- 1 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 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. 2435 OF 2018 (MV-D) BETWEEN: 1. MAHAMED IQBAL @ MOHAMMED, S/O. MOHAMMED GOUSE PEER SAAB, AGED ABOUT 47 YEARS, 2. SHABEENA BHANU W/O. MOHAMMED IQBAL @ IQBAL MOHAMMED, AGED ABOUT 47 YEARS, BOTH ARE R/AT JAMIA MASJID ROAD, CHAMARAJANAGARA TOWN, CHAMARAJANAGARA - 571 303. …APPELLANTS (BY SRI. SANATH KUMARA K.M, ADVOCATE) AND: 1. E. P. KUMAR S/O. PERIYASWAMY, MAJOR, R/AT H-6, PERIYAR NAGAR, ERODE DISTRICT, TAMILNADU - 638 001. 2. THE DIVISIONAL MANAGER RELIANCE GENERAL INSURANCE CO. LTD., NO.28, EAST WING, 5TH FLOOR, CENTENARY BUILDING, M.G. ROAD, BANGALORE - 560 002. …RESPONDENTS (BY SRI. D. VIJAY KUMAR, ADVOCATE FOR R2; VIDE ORDER DATED 16.07.2025, NOTICE TO R1 IS DISPENSED WITH) Digitally signed by NIRMALA DEVI Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 THIS MFA IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 30.06.2017 PASSED IN MVC NO.305/2016 ON THE FILE OF THE PRINCIPAL DISTRICT JUDGE & MACT, CHAMARAJANAGAR, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION. THIS APPEAL, COMING ON FOR ORDERS, THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE C.M. POONACHA ORAL JUDGMENT The present appeal is filed by the claimant under Section 173(1) of the Motor Vehicles Act, 19881 by the claimants challenging the judgment and award dated 30.06.2017 passed in MVC No.305/2016 by the Prl. District and Sessions Judge, M.A.C.T., at Chamarajanagara2, seeking for enhancement of the quantum of compensation. 2. The Tribunal by its judgment and award dated 30.06.2017 has partly allowed the claim petition and awarded a total compensation of `10,10,000/- together 1 Hereinafter referred to as M.V. Act 2 Hereinafter referred to as the ‘Tribunal’ - 3 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 with interest at 6% per annum. Being aggrieved and seeking for enhancement of quantum of compensation, the present appeal is filed. 3. Heard submissions of learned counsel Sri Sanath Kumara.K.M., for the appellant-claimant and learned counsel Sri D.Vijay Kumar for respondent No.2 - Insurer. 4. Learned counsel for the claimants contends that the quantum of compensation awarded is on the lower side and the same is required to be enhanced. It is further submitted that the Insurer had preferred MFA No.7257/2017 challenging the judgment and award of the Tribunal, which appeal was dismissed by this Court vide order dated 12.10.2017. Hence, learned counsel seeks for allowing of the present appeal and granting of reliefs as sought for. 5. Per contra, learned counsel for the Insurer/respondent No.2 justifies the judgment and award - 4 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 passed by the Tribunal and contends that the quantum of compensation awarded by the Tribunal is just and proper. 6. The submissions made by the learned counsel for the parties has been considered and the material on record has been perused. 7. The findings of the Tribunal on negligence and liability have not been challenged in the present appeal and have attained finality. The only aspect that requires to be considered in the present appeal is with regard to the adequacy of the quantum of compensation. 8. The deceased is aged about 20 years as on the date of accident. The appropriate multiplier applied by the Tribunal is '18', which is just and proper. The deceased was studying 4th Semester of B.Com. It is also contended that the deceased was working and earning `15,000/- per month. However, no documents have been produced to demonstrate his income. The Tribunal has assessed the notional income of the deceased at `9,000/- per month. - 5 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 Having regard to the date of accident i.e., 02.09.2016, it is just and proper that the notional income of the deceased be re-assessed as `9,500/- per month as against `9,27,000/- awarded by the Tribunal. 9. Having regard to the judgment of the Hon'ble Supreme Court in the case of National Insurance Company Limited V. Pranay Sethi and others3 40% of the income is required to be added towards the future prospects. The deceased is a bachelor. Hence, 50% of the income is required to be deducted towards personal expenses. Hence, the loss of dependency is re-assessed as (`9,500 + 40% - 50% x 12 x 18) = `14,36,400/- as against `9,27,000/- awarded by the Tribunal. 10. The claimants being the parents of the deceased are entitled to loss of consortium in terms of the judgment of Hon’ble Supreme Court in the case of Magma General Insurance Company Limited vs. Nanu Ram 3 (2017) 16 SCC 680 - 6 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 Alias Chuhru Ram and others.4 Hence, it is just and proper that the compensation of `40,000/- each be awarded together with escalation at 20%. Hence, loss of consortium is re-assessed as (`48,000/- x 2) = `96,000/-. 11. Compensation towards funeral expenses and loss of estate, is required to be awarded at `15,000/- each together with escalation at 20%. Accordingly, compensation of `18,000/- each is awarded towards the same. 12. In view of compensation having been awarded on conventional heads, the compensation awarded by the Tribunal towards transportation of dead body, funeral and obsequies as well as loss of love and affection are set aside. 13. In view of the aforementioned, the compensation re-assessed is as follows: 4 (2018) 18 SCC 130 - 7 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 Sl. No. Heads Amount awarded by the Tribunal (Rs.) Amount awarded by this Court (Rs.) 1. Towards loss of dependency and future earning 9,27,000.00 14,36,400.00 2. Towards transportation of dead body 3,000.00 - 3. Towards funeral and obsequies of the deceased 18,000.00 4. Towards Loss of Estate 5,000.00 18,000.00 4. Towards loss of love and affection 30,000.00 96,000.00 Total 9,65,000.00 (wrongly mentioned as 10,10,000.00) 15,68,400.00 14. Hence, the claimants are entitled for enhanced compensation of `6,03,400/- (`15,68,400/- - `9,65,000/-). 15. Taking judicial note of the interest towards fixed deposits, it is just and proper to award interest at the - 8 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 rate of 7% p.a., on the compensation as re-assessed by this Court. 16. In the result, the following order is passed: ORDER i) The appeal is allowed; ii) The judgment and award dated 30.06.2017 passed in MVC No.305/2016 by the Prl. District and Sessions Judge and M.A.C.T., at Chamarajanagar is modified to the extent of holding that the claimants shall be entitled to a further compensation of `6,03,400/- together with interest at the rate of 7% p.a. from the date of petition till the date of payment, in addition to the compensation awarded by the Tribunal; iii) The judgment and award of the Tribunal in all other respects shall remain unaltered; iv) The Insurer/respondent No.2 shall deposit the enhanced compensation together with accrued interest within a period of 6 weeks; v) Upon deposit, the said compensation together with interest be apportioned and disbursed in terms of the judgment of the Tribunal; - 9 - HC-KAR NC: 2025:KHC:26734 MFA No. 2435 of 2018 vi) Registry to draw the modified award accordingly; vii) Registry to transmit the records to the Tribunal forthwith; No costs. Sd/- (C.M. POONACHA) JUDGE PSJ List No.: 1 Sl No.: 6 CT: BHK