- 1 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 IN THE HIGH COURT OF KARNATAKA, KALABURAGI BENCH DATED THIS THE 12TH DAY OF SEPTEMBER, 2025 PRESENT THE HON'BLE MR. JUSTICE H.P.SANDESH AND THE HON'BLE MR. JUSTICE T.M.NADAF MISCL. FIRST APPEAL NO.203951 OF 2024 (MV-D) BETWEEN: 1. SMT. SINDHU W/O APPASO PAWAR, AGE: 67 YEARS, OCC: HOUSEHOLD, 2. KISHAN S/O APPASO PAWAR, AGE: 47 YEARS, OCC: NIL, 3. SUBHASH S/O APPASO PAWAR, AGE: 37 YEARS, OCC: NIL, ALL R/O. VILLAGE JUJARPUR, TQ. SANGOLI, DIST. SOLAPUR, MAHARASHTRA, NOW RESIDING AT H.NO.145, INDIRA NAGAR, WARD NO.49, KALABURAGI-585 102. …APPELLANTS (BY SMT. ARUNDHATI Y., ADVOCATE) AND: 1. KANHAYA S/O RAMANLAL PAREKH, AGE: MAJOR, OCC: BUSINESS, OWNER OF MARUTI ALTO CAR BEARING REGN. NO.MH-45/N-3274, Digitally signed by MADHUSHREE H Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 R/O. A/P MALSHIRAS, TAL-MALSHIRAS, DIST. SOLAPUR 413 107. 2. THE DIVISIONAL MANAGER, NATIONAL INSURANCE CO. LTD., DIVISIONAL OFFICE, OPP. MINI VIDHANA SOUDHA, STATION ROAD, KALABURAGI-585 102. …RESPONDENTS (BY SRI. MANVENDRA REDDY, ADV. FOR R2; V/O DTD. 30.08.2025, NOTICE TO R1 IS DISPENSED WITH) THIS MFA IS FILED U/S 173(1) OF THE MOTOR VEHICLES ACT, 1988, PRAYING TO A) CALL FOR THE RECORDS. B) TO MODIFY THE JUDGMENT AND AWARD DATED 09.08.2018 PASSED IN MVC NO.715/2017 ON THE FILE OF II ADDL. SENIOR CIVIL JUDGE AND MACT AT KALABURAGI. AND ALLOW THIS APPEAL BY ENHANCING THE COMPENSATION AMOUNT OF Rs.24,32,000/- ONLY AS CLAIMED BY THE APPELLANT. C) ORDER FOR COSTS OF THIS APPEAL. THIS APPEAL COMING ON FOR ORDERS, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE H.P.SANDESH AND HON'BLE MR. JUSTICE T.M.NADAF - 3 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 ORAL JUDGMENT (PER: HON'BLE MR. JUSTICE T.M.NADAF) This appeal is filed by the appellants – claimants seeking for enhancement of compensation arising out of judgment and award dated 09.08.2018 in MVC No.715/2017, passed by the II Addl. Senior Civil Judge and MACT at Kalaburagi (for short, ‘the Tribunal’). 2. The date of accident, involvement of vehicle, death of deceased Appaso S/o Ananda Pawar and liability to pay compensation are not in dispute. The only dispute is inadequate compensation awarded by the Tribunal as per the contentions of the appellants/claimants. 3. Heard Smt.Arundhati Y., for the appellant and Sri.Manvendra Reddy, learned counsel for respondent No.2. Vide order dated 0.08.2025 notice to respondent No.1 is dispensed with. 4. Smt.Arundhati Y., learned counsel vehemently submitted that the date of accident was 09.06.2017. The - 4 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 deceased was working as an agriculturist and earning Rs.4,00,000/- per annum. The Tribunal has taken income at Rs.8,000/- per month and deducted 1/3rd and taking multiplier, as per age stated in the PM report and awarded compensation of Rs.4,48,000/- under the ‘Loss of Dependency’. So far as the compensation under ‘Loss of Consortium’ is concerned, it is on the lower side. The Tribunal has not added 10% escalation towards compensation awarded under conventional heads from 2017, in view of the law laid down by the Hon’ble Apex Court in the case of NATIONAL INSURANCE CO. LTD. VS. PRANAY SETHI1, accordingly, sought to allow the appeal and enhance the compensation. 5. Refuting the submissions of the learned counsel for the appellants-claimants, Sri.Manvendra Reddy, with all vehemence submitted that in the absence of income proof, the Tribunal has taken the income at the rate of Rs.8,000/- per month and considering the age of the 1 (2017) 16 SCC 680 - 5 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 deceased 65 years, the multiplier applied ‘7’ and awarded appropriate compensation the Tribunal ought to have, looking to the fact that, other two claimants are major sons, towards personal expenses deducted 50% instead of 1/3rd. Accordingly, sought to dismiss the appeal. 6. Having heard the learned counsel appearing for the parties, perused the appeal papers. The only point that would arise for our consideration is: “Whether the compensation awarded by the Tribunal befit within the expression just compensation?” 7. Our answer to the above point for consideration is ‘partly in affirmative’ for the following: R E A S O N S A short point involved regarding the income taken at the rate of Rs.8,000/- per month whereas, as per the chart prepared by the Karnataka State Legal Services Authority, for the year, 2017 so far as unskilled labourer - 6 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 is concerned, is at Rs.10,250/- per month. The deceased was aged 65 years and as per the claimants was working as an agriculturalist. Considering the said fact, The Tribunal ought to have taken the income at the rate of Rs.10,250/- per month as against Rs.8,000/- per month. In the circumstances, there is force in the argument advanced by the learned counsel for the appellants. In view of taking higher income the compensation awarded by the Tribunal required to be modified. So far as the contentions of the learned counsel appearing for the respondent-corporation is concerned, though the appellant Nos.2 and 3 are major sons, in view of law laid down by the Hon'ble Apex Court in the case of NATIONAL INSURANCE COMPANY LTD., VS. BIRENDER AND OTHERS2 dated on 13.01.2020, even the major married and earning sons are entitled for compensation considering them as dependents on the income. In the circumstance, we answer the point for consideration as 2 AIR Online 2020 - 7 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 ‘partly in affirmative’ and proceed to re-determine the compensation, which is as follow; 8. In these circumstances, considering the above said aspects, the loss of dependency by applying appropriate multiplier at ‘7’ would comes to Rs.5,74,000/. (Rs.10,250/- x 7 x 12 x 2/3). 9. Further, in view of the judgment of the Hon’ble Apex Court in the cases of MAGMA GENERAL INSURANCE CO. LIMITED V. NANU RAM & OTHERS3 and RASMITA BISWAL & OTHERS VS. DIVISIONAL MANAGER, NATIONAL INSURANCE COMPANY LIMITED AND ANOTHER4, there shall be an enhancement of 10% on the conventional heads for every three years. The appellants are entitled to a compensation of Rs.1,50,000/- under conventional head. Accordingly, the appellants / claimants are entitled for 10% escalation for every completed 3 years from 2017. 3 2018 ACJ 2782 4 (2022) 2 SC 767 - 8 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 10. In summary, the total compensation re-determined by this Court under various heads is as follows: Heads of compensation Amount Loss of Dependency : Rs. 5,74,000/- Loss of Estate : Rs. 15,000/- Loss of Funeral Expenses : Rs. 15,000/- Loss of Consortium (Rs.40,000 x 3) : Rs. 1,20,000/- 10% escalation for three completed years [Rs.1,50,000 x 10% + 10% (3 years)] (2 terms) : Rs. 30,000/- TOTAL : Rs. 7,54,000/- 11. Accordingly, the appellants/claimants is entitle for a re-determined compensation of Rs. 54,000/- as against Rs.5,68,000/-. Accordingly the enhanced compensation works out to Rs.1,86,000/-, which shall carry interest rate of 6% per annum. 12. For the foregoing reasons, this Court proceeds to pass the following: - 9 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 ORDER i) The appeal is Allowed-In-Part; ii) The judgment and award passed by the Tribunal in award dated 09.08.2018, in MVC No.715/2017, passed by the II Addl. Senior Civil Judge and MACT, Kalaburagi is modified; iii) The appellants–claimants are entitled for compensation of Rs. 54,500/- as against Rs.5,68,000/- and enhance compensation of Rs.1,86,000/- along with interest at 6% per annum from the date of filing of the petition till realization; iv) The respondent/Insurance Company shall deposit the enhanced compensation amount along with accrued interest stated supra, within Six weeks from the date of receipt of a copy of this order before the concerned Tribunal; - 10 - HC-KAR NC: 2025:KHC-K:5751-DB MFA No. 203951 of 2024 v) Upon deposit the entire amount shall be released in favor of appellants/claimants as per the apportionment directed by the Tribunal. vi) No order as to cost. Sd/- (H.P.SANDESH) JUDGE Sd/- (T.M.NADAF) JUDGE AMM List No.: 1 Sl No.: 2, CT: AK