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2002 DIGILAW 775 (RAJ)

United India Insurance Co. Ltd. v. Kailash

2002-04-15

S.K.KESHOTE

body2002
JUDGMENT 1. :- This appeal is directed against the award of the Motor Accident Claims Tribunal, Beawar dated 7.4.2000 in Claim Case No. 84/97. 2. Under this award the learned Tribunal awarded Rs. 40,000/- as compensation for the injuries caused to the claimants in the motor accident by the vehicle which is insured with the appellant. 3. This appeal is presented in the Court on 19.7.2000. Office on scrutiny of the matter on 28.7.2000 pointed out as many as 3 defects therein which are as under: 1. Receipt in compliance of Section 173 of M.V. Act, 1988 not filed. 2. Case number not mentioned in the subject matter. 3. Page number 3 of the judgment is underlined. 4. More than one year and six months have already been passed, the officers of the United India Insurance Company have not bothered, cared or concerned to remove the office objections. The appellant company had its own legal cell, highly paid officers are there. It is difficult to believe what to say to accept that these officers would not have been known of the provisions of Section 173 of the Motor Vehicles Act, 1988. It is not the first appeal which has been filed, but my experience shows that the insurance company is in the habit of filing the appeals even against the interim award passed by the Tribunal. Thousands of appeals would have been filed by this time by the appellant company in the High Court and Section 173 would have been complied with in those cases. From these facts there cannot be two views and it is also not the case of the appellant that its officers were not knowing the provisions of Section 173 of the afore-stated Act. It is taken that the officers of the appellant are knowing about this provision. Section 173 of the Act is very specific, clear and unambiguous and its validity has also not been challenged. The insurance company who decides to file the appeal against the award of the MACT is to enclose to the same a certificate of deposit of 50% of the awarded amount or Rs. 25,000/- which-ever is less. The insurance company may have battery of the panel advocates, law officers of experience of filing of appeals and still in case this defective appeal is filed, it is to be taken seriously by the Court. 25,000/- which-ever is less. The insurance company may have battery of the panel advocates, law officers of experience of filing of appeals and still in case this defective appeal is filed, it is to be taken seriously by the Court. In the matter of illiterate or poor litigants, the consideration little bit may be different, but in case of the insurance company appellant, for the reasons afore-stated this slakness, carelessness and negligence cannot be taken lightly by the Court. Not only this when United India Insurance Company Limited has its own legal cell and battery of panel advocates, it has to file appeal which is complete in all respects. Where the appeal is filed by the company, no defect can be tolerated by the Court and there should not be for the reasons which need not be repeated again and again. Still this company has filed this defective appeal which goes to show that it considers, the registry is a dustbin where any waste papers can be thrown, however, before throwing any waste paper in the dustbin the person concerned makes at his end scrutiny thereof and then only it is to be thrown. But here in this case that much of care and caution has not been taken by the officer of the company and this defective appeal has been filed. When this defective appeal has been filed, therefrom it can be presumed and assumed that the company considers it only a waste paper for dumping in the dustbin and it is filed in the Court for dismissal thereof. In case the officers of the company would have really been serious about this matter they should have taken all care and this defective appeal should not have been filed. This appeal appears to have been filed only for the purpose of paper formality or for the prestige that not a single order of the Tribunal should go unchallenged. When the company has its own legal cell, it should scrutinise each and every case on merits and only in those cases where the Tribunal has committed blunder on legal or factual point, the appeal should be filed and not as a routine and for the object and purpose that not a single order of the Tribunal should go unchallenged. When the company has its own legal cell, it should scrutinise each and every case on merits and only in those cases where the Tribunal has committed blunder on legal or factual point, the appeal should be filed and not as a routine and for the object and purpose that not a single order of the Tribunal should go unchallenged. The company is State within the meaning of Article 12 of the Constitution of India and the people's money should not be wasted in such litigations. Litigations cost heavily to the company, sufferance of public loss. 5. Not only this for more than one year and six months the officers of the company have not bothered or cared to remove the defects. That goes to show to what extent the officers of the company are careless, negligent and unmindful of their duties to their master and the public. Be that as it may, I do not find any justification what-so-ever to grant any further indulgence in the matter to the company. This is not a matter where the Court has to feel satisfied or contended by simpliciter dismissal of the appeal. In one case of the other insurance company, I had passed the order of cost to be deposited for the exgratia payment fund which is to be opened. I have come across the cases where the insurance companies are taking pleas that the license of the driver was not there or the vehicle was not insured or where cheque of the premium was bounced or the payment has not been made of the premium etc. Every insurance company has to open exgratia payment account so in hard cases where the insurance company is exonerated of its liability, Payment may be made to the claimant from such exgratia fund. The provisions of Section 140 of the Motor Vehicles Act proceed on the principle of no fault liability, exgratia payment fund is the need of the day, it is to be created by the insurance company to meet out the hardship of the claimants. It is a matter to be taken care of by the insurance company. But so far as to cost is concerned, the Court can order for deposit thereof in exgratia account which is to be opened. It is a matter to be taken care of by the insurance company. But so far as to cost is concerned, the Court can order for deposit thereof in exgratia account which is to be opened. In this case, I consider it to be a fit cases where cost is to be ordered against the company as it is by filing this defective appeal has not only wasted the valuable and precious time of the Court but of the registry as well. 6. The appeal fails and the same is dismissed with costs which is quantified to Rs. 5,000/-. This amount is to be deposited by the company by opening exgratia payment account. The Regional Manager of the company is free to recover the amount of this cost from the officer concerned who is responsible for filing this defective appeal in the Court and not to remove the defects.Appeal Dismissed. *******