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2025 DAILYLAW 67387 (KAR)

SMT. SHAKUNTHALA v. FUTURE GENERAL INDIA INSURANCE CO. LTD.

MFA/8145/2017 · 2025-07-16

C M Poonacha

body2025

Judgment text

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- 1 - HC-KAR NC: 2025:KHC:26691 MFA No. 8145 of 2017 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 16TH DAY OF JULY, 2025 BEFORE THE HON'BLE MR. JUSTICE C.M. POONACHA MISCELLANEOUS FIRST APPEAL NO. 8145 OF 2017 (MV-D) BETWEEN: 1. SMT. SHAKUNTHALA W/O. YASHWANTH KALNAD, AGED ABOUT 61 YEARS 2. MISS. PRIYA D/O. YASHAWANTHA KALNAD, AGED ABOUT 29 YEARS BOTH ARE R/AT DOOR NO. 2-295/5/3, OM NIVAS, MOORU KATTE BALLYA, KUMPALA, KOTEKKAR POST AND VILLAGE, MANGALURU TALUK …APPELLANTS (BY SRI. GURUPRASAD B R, ADVOCATE) AND: 1. FUTURE GENERAL INDIA INSURANCE CO. LTD., BRANCH 201 - 201, INLAND AVENUE, M.G. ROAD, BALLALBAGH, MANGALURU, REP BY ITS MANAGER 2. MR. VINOD S/O. CHANDRASHEKARA GATTI, AGED ABOUT 33 YEARS R/O. KEB BABUGUDDE COMPOUND, KAPIKAD, THOKKOTU, ULLAL POST, 3. MR. YASHAWANTH KALNAD S/O. RAMAKRISHNA, Digitally signed by NIRMALA DEVI Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:26691 MFA No. 8145 of 2017 AGE ABOUT 65 YEARS 4. MR. KISHAN YASHWANTH KALNAD S/O. YASHWANTH KALNAD, AGED ABOUT 31 YEARS RESPONDENT NO.3 & 4 ARE R/AT DOOR NO. 2-295/5/3, OM NIVAS, MOORU KATTE BALLYA, KUMPALA, KOTEKKAR POST AND VILLAGE, MANGALURU TALUK …RESPONDENTS (BY SRI. PRADEEP B, ADVOCATE FOR R1 NOTICE TO R2 IS DISPENSED WITH V/O DTD 3.11.2023 NOTICE TO R3 & R4 IS DISPENSED WITH V/O DTD 20.9.2022) THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 25.01.2017 PASSED IN MVC NO.558/2011 ON THE FILE OF THE MEMBER MACT AND II ADDITIONAL SENIOR CIVIL JUDGE, MANGALURU, D.K., PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION AND ETC. THIS APPEAL, COMING ON FOR HEARING, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE C.M. POONACHA ORAL JUDGMENT The above appeal is filed by the claimants under Section 173(1) of the Motor Vehicles Act, 19881 challenging the judgment and award dated 25.01.2017 passed in MVC No.558/2011 by the Member-MACT & II Addl. Senior Civil 1 Hereinafter referred as to ‘Act’ - 3 - HC-KAR NC: 2025:KHC:26691 MFA No. 8145 of 2017 Judge, Mangaluru, D.K2 seeking for enhancement of compensation. 2. The Tribunal by its judgment and award dated 25.01.2017 partly allowed the claim petition and awarded a total compensation of `9,91,000/- together with interest 9% per annum. Being aggrieved, the claimant has filed the above appeal seeking for enhancement of compensation. 3. The findings of the Tribunal on negligence and on liability are not under challenge and have attained finality. The only question to be adjudicated in the above appeal is with regard to the adequacy of compensation awarded by the Tribunal. 4. Heard the submissions of learned counsel Sri Guruprasad B.R. appearing for the appellants/claimants and learned counsel Sri.Pradeep B. appearing for the respondent No.1/insurer. Perused the records including the records of the Tribunal. 2 Hereinafter referred to as the ‘Tribunal’ - 4 - HC-KAR NC: 2025:KHC:26691 MFA No. 8145 of 2017 5. It is forthcoming that the deceased was aged 29 years as on the date of the accident. Hence, the Tribunal has applied the appropriate multiplier of ‘17’ which is just and proper. 6. It was averred that the deceased was stated to be working as a seizing supervisor in M/s. Mahaganapathi enterprises and earning `14,400/- as salary per month as also dealing with car and land business and earning `2,24,000/- per annum out of business. The claimants have examined the representative of the employer of the deceased as PW.4 as also the Chartered accountant as PW.2. Noting the salary certificate (Ex.P6) and appreciating the other material on record, the Tribunal has assessed the monthly income of the deceased at `8,000/- per month which is just and proper. 7. As per the judgment of Hon’ble Supreme Court in the case of National Insurance Company Ltd. vs. Pranay Sethi & Ors.3 and considering the age of the deceased, 40% of income of the deceased is to be added to his income by way of future prospects. Since deceased was a bachelor 50% is to be deducted towards personal expenses. Hence, loss of 3 AIR 2017 SC 5157 - 5 - HC-KAR NC: 2025:KHC:26691 MFA No. 8145 of 2017 dependency is re-assessed as (`8,000/- + 40% - 50% x 12 x 17) = `11,42,400/- as against `8,16,000/- awarded by the Tribunal. 8. As per the judgments of the Hon’ble Supreme Court in the case of Pranay Sethi3 and Magma General Insurance Company Ltd. V. Nanu Ram4 as also a Division Bench decision of this Court in the case of Sri B. Vishwanath Kiran and United India Insurance Co. Ltd.,5 the claimants are being father, mother and sister (three in numbers) are entitled to compensation of `40,000/- each towards loss of consortium with escalation at 20% and accordingly a sum of (`48,000/- x 3) `1,44,000/- is awarded towards the same. Towards loss of estate and funeral expenses `15,000/- each is required to be awarded with escalation at 20%. Accordingly, a sum of `18,000/- each is awarded towards the same. 9. In view of the compensation having been awarded towards conventional heads as above, the compensation awarded by the Tribunal towards loss of love and affection is set aside. 4 (2018) 18 SCC 130 5 High Court of Karnataka, Bengaluru in MFA No.4690/2016 and connected cases (D.D. 25.09.2020) - 6 - HC-KAR NC: 2025:KHC:26691 MFA No. 8145 of 2017 10. It is noticed that the Tribunal has awarded interest at 9% per annum. However, taking judicial notice of the interest payable towards fixed deposits, it is just and proper to award interest at the rate of 7% p.a., on the compensation as re- assessed by this Court. 11. In view of the aforementioned, the compensation is re- assessed as follows: Sl.No Compensation Head Amount Awarded by the Tribunal (`) Amount awarded by this Court (`) 1 Love and affection 1,50,000.00 00 2 Funeral expenses and other incidental expenses 25,000.00 18,000.00 3 Loss of dependency 8,16,000.00 11,42,400.00 4 Loss of consortium 00 1,44,000.00 5 Loss of estate 00 18,000.00 Total 9,91,000.00 13,22,400.00 12. Accordingly, the claimant is entitled to enhanced compensation of (`13,22,400/- - `9,91,000/-) = `3,31,400/- 13. In view of the aforementioned, the following: ORDER i) The appeal is allowed in part; ii) The judgment and award dated 25.01.2017 passed in MVC No.558/2011 by the Member- - 7 - HC-KAR NC: 2025:KHC:26691 MFA No. 8145 of 2017 MACT & II Addl. Senior Civil Judge, Mangaluru, D.K is hereby modified to the extent ordered herein. In all other respects, the judgment and award of the Tribunal remains unaltered; iii) The appellants/claimants are entitled to enhanced compensation of `3,31,400/- together with interest at 7% per annum from the date of petition till its realization in addition to the compensation awarded by the Tribunal; iv) Respondent No.1 – insurer shall deposit the said compensation together with accrued interest within a period of six weeks; v) Apportionment and Disbursement of compensation shall be in terms of the judgment of the Tribunal. vi) The Registry to draw the modified award accordingly; vii) Records be transmitted to the Tribunal forthwith. No costs. Sd/- (C.M. POONACHA) JUDGE BS List No.: 1 Sl No.: 49