievous injuries. He had taken treatment in K.M.C. Hospital, Manipal, as inpatient from 27.06.2013 to 09.07.2013 and spent Rs.2,00,000/- towards medical expenses. The claimant was aged about 56 years and was serving as Head-Master and earning salary of Rs.23,000/- p.m. Due to injuries sustained in the accident, he has been - 5 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 suffered permanent disability. With these reasons, he prayed to award compensation of Rs.16,00,000/-. 4. Respondent No.1 is owner and respondent No.2 is insurer. Respondent No.2-insurer in its written statement denied contents of the claim petition and further stated that the accident occurred due to negligence of the claimant. Hence, it is not liable to pay the compensation. It also denied its liability to pay compensation, since driver of the offending vehicle had no valid and effective driving license. 5. From the rival contentions of the parties, the Tribunal framed necessary issues, for its determination. 6. The claimant to prove his case examined three witnesses as PW-1, PW-2 and PW-3 and marked 144 documents, as per Exs.P-1 to P-144. Respondents examined one witness as RW-1 and marked documents as Exs.R-1 to R-5. - 6 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 7. The Tribunal has awarded following amount of compensation to the claimant by the impugned judgment. Particulars Amount in Rs. Pain and agony 75,000/- Rest, nourishment and attendant charges 10,000/- Medical expenses 1,41,430/- Conveyance 5,000/- Inconvenience 20,000/- Future medical expenses 20,000/- Total 2,71,430/- 8. The Tribunal after hearing the parties and appreciating the evidence available on record, awarded the compensation of Rs.2,71,430/- with interest at the rate of 8% p.a., from the date of petition till its realization and directed both the respondents to pay the compensation, jointly and severally. 9. The claimant being dissatisfied with the amount of compensation awarded, preferred MFA No.6752/2016 - 7 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 and insurer challenged the same on the ground of its liability and interest in MFA No.7238/2015. 10. At the time of passing of the said judgment, the appeal filed by the insurer was not listed and hence, it was not taken into consideration. Thereafter, appellant in MFA No.6752/2016 filed a Review Petition No.333/2022 and it was allowed by order dated 23.02.2023 and judgment and award dated 14.12.2021 passed in MFA No.6752/2016 was recalled and MFA No.6752/2016 was restored. 11. Both the appeals are listed today for admission. with the consent of learned counsel for both the side, they are taken up for final disposal. 12. Reconsidering the materials available on record, the amount of compensation awarded under the heads loss of amenities and inconvenience, future medical expenses and attendant charges, special diet and conveyance needs to be enhanced. Therefore, the claimant is entitled for the following amount of compensation. - 8 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 Particulars Amount in Rs. Pain and sufferings 75,000/- Medical expenses 1,41,430/- Special diet and attendant charges etc., 15,000/- Conveyance 5,000/- Future medical expenses 30,000/- Loss of amenities and inconvenience 70,000/- Total 3,36,430/- Amount awarded by the Tribunal Enhancement- 2,71,430/- 65,000/- 13. This Court by impugned judgment and award dated 14.12.2021, disposed of MFA No.6752/2016 and enhanced the compensation of Rs.65,000/- with interest at the rate of 6% p.a. 14. The insurer challenged the impugned judgment on the ground that the driver had no valid and effective driving license. The said driver had a license to drive light motor vehicle but not having licence to drive the transport - 9 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 vehicle. Learned counsel for insurer submits that in view of the law laid down by the Hon'ble Apex Court in the case of MUKUND DEWANGAN Vs. ORIENTAL INSURANCE COMPANY LIMITED1 and also in case of THE MANAGER, BAJAJ ALLIANZ GENERAL INSURANCE Vs. BHIMRAJ AND OTHERS2, the said defence is not available to the insurer. Therefore, respondent No.2- insurer is liable to pay the compensation. The contention of the insurer is not tenable. In view of the above said discussions, I pass the following: ORDER i. MFA No.6752/2016 is allowed in part. ii. MFA No.7238/2015 is dismissed. iii. The impugned judgment and award dated 05.06.2015 passed by the Senior Civil Judge and AMACT, Karkala, in MVC.No.1068/2013 is modified; 1 (2017) 14 SCC 663 2 ILR 2015 KAR 4759 - 10 - HC-KAR NC: 2025:KHC:20497 MFA No. 6752 of 2016 C/W MFA No. 7238 of 2015 (a) Claimant is entitled to enhancement of compensation of Rs.65,000/- with interest at the rate of 6% p.a. from the date of petition till its realization, excluding delayed period of 360 days in filing the appeal. iv. Whatever amount deposited by the insurer in MFA No.7238/2015 shall be transmitted to the Tribunal. v. The enhanced amount of compensation is marginal. Therefore, entire enhanced amount shall be released in favour of claimant on due identification. vi. Send back TCR with copy of judgment to trial Court. Sd/- (UMESH M ADIGA) JUDGE AMA List No.: 1 Sl No.: 12 CT: BHK