- - MFA No. 7126 of 2017 1 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 01ST DAY OF AUGUST, 2025 BEFORE THE HON'BLE MRS. JUSTICE P SREE SUDHA MISCELLANEOUS FIRST APPEAL NO. 7126/2017 (MV-D) BETWEEN: THE MANAGER, RELIANCE GENERAL INSURANCE CO. LTD., MYSORE TRADE TOWERS, OPPOSITE TO KSRTC, B.M. ROAD, MYSURU, ALSO AT, RELIANCE GENERAL INSURANCE COMPANY LTD., EAST WING, 5TH FLOOR, NO.28, CENTENARY BUILDING, M.G. ROAD, BENGALURU-560 001, NOW REPRESENTED BY MANAGER LEGAL. …APPELLANT (BY SMT. PADMA S. UHUR, ADVOCATE FOR SRI. ASHOK N. PATIL, ADVOCATE) AND: 1. MAHADEVU M.C, S/O LATE MADAIAH @ MAHADEVU, AGED ABOUT 54 YEARS, 2. SMT. SHANTHAMMA, W/O MAHADEVU M.C, AGED ABOUT 48 YEARS, BOTH ARE R/AT MADARAHALLI VILLAGE, ARAKERE HOBLI, SRIRANGAPATNA TALUK, MANDYA DISTRICT-571 438. - - MFA No. 7126 of 2017 2 3. PRAKASH .K.S S/O SANNAPPA, MAJOR, R/AT NO.307/1, NEAR ESHWARA TEMPLE, DODDAKALASANDRA, KANAKAPURA MAIN ROAD, BENGALURU-560 062, PERMANENT ADDRESS AT KOTHANAHALLI VILLAGE, KOPPA HOBLI, HOSAKERE POST, MADDUR TALUK-571 428. …RESPONDENTS (BY SRI. H.B. CHANDRASHEKAR, ADVOCATE FOR R1 & R2, V/O DT:16.03.2022 NOTICE TO R3 IS D/W) THIS APPEAL IS FILED U/S 173(1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 30.06.2017 PASSED IN MVC NO.335/2016 ON THE FILE OF THE ADDITIONAL SENIOR CIVIL JUDGE, MACT, SRIRANGAPATNA, AWARDING COMPENSATION OF RS.37,05,600/- WITH INTEREST AT 9% P.A. FROM THE DATE OF FILING THE PETITION TILL THE DATE OF DEPOSIT. THIS APPEAL HAVING BEEN HEARD AND RESERVED ON 28.07.2025 COMING ON FOR PRONOUNCEMENT OF JUDGMENT THIS DAY, P SREE SUDHA J., DELIVERED THE FOLLOWING: CORAM: HON'BLE MRS. JUSTICE P SREE SUDHA CAV JUDGMENT This appeal is filed against the award dated 30.06.2017 passed in MVC No.335/2016 by the Additional Senior Civil Judge, MACT, Srirangapatna. The deceased Sathish M., aged about 24 years, met with an accident on 14.06.2015. The - - MFA No. 7126 of 2017 3 parents of deceased filed claim petition claiming compensation of Rs.54,75,000/-. The Tribunal considering the evidence on record granted compensation of Rs.37,05,600/- with interest at 9% per annum from the date of petition till the date of deposit. 2. Aggrieved by the said order, this appeal is filed seeking enhancement in which it is contended that the gross income of the deceased was taken as Rs.16,600/- per month instead of Rs.14,900/- per month. It is also contended that 18 multiplier was wrongly taken and it is to be rectified. 3. As per the record, P.W.2-Assistant Manager of Smart Vision has stated that the deceased Sathish was working as punching operator getting the pay of 16,815/- per month. The Tribunal deducted Rs.1800/- towards P.F., Rs.315/- towards ESI and Rs.200/- towards professional tax, totaling Rs.2,315/-. 4. This Court finds it reasonable to deduct Rs.200/- towards professional tax from the income of Rs.16,815/- and the net income comes to Rs.16,615/-. As per the guidelines of the Hon’ble Apex Court in dictum of Sarla Verma Vs. Delhi - - MFA No. 7126 of 2017 4 Transport Corporation1, if the deceased was unmarried, ½ of his income has to be deducted as there are 2 dependents towards his personal expenses. Thus, the annual income of the deceased after deducting personal expenses comes to Rs.8,308/- per month. The Hon’ble Apex Court in the dictum of National Insurance Company Limited Vs. Pranay Sethi2, held that the future prospects of income of the self-employed deceased shall also be included in determination of the compensation. Thus, considering the age of the deceased, 40% of the income has to be added towards future prospects and thus the amount would become Rs.11,631/- per month (8308+3323). As the deceased was aged 24 years, the multiplier was rightly taken by the Tribunal as 18 and it needs no interference. Therefore, loss of dependency would be Rs.25,12,296/- (Rs.11,631 x 12 x 18). 5. Learned counsel for the Insurance Company submitted that the calculation of compensation in respect of traditional heads and the rate of interest at 9% per annum are on the higher side as the accident was of the year 2015. The 1 (2009) 6 SCC 121 2 (2017) 16 SCC 680 - - MFA No. 7126 of 2017 5 submission of the learned counsel is just and reasonable. However, as prescribed in the dictum of National Insurance Company Limited Vs. Pranay Sethi, Rs. 16,500/- is granted under the head loss of estate instead of Rs.50,000/- and towards funeral expenses, Rs.16,500/- is granted instead of Rs.20,000/-. 6. Further, the Hon’ble Supreme Court, by reiterating the comprehensive interpretation of ‘consortium’ given in the authority of Magma General Insurance Company Limited vs. Nanu Ram Alias Chuhru Ram & others3, and in the authority between United India Insurance Company Limited vs. Satinder Kaur @ Satwinder Kaur and others4, fortified that the amounts for loss of consortium shall be awarded to the children who lose the care and protection of their parents as ‘parental consortium’ and to the parents as, ‘filial consortium’ for the loss of their grown-up children, to compensate their agony, love and affection, care and companionship of deceased children. Accordingly, it is just and reasonable to award towards love and affection Rs.88,000/- 3 (2018) 18 SCC 130 4 (2020) 9 SCC 644 - - MFA No. 7126 of 2017 6 (Rs.44,000 x 2) instead of Rs.50,000/- Rate of interest is also modified as 6% instead of 9% per annum. In all, the claimants are entitled for the compensation of Rs.26,33,296/- with interest at 6% per annum as against Rs.37,05,600/- awarded by the Tribunal. 7. The award of compensation passed by the Tribunal is modified as under: Heads Amount in Rs. 1. Loss of Dependency (Rs.16,615+40%=23,261X12X18X1/2) 25,12,296/- 2. Loss of Estate 16,500/- 3. Loss of Love and Affection (Rs.44,000X2) 88,000/- 4. Towards Funeral Expenses 16,500/- Total 26,33,296/- 8. In the result, the following order is passed: (i) Appeal is allowed in part. (ii) The Claimants are entitled for the total compensation of Rs.26,33,296/- with interest at 6% p.a. from the date of petition till the date of realization. - - MFA No. 7126 of 2017 7 (iii) Claimants are entitled for equal share in the compensation amount. (iv) The appellant-Insurance company is directed to deposit the aforesaid compensation amount within one month from the date of receipt of copy of this order. (v) On such deposit, the Claimants are permitted to withdraw their amount along with aforesaid interest. Sd/- (P SREE SUDHA) JUDGE CS List No.: 1 Sl No.: 57