Research › Search › Judgment

Jharkhand High Court · body

2006 DIGILAW 464 (JHR)

United India Insurance Company Ltd. v. Saro Devi

2006-04-25

M.Y.EQBAL, R.K.MERATHIA

body2006
Order On 25.10.1987 the deceased Ramdeo Rabidas while travelling on his motorcycle was hit by a truck resulting his spontaneous death. The claimants were the widow and minor children. They filed claim case before the Motor Accident Claims Tribunal, Hazaribagh being Claim Case No. 33 of 1988. The tribunal awarded a sum of Rs.1,79,200/- together with interest of 9% per annum from the date of judgment i.e. from 17th July, 2003. 2. The appellant Insurance Company assailed the impugned award on its limited liability. According to the learned counsel, the maximum liability of the Insurance Company is restricted to Rs.1,50,000/-. 3. Learned counsel appearing for the claimant-respondents submitted that the tribunal ought to have awarded interest from the date of filing of claim application as contemplated under section 171 of the Motor Vehicles Act, 1988. 4. It has not been disputed by the claimants that on the relevant date of accident, the maximum liability of the Insurance Company as provided under section 95(2)(b)(i) of the Motor Vehicles Act, 1939 was Rs.1 ,50,000/-. In order to avoid any further harassment to the claimants, we modify the impugned award and hold that the amount of Rs.1 ,50,000/- will meet the ends of justice. 5. So far the payment of interest is concerned, in our view, admittedly, the Insurance Company has appeared before the tribunal in 2001. Therefore, interest part of nine per cent per annum ought to have been awarded from 24.9.2001. 6. This appeal is, therefore, allowed in part and the impugned award is modified to the extent that the appellant Insurance Company shall pay a sum of Rs.1 ,50,000/(Rupees one lac fifty thousand) together with 9% interest from 24.9.2001 till the date of payment. 7. It is contended by the learned counsel for the appellant Insurance Company that a sum of Rs.1 ,50,000/- interest has already been deposited before the tribunal. The aforesaid amount shall be deposited by the Insurance Company minus the amount already deposited by it. Needless to say that if the amount has been deposited by the cheque, then a fresh cheque has to be issued calculating the amount together with interest as aforesaid.