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2022 DIGILAW 1443 (SC)

Laxmi Gupta v. Oriental Insurance Company Limited

2022-09-12

J.B.PARDIWALA, SURYA KANT

body2022
ORDER 1. Leave granted. 2. The appellants are aggrieved by the order dated 24.07.2019 passed by the High Court of Judicature at Allahabad in FAFO No.2532 of 2005 whereby the appeal and the cross-objections were dismissed. 3. The above-stated appeal was filed by respondent No.1 - Insurance Company against the Award dated 18.08.2005, passed by the Motor Accident Claims Tribunal, Gorakhpur (for short, 'the Tribunal') whereby compensation of Rs.6,21,400/- along with 6% monthly interest was awarded to the appellants/claimants. 4. The Claim Petition had arisen out of an accident which took place on 08.09.2001 when Jeep No. - B.R.28/5733 collided with another Jeep No.- UP 52C/2550 coming from the opposite side. The deceased Jai Prakash, who was travelling in the first Jeep sustained multiple fatal injuries in the said accident. The deceased was 35 years' old and was working in a private company, earning Rs.6,000/- p.m. The appellants sought a claim of Rs.28,22,000/-along with interest at the rate of 18% per annum, but as noticed above, the Tribunal granted them compensation of Rs.6,21,400/- only. 5. In the appeal filed by respondent No.1 - Insurance Company, the appellants filed cross-objections. The High Court vide the impugned order dated 24.07.2019 dismissed the appeal as well as the cross-objections. 6. The only issue raised and which falls for consideration is whether the appellants are entitled to additional compensation towards future prospect at the rate of 40% in terms of the judgment rendered by this Court in National Insurance Company Limited vs. Pranay Sethi & Ors., (2017) 16 SCC 680 . 7. There is no dispute that in terms of the law laid down by this Court, the appellants are entitled to the aforesaid benefit but the High Court has not adverted to the said settled legal position. The appellants have, thus, been erroneously deprived of the said benefit. 8. For the reason stated above, the appeal is allowed in part and the impugned judgments and orders of the Tribunal and the High Court are modified. The appellants shall be entitled to the future prospect at the rate of 40% on the basis of the income of the deceased as assessed by the Tribunal @ Rs.38,400/- per annum with a multiplier of 16. The appellants shall be entitled to the future prospect at the rate of 40% on the basis of the income of the deceased as assessed by the Tribunal @ Rs.38,400/- per annum with a multiplier of 16. The Tribunal is directed to calculate the aforesaid additional amount of compensation which shall be paid to the appellants within a period of two months with interest at the rate of 7% per annum.