SUDHANSHU DHULIA, AHSANUDDIN AMANULLAH
National Insurance Company Ltd. – Appellant
Versus
Maya Devi – Respondent
ORDER :
Ahsanuddin Amanullah, J.
Leave granted.
FACTS:
2. These appeals arise from the common Final Judgment and Order dated 05.10.2018 rendered by a learned Single Judge of the High Court of Punjab and Haryana at Chandigarh in F.A.O. Nos.2921/2018 (O&M) and 2922/2018 (O&M) whereby, while dismissing the appeals preferred by the Petitioner-Insurance Company, the High Court upheld the compensation awarded to the claimants i.e., Respondents No.1 and 2 herein vide Award dated 01.02.2018 passed by the Motor Accidents Claim Tribunal at Gurdaspur, Punjab (hereinafter referred to as the ‘MACT’) in the claim petitions1[MACT Cases No.09/2017 and 10/2017] filed by the Respondents No.1 and 2. The MACT had awarded compensation to the tune of Rs.67,50,000/- and Rs.8,70,000/- with interest @9% per annum to the Respondent No.1, being the mother of Sh. Om Prakash and mother-in-law of Smt. Asha Rani, and Respondent No.2, being the daughter of Sh. Om Prakash and Smt. Asha Rani, who expired in an unfortunate road accident on 11.04.2017. The MACT assessed and quantified the compensation as under:
| MACT Case | No.09/2017 (On account of Sh. Om Prakash’s death) | No.10/2017 (On account of Smt. Asha |
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The Insurance Company must prove any defenses against liability, including fraud, and the insurance policy was valid at the time of the accident.
The insurer is liable for compensation regardless of alleged fraud concerning the insurance policy, which must be proven by the insurer.
The main legal point established in the judgment is the court's authority to set aside an order obtained by fraud and the importance of proper investigation by the Insurance Company.
Fraud vitiates all judicial acts; a judgment obtained through fraud is void ab initio and must be set aside.
The central legal point established in the judgment is the liability of the insurance company to indemnify the legal heirs of the deceased owner of the vehicle, based on the renewal of the insurance ....
Insurance policies in motor accident claims must be proven valid unless convincingly challenged by the insurer; mere assertions aren't sufficient to annul liability.
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