SUPREME COURT OF INDIA
V. GOPALA GOWDA, ADARSH KUMAR GOEL, JJ.
Sandhya Rani Debbarma & Ors. – Appellants
Versus
The National Insurance Company Ltd. & Anr. – Respondents
Civil Appeal No. 9194 of 2016 (Arising out of SLP(C) No.1448 of 2014)
Decided On : 16-09-2016
(b) Motor Vehicles Act, 1988 – Section 166 – Deceased aged 31 years and 4 months – Earning monthly income of Rs.10,020/- – Adding 50% towards future prospects monthly income becomes Rs.15,030/- – There being 5 dependants, 1/4th of the monthly income, that is, Rs.3750/- (rounded off) must be deducted towards living and personal expenses – Net monthly income thus works out to Rs.11,280/- – For the age of 31 years and 4 months, multiplier of 17 is applicable – Thus total loss of dependency comes to Rs.23,01,120/- – Adding compensation under other heads like funeral expenses, loss of consortium, loss of guidance to minor children, loss of love and affection to aged parents, loss of estate and litigation costs, the total compensation works out to Rs.27,51,120/- – Directed to be paid along with interest at the rate of 9%. (Para 13, 15)
(2009) 6 SCC 121; (2012) 6 SCC 421; (2013) 9 SCC 54; (2014) 5 SCALE 479; (2011) 14 SCC 481 – Relied upon
(2003) 3 SCC 524; (1994) 2 SCC 176; (2005) 6 SCC 236 – Referred
(c) Motor Vehicles Act, 1988 – Section 166 – Single Judge of the High Court awarding only the annual loss of dependency – Denying compensation under all other heads on the ground that the compensation of Rs.20,40,000/- would fetch sufficient monthly income – Shocking – Utter disregard of laws laid down by Supreme Court. (Para 14)
Facts of the case:
It is a matter of motor accident claim.
The single Judge of the High Court reduced the amount of compensation awarded by MACT.
Appellants’ writ appeal was dismissed as being not maintainable.
Finding of the Court:
Compensation awarded by single Judge of the High Court is in utter disregard of the law laid down by Supreme Court.
Result: Appeal allowed.
JUDGMENT :
V. Gopala Gowda, J.
Leave granted.
2. The present appeal has been filed after a delay of 2824 days against the impugned judgment and order dated 17.05.2006 passed by the learned single judge of the High Court of Tripura at Agartala in Writ Petition (C) No. 113 of 2006. The Writ Appeal preferred by the appellants against the same before the Division Bench of the High Court, came to be dismissed as not maintainable vide judgment and order dated 22.08.2013. The appellants herein filed an SLP challenging the same. Vide order dated 05.05.2014, this Court directed the appellants to amend the Special Leave Petition and impugn the judgment and order of the learned single judge as well. Having regard to the fact that the delay was caused only on account of the appellants pursuing the remedy of filing a Writ Appeal before the Division Bench of the High Court, as well as the fact that claim is made under Section 166 of the Motor Vehicles Act, 1988, which is a beneficial legislation, we deem it fit and proper to condone the delay in filing the Special Leave Petition. Hence, delay is condoned.
3. The necessary relevant facts required to appreciate the rival legal contentions advanced on behalf of the parties are stated in brief hereunder:-
On 14.11.2003, the deceased, while travelling in a vehicle (Jeep) bearing No. TR013476 met with an accident at Assam-Agartala Road near Banukumari, at Baramur due to collision with a Bus bearing No. TR01-1212 coming from opposite direction. He was taken to the nearby Government Hospital namely, GBP Hospital, Agartala where he was declared ‘brought dead’. Jirama P.S. Case No. 90 of 2003 was registered on the very same day under Sections 270, 338 and 304A of the Indian Penal Code (hereinafter referred to as “IPC”).
4. The appellants herein (being the legal heirs of the deceased) filed Title Suit (M.S.C.) No. 1 of 2004 before the Motor Accident Claims Tribunal, West Tripura, Agartala (hereinafter referred to as “the Tribunal”) claiming a total compensation amounting to Rs.33,45,000/-. It was submitted that the deceased was survived by his parents, wife and two minor children. On the day of the accident, his age was 31 years and 4 months. He was working as Junior Engineer (Grade-I) under the Government of Tripura and drawing monthly salary of Rs.13,504.50/-, without imposition of income tax, as per the statutory exemption in the state of Tripura from paying income tax to the members of Scheduled Tribes. The owner of the jeep and its insurer-National Insurance Company Ltd. as well as the owner of the Bus and the insurer-Oriental Insurance Company Ltd. were made parties to the claim.
5. The Tribunal by way of judgment and award dated 14.12.2005 held that the age of the deceased being 31 years at the time of the accident, a multiplier of 17 would be applicable and awarded as under:-
| Head under which awarded | Amount |
| Loss of dependency | 32,32,000/- |
| Funeral expenses | 2,000/- |
| Loss of consortium | 25,000/- |
| Loss of estate | 2,500/- |
| Total | 32,52,700/- |
The Tribunal further ordered that the insurer of both the vehicles involved in the accident, that is, the bus and the jeep were equally liable to pay the compensation. Thus, the National Insurance Co. Ltd (insurer of the jeep) and the Oriental Insurance Co. Ltd. (insurer of the bus) were ordered to pay a sum of Rs.16,26,350/- each, along with 6% interest per annum from the date of filing of the claim petition to the appellants. It was further ordered by the Tribunal that the payment had to be paid within a period of two months from the date of receipt of the award, failing which the interest would be payable at the rate of 9% per annum.
6. Aggrieved by the said Award passed by the Tribunal, the National Insurance Company Ltd. challenged the Award by filing Writ Petition No. 113 of 2006 under Articles 226 and 227 of the Constitutio
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