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Rajasthan High Court · body

2017 DIGILAW 32 (RAJ)

Tulsi Ram Dangi S/o. Shri Rabbaji Dangi (Patal) v. Manoj Kumar S/o. Shri Amarnath

2017-01-03

ARUN BHANSALI

body2017
ORDER : ARUN BHANSALI, J. 1. This appeal has been filed by the appellants aggrieved against the judgment & award dated 29.10.2009 passed the Motor Accident Claims Tribunal, Udaipur ('the Tribunal'), whereby while awarding the compensation, the Tribunal has directed that if the compensation was not deposited by the Insurance Company within a period of 30 days, interest @ 9% would be payable. 2. It is submitted by learned counsel for the appellants that the appeal is limited to the extent of award of interest from the date of application to the date of actual payment and the direction given by the Tribunal, result of which is that in case the amount was paid by the Insurance Company within a period of 30 days, no interest would be payable to the appellants is incorrect and deserves to be set aside. 3. Learned counsel for the respondent-Insurer supported the award impugned. It was submitted that for expediting the payment of undisputed compensation, the direction was made by the Tribunal and, therefore, the award does not call for any interference. 4. I have considered the submissions made by learned counsel for the parties and have perused the material available on record. 5. The Tribunal has not recorded any reason for denying the interest to the appellants from the date of application to the date of actual payment and has directed that if the compensation was not paid within a period of 30 days, interest @ 9% shall be payable to the appellants. 6. The direction of the Tribunal is contrary to the provisions of Section 171 of the Motor Vehicles Act, 1988, which provides for award of interest in addition to the amount of compensation and only restriction is that the interest cannot be awarded from the date earlier than the date of making the claim. The Tribunal has not recorded any reasons for denying the interest and there doesn't appear to be any reason for denying interest to the appellants. 7. The submission made by learned counsel for the respondent-Insurer that for expediting payment by the Insurance Company, the direction has been made by the Tribunal does not stand to any reason as even otherwise the Insurance Company is liable to make payment of the amount of compensation expeditiously. 8. In view thereof, the appeal filed by the appellants is allowed. The submission made by learned counsel for the respondent-Insurer that for expediting payment by the Insurance Company, the direction has been made by the Tribunal does not stand to any reason as even otherwise the Insurance Company is liable to make payment of the amount of compensation expeditiously. 8. In view thereof, the appeal filed by the appellants is allowed. The judgment and award dated 29.10.2009 passed by the Tribunal is modified to the extent that on the amount of compensation awarded by the Tribunal, the appellants would be entitled to the interest @ 9% per annum from the date of application i.e. 19.06.2007 to the date of actual payment of compensation made to the appellants. 9. The amount of interest may now be paid by the respondent-Insurance Company to the appellants in proportion in terms of the award in their saving Bank account within a period of six weeks.