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2010 DIGILAW 3269 (MAD)

National Insurance Co. Ltd v. Sheela

2010-08-02

CHITRA VENKATARAMAN

body2010
Judgment :- 1. The Insurance Company is on appeal challenging the quantum of the amount awarded by the Tribunal to the tune of Rs.8,00,000/-. 2. It is seen that on 4.4.2004 at about 21.30 hours, the deceased Rajendran was going in a moped from west to east in Tirupur to Kangeyam road. In front of Maris Motors, Palla Kattu pudur, Tirupur on the left side of the road, the van belonging to the fifth respondent herein, driven by its driver in a rash and negligent manner from west to east and without adhering the traffic regulations, dashed against the deceased Rajendran. Due to the injuries suffered in the accident, the moped rider Rajendran died. The deceased was 42 years old at the time of the accident. It is seen from Ex.P7 that the deceased was earning a sum of Rs.6200/- per month. After deducting 1/3rd towards his personal expenses, the Tribunal fixed the contribution at Rs.48,000/-. Applying the multiplier 15, the Tribunal arrived at a figure of Rs.7,20,000/- towards pecuniary loss. Apart from that, the Tribunal also granted a sum of Rs.30,000/- for the loss of consortium, a sum of Rs.60,000/- for the loss of love and affection to the minor children, a sum of Rs.10,000/- for loss of love and affection to the mother, a sum of Rs.5000/- for funeral expenses and a sum of Rs.1500/- towards transportation. In toto, a sum of Rs.8,26,500/- was awarded by the Tribunal. However, the Tribunal restricted the compensation to the tune of Rs.8,00,000/-. The Tribunal granted interest at the rate of 7.5% per annum. The Tribunal also directed the appellant herein atleast to deposit 50% of the award amount within a period of two months from the date of the award, failing which, the interest rate of 7.5% per annum shall be calculated at 10.5% per annum. 3. Learned counsel for the appellant challenges the income aspect as well as the multiplier adopted at 15 as excessive and arbitrary. Considering the evidence available as regards the income earned by the deceased aged about 42 years, the contribution fixed by the Tribunal at Rs.48,000/- and the multiplier of 15 adopted by the Tribunal does not call for any interference. In the circumstances, pecuniary aspect of the compensation stands confirmed. 4. Considering the evidence available as regards the income earned by the deceased aged about 42 years, the contribution fixed by the Tribunal at Rs.48,000/- and the multiplier of 15 adopted by the Tribunal does not call for any interference. In the circumstances, pecuniary aspect of the compensation stands confirmed. 4. As far as the non pecuniary compensation is concerned, the Tribunal took note of the age of the deceased and the age of the claimants which included minor children and aged mother. This aspect of the award being discretionary and taking note of the number of claimants, the award in respect of non pecuniary compensation also stands confirmed. 5. However, as regards the default clause carrying on interest at the rate of 10.5% per annum stands set aside following the decision reported in 2008 ACJ 2041 – DHARMPAL & ORS. v. U.P. STATE ROAD TRANSPORT CORPORATION, the same merits to be set aside. 6. In the circumstances, the award stands confirmed with interest at 7.5% per annum. The appeal stands dismissed. No costs. Consequently, connected MP is also dismissed. 7. This Court directed the appellant herein to deposit the entire award amount as per order dated 27.7.2007. In the light of the dismissal of the appeal, the claimants viz., wife and mother of the deceased are at liberty to withdraw their proportionate share with interest at 7.5% per annum. The proportionate share of the minor children shall be kept in fixed deposit till they attain majority. However, the mother of minor, as guardian, is permitted to withdraw interest accrued thereon once in three months. After satisfying the award amount, the balance amount available shall be refunded to the appellant herein.