Judgment

RAGHUBAR DAYAL, J. :These appeals by special leave arise in the following circumstances.

2. S. N. Asnani owned Chevrolet Car bearing registered No. AA 4431. He insured it with the New Asiatic Insurance Co. Ltd., hereinafter referred to as the company, under a policy dated November 26, 1957. Asnani permitted Pesumal Dhanamal Aswani, hereinafter called Pesumal to drive that car. When Pesumal was driving the car with Daooji Radhamohan Meherotra and Murli Dholandas in the car, the car met with an accident as a result of which Meherotra died and Murli received injuries.

3. Pesumal himself owned a Pontiac car which had been insured with the Indian Trade and General Insurance Co. Ltd., under policy No. Bombay P. C. 42733-2 dated November 18, 1957.

4. The heirs of Meherotra instituted suit No. 70 of 1959 against Pesumal for the recovery of Rs. 2,50,000/- by way of damages with interest. Murli instituted suit No. 71 of 1959 against Pesumal to recover Rs. 1,50,000/- by way of damages.

5. Notices under S. 96(2) of the Motor Vehicles Act, 1939, Act IV of 1939 hereinafter called the Act were issued to the New Asiatic Insurance Co. Ltd. The notice was given to the company as the defendant s