2020 Supreme(Kar) 905
IN THE HIGH COURT OF KARNATAKA AT BENGALURU (DHARWAD BENCH)
S.G. Pandit, V. Srishananda, JJ.
Shakeela - Appellant
Versus
Bapugouda - Respondent
Miscellaneous First Appeal No. 102871 of 2018
Decided On : 09-06-2020
Harish S Maigur, Advocate, N.R. Kuppelur, Advocate
The court's decision was influenced by the assessment of notional income in the absence of actual evidence and the application of the principle established in the case of National Insurance Company Limited V/s. Pranay Sethi and others (2017) AIR SC 5157 regarding compensation towards future prospects.
Headnote:
Compensation - Motor Vehicle Accident - Section 166 of MV Act - [166 of MV Act] - The court assessed the notional income of the deceased at Rs.8,750/- per month in the absence of any material to establish the actual income. The court also awarded compensation on the head of loss of future prospects at 40% of the assessed income, in line with the decision of the Hon'ble Supreme Court in the case of National Insurance Company Limited V/s. Pranay Sethi and others (2017) AIR SC 5157.
Fact of the Case:
The claimants, wife, children, and mother of the deceased Mr. Azad, filed a claim petition under Section 166 of MV Act, seeking compensation for the accidental death of Azad in a road accident. The tribunal awarded a total compensation of Rs.13,42,000/- with interest @ 9% p.a., which the claimants were not satisfied with and appealed for enhancement of compensation.
Finding of the Court:
The court assessed the notional income of the deceased at Rs.8,750/- per month and awarded compensation on the head of loss of future prospects at 40% of the assessed income, resulting in a total compensation of Rs.19,54,000/- with interest @ 9% p.a. from the date of petition till the realization.
Issues: 1. Whether the income of the deceased assessed by the tribunal at Rs.8,000/- is proper and correct? 2. Whether the claimant would be entitled to compensation towards future prospects?
Ratio Decidendi: The court assessed the notional income of the deceased at Rs.8,750/- per month in the absence of any material to establish the actual income. The court also awarded compensation on the head of loss of future prospects at 40% of the assessed income, in line with the decision of the Hon'ble Supreme Court in the case of National Insurance Company Limited V/s. Pranay Sethi and others (2017) AIR SC 5157.
Final Decision: The claimants were awarded a total compensation of Rs.19,54,000/- with interest @ 9% p.a. from the date of petition till the realization.
JUDGMENT
S.G. Pandit, J. - Though this appeal is listed for admission, with the consent of parties, the matter is finally heard and disposed of by this order.
2. The appellants-claimants are before this court in this appeal not being satisfied with the quantum of compensation awarded by the tribunal under judgment and award dated 04.04.2018 in MVC No.94/2017 on the file of Senior Civil Judge and JMFC, Shiggaon, praying for enhancement of compensation.
3. The brief facts of the case are that, the claimants are the wife, children and mother of the deceased Mr. Azad. The claim petition was filed under Section 166 of MV Act, claiming compensation for the accidental death of Azad in a road accident. It is stated that on 28.03.2016, the deceased Azad was proceeding in his motorcycle chassis bearing No.ILI334041, a canter lorry bearing No.GA-02-V-5899 came from opposite side in a rash and negligent manner and dashed against the motorcycle. Due to which, Azad suffered grievous injuries and died on the spot. It is stated that the deceased was doing bar bending work, earning a sum of Rs.30,000/- per month, who was aged about 38 years as on the date of accident. It is stated that the claimants were wholly dependant on the deceased.
4. On issuance of notice, respondent Nos.1 and 2 appeared before the tribunal and only respondent No.2 Insurance company filed its written statement. In its written statement the Insurance company denied the entire claim petition averments. But, admitted the Insurance policy. It is contended that there is violation of terms and conditions of the policy and also disputed the legal heir-ship of the claimants. The claimants in support of their case, examined claimant No.1 as PW1 and marked the documents as Ex.P1 to 15. On behalf of respondents respondent No.2 got examined as RW1 and no documents were marked on behalf of them. The tribunal on careful consideration of the material on record, awarded a total compensation of Rs.13,42,000/- with interest @ 9% p.a.
5. While awarding the above compensation, the tribunal assessed the income of the deceased at Rs.8,000/- per month by deducting 1/5th amount towards the personal expenses of the deceased. The claimants not being satisfied with the quantum of compensation awarded by the tribunal, are before this court for enhancement of compensation.
6. Heard the learned counsel for the appellants and learned counsel for the respondent-Insurance company.
7. The learned counsel for the appellants prays for enhancement of the compensation on two grounds. First ground urged is that the tribunal has not properly assessed the income of the deceased. Further, he submits that that the deceased was earning a sum of Rs.30,000/- per month by doing bar bending work. Whereas, the tribunal assessed at Rs.8,000/- per month, which requires to be assessed on the higher side.
8. Further, the learned counsel contends that the tribunal committed an error in not awarding any compensation towards future prospects. The deceased was aged about 38 years as on the date of accident and in view of the decision of the Hon'ble Supreme Court in the in the case of National Insurance Company Limited V/s. Pranay Sethi and others, (2017) AIR SC 5157 , the claimants would be entitled for adding 40% income towards future prospects. Thus, prays for allowing the appeal by enhancing the compensation.
9. Per contra, the learned counsel for the respondent-Insurance company would submit that the quantum of compensation awarded by the tribunal is just compensation, which needs no interference. He further submits that in the absence of any material to establish the income of the deceased, the tribunal rightly assessed the income of the deceased at Rs.8,000/- per month, which needs no interference. Further, he submits that the claimant would not be entitled for compensation on the head of future prospects, since the deceased was not a permanent employee. Thus, he prays for dismissal of the appeal.
10. Having heard the le