IN THE HIGH COURT AT CALCUTTA
AJAY KUMAR GUPTA, J.
United India Insurance Co. Ltd. – Appellant
Versus
Firoja Bibi & Ors. – Respondents
FMA 822 of 2012
Decided on : 17-01-2024
Motor Accident Claims Tribunal - Compensation Assessment - Motor Vehicles Act, 1988, Section 166 - Laxmi Devi and Others v. Md. Tabbar and Anr., 2008 (2) T.A.C. 394 (SC) - National Insurance Company Ltd. Vs. Pranay Sethi & Ors., (2017) 16 SCC 680
Fact of the Case:
The victim died in a motor traffic accident, and the claimants sought compensation. The insurance company contested the compensation amount, arguing that the claimants failed to prove the victim's actual income.
Finding of the Court:
The court found that the claimants failed to prove the victim's actual income and business, and the Ld. Tribunal erred in accepting a certificate issued by a Panchayat member as evidence of income. The court also held that the claimants were entitled to future prospects and general damages, and adjusted the compensation amount deposited by the insurance company.
Issues: Dispute over the assessment of the victim's actual income, entitlement to future prospects and general damages, and adjustment of the deposited compensation amount.
Ratio Decidendi: The claimants must prove the victim's actual income and business with valid documentary evidence. The court also affirmed the entitlement to future prospects and general damages, as established in relevant judgments.
Final Decision: The court modified the judgment and awarded compensation of Rs. 5,90,000 to the claimants, along with interest. The compensation amount deposited by the insurance company was adjusted, and no costs were awarded.
JUDGMENT :
Ajay Kumar Gupta, J.
1. Appellant/Insurance company assailed the judgment and award dated 20th January, 2012 passed by Learned Judge, Motor Accident Claims Tribunal, Kalna in M.A.C. Case No. 23 of 2010, thereby the Ld. Tribunal allowed the claim application ex parte without cost against the OP/owner and on contest without cost against the OP/ United India Ins. Co. Ltd and further directed the claimants are entitled to get compensation to the tune of Rs. 6,33,500/-along with 6% interest per annum from the OP/the United India Ins. Company Ltd. OP/Insurance Company is directed to pay the said amount to the claimants along with interest thereon from the date of filing of the petition till realisation of the amount within a period of two months from the date by account payee cheques failing which the claimants shall be at liberty to execute the order as per law in an application filed under Section 166 of the Motor Vehicles Act, 1988 for granting compensation on account of death of the victim in a motor traffic accident.
2. Sans otiose details, the fact of the instant case is that on 30.06.2010 at about 6.15 am when the victim was returning home from his daughter’s school, the offending truck bearing no. WGH 3502 dashed against him from the front at Khalispur more as a result of which he sustained severe injuries and expired on the spot. The driver of the offending vehicle was solely responsible for his death as the same was being driven in a rash and negligent manner. The claimants have claimed compensation to the tune of Rs. 7,50,000/-The OP/owner did not contest the case in spite of being given sufficient opportunity for which the case has been heard ex parte against him. The OP/United India Insurance Company has contested the case by filing written statement wherein it is stated that the claim of the claimants is unjust, improper, excessive, false and concocted. The claimants have failed to file relevant documents in support of their claim and also to fulfil the statutory requirements to claim compensation under the provision of M.V. Act. The OP has denied the entire allegation and contention of the claimants and has prayed for dismissal of the case.
3. Learned counsel appearing on behalf of the appellant/United India Insurance Company Ltd. submitted that the learned Tribunal has assessed excessive compensation amount without considering that the claimants failed to prove the actual income of the victim prior to his accident. Claimants claimed that the victim was a business man and he used to sell Potato and also engaged in cultivation. He used to earn Rs. 7,000/-per month prior to the date of accident but claimants failed to produce any document to show that he was a business of Potato and also engaged in cultivation. Despite of the said facts, the Ld. Tribunal has accepted and assessed victim’s income as Rs. 6,000/-per month as minimum from his business at the relevant time without any sufficient and reasonable evidence. It is true that the claimants have filed one income certificate issued by a Panchayat member of Sultanpur Gram Panchayat. Member of the Panchayat issued a certificate to the effect that the victim used to earn Rs. 7,000/-per month prior to the accident. He also adduced evidence as P.W. 3 and proved the certificate. But a member of a panchayat cannot issue certificate of an income of the victim stating therein that the deceased was a cultivator and business of potato and dry seeds and he used to earn Rs. 7,000/-per month. It is further submitted and raised a question how any member of panchayet can assess the income of other person without looking into valid documents or book of accounts. Therefore, the claimants have failed to prove the actual income of the victim on the date of accident. If the claimants unable to prove deceased actual income, then there is a provision for calculation of his income as notional income. The accident took place in the year 2010, so his income at best Rs. 3,000/-per month
The main legal point established in the judgment is the reliance on documentary evidence, including the victim's income tax return, to determine the compensation amount in motor accident claims.
The main legal point established is the assessment of compensation under Section 166 of the Motor Vehicles Act, 1988, based on the victim's actual income, future prospect, and general damages.
The court established that in motor vehicle accidents involving multiple vehicles, liability must be assessed based on evidence of negligence, and compensation calculations must account for tax deduc....
The court applied the principles established in National Insurance Company Limited vs. Pranay Sethi & Ors, (2017) 16 SCC 680, regarding compensation entitlement in motor accident cases.
The central legal point established in the judgment is the assessment of the deceased-victim's income and the calculation of the compensation amount under the Motor Vehicles Act, 1988.
The central legal point established in the judgment is the proper assessment of compensation under the Motor Vehicles Act, including the deceased's income, future prospects, and suitable multipliers,....
The main legal point established in the judgment is the reliance on oral testimony to determine the deceased's income and the application of established legal principles to modify the compensation am....
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