JUDGMENT:

S.B. Sinha, J.

1. Leave granted.

2. On 14.11.2000, Ishwar Dutt Bhat was traveling in a three wheeler. It met with an accident having been hit by a truck bearing registreation No.HR 38 9179. The said vehicle was insured with the appellant.

Respondents, being the heirs and legal representatives of the said Shri Ishwar Dutt, filed a claim petition. Appellant, in its written statement, raised a contention that the driving licence possessed by the driver of the truck was a fake one.

3. In the proceedings before the Motor Vehicles Accident Claims Tribunal (the Tribunal), it prayed for examination of the concerned clerk of the Motor Vehicles Department. The said prayer was allowed. The concerned Clerk of the Licencing Authority, Alwar was summoned. The said summons were served in the office of the Transport Authority. The Transport Authority, however, did not depute any officer to produce the documents called for.

Appellant, however, brought on records evidence to the effect that on an investigation made by its own investigator, it was found that no such licence had been issued in the name of Gopal Singh, the driver of the vehicle. In its report dated 20.3.2003, the said investigator stated :

"Kindly, note that an application was moved by us to the LA Alwar to issue the verification certificate for the DL No. as cited above, along with the photocopy of the DL received by us.

But our opinion was returned back by the concerning officer because the above ref. DL has no relevancy with the records LA Alwar.

However, the record register was shown to us which shows that DL No.20734/94 was issued on dated 28.3.94.

Thus, it is confirmed that no such DL No.3956/Alwar/94 dated 27.3.94 is issued by LA Alwar.

Conclusion : Verification certificate for the above said DL cannot be obtained from LA Alwar.

This report is issued without prejudice."

4. The Tribunal, however, on the premise that the said fact was not proved, held :

"The insurance company in spite of availing several opportunities did not lead any evidence in support of this assertion that Respondent No.1 was not holding a valid and effective driving licence. So the Insurance Company has failed to discharge the onus of this issue. Accordingly this issue is decided against the Insurance Company."

The appeal preferred by the appellant before the High Court was dismissed summarily.

5. Mr. B.K. Satija, learned counsel appearing on behalf of the appellant, would submit that the licence of the driver having been found to be a fake one, the High Court committed a serious error in dismissing the appeal of the appellant summarily.

6. Liability of an insurer to reimburse the insured, as an owner of the vehicle not only depends upon the terms and conditions laid down in the contract of insurance but also the provisions of the Motor Vehicles Act, 1988 (the Act). The owner of vehicle is statutorily obligated to obtain an insurance for the vehicle to cover the third party risk. A distinction has to be borne in mind in regard to a claim made by the insured in respect of damage of his vehicle or filed by the owner or any passenger of the vehicle as contradistinguished from a claim made by a third party.

7. An owner of the vehicle is bound to make reasonable enquiry as to whether the person who is authorized to drive the vehicle holds a licence or not. Such a licence not only must be an effective one but should also be a valid one. It should be issued for driving a category of vehicle as specified in the Motor Vehicles Act and/or Rules framed thereunder.

8. Indisputably, in a case where the terms of the contract of insurance are found to have been violated by the insured, the insurer may not be held to be liable for reimbursing the insured. So far as a driving licence of a professional driver is concerned, the owner of the vehicle, despite taking reasonable care, might have not been able to find out as to whether the licence was a fake one or not. He is not expected to verify the genuineness t