- 1 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 8TH DAY OF SEPTEMBER, 2025 PRESENT THE HON'BLE MR. JUSTICE D K SINGH AND THE HON'BLE MR. JUSTICE VENKATESH NAIK T MISCELLANEOUS FIRST APPEAL NO.3044 OF 2018 (MV-D) C/W MISCELLANEOUS FIRST APPEAL NO.3043 OF 2018 (MV-D) IN MFA No.3044/2018 BETWEEN: 1. MR. KRISHNAPPA @ KRISHNA S/O. MUNIVENKATAPPA @ MUNIBAIRAPPA AGED ABOUT 42 YEARS. 2. SMT. JAYAMMA @ JAYA W/O. KRISHNAPPA @ KRISHNA AGED ABOUT 39 YEARS BOTH ARE RESIDING AT # 229, KANAKAPURA MAIN ROAD IST BLOCK, SOMMANAHALLI UTTARHALLI (H), BENGALURU SOUTH BENGALURU-560 082. …APPELLANTS (BY SRI GURUDEVA PRASAD K.T., ADVOCATE) AND: 1. THE DIVISIONAL MANAGER NEW INDIA INSURANCE COMPANY LTD., T.P. CLAIMS HUB MAHALAKSHMI CHAMBERS 2ND FLOOR, M.G.ROAD BENGALURU-560 001. Digitally signed by MOUNESHWARAPPA NAGARATHNA Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 2. MR. SAJI S/O. YOHANNAN RESIDING AT NO.19 EDIGAH MASID COMPLEX MYSORE-570 021. …RESPONDENTS (BY SRI C.R. RAVISHANKAR, ADVOCATE FOR R-1; VIDE COURT ORDER DATED 3-2-2025, NOTICE TO R-2 IS DISPENSED WITH) * * * THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER SECTION 173(1) OF MV ACT, AGAINST THE JUDGMENT AND AWARD DATED 24-10-2017, PASSED IN MVC NO.5157 OF 2016, ON THE FILE OF THE XXII ADDITIONAL SMALL CAUSES JUDGE AND XX ACMM., AND MEMBER, MACT, (SCCH-24), BENGALURU, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. IN MFA NO.3043/2018 BETWEEN: 1. MR. APPAJI S/O. LATE MARIYAPPA AGED ABOUT 39 YEARS. 2. SMT. LALITHA W/O. APPAJI AGED ABOUT 36 YEARS. 3. MASTER BHARATH KUMAR A. S/O. APPAJI AGED ABOUT 17 YEARS APPELLANT NO.3 IS THE MINOR REPRESENTED BY NATURAL GUARDIAN MOTHER 2ND APPELLANT SMT. LALITHA ALL ARE RESIDING AT C/O. PARASHIVRAM BUILDING SOMANAHALLI, 3RD BLOCK - 3 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 KANAKAPURA MAIN ROAD BENGALURU-560 082 ...APPELLANTS (BY SRI GURUDEV PRASAD K.T., ADVOCATE) AND: 1. THE DIVISIONAL MANAGER NEW INDIA INSURANCE COMPANY LTD., T.P. CLAIMS HUB MAHALAKSHMI CHAMBERS 2ND FLOOR, M.G.ROAD BENGALURU-560 001. 2. MR. SAJI S/O. YOHANNAN RESIDING AT NO.19 EDIGAH MASID COMPLEX MYSORE-570 021. ...RESPONDENTS (BY SRI S.V. HEGDE MULKHAND, ADVOCATE FOR R-1; VIDE COURT ORDER DATED 5-2-2024, NOTICE TO R-2 IS DISPENSED WITH) * * * THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER SECTION 173(1) OF MV ACT, AGAINST THE JUDGMENT AND AWARD DATED 24-10-2017 PASSED IN MVC NO.2422 OF 2016 ON THE FILE OF THE 22ND ADDITIONAL SMALL CAUSES JUDGE & 20TH ACMM & MEMBER MACT, BENGALURU, (SCCH-24), PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. THESE MISCELLANEOUS FIRST APPEALS ARE COMING ON FOR HEARING, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: - 4 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 CORAM: HON'BLE MR. JUSTICE D K SINGH and HON'BLE MR. JUSTICE VENKATESH NAIK T ORAL JUDGMENT (PER: HON'BLE MR. JUSTICE VENKATESH NAIK T) Heard learned counsel for the appellants/claimants and learned counsel for respondent-Insurance company. These appeals are filed by the claimants for enhancement of compensation being aggrieved by the judgment and award dated 24.10.2017 passed in MVC No.2422/2016 and MVC No.5157/2016 by learned XXII Addl. Small Causes Judge and XX Addl. Chief Metropolitan Magistrate & M.A.C.T., Bengaluru (for short, 'Tribunal'), whereby, the Tribunal granted a compensation of Rs.16,75,000/-(in MVC No.2422/2016) and Rs.15,03,000(MVC No.5157/2016) respectively. Since, both the appeals are arising out of common judgment and award passed by the Tribunal, they are disposed of by common judgment. 2. For the sake of convenience, parties are referred to as they are referred to in the claim petition before the Tribunal. - 5 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 3. Brief facts of the claimant's case before the Tribunal are as under:- On 18.02.2016, at about 7.00 a.m., the deceased Ganesh A, was riding his motor cycle bearing registration No.KA-05-HB- 2207 alongwith his friend deceased Girish as a pillion rider on Mysore-Mahanandawadi main road from Mysore and proceeding towards H.D. Kote slowly, cautiously by observing all traffic norms, and when he came near Madapura village, at that time, all of a sudden, a lorry bearing registration No.KA-21-A-0427 driven by its driver with high speed in a rash and negligent manner without observing the traffic norms, lost control over the vehicle and came on a wrong lane and dashed against the motor cycle of the Ganesh from opposite direction. Due to the impact, Ganesh and Girish fell down on the road and sustained grievous head injuries and both of them succumbed to the injuries on the spot. This led to registration of FIR and investigation. In this regard, the claimants filed claim petition under Section 166 of Motor Vehicles Act, 1988, before the Tribunal. - 6 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 4. Learned counsel Sri Gurudeva Prasad. K.T. appearing for the claimants in MFA No.3044/2018 contended that prior to the accident, deceased Girish was aged about 19 years and was working as a Mechanic at M/s. Bosch Service Station, Yelachenahalli, and was earning Rs.15,000/- p.m., But the Tribunal, considered the notional income of the deceased at Rs.9,000/- p.m., which is on the lower side. Further, the compensation awarded by the Tribunal under the conventional head is also on the lower side. The Tribunal has not granted future prospects which is contrary to the ratio laid down in Magma General Insurance Company Ltd., vs. Nanu Ram alias Chuhru Ram and others reported in (2018) 18 SCC 130 and National Insurance Company Limited v. Pranay Sethi and others, reported in AIR 2017 SC 5157. Hence, learned counsel prayed to allow the appeal. 5. Per contra, Sri C.R. Ravishankar, and Sri. S.V. Hedge Mulkhand, learned counsel appearing for respondents- Insurance company supported the impugned judgment and awarded of the Tribunal and submits that considering the oral and documentary evidence on record, the Tribunal awarded - 7 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 just and reasonable compensation under each heads, which does not call for any interference of this Court. Learned counsel further contended that the Tribunal awarded interest at 8% which is high and exorbitant and hence, it has to be reduced to 6%. Thus, they prayed for dismissal of the appeals. 6. Having heard learned counsel for both the parties and on perusal of the appeal memo including the original records and judgment and award passed by the Tribunal, the following point would arise for our consideration in these appeals:- "Whether the quantum of compensation awarded by the Tribunal is just and reasonable or does it call for enhancement? 7. In the instant appeals, the Insurance company has not disputed the accident, cause of death of deceased Girish and Ganesh and liability to pay the compensation. 8. Insofar as quantum of compensation awarded by the Tribunal is concerned, the Tribunal assessed the notional income of deceased Girish at Rs.9,000/-. Prior to the accident, deceased Girish was aged about 19 years and working as - 8 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 Mechanic at M/s. Bosch Service Station, Yelachanahalli. To substantiate this contention, the claimants have not furnished any documents. Therefore, in the absence of any proof of income, taking note of the circular issued by the Karnataka State Legal Services Authority and The High Court Legal Service Committee, Bengaluru, we deem it appropriate to re-assess the notional income of the deceased at Rs.9,500/- p.m. As on the date of the accident, the deceased was aged 19 years and the respondent Insurance company has not disputed this aspect. Thus, the multiplier applicable to the age of the deceased is '18'. Deceased Girish died bachelor leaving behind his father and mother. Thus, the proper deductions towards personal expenses of the deceased would be 50%. The Tribunal has not granted any future prospects. Considering the ratio laid down in the case of National Insurance Company Limited Vs. Pranay Sethi & Others, reported in (2017) 16 SCC 680, we award 40% towards future prospects to the income of the deceased. Hence, the 'loss of dependency' is re-assessed as under:- Rs.9,500/- +40% future prospects -50% x 12 x 18 = Rs.14,36,400/- - 9 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 9. In view of the ratio laid down by the Hon'ble Supreme Court in the case of Magma General Insurance Company Ltd., vs. Nanu Ram alias Chuhru Ram and others1, claimants being the father and mother, they are entitled to compensation of Rs.80,000/-(Rs.40,000x 2) towards 'loss of consortium'. In addition, the claimants are entitled to Rs.15,000/- towards 'funeral expenses' and Rs.15,000/- towards 'loss of estate'. Thus, totally, the claimants- appellants (in MVC No.5157 of 2016), are entitled for a total compensation of Rs.15,46,400/- as per the table below: Sl.No. Head Amount of Compensation in Rs. 1. Loss of dependency 14,36,400-00 2. Loss of Estate 15,000-00 3. Loss of Consortium 80,000-00 4. Towards Funeral Expenses 15,000-00 15,46,400.00 Less-Compensation awarded by the Tribunal 15,03,000.00 TOTAL +43,400.00 1 (2018) 18 SCC 130 - 10 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 MFA No.3043/2018(MVC No.2422/2016) 10. The appellants/claimants have taken the contention that prior to the accident, deceased Ganesh was aged 19 years and was working as Sales Executive at Team Lease Services Limited and earning Rs.21,000/- per month. However, the Tribunal considered the income of the deceased at Rs.10,000/-, which is fair and reasonable and no interference is called for in that regard. 11. As on the date of the accident, the age of the deceased was 19 years and the respondent Insurance company has not disputed this aspect. The Tribunal has taken appropriate multiplier of '18' and has granted compensation of Rs.16,20,000/- towards 'loss of dependency', which is fair and reasonable and hence, no interference is called for in that regard. 12. Further, the Tribunal has granted compensation of Rs.30,000/- under the head 'loss of love and affection', which is also fair and reasonable, which requires no interference of this Court. - 11 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 13. Towards 'Transportation of body, funeral and obsequies ceremony', the Tribunal has granted compensation of Rs.25,000/-, which is also fair and reasonable and hence, no interference is called for. 13. With regard to award of interest, the learned counsel for respondent No.1-Insurance Company vehemently argued to reduce the rate of interest awarded by the Tribunal at 8% per annum contending that the same is on the higher side. In the decision rendered by this Court in Miscellaneous First Appeal No.5896 of 2018 (MV) and connected matters in the case of Ms. Joyeeta Bose and Others v. Venkateshan V. and Others, wherein a similar question arose with regard to awarding of interest, keeping in view Section 34 of the Code of Civil Procedure, 1908, it has been held that rate of interest shall not exceed 6% per annum from the date of petition till the date of deposit. Therefore, in the present cases also, the rate of interest is reduced to 6% per annum from 8% per annum awarded by the Tribunal. - 12 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 Accordingly, we pass the following: ORDER i) MFA No.3043/2018 filed by the appellants/claimants is dismissed. ii) MFA No.3044/2018 filed by the appellants/claimants is allowed-in-part. iii) The judgment and award dated 24.10.2017 passed in MVC No.5157/2016 by learned XXII Addl. Small Causes Judge and XX Addl. Chief Metropolitan Magistrate & M.A.C.T., Bengaluru is modified to the extent stated herein above. iv) The appellant/claimants are entitled for compensation of Rs.15,46,400/- as against Rs.15,03,000/- awarded by the Tribunal with enhanced compensation of Rs.43,400/- with interest at 6% p.a. from the date of filing of the claim petition till the date of its realization. - 13 - HC-KAR NC: 2025:KHC:35311-DB MFA No. 3044 of 2018 C/W MFA No. 3043 of 2018 v) In so far as, apportionment, deposit and release, the judgment and award of the Tribunal shall remain unaltered. vi) Draw modified award accordingly. vii) Registry is directed to send back the Tribunal records along with copy of this judgment. Sd/- (D K SINGH) JUDGE Sd/- (VENKATESH NAIK T) JUDGE MN List No.: 1 Sl No.: 38