The statutory requirement for deposit before filing an appeal under Section 173(1) and its proviso must be complied with by any person required to pay any amount in terms of the award, as the clear and unambiguous language of the provision must be accepted.

1. I.A. Nos. 704 & 1599 of 2006

The two interlocutory applications have been filed by the owner of the vehicle for holding that the direction issued by the Joint Registrar (Judicial) by his order dated 18.10.2005 to pay Rs. 25,000/- as specified under the proviso to Section 173 of Motor Vehicles Act for maintaining the appeal is not warranted by law and further to recall/modify the order dated 9.3.2006 of this Court by which the appellant was directed to pay the statutory amount under the proviso to Section 173 of the Motor Vehicles Act.

2. In the present matter, the Tribunal has in its judgment and award held that although the Insurer-Oriental Insurance Company respondent No. 1 is liable to pay compensation to the claimants being third party but it is entitled to recover its paid amount from the insured-opposite party No. 1-appellant, who has not been able to prove that the vehicle was being driven by a. driver having valid licence at the time of accident. The admitted position is that the Insurance Company has deposited the amount under the award. The owner has come to this Court against the said award so far as recovery of the amount paid by the Insurer from him is concerned.

3. Learned counsel for the appellant submits that under Section 173 of the Act and its proviso any person aggrieved by an award may prefer an appeal to the High Court but no appeal by the person who is required to pay any amount in terms of such award amount shall be entertained unless he has deposited with it Rs. 25,000/- or 50% of the amount whichever is less. It is submitted by learned counsel that the provision to pay any amount in terms of such award has to be read as payment of the amount to the claimants. It is submitted that the main purpose of the Act is to give benefit to the claimant and the said purpose being satisfied on the awarded amount being deposited by the insurance company, the interest of the claimant shall not be affected by the decision of the appeal one way or the other.

4. In support of the aforesaid proposition, learned counsel relies upon a Division Bench decision of the Punjab and Haryana High Court in the case of Sohan Singh V/s. Kushla Devi and Others: A.I.R.1996 Punjab and Haryana 256, in paragraph Nos. 4 and 5 of which it has been held as follows:

"A careful reading of the above quoted provision shows that sub-sec (1) of S. 173 gives a right of appeal to any person aggrieved by an award of the Claims Tribunal. The period of limitation for filing such appeal is 90 days from the date of award. Second proviso to S.173(1) empowers the High Court to entertain the appeal after the expiry of the period of 90 days in case the High Court is satisfied that the appellant was prevented by sufficient cause from preferring an appeal in time. First Proviso to S.173(1) refers to an appeal by a person who is required to pay any amount in terms of the award. It lays down that no appeal by a person who is required to pay any amount in terms of the award shall be entertained by the High Court unless such person deposits with the High Court Rs. 25,000/- or 50% of the amount so awarded by the Tribunal, whichever is less. The deposit is required to be made in the manner directed by the High Court. The significant difference between the language used in sub-sec. (1) of S.173 and the First proviso is that whereas the expression "any person aggrieved by the award" has been used in the main sub-section, the proviso uses the expression" by the person who is required to pay any amount in terms of such award". This clearly means that the appeal can be filed by a person who may be aggrieved by the award but who may not be required to pay any amount in terms of the award. Ordinarily an appeal by the claimant will be covered by this category. However, the Legislature has thought it proper to impose a restriction to the entertainability of the appeal by the High Court by a person who is required to pay any amount in terms of the award appealed a