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2025 DAILYLAW 8078 (ALL)

RAJ KUMARI AND OTHERS v. NATIONAL INSURANCE CO.LTD. AND ANOTHER

FAFO/2752/2003 · 2025-05-22

Vipin Chandra Dixit

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Judgment text

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Neutral Citation No. - 2025:AHC:87979 Court No. - 48 Case :- FIRST APPEAL FROM ORDER No. - 2752 of 2003 Appellant :- Raj Kumari And Others Respondent :- National Insurance Co.Ltd. And Another Counsel for Appellant :- Sharve Singh,Sharve Singh Hon'ble Vipin Chandra Dixit,J. Heard Sri Sharve Singh, learned counsel for the appellants and Sri Om Prakash Mishra, learned counsel appearing on behalf of respondent no.1-Insurance Company. No one is present on behalf of respondent no.2 who is owner of the offending truck No.HR-46/9176. This first appeal from order has been filed by the appellants for enhancement of compensation against the judgment and award dated 23.5.2003 passed by Motor Accident Claims Tribunal/ Additional District Judge, Court No.12, Allahabad in M.A.C.P. No.632 of 1999 (Smt. Rajkumari & others vs. Jasmer Singh and another), by which compensation of Rs.1,63,000/- alongwith 8% interest has been awarded to the claimants on account of death of Banshi Lal aged about 50 years, who died in a road accident occurred on 7.6.1999. It is submitted by learned counsel for the appellants that the compensation awarded by the Claims Tribunal is on lower side. The claimants had fully proved the income of the deceased as Rs.4000/- per month and there was no evidence adduced by the Insurance Company in rebuttal and the Claims Tribunal has erred in accepting Rs.1500/- as monthly income of the deceased. It is further submitted that the Claims Tribunal has also erred in deducting 1/3rd as personal expenses of the deceased ignoring the fact that there are five dependents and deduction would be 1/4th. Lastly, it is submitted that nothing has been awarded towards future prospects and only Rs.7000/- has been awarded towards non-pecuniary damages, whereas the claimants-appellants are entitled for 25% future prospects and Rs.70,000/- as non-pecuniary damage. No other ground has been pressed by learned counsel for appellants. On the other hand, learned counsel appearing on behalf of Insurance Company has submitted that claimants had failed to prove the income of the deceased by producing documentary evidence and the Claims Tribunal has rightly assessed Rs.1500/- as monthly income of the deceased. It is further submitted that the compensation awarded by the Claims Tribunal is almost just and proper and no ground for enhancement is made out. Considered the submissions of learned counsel for the parties and perused the record. It was the case of the claimants that deceased was 50 years old and had earned Rs.4000/- per month by selling fruits. The Claims Tribunal had disbelieved the income of the deceased and accepted Rs.1500/- as monthly income of the deceased. In the case of Laxmidhar Nayak and others vs. Jugal Kishore Behera and others reported in 2018 ACJ 538 Hon'ble Apex Court has determined income of the labour as Rs.3000/- per month for the accident occurred in 1991. Therefore, the income of the deceased in this case is enhanced from Rs.1500/- to Rs.3000/- per month. The Claims Tribunal has erred in deducting 1/3rd towards personal expenses, whereas there are five dependents and deduction would be 1/4th in view of law laid down by Hon'ble Apex Court in the case of Sarla Verma vs. Delhi Road Transport Corporation reported in 2009(2) TAC 677 (S.C.). Nothing has been awarded towards future prospects and only Rs.7000/- has been awarded towards non-pecuniary damages, whereas claimants-appellants are entitled for 25% future prospects and Rs.70,000/- towards non-pecuniary damages in view of law laid down by Hon'ble Apex Court in the case of National Insurance Company Ltd. vs. Pranay Sethi reported in 2017(4) T.A.C. 673. In view of above, the compensation awarded by the Claims Tribunal is reassessed as below:- 1) Monthly income = Rs.3,000/- 2) Annual income = Rs. 3,000/- X 12 + Rs.36,000/- 3) Future prospects (25%) = Rs.9,000/- 4) Total annual income = Rs.36,000/- + Rs.9,000/- =Rs.45,000/- 5) Deduction towards personal expenses(1/4th) = Rs.45,000/- - Rs.11,250/- =Rs.33,750/- 6) Multiplier applicable (13) =Rs.33750/- x 13 = Rs.4,38,750/- 7) Non-pecuniary damages =Rs.70,000/- Total = Rs.4,38,750/- + Rs.70,000/- = Rs.5,08,750/- In view of aforesaid discussion, the appeal filed by claimants is hereby partly allowed and award of the Claims Tribunal is modified and compensation awarded by the Claims Tribunal is enhanced from Rs.1,63,000/- to Rs.5,08,750/-. The claimants-appellants are also entitled for 4% interest on enhanced amount from the date of judgement and award of Claims Tribunal dated 23.5.2003. The National Insurance Company Limited-respondent no.1 is directed to pay enhanced amount alongwith interest to the claimants-appellants within two months from today. No order as to costs. Order Date :- 23.5.2025/P.P. Digitally signed by :- POONAM PATEL High Court of Judicature at Allahabad