1. Heard Mr. S.G. Chapalgaonkar learned counsel for the appellant and M.L. Bhalekar learned counsel for the respondents/claimants. By order dated 7.8.2013, this Court had made it clear that the appeal itself will be heard finally at the stage of admission. Accordingly, record and proceedings were called for and at the request of and with the consent of learned counsel for the parties, the appeal is admitted and taken up for final disposal.

2. Mr. Chapalgaonkar learned counsel for the appellant has raised following two grounds in support of the appeal:-

(a) That the driver of the offending vehicle responsible for the accident was licenced only to drive a non-transport vehicle. Since, the offending vehicle has been admittedly to be founded to be a transport vehicle, which the driver was never authorized to drive, there is a fundamental breach of the condition of the Insurance Policy. Mr. Chapalgaonkar submits that in these circumstances, the Motor Accident Claims Tribunal (MACT) erred in foisting liability on the appellant Insurance company.

(b) That from the pleadings as well evidence on record that deceased Madhukar was nothing but the gratuitous passenger travelling in a go