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2025 DIGILAW 346 (SC)

MEERA SINGH v. New India Assurance Co Ltd.

2025-01-21

AHSANUDDIN AMANULLAH, PANKAJ MITHAL

body2025
ORDER : 1. Delay condoned. 2. Leave granted. 3. Heard learned counsel appearing for the appellants and learned counsel appearing for the respondent-Assurance Company. 4. The Motor Accident Claims Tribunal(for short, ‘the Tribunal’) while partly allowing the petition bearing M.A.C.P. No. 499 of 2006, titled as “Smt. Meera Singh and Ors. Vs. The New India Assurance Company Ltd. and Anr.”, awarded a compensation of Rs.1,96,750/-(Rupees one lakh ninety-six thousand seven hundred and fifty) with 6% simple interest. 5. On an appeal by the claimant(s) before the High Court, the compensation has further been enhanced to Rs.6,74,800/-(Rupees six lakhs seventy- four thousand eight hundred) with the same rate of interest on the enhanced amount as well. 6. The High Court while enhancing the compensation has reassessed the same as under:- “1. Monthly Income : Rs. 3,000/- 2. Annual Income : Rs. 3,000/- x 12= Rs. 36,000/- 3. Future Prospects: (40%) = Rs. 14,400/- 4. Total annual income: Rs. 36,000/- + Rs.14,400/-= Rs. 50,400/- 5. Deduction towards personal expenses(1/4):Rs 50,400/-- Rs. 12,600/-= Rs. 37,800/- 6. Multiplier applicable (16): Rs. 37,800/- x 16= Rs. 6,04,800/- 7. Non-pecuniary damages: Rs.70,000/- Total: Rs. 6,04,800/- + Rs.70,000/-= Rs. 6,74,800/- ” 7. The High Court while reassessing the aforesaid amount has not analyzed any evidence whatsoever and not recorded any reasoning as to why the monthly income is being taken as Rs. 3000/- (Rupees three thousand) and a multiplier of 16 is being applied. 8. In view of the above, the order of reassessment passed by the High Court is cryptic and completely unformed of reasons and cannot be sustained in law. 9. Accordingly, we set aside the order dated 04.12.2021 passed by the High Court and remand the matter to the High Court for decision afresh of the First Appeal From Order No.3764 of 2010, titled as “Smt. Meera Singh and Ors. Vs. The New India Assurance Co. Ltd. and Anr.”, in accordance with law. 10. Since the said first appeal from order before the High Court is of the year 2010, it is expected that the High Court will do the needful to take up the appeal on priority and dispose it of expeditiously, preferably within a period of one year. 11. In the event the High Court’s order dated 04.12.2021 has been complied with, no recovery shall be made from the appellants till the appeal is decided by the High Court. 12. 11. In the event the High Court’s order dated 04.12.2021 has been complied with, no recovery shall be made from the appellants till the appeal is decided by the High Court. 12. The present appeal is allowed in the above terms. 13. Pending application(s), if any, shall stand disposed of.