- 1 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 03RD DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE ASHOK S. KINAGI MISCELLANEOUS FIRST APPEAL NO. 100163 OF 2019 (MV-I) C/W MISCELLANEOUS FIRST APPEAL NO. 103516 OF 2018 MISCELLANEOUS FIRST APPEAL NO. 103517 OF 2018 MISCELLANEOUS FIRST APPEAL NO. 100165 OF 2019 IN MFA NO. 100163 OF 2019 BETWEEN: 1. SRI.NAGESH @ NAGAPPA S/O. MALLAPPA GORWAR, AGE: 42 YEARS, OCC: SUPERVISOR AT NTPC KUDAGI PLANT KUDAGI, R/O. RAMPUR R.C, TQ: DIST: BAGALKOT-587101. …APPELLANT (BY SRI. D.V. PATTAR, ADV FOR ANAND R. KOLLI, ADV) AND: 1. SRI. BHIMAPPA S/O. MANAPPA LAMANI AGE: 47 YEARS, OCC: BUSINESS AND OWNER OF THE MOTOR CYCLE BEARING REG.NO. KA-29/R-4693, R/O. SITIMANI L.T. TQ: DIST:BAGALKOT-587101. 2. DIVISIONAL MANAGER UNITED INDIA INSURANCE CO. LTD., MARUTI GALLI, BELAGAVI-590001. …RESPONDENTS (BY SMT. PREETI SHASHANK, ADV FOR R2, NOTICE TO R1 IS SERVED) THIS MFA IS FILED U/S.173 (1) OF MOTOR VEHICLES ACT, 1988, AGAINST THE JUDGMENT AND AWARD DATED 28.06.2018 PASSED IN MVC NO.175/2016 ON THE FILE OF THE MEMBER, MOTOR ACCIDENT CLAIMS TRIBUNAL NO.III, BAGALKOT, PARTLY ALLOWING MOHANKUMAR B SHELAR Digitally signed by MOHANKUMAR B SHELAR Date: 2025.09.11 12:12:41 +0530 - 2 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. IN MFA NO. 103516 OF 2018 BETWEEN: 1. THE DIVISIONAL MANAGER UNITED INDIA INSURANCE CO. LTD., OLD MARUTI GALLI, BELAGAVI, REP BY HIS AUTHORIZED SIGNATORY. …APPELLANT (BY SMT. PREETI SHASHANK, ADV) AND: 1. NAGESH @ NAGAPPA S/O MALLAPPA GORWAR, AGE: 41 YEARS, OCC: SUPERVISOR IN NTPC, KUDAGI PLANT KUDAGI, R/O: RAMAPUR R.C-587314, TQ & DIST: BAGALKOTE. 2. BHIMAPPA S/O MANAPPA LAMANI AGE: 47 YEARS, OCC: BUSINESS AND OWNER OF M.CYCLE, REG.NO.KA-29/R-4693, R/O: SITIMANI L.T-587101, TQ & DIST: BAGALKOTE. …RESPONDENTS (BY SRI. D.V.PATTAR ADV FOR SRI. ANAND R. KOLLI, ADV FOR R1, NOTICE TO R2 IS SERVED) THIS MFA IS FILED U/S.173 (1) OF MV ACT, 1988, AGAINST THE JUDGMENT AND AWARD DATED 28.06.2018 PASSED IN MVC NO.175/2016 ON THE FILE OF THE MEMBER, MACT NO.III, BAGALKOT, AWARDIG COMPENSATION OF RS.1,00,000/- WITH INTEREST AT 6% P.A. FROM THE DATE OF PETITION TILL ITS REALISATION. IN MFA NO. 103517 OF 2018 BETWEEN: 1. THE DIVISIONAL MANAGER UNITED INDIA INSURANCE CO. LTD., - 3 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 OLD MARUTI GALLI, BELAGAVI, REP BY HIS AUTHORIZED SIGNATORY. …APPELLANT (BY SMT. PREETI SHASHANK, ADV) AND: 1. MAHANTESH S/O NINGAPPA DOLLIN AGE: 27 YEARS, OCC: MASON WORK AT NTPC KUDAGI PLANT KUDAGI, PRESENTLY NIL, R/O: RAMAPUR R.C.-587314, TQ & DIST: BAGALKOTE. 2. BHEEMAPPA S/O MANAPPA LAMANI AGE: 47 YEARS, OCC: BUSINESS AND OWNER OF M.CYCLE, REG.NO.KA-29/R-4693, R/O: SITIMANI L.T-587101, TQ & DIST: BAGALKOTE. …RESPONDENTS (BY SRI. D.V.PATTAR ADV FOR SRI. ANAND R. KOLLI, ADV FOR R1, NOTICE TO R2 IS SERVED) THIS MFA IS FILED U/S.173 (1) OF MV ACT, 1988, AGAINST THE JUDGMENT AND AWARD DATED 28.06.2018 PASSED IN MVC NO.176/2016 ON THE FILE OF THE MEMBER, MACT NO.III, BAGALKOT, AWARDIG COMPENSATION OF RS.1,98,320/- WITH INTEREST AT 6% P.A. FROM THE DATE OF PETITION TILL ITS REALISATION. IN MFA NO. 100165 OF 2019 BETWEEN: 1. SRI. MAHANTESH S/O. NINGAPPA DOLLIN AGE: 28 YEARS, OCC: MASON WORK AT NTPC, KUDAGI PLANT KUDAGI, R/O. RAMPUR R C, TQ: DIST: BAGALKOT-587101. …APPELLANT (BY SRI. D.V.PATTAR ADV FOR SRI. ANAND R. KOLLI, ADV) AND: 1. SRI. BHIMAPPA S/O. MANAPPA LAMANI AGE: 48 YEARS, OCC: BUSINESS AND OWNER OF THE MOTOR CYCLE BEARING REG.NO. KA-29/R-4693, R/O. SITIMANI L.T. - 4 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 TQ: DIST: BAGALKOT-587101. 2. DIVISIONAL MANAGER UNITED INDIA INSURANCE CO. LTD., MARUTI GALLI, BELAGAVI-590001. …RESPONDENTS (BY SMT. PREETI SHASHANK, ADV FOR R2 NOTICE TO R1 IS DISPENSED WITH) THIS MFA IS FILED U/S.173(1) OF MV ACT, 1988, AGAINST THE JUDGMENT AND AWARD DATED 28.06.2018 PASSED IN MVC NO.176/2016 ON THE FILE OF THE MEMBER, MACT-III, BAGALKOT, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. THESE APPEALS COMING ON FOR ADMISSION, THIS DAY, THE JUDGMENT WAS DELIVERED THEREIN AS UNDER : CORAM: THE HON'BLE MR. JUSTICE ASHOK S. KINAGI ORAL JUDGMENT (PER: THE HON'BLE MR. JUSTICE ASHOK S. KINAGI) These Miscellaneous First Appeals are arising out of the common judgment and award dated 28.06.2018 passed in MVC Nos.175/2016 and 176/2016 by the learned Member MACT-III, Bagalkot. 2. Brief facts leading rise to the filing of these appeals are as follows: - 5 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 On 12.09.2015, the petitioners in MVC Nos.175/2016 and 176/2016 were returning to their house from their work, a motorcycle bearing registration No.KA-29/4693 ridden by its rider, came in a rash and negligent manner and dashed to the petitioners. As a result, they sustained grievous injuries and they have filed claim petitions under Section 166 of the Motor Vehicles Act, seeking for a compensation. 3. The owner of the offending vehicle filed a statement of objections denying the averments made in the claim petitions and contended that the rider of the vehicle was possessing a valid and effective driving license as of the date of the accident and the policy was in force at the time of the accident. Hence, prays to dismiss the claim petitions against the owner. 4. The insurance company field a statement of objections denying the averments made in the claim petitions and contended that the rider of the motorcycle did not possess a valid and effective driving license as of the date of the accident. Thus, there is a breach of policy conditions. Hence, - 6 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 prays to dismiss the claim petitions against the insurance company. 5. The Tribunal, based on the pleadings of the parties, framed the separate issues and recorded the common evidence. 6. The petitioner in MVC No.176/2016 was examined as PW.1 and the petitioner in MVC No.175/2016 was examined as PW.2 and examined the Doctor as PW.3 and marked 19 documents as Exs.P-1 to P-19. In rebuttal, the official of the insurance company was examined as RW.1 and also examined the RTO officer as RW.2 and marked 5 documents as Exs.R-1 to R-5. 7. The Tribunal, after assessing the verbal and documentary evidence, allowed the claim petitions in part and awarded compensation of Rs.1,00,000/- to the petitioner in MVC No.175/2016 and Rs.1,98,320/- to the petitioner in MVC No.176/2016 with 6% interest per annum from the date of the petition till realization, and directed the insurance company to - 7 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 deposit the compensation amount awarded in the aforesaid claim petitions. 8. The petitioners, being dissatisfied with the quantum of compensation awarded by the Tribunal, filed MFA Nos.100163/2019 and 100165/2019 and the insurance company filed appeals in MFA Nos.103516/2018 and 103517/2018. 9. Heard the arguments of the learned counsel for the petitioners and the learned counsel for the insurance company. 10. Learned counsel for the petitioners submits that the compensation awarded by the Tribunal is on the lower side. He also submits that the Tribunal was justified in fastening the liability on the insurance company. Hence, he prays to allow the appeals filed by the petitioners and dismiss the appeals filed by the insurance company. 11. Per contra, learned counsel for the insurance company submits that the rider of the offending motorcycle - 8 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 did not possess a valid and effective driving license as of the date of the accident. She contends that the insurance company examined the RTO official as RW.2, who has deposed that the rider of the motorcycle was possessing a LMV (Non- transport) license. She submits that the rider of the offending vehicle did not possess a valid and effective driving license and the Tribunal without considering the said aspect has fastened the liability on the insurance company. Further, she submits that the compensation awarded by the Tribunal is on the higher side. Hence, on these grounds, she prays to allow the appeals filed by the insurance company and dismiss the appeals filed by the claimants. 12. Perused the records and considered the submissions of the learned counsel appearing for the parties. 13. The points that arise for consideration are regarding the liability and the quantum of compensation. - 9 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 14. There is no dispute about the occurrence of the accident and the petitioners having sustained injuries in the road traffic accident. 15. The Tribunal, based on the charge-sheet, has rightly recorded a finding that the accident occurred due to the rash and negligent riding of the rider of the offending vehicle. 16. Insofar as the liability is concerned: The learned counsel for the insurance company submits that the insurance company has taken a specific defense in the statement of objections that the rider of the offending vehicle did not possess a valid and effective driving license as of the date of the accident. To prove the same the insurance company, examined the RTO officer as RW-2 and he has deposed that the rider of the offending vehicle did not possess a valid and effective driving license as of the date of the accident. The Tribunal without considering the evidence of RW-2 has fastened the liability on the insurance company. As of the - 10 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 date of the accident, the rider of the offending vehicle did not possess a valid and effective driving license. There is a breach of policy conditions. Thus, the insurance company is not liable to pay the compensation and hence, the liability cannot be fastened on the insurance company. However, the vehicle was insured with the insurance company as of the date of the accident. There is a contract between the owner and the insurance company to indemnify the owner. Hence, the insurance company is directed to pay the compensation amount and recover the same from the owner of the offending vehicle. 17. Insofar as the quantum of compensation is concerned: The petitioner in MVC No.176/2016 was examined as PW-1 and he has also examined the Doctor as PW-3. The petitioner in MVC No.175/2016 has not examined the Doctor to prove the disability, however, the Tribunal awarded global compensation of Rs.1,00,000/-. From the perusal of the wound certificate Ex.P-9, it discloses that the petitioner in MVC No.175/2016 has suffered minor injuries. - 11 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 The global compensation awarded by the Tribunal requires to be reduced. Accordingly, the compensation is reduced to Rs.80,000/- globally. 18. Insofar as MVC No.176/2016 is concerned, the petitioner was aged about 25 years as of the date of the accident and to prove the disability, he has examined the Doctor as PW-3, who has opined that the petitioner has suffered a disability to an extent of 10% whereas the Tribunal has taken the disability at 3%, which is just and proper. The Tribunal, while assessing the income of the petitioner, has taken the income at Rs.9,000/- per month. However, the petitioner has not produced any income proof. In the absence of income proof, the Tribunal should have taken the notional income as per the guidelines issued by the Karnataka Legal Services Authority. The accident is of the year 2015 and hence, the income has to be reassessed at Rs.8,000/- per month. Taking the income of the petitioner at Rs.8,000/- per month, this Court re-assess the compensation as follows: - 12 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 Sl. No. Heads Compensation awarded by the Tribunal Rs. Compensation re-assessed by this Court Rs. 1 For pain shock and mental agony 50,000/- 50,000/- 2 Permanent disablement and disfiguration (8,000x12x18x3%) 58,320/- 51,840/- 3 For medical expense incurred 60,000/- 60,000/- 4 Further medical expenses 20,000/- 20,000/- 5 Nourishment and attendant charges 10,000/- 10,000/- TOTAL 1,98,320/- 1,91,840/- 19. In view of the above discussion, I proceed to pass the following: ORDER i. The appeals filed by the petitioners in MFA Nos.100163/2019 and 100165/2019 are dismissed. ii. The appeals filed by the insurance company in MFA Nos.103516/2018 and 103517/2018 are allowed in part. The judgment and award dated 28.06.2018 passed in MVC Nos.175/2016 and 176/2016 by the learned Member MACT-III, Bagalkot, is hereby modified. - 13 - HC-KAR NC: 2025:KHC-D:11330 MFA No. 100163 of 2019 C/W MFA No. 103516 of 2018 MFA No. 103517 of 2018 AND MFA NO.100165/2019 iii. The petitioner in MVC No.175/2016 is entitled to the reduced compensation of Rs.80,000/-, globally, with interest at 6% per annum as against the compensation awarded by the Tribunal at Rs. 1,00,000/-. iv. The petitioner in MVC No.176/2016 is entitled to the reduced compensation of Rs.1,91,840/-, as against the compensation awarded by the Tribunal at Rs. 1,98,320/-. v. The insurance company is directed to deposit the compensation amount in both claim petitions with accrued interest within eight weeks from the date of receipt of certified copy of this judgment and recover the same from the owner of the offending vehicle. vi. Amount in deposit and the TCR be transmitted to the Tribunal forthwith. Draw awards accordingly. Sd/- (ASHOK S. KINAGI) JUDGE kmv CT: BSB