C O M M O N J U D G M E N T

C.M.A.No.340, 1761, 2087 and 2097 of 2000 arise out of a common order, dated 17.09.1999, in O.P.No.606 of 1997 and batch, on the file of the Motor Accidents Claims Tribunal (IV-Additional District Judge), Kurnool. The rest of the C.M.As arise out of the common order dated 31.12.1999, in O.P.No.209 of 1997 and batch, on the file of the above said Tribunal. All these C.M.As were filed by the United India Insurance Company Limited.

2. The limited question that arises in all these 8 C.M.As is, when the insurance company had issued the insurance policy and subsequent thereto the cheque given by the insured towards first premium was dishonoured and the insurer cancelled unilaterally the policy, whether the insurer is liable to pay compensation to the claimants in a motor accident case.

3. The insurance company is the appellant in all these cases. The claimants were awarded different sums of amount as compensation. The facts that are necessary for the purpose of disposal of these C.M.As stated in a narrow compass are:

4. The insured i.e., the owner of the vehicle issued a cheque in favour of the insurer on 04.01.1997 towards the premium payable. A cover note bear

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