IN THE HIGH COURT AT CALCUTTA, CIRCUIT BENCH JALPAIGURI
BISWAROOP CHOWDHURY, J.
Muni Lohar and Others – Appellants
Versus
National Insurance Company Ltd. and Others – Respondents
FMA No. 17 of 2025
Decided On : 22-12-2025
| Table of Content |
|---|
| 1. accident details and claim initiation. (Para 1 , 2) |
| 2. grounds for appeal regarding income and interest. (Para 11 , 12 , 14 , 15) |
| 3. analysis of evidentiary support for income assessment. (Para 13 , 16 , 17 , 18 , 19 , 20) |
| 4. just compensation calculation based on employment. (Para 21) |
| 5. final decision on compensation awarded. (Para 22 , 23) |
JUDGMENT :
BISWAROOP CHOWDHURY, J.
1. The appellants before this Court were the claimants in an application under Section 166 of the Motor Vehicles Act 1988, and is aggrieved by the Judgment and Award dated 27th day of March 2024 passed by Learned Additional District Judge 1st Court Siliguri Darjeeling in MAC Case No. 106(8) of 2014.
2. The case of the claimants/appellants before the Learned Trial Court may be summed up thus:
On 28/06/2014 at about 2.30 P.M. the victim Gulshan Lohar and another namely Sablu Kerketta was coming from Hansqua Tea Garden towards his home in his motor bike bearing no. WB-74M 8876 and when they reached Saraswati Hindi High School Rajiyate the offending vehicle being a Scorpio vehicle being no. WB-74X 3053 which was being driven in rash and negligent manner hit the back side of the motor bike as a result of which the victim sustained severe injuries. The victim was shifted immediately to Navajiban Hospital, Gayaganga on the same day and then shifted to NBMCH where he received treatment upto 02-07-2014. That on 03-07-2014 he was shifted to SSKM Hospital Kolkata but due to shortage of bed he was again shifted to Calcutta National Medical College and Hospital (Chittaranjan) for better treatment but he succumbed to his injuries on 03.07.2014. The deceased was the sole earning member of his family so the petitioners being the parents and minor daughter of the deceased are suffering both pecuniary and physical/mental agony. The deceased was aged 34 years at the time of his death and he used to earn Rs. 9,000/- per month from his occupation as a Mason. The petitioners prayed for compensation of Rs. 12,33,500/-.
3. Pursuant to the filing of the claim case notice was issued upon the respondents. Respondent No-1 National Insurance Company Ltd. filed written statement and contested the case.
4. By Judgment and Award dated 27th day of March 2024 Learned Additional District Judge 1st Court Siliguri was pleased to dispose the claim case by observing and directing as follows:
5. Hence it is ORDERED.
6. That the MAC case be and the same is allowed on contest against the OP No. 2 National Insurance Company Limited and exparte against OP No-1 Uttam Basu.
7. The petitioner 1. Munni Lohar 2. Lalchand Lohar, 3. Diya Lohar do get just compensation of Rs. 4,12,500/- (Rupees four lakh twelve thousand five hundred only) from the OP No. 2. National Insurance Company Limited being the insurer of the offending vehicle bearing Regd. No. WB-74X 3053.
8. O.P No. 2 National Insurance Company Limited is directed to pay Rs. 4,12,500/- (Rupees four Lakh twelve thousand five hundred only) to the petitioners as just compensation together with interest @ 6% per annum from date of filing i.e. 27.08.2014 till payment to the petitioner by way of issuance of three (3) A/C payee cheques of Rs. 1,37,500/- in the name of each of the aforesaid three petitioners within two months from the date of this order, failing which the petitioners will be at liberty to put the award into execution.
9. Petitioner no. 1 and 2 are directed to ensure that the claim amount of Rs. 1,37,500/- of the minor petitioner no. 3 Diya Lohar is kept in fixed deposit account in the name of Diya Lohar in the Post office or in any Nationalized Bank till petitioner no. 3 attains her majority. However, Petitioner no. 1 and 2 are given liberty to use any monthly interest to be received by them on account of their such deposit in the name of the minor petitioner no. 3, Diya Lohar for the welfare and the well being of Petitioner no. 2.
10. Petitioners are directed to deposit the DCF, if any, before withdrawal of the compensation amount.’
11

The court ruled that appropriate notional income must consider current wage standards and future prospects, modifying the compensation amount accordingly.
Compensation determination must reflect the realities of the victim's situation, taking account of unchallenged testimony even in the absence of documentary evidence.
The court established that compensation for motor vehicle accidents must be calculated based on the notional income of the deceased as per official wage notifications.
The main legal point established in the judgment is the re-assessment of the claimant's income and future loss of income for the calculation of compensation.
The court established that the Tribunal can fix notional income above the claimed amount to ensure just compensation for victims of road traffic accidents.
Point of law : As the age of the appellant was 19 years on the date of the accident and as he was self-employed person, the appellant would be entitled to prospective income to the tune of 40%. As th....
In absence of definitive proof of income, a notional income can be reasonably fixed by the tribunal, which can be upheld unless deemed arbitrary.
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