1. This appeal by the Appellant/Insurance Company is directed against order dated 19.07.2012 whereby the ld. Motor Accident Claims Tribunal, Srinagar (hereinafter for short the `Tribunal') has awarded interim compensation of Rs.25,000/- in favour of respondent no.1 to be paid by the appellant in terms of Sec. 140 of the Motor Vehicles Act (hereinafter for short the `Act'). 2. The impugned order has been challenged on the sole ground that respondent no.1 did not suffer any permanent disability in the alleged accident so the interim compensation under Sec.140 of the Act could not have been awarded. 3. Heard and considered. 4. Sine qua non of awarding `no fault' liability compensation under Sec.140 of the Act, which is paid as interim relief to the claimants, is that death or permanent disability should have resulted due to an accident involving use of motor vehicle. 5. A bare look on the impugned order would show that there is not even a whisper to suggest that respondent no.1 had suffered permanent disability due to the alleged accident in question. Instead the ld. Presiding Officer of the Tribunal interpreted Sec.140 of the Act observing that `death or injury' should be the result of the accident. This is not correct. Sec.140 (1) of the Act in its clear terms, would show that `death or permanent disability' and not `death or injury' makes out a case for awarding `no fault' liability compensation to the claimants. 6. Viewed, thus, the interim award of compensation of Rs.25,000/- passed by the ld. Tribunal, without recording any finding as regards permanent disability having been suffered by respondent no.1, is bad in law and the same cannot sustain. 7. The appeal is, therefore, accepted and the impugned order is set aside. However, setting aside of the impugned order will not preclude the ld. Tribunal from considering the matter afresh, if any material to show that respondent no.1 had suffered permanent disability due to alleged accident is produced.