Managing Director, Tamil Nadu State Transport Corporation Limited v. S. Vasuki
2013-10-30
K.KALYANASUNDARAM, R.BANUMATHI
body2013
DigiLaw.ai
Judgment : K. Kalyanasundaram, J. 1. Challenging the quantum of compensation awarded by the Motor Accidents Claims Tribunal (Chief Judge, Small Causes Court), Chennai in M.C.O.P.No.4257 of 2007 for the death of the deceased Senthil Kumar in the road traffic accident occurred on 10.9.2007, the Tamil Nadu State Transport Corporation Limited has filed the appeal in C.M.A.No.1905 of 2012. Being dissatisfied with the quantum of compensation awarded by the Tribunal, the claimants, who are wife, parents and children of deceased, have filed C.M.A.No.1567 of 2013 seeking enhancement of the compensation. For the sake of convenience, the parties are referred to as arrayed in C.M.A.No.1905 of 2012. 2. Brief facts are that on 10.9.2007 when the deceased Senthil Kumar was riding a two wheeler bearing Regn.No.TN 22 S 1681 from Thiruthani to Pattabiramapuram and going to Golden Floor mill on the left side of the road, at about 21.30 hours, a bus bearing Regn.No.TN 21 N 0640 belonging to the appellant Corporation, which was coming from Chennai to Thiruthani, was driven in a rash and negligent manner and dashed the deceased and the deceased died on the spot. A criminal case in Crime No.541 of 2007 was registered on the file of Thiruttani Police Station, Thiruvallur District for the offence under Sections 279 and 304A I.P.C. The deceased was aged 34 years at the time of accident and working as Junior Assistant in Treasury Department, Thiruvallur. Alleging that the accident was due to the rash and negligent driving of the driver of the appellant Corporation, the claimants, who are wife, parents and children of the deceased, have filed the claim petition, claiming compensation of Rs.25,00,000/-. 3. Resisting the claim petition, the appellant Transport Corporation filed a counter affidavit, denying the manner of accident, age, avocation and income of the deceased, besides contending that the two wheeler with pillion rider bearing Regn.No.TN 22 S 1681 was driven at a high speed in a rash and negligent manner and dashed the bus of the appellant Corporation, which was coming in its opposite direction and that the compensation claimed is exorbitant and excessive. 4. To substantiate the claim, wife of the deceased examined herself as P.W.1. Eye witness – Ramesh was examined as P.W.2. On the side of the claimants, Exs.P1 to P10 were marked.
4. To substantiate the claim, wife of the deceased examined herself as P.W.1. Eye witness – Ramesh was examined as P.W.2. On the side of the claimants, Exs.P1 to P10 were marked. On the side of the appellant Transport Corporation, Assistant Engineer of Thiruthani Work Shop was examined as R.W.1 and no documents were marked. 5. Upon consideration of the oral and documentary evidence, the Tribunal held that the accident was due to the rash and negligent driving of the driver of the appellant Transport Corporation and the appellant Transport Corporation is liable to pay the compensation. The deceased was aged 36 years at the time of accident and working as a Junior Assistant in Treasury Department, Thiruvallur. Based on the salary certificate -Ex.P.10, wherein the monthly gross salary of deceased was stated as Rs.10,756/- and considering the future prospects as 50% of the salary drawn by the deceased, the Tribunal arrived at a sum of Rs.16,134/- per month and Rs.1,93,608/- per annum as the income of deceased. After deducting 20% therefrom towards income tax, the Tribunal has fixed a sum of Rs.1,54,887/- as annual income of deceased and deducted 1/4th towards personal expenses of the deceased, taking into consideration that the family members of the deceased are 4 in number and arrived at a sum of Rs.1,16,163/-towards loss of contribution to the family. As the deceased was aged 36 years, the Tribunal adopted multiplier 15 and arrived at a sum of Rs.17,42,445/- (Rs.1,16,163/- x 15) towards loss of dependency. Adding conventional damages, the Tribunal has awarded a total compensation of Rs.17,75,000/-, payable by the respondent with interest at 7.5% per annum. 6. It is not necessary for us to refer to the manner of accident and fastening of liability upon the appellant Transport Corporation, since only quantum of compensation awarded to the claimants is under challenge. 7. Learned counsel appearing for the appellant Corporation submitted that the quantum of compensation awarded by the Tribunal is very much on the higher side and prayed for reduction. 8. Per contra, learned counsel appearing for the respondents/ claimants submitted that the deceased was not in the slab of paying 20% of income-tax and he was paying income-tax of around a sum of Rs.10,000/- per annum. Therefore, the deduction of 20% of salary towards income-tax appears to be on the higher side and hence the same may be reduced to 10%. 9.
Therefore, the deduction of 20% of salary towards income-tax appears to be on the higher side and hence the same may be reduced to 10%. 9. The first claimant/ wife of deceased has examined herself as P.W.1 and produced Ex.P.10 – salary certificate of the deceased Senthilkumar. The salary certificate – Ex.P.10 reveals that the deceased was receiving gross salary of Rs.10,756/-, on the date of accident i.e., on 10.9.2007. The Tribuinal has accepted the salary certificate and fixed the monthly income of the deceased as Rs.10,756/-. As per the decisions of the Supreme Court in 2009 ACJ 1298 (Sarla Verma and others Vs. Delhi Transport Corporation), which is also followed in the case reported in 2010 AIR SCW 4391 (Shyamwati Sharma and others Vs. Karam Singh and others), claimants are entitled for 50% of the salary of deceased towards future prospects, in addition to the salary of deceased. The Tribunal has added a sum of Rs.5,378/- being 50% of the salary to the original monthly salary and has arrived at Rs.16,134/- as monthly income and Rs.1,93,608/- per annum as income of the deceased. The Tribunal has deducted 20% i.e., Rs.38,721/- towards income-tax and arrived at the annual income of the deceased as Rs.1,54,887/-. 10. Considering the submission made by the learned counsel for the claimants that the deceased was not in the slab of 20% deduction of income-tax, the deduction towards income-tax is reduced to 10% i.e., Rs.19,300/- and accordingly the annual income-tax of the deceased is calculated at Rs.1,74,308/- (Rs.1,93,608 – Rs.19,300/-). Since the claimants are 5 in number, the Tribunal has deducted 1/4th of the salary towards personal expenses of the deceased and the same is maintained. Deducting Rs.43,577/-therefrom, being 1/4th of the annual income towards personal expenses of the deceased, loss of contribution to the family comes to Rs.1,30,731/-. 11. As per the evidence of P.W.1 and Ex.P.8 – driving licence, the age of the deceased was 36 years on the date of accident. As per the decision of the Supreme Court in 2009 ACJ 1298 (Sarla Verma and others Vs. Delhi Transport Corporation), for the age group of 36, multiplier to be adopted is 15. The Tribunal has rightly adopted multiplier 15 and the same is confirmed. The total loss of dependency is quantified at Rs.19,60,965/-(Rs.1,30,731x 15).
As per the decision of the Supreme Court in 2009 ACJ 1298 (Sarla Verma and others Vs. Delhi Transport Corporation), for the age group of 36, multiplier to be adopted is 15. The Tribunal has rightly adopted multiplier 15 and the same is confirmed. The total loss of dependency is quantified at Rs.19,60,965/-(Rs.1,30,731x 15). The wife of the deceased was aged 28 years and at her young age she had lost the love and affection of her husband. The Tribunal has awarded only Rs.10,000/- towards loss of consortium to the 1st claimant/wife of deceased. In Rajesh and Others Vs. Rajbir Singh and Others (2013 (3) CTC 883), the Honourable Supreme Court has held that compensation to be awarded towards loss of consortium, must not be merely a token amount but must be substantial. Following the ratio of the above said decision, we enhance the compensation of Rs.10,000/- awardedby the Tribunal to Rs.50,000/- towards loss of consortium to the 1st claimant/wife of deceased. The parents/ claimants 2 and 3 have lost their son at their old age and the children/ claimants 4 and 5 have lost their father at their tender age of 4 years and 2 years. Therefore, the sum of Rs.10,000/- awarded by the Tribunal towards loss of love and affection to claimants 2 to 5 is enhanced to Rs.50,000/- from Rs.10,000/-. The Tribunal has awarded a sum of Rs.12,555/- towards funeral and transport expenses and the same is enhanced to Rs.15,000/-. Accordingly, the compensation awarded by the Tribunal is enhanced to Rs.20,76,000/-, the brake-up details of which are as under: "Loss of dependency : Rs.19,60,965.00 Loss of Consortium to 1st claimant : Rs. 50,000.00 Loss of love and affection to to claimants 2 to 5 : Rs. 50,000.00 Funeral Expenses : Rs. 15,000.00 Total : Rs.20,75,965.00 rounded off to: Rs.20,76,000/- The above said compensation amount awarded shall carry interest at the rate of 7.5% per annum. 12.
50,000.00 Loss of love and affection to to claimants 2 to 5 : Rs. 50,000.00 Funeral Expenses : Rs. 15,000.00 Total : Rs.20,75,965.00 rounded off to: Rs.20,76,000/- The above said compensation amount awarded shall carry interest at the rate of 7.5% per annum. 12. For the fore-going reasons, the compensation of Rs.17,75,000/- awarded by the Motor Accident Tribunal (Chief Judge, Small Causes Court), Chennai in M.A.C.T.O.P.No.4257 of 2007 is enhanced to Rs.20,76,000/- and the enhanced compensation is payable with interest at 7.5% p.a. The enhanced compensation of Rs.3,01,000/- (Rs.20,76,000 – Rs.17,75,000) along with interest at 7.5% p.a. shall be paid to claimants No.1 to 3 i.e., a sum of Rs.2,01,000/- along with accrued interest at 7.5% p.a. has to be paid to the 1st claimant and Rs.50,000/- each to the parents along with accrued interest. The Civil Miscellaneous Appeal No.1567 of 2013 filed by the claimants is partly allowed. 13. It was stated that the appellant Transport Corporation has deposited the entire compensation amount and the claimants have not sofar withdrawn any amount. The appellant/ Transport Corporation is directed to deposit the enhanced compensation of Rs.3,01,000/- (Rs.20,76,000 – Rs.17,75,000) along with accrued interest at 7.5% p.a. within a period of six weeks from the date of receipt of copy of this judgment. On such deposit, the claimants 1 to 3 are permitted to withdraw their respective shares of compensation as directed by the Tribunal and also the enhanced compensation as indicated in Paragraph No.12 of this judgment. Insofar as the compensation awarded and apportioned to the minor claimants by the Tribunal, the same shall be invested in a Nationalised Bank and the 1st claimant/wife of deceased is permitted to withdraw the accrued interest thereon directly from the Bank once in three months till the minor claimants attain majority. The Civil Miscellaneous Appeal No.1905 of 2012 filed by the Transport Corporation is dismissed. However, there is no order as to costs. Consequently, the connected miscellaneous petition is closed.