BRANCH MANAGER NATIONAL INSURANCE COMPANY LIMITED THROUGH ASSISTANT MANAGER v. JHUMA PASWAN
MA/530/2019 · 2026-03-20
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[ 2026 DAILYLAW 10605 (JHR) · dailylaw.ai ]
DailyLaw.ai
[ 2026 DAILYLAW 10605 (JHR) · dailylaw.ai ]
Judgment text
Extracted from the PDF above. The PDF is authoritative.
Neutral Citation No. 2026:JHHC:7985 p. 1 IN THE HIGH COURT OF JHARKHAND AT RANCHI
1. Branch Manager, National Insurance Company Limited, Branch Office, Pakur Malpahari Road, P.O. & P.S. – Pakur, District – Pakur (Jharkhand). 2. Branch Manager, National Insurance Company Limited, Branch Office, Sahebganj Kutchery Road, P.O. & P.S. – Sahebganj, District – Sahebganj (Jharkhand) Appellant Nos.- 1 and 2, duly represented through its Assistant Manager, National Insurance Company Limited, Jharkhand Legal Cell, Kutchery Road, Post Office – G.P.O., Police Station – Kotwali, District – Ranchi 834 001. (Insurer of Truck No. WB 59B 1865) ... Opposite Party Nos. 3 & 4/Appellants
Versus
1. Jhuma Paswan, W/o – Late Gautam Paswan,
2. Deo Paswan (minor), S/o – Late Gautam Paswan,
3. Om Paswan (minor), S/o – Late Gautam Paswan,
4. Suresh Paswan, S/o – Late Sameshwar Paswan,
5. Rajkumari Paswan, W/o – Suresh Paswan. (Claimants/ respondents No. 2 and 3 are minors and represented through their mother and natural guardian claimant/ respondent no.1 – Jhuma Paswan). All are residents of village – Chhoti Aliganj (Dhanushpuja), P.O. – Pakur, P.S. – Pakur (T), District – Pakur, Jharkhand …. Claimants/Respondents
6. Sanjay Kumar Pandey, S/o – Late Ganesh Narayan Pandey, Resident of Chauhan Tol, Khuskibagh, P.O. & P.S. – Khuskibagh, District – Purnia (Bihar), Pin Code – 854 305. ... Opposite Party No. -1/ Respondent
--------- CORAM:
HON’BLE THE CHIEF JUSTICE
--------- For the Appellants: Mr. Pratyush Kumar, Advocate
Ms. Taru Gupta, Advocate
Mr. Vishwajeetjee Chaturvedi, Advocate
--------- 04/Dated: 20.03.2026 I.A. No. 10193 of 2019
1. Having heard learned counsel for the appellants and being satisfied with the grounds shown, this I.A. is allowed and delay of 134 days in filing the appeal is condoned. Neutral Citation No. 2026:JHHC:7985 p. 2 2. Mr. Pratyush Kumar, the learned counsel for the appellant, submits the only challenge in this matter is to the incorrect deduction towards the personal expenses of the deceased. He submits that the deduction, in terms of the decision of Hon’ble the Supreme Court in the Case of Sarla Verma and Others Vs. Delhi Transport Corporation and Anr reported in (2009) 6 SCC 121 should have been one-fourth (1/4th). He submits that the Tribunal has, however, made a deduction of only one-fifth (1/5th) and that this is an error apparent on the face of the record.
3. On perusing the impugned award, it does appear that the Tribunal has made a deduction of one-fifth (1/5th) on the ground that there were 05 members in the family of the deceased. In Sarla Verma (supra), it is held that where the number of dependent family members is 4 to 6, the deduction would be one-fourth (1/4th). Accordingly, this contention on behalf of Insurance Company would have to be upheld. 4. However, on perusal of the impugned award it is seen that the Tribunal has awarded compensation of Rs.1,50,000/- (Rs.50,000/- to each dependent). However, in this case, since there were 04 dependents, the compensation towards consortium should have been Rs.44,000/- to each of the claimants. This means that the compensation should have been Rs.1,76,000/- and not just Rs.1,50,000/-. 5. The total amount is Rs. 14,69,412/- + Rs. 1,76,000/-. Besides, an amount of Rs 15000 will have to be added towards the loss of
Neutral Citation No. 2026:JHHC:7985 p. 3 estate and Rs 15000 towards funeral expenses, which takes the total to Rs 16,75,412/- as against the awarded amount of Rs 17,47,500/-. 6. From the amount of Rs. 16,75,412/-, an amount of Rs. 50,000/- paid towards ‘no fault liability’ will have to be deducted. The net compensation payable would therefore have to be determined at Rs. 16,25,412/-. This will have to be paid with interest @ 7% per annum from the date of institution of the claim petition, i.e. 17.05.2016. In case of default, an interest @ 9% per annum shall have to be paid out on this amount, as directed in the impugned award. 7. The Insurance Company, in this case, has to date not paid any compensation amount to the claimant under the award dated
22.02.2019. This is even though there was no order staying the execution. This is quite unfortunate, and for this the Insurance Company must pay costs which are assessed at Rs. 25,000/-. 8.
The awarded amount, together with interest and costs, must now be deposited in this Court within four weeks from today. If the amounts are not deposited, they shall carry further interest @ 2% per annum, and this interest shall first be paid by the appellant-Insurance Company, after which it shall be recovered from the Branch Manager of the Insurance Company through his salary, if necessary. 9. This appeal is disposed of in the above terms. 10. The compliance report must be filed in this matter by
22.04.2026. (M. S. Sonak, C.J.) March 20, 2026 N.A.F.R. Manoj/Sharda/Cp.2 Uploaded on 24.03.2026