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2005 DIGILAW 267 (MP)

Lalman Sharma v. Raju @ Ramji

2005-02-21

RAJEEV GUPTA, RAKESH SAKSENA

body2005
JUDGMENT With the consent of the learned counsel for the parties, the appeal is finally heard. This is claimant's appeal filed under section 173 of the Motor Vehicles Act, 1988, of enhancement of the compensation awarded by Additional Motor Accident Claims Tribunal, Satna, vide award dated 11.1.2000 passed in Claim Case No. 34/1998. The claimants, unfortunate parents, brother and sister of deceased Shivcharan, claimed compensation of Rs. 10,46,000/- for his death in the motor accident, on 9.1.1998, when the driver of the Truck bearing registration No. MP-20-G/0927, on which the deceased was working as a cleaner, drove the said truck rashly and negligently resulting in the death of Shivcharan, on the spot itself. The claimants further pleaded that Shivcharan used to earn Rs. 1,500/- per month as cleaner. The driver and the owner of the Truck contested the claim and pleaded that the Insurance Company was liable to pay compensation to the claimants. The Insurer of the Truck denied its liability to pay compensation to the claimants on the plea that the Truck was being plied in breach of the Policy Conditions. The Tribunal, on the evidence led by the parties, held that Shivcharan died on account of the injuries sustained by him in the accident and that the accident occurred due to the rash and negligent driving of the driver of the Truck. The Tribunal, therefore, held the driver, owner and insurer of the Truck liable, jointly and severally, to pay compensation to the claimants. Relying upon the evidence led by the claimants about the income of the deceased, the Tribunal assessed his income at Rs. 1,500/per month and Rs. 18,000/- per annum. By deducting 1/3rd of the said amount as his personal expenses, the claimants' dependency was assessed at Rs. 12,000/- per annum. By multiplying the annual dependency of Rs. 12,000/- with the multiplier of 10, the compensation was worked out at Rs. 1,20,000/-. The Tribunal awarded further sum of Rs. 2,000/- for funeral expenses; and, Rs. 2,000/- for loss of estate, and thus a total sum of Rs. 1,24,000/- was awarded as compensation to the claimants for the death of Shivcharan in the accident. Interest was also awarded @ 12% per annum from the date of the application. Shri Lala, the learned counsel for the appellants, submits that the Tribunal has erred in deducting Rs. 2,000/- for loss of estate, and thus a total sum of Rs. 1,24,000/- was awarded as compensation to the claimants for the death of Shivcharan in the accident. Interest was also awarded @ 12% per annum from the date of the application. Shri Lala, the learned counsel for the appellants, submits that the Tribunal has erred in deducting Rs. 6,000/- as personal expenses of the deceased, though infact he was not spending any amount on himself; in selecting the lower multiplier of 10, and, in awarding low compensation of Rs. 1,24,000/- only as against the sum of Rs. 10,46,000/- claimed by the claimants. Shri D.N. Shukla, the learned counsel for respondent No.3, National Insurance Company Limited, on the other hand supports the award and submits that the Tribunal has been quite liberal in awarding substantial compensation of Rs. 1,24,000/- to the claimants, for the death of a boy aged about 18 years only. The findings that Shivcharan died on account of the injuries sustained by him in the accident and that the driver of the Truck was responsible for the accident have now attained finality, as the respondents have not filed any appeal against the award. That apart, we find overwhelming evidence on record in support of those findings. We, therefore, affirm the findings recorded by the Tribunal in that behalf. Deceased Shivcharan was earning his livelihood as a Cleaner. His father AW 1 Lalman Sharma has stated in para 1, that he was contributing his entire income to the family. Considering that the family consisted of five members, including the deceased himself, deduction of Rs. 3,000/per annum as his personal expenses would be appropriate in the case. We, therefore, propose to re-compute the compensation taking the dependency of the claimants at Rs. 15,000/- per annum. The multiplier of 10 selected by the Tribunal is appropriate, in view of the dictum of the apex Court in the case of Municipal Corporation of Greater Bombay v. Laxman lyer and Another, reported in (2003) 8 SCC 731 . By multiplying the annual dependency of Rs. 15,000/- with the multiplier of 10, the compensation works out to Rs. 1,50,000/-. The appellants are further entitled to Rs. 2,500/- for loss of estate; and Rs. 2,000/- for the funeral expenses. Thus, the appellants are entitled to receive a total sum of Rs. By multiplying the annual dependency of Rs. 15,000/- with the multiplier of 10, the compensation works out to Rs. 1,50,000/-. The appellants are further entitled to Rs. 2,500/- for loss of estate; and Rs. 2,000/- for the funeral expenses. Thus, the appellants are entitled to receive a total sum of Rs. 1,54,500/- from the respondents, jointly and severally, as compensation for the death of Shivcharan in the accident. The appeal, therefore, is allowed in part. The compensation of Rs. 1,24,000/-, awarded by the Tribunal, is enhanced to Rs. 1,54,500/(Rupees one lac fifty four thousand five hundred only). The enhanced amount shall bear interest @ 6% per annum from the dated of the application. The Insurance Company is granted three months time for depositing the balance amount. There shall be no order as to the costs of this appeal.