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2003 DIGILAW 91 (PAT)

Rajesh Kumar @ Bablu Gupta v. Prabhawati Devi

2003-01-22

P.K.DEB

body2003
Judgment 1. This appeal has been preferred by the above named appellant against the order dated 1.6.2001 passed by the 4th Additional District Judge-cum-Claim Tribunal (M.V. Act), East Champaran at Motihari, in Claim Case No. 19/2000 whereby and whereunder the interim compensation as contemplated under Section 140 of the Motor Vehicles Act to the tune of Rs. 50,000/- has been granted to be shouldered by the owner alone. 2. Factual aspects are not very necessary to be considered in this case except the fact that the accident occurred on 30.4.2000 and the offending vehicle was a Marshal Jeep and the same was admittedly owned by the appellant himself. On the very date of accident a criminal case was registered being Motihari Town RS. Case No. 111/2000. The mother of the deceased Ashok Kumar Jaiswal had filed the claim case against the owner and the Insurance Company i.e. Respondent No. 2 in the case. The owner on appearance had produced the copy of the Insurance policy showing its validity on the date of accident also. The insurance Company appeared. A rejoinder was filed and on submission being made by the learned counsel for the Insurance Company relying on the decision of a Single Bench of this Court in M.A. No. 242/99 whereby it was held that the , interim compensation under Section 140 of Motor Vehicles Act shall only be paid by the owner and not by the Insurance Company and hence the present appeal has been filed by the owner-appellant to the effect that decision on the law point as arrived at is bad on the face of it and when valid Insurance policy is there, the owner is required to be indemnified by the Insurance Company. 3. A counter-affidavit has been filed to the effect that as per allegations made, the vehicle was running without name plate and in that way, according to the learned counsel for the Insurance Company, there was negligence on the part of the owner of the vehicle and as the contractual agreement between the owner and the Insurance Company on which the policy had been issued, the Insurance Company can not indemnify the owner if there are violation of the conditions itself. 4. 4. The learned counsel for the appellant has referred to two Judgments, one by Division Bench of this Court as reported in 2001 (3)PLJR 103 (Kanhai Rai& Ors.V/s. Sri Dharampal & Ors.) and another by the Apex Court as reported in 2001 (3) PLJR (SC) 74 (New India Assurance Co. Shimla V/s. Kamla & Ors., Kanku & Ors. Sheela Devi & Ors.). The decision of Single Bench of this Court on which much reliance has been put by the learned Tribunal had already been declared a bad decision upon the basis of Apex Courts decision and Division Bench Judgment of this Court as mentioned above. 5. In that way, even in a proceeding of no fault liability under Section 140 of the Motor Vehicles Act the Insurance Company stands as indemnifier if the date of accident is covered by the policy and the amount of compensation shall be paid by the Insurance Company only with a proviso that if on adjudication during the proceeding under Section 166 of the Motor Vehicles Act it is found that the Insurance Company is not liable to pay due to violation of conditions by. the owner of the vehicle, then the amount paid by the Insurance Company may be reimbursed from the owner. 6. In that view of the matter, this appeal is allowed and the amount of interim compensation as awarded by the Learned Tribunal shall be fastened with Respondent No. 2 i.e. The New India Assurance Company and not by the owner subject to the condition that if on adjudication during the proceeding under Section 166 of Motor Vehicles Act it is found that the Indemnifier i.e. the Insurance Company is not liable for violation of policy conditions, then the amount so paid shall be reimbursed from the owner of the offending vehicle. In the facts and circumstances of the case no order as to costs.