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2003 DIGILAW 915 (AP)

Nallamilli Syamala v. Konala Venkayamma

2003-07-22

G.YETHIRAJULU

body2003
( 1 ) THE appeal is preferred by the claimants in O. P. No. 316 of 1990 against the order dated 7-4-1993 on the file of the Motor Accidents claims Tribunal-cum-II Additional District judge, East Godavari at Rajahmundry. ( 2 ) A person by name Nagi Reddy, aged about 25 years, died in a tractor accident occurred on 26-6-1990. His wife and parents made a claim for Rs. 2,00. 000/- towards compensation under various heads. The tribunal by taking into consideration the occupation of the deceased, assessed the loss of dependency at Rs. 600/- per month and after applying the multiplier of 16, the tribunal arrived at the total loss of dependency at Rs. 1,15,200/ -. The Tribunal also awarded Rs. 5,000/- towards compensation for loss of consortium. ( 3 ) THE learned counsel for the appellants submitted that the Tribunal ought to have awarded Rs. 15,000/- towards loss of consortium and Rs. 15,000/- towards compensation for loss to the estate. Since the request of the appellant is quite reasonable, i am inclined to award Rs. 10. 000/- more towards loss of consortium and Rs. 15,000/- towards loss to the estate. The petitioners are therefore entitled to Rs. 25,000/- more towards compensation as indicated above. ( 4 ) THE learned counsel for the appellant further submitted that the Tribunal erred in holding that since the Insurance Policy was not transferred from the original owner to the 1st respondent, the Insurance Company cannot be made liable. He further requested to set aside the order of the Tribunal by making the Insurance Company liable to pay the compensation amount. Section 157 of the Motor Vehicles Act, 1988 regarding the transfer of Insurance Policy reads as follows:"157. Transfer of certificate of insurance:- (1) Where a person in whose favour the certificate of insurance has been issued in accordance with the provisions of this chapter transfers to another person the ownership of the motor vehicle in respect of which such insurance was taken together with the policy of insurance relating thereto, the certificate of insurance and the policy described in the certificate shall be deemed to have been transferred in favour of the person to whom the motor vehicle is transferred with effect from the date of its transfer. " ( 5 ) THE Tribunal did not notice this provision and came to an erroneous conclusion that the insurance company is not liable to pay the compensation. In the light of the above provision, I am inclined to accept the contention of the learned counsel for the appellants and make insurance company liable to indemnify the loss of the owner. ( 6 ) IN the result, the appeal is allowed. The appellants are awarded Rs. 25,000/- towards enhanced compensation with interest at the rate of 9% per annum from the date of the petition till the date of realization with proportionate costs. The respondents 1 and 2 are jointly and severally liable to pay the compensation amount.