1 CGHC010028332020 2026:CGHC:34527 NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR MAC No. 243 of 2020 1 - The Oriental Insurance Company Limited Branch Office Through Branch Manager, Commercial Complex, Block-D, T.P. Nagar, Korba, Tahsil And District Korba, Chhattisgarh. (Insurer Of Vehicle Scorpio No. C.G.-12/aq/5816), District : Korba, Chhattisgarh ... Appellant Versus 1 - Smt. Urmila Kanwar Wd/o Late Prushottam Singh Kanwar Aged About 40 Years Caste- Kanwar, R/o Village Hukra, Tahsil Katghora, District Korba, Chhattisgarh, Present Address- Sector-3, A-235, Balco Nagar, Tahsil And District Korba, Chhattisgarh. (Claimants), District : Korba, Chhattisgarh 2 - Ku. Anjali Kanwar D/o Late Prushottam Singh Kanwar Aged About 19 Years Caste- Kanwar, R/o Village Hukra, Tahsil Katghora, District Korba, Chhattisgarh, Present Address- Sector-3, A-235, Balco Nagar, Tahsil And District Korba, Chhattisgarh. (Claimants), District : Korba, Chhattisgarh 3 - Ku. Kiran Kunwar D/o Late Prushottam Singh Kanwar Aged About 17 Years Minor Represented Through Natural Guardian Mother Respondent No.1 Smt. Urmila Kanwar, Caste- Kanwar, R/o Village Hukra, Tahsil Katghora, District Korba, Chhattisgarh, Present Address- Sector-3, A-235, Balco Nagar, Tahsil And District Korba, Chhattisgarh. (Claimants), District : Korba, Chhattisgarh 4 - Harsh Kumar S/o Late Prushottam Singh Kanwar Aged About 15 Years Minor Represented Through Natural Guardian Mother Respondent No.1 Smt. Urmila Kanwar, Caste- Kanwar, R/o Village Hukra, Tahsil Katghora, District Korba, Chhattisgarh, Present Address- Sector-3, A-235, Balco Nagar, Tahsil And District Korba, Chhattisgarh. (Claimants), District : Korba, Chhattisgarh 5 - Sunil Kumar Vindhyaraj S/o Baburam Vindhyaraj Aged About 35 Years R/o Chhurikala, Binjhpur Ward No.01, Thana And Tahsil Katghora, District Korba, Chhattisgarh. (Driver Of Vehicle Scorpio No. C.G.-12/aq/5816), District : Korba, Chhattisgarh SAIFAN KHAN Digitally signed by SAIFAN KHAN 2 6 - Sudhir Kumar Vindhyaraj S/o Baburam Vindhyaraj Aged About 35 Years R/o Chhurikala, Binjhpur Ward No.01, Thana And Tahsil Katghora, District Korba, Chhattisgarh. (Owner Of Vehicle Scorpio No. C.G.-12/aq/5816), District : Korba, Chhattisgarh ... Respondents [Cause-title taken from Case Information System (CIS)] ------------------------------------------------------------------------------------------------ For Insurance Company : Mr. Sudhir Agrawal and Ms. Prerana Agrawal, Advocate For Claimants : Mr. Shashikesh Yadav, Advocate on behalf of Mr. Pushkar Sinha, Advocate For Owner & Driver : Mr. Aditya Khare, Advocate ------------------------------------------------------------------------------------------------ Single Bench: Hon'ble Shri Justice Sanjay K. Agrawal (Order on Board) 06.08.2026 1. This appeal has been filed by the appellant/Insurance Company under Section 173 of the Motor Vehicle Act, 1988 challenging award dated 04.05.2019, whereby learned Claims Tribunal has awarded a total sum of Rs.71,62,698/- alongwith 7% interest PA as compensation to the claimants and the liability to pay the said compensation has been imposed upon the Insurance Company. 2. Learned counsel for the Insurance Company submits that the claims tribunal erred in fastening the liability to pay compensation upon them, as in the present case, the vehicle was not involved in the accident in question and further income tax has also not been deducted properly. As such, the impugned order is liable to be set aside. 3. On the other hand, learned counsel for the respondents supported the impugned award and prays for dismissal of this appeal. 4. I have heard learned counsel for the parties, considered their rival submissions made herein-above and went through the record with 3 utmost circumspection. 5. So far as the plea of the Insurance Company that in the present case the vehicle was not involved in the accident in question and, as such, the Insurance Company is not liable to pay the compensation is concerned, however, no evidence has been led to establish the said fact by the Insurance Company and even no express plea has been taken in their written statement and, therefore, the learned Claims tribunal proceeded to fastened the liability to pay compensation to the claimants upon the Insurance company, which finding, in the considered opinion of this Court is correct finding of fact based on evidence and same is neither perverse nor contrary to the record. 6. The next plea that has been raised on behalf of the Insurance Company is that income tax has also not been deducted properly, which argument finds support and, therefore, this Court is computing the quantum of compensation to be awarded to the claimants, as below:- Sr. No. Heads Compensation awarded by the Tribunal Compensation awarded by this Court 1. Income Rs.65,632/- x 12 = Rs.7,87,584/- Rs.65,632/- x 12 = Rs.7,87,584/- 2. Income Tax deduction (-) Rs.40,000/- = Rs.7,47,584/- Tax calculation:- 1. 2,50,000/- = NIL 2. Next 2,50,000/- @ 10% = 25,000 3. Balance 2,87,584 @ 20% = 57,516 4. Cess @ 4% = 3300 Total – 85,817/- (-) Rs.85,817/- = 4 Rs.7,01,767/- 3. Future Prospect (+) 15% (i.e. Rs.1,12,137/-) = Rs.8,59,721/- (+) 15% (i.e. Rs.1,05,265/-) = Rs.8,07,032/- 4. Deduction (-) 1/4 (i.e. Rs.2,14,930) = Rs.6,44,790/- (-) 1/4 (i.e. Rs.2,01,758) = Rs.6,05,274/- 5. Multiplier (x) 11 = Rs.70,92,698/- (x) 11 = Rs.66,58,014/- 6. Loss of Estate Rs.15,000/- Rs.15,000/- 7. Funeral Express Rs.15,000/- Rs.15,000/- 8. Loss of consortium Rs.40,000/- Rs.40,000/- Total Rs.71,62,698/- Rs.67,28,014/- 7. In view of the foregoing analysis, the amount of compensation of Rs.71,62,690/- awarded by the Claims Tribunal is reduced to Rs.67,28,014/-. Hence, the appellants are held entitled for a reduced amount of Rs.67,28,014/-. The concerned respondent is directed to deposit the amount of compensation as enhanced by this Court within a period of 45 days from the date of receipt of copy of this order. Rest of the conditions of the impugned award shall remain intact. 8. Accordingly, the appeal filed by the Insurance Company is hereby partly allowed and the impugned award is modified to the extent as indicated herein-above. sd/- (Sanjay K Agrawal) Judge s@if