The interest theory is not appropriate for quantifying compensation in India due to the high inflation rate and the rise in salaries and allowances.

( 1 ) THIS judgment will dispose of F. A. O. 109 of 1980 as also F. A. O. 252 of 1980 as both these appeals are directed against the award dated 11. 2. 1980 passed by the Motor Accident Claims Tribunal, Delhi. F. A. O. 109 of 1980 has been filed by the Delhi Transport Corporation and the driver of the bus against the award while the other appeal has been filed by the claimants for the enhancement of compensation.

( 2 ) IT was alleged by the claimants in their petition under section 110-A of the Motor Vehicles Act that on 18th April, 1977 at about 10. 25 p. m. the deceased was driving his two-wheeler scooter No. DLM 9374 from his office towards his residence at a slow pace and was crossing Marina Crossing from Connaught Place side and was going towards Panchkuia Road when it was green signal for him. He had crossed 3/4 of the crossing when bus No. DLP 222 driven rashly, recklessly and negligently by appellant No. 2 in due course of his employment with appellant No. 1 came from Madras Hotel side and without caring for red signal violently hit the scooter without blowing any horn. The bus hit front side of the scooter and dragged the scooter for some distance. In the process the deceased received grievous injuries which proved fatal as the deceased died during the same midnight in hospital. It was alleged that the driver of the bus was wholly and entirely responsible for causing the death of the deceased namely R. K. Vasudev. The accident was caused because the driver of the bus did not care to stop his bus even though there was a red signal at the crossing from his side.

( 3 ) IT was alleged in the petition that the deceased had a good physique and had a history of longevity of life in the family. The deceased had joined M/s. Time Life Magazine in the year 1972 at the starting salary of Rs. 700. 00 per month and was getting periodical raise in his salary. He used to get a raise in the salary approximately of Rs. 100. 00 every year. Besides his salary he was also getting over time allowance and during the year 1976-77 the deceased was paid over time to the extent of Rs. 5,800. 00. It was further alleged that besides the salary which the deceased was drawing he was also working and supplying the paper to various parties and used to earn another sum of Rs. 400. 00- per month. The deceased also used to get one month s salary every year in lieu of leave. He was also entitled to other benefits incidental to the service. In all the deceased was making available to the claimants a sum of about Rs. 1,800. 00 per month. Considering the physique and longevity of life in the family, the deceased would have worked at least till the age of 70 years. The claimants thus claimed a total sum of Rs. 5,00,000. 00 as compensation.

( 4 ) THE petition was contested by the Delhi Transport Corporation and the driver on various pleas. The rashness and negligence was attributed to the deceased and it was denied that the bus was travelling against the traffic signal. It was pleaded that the bus was going in the right direction from the side of the Madras Hotel and when the bus reached the crossing of Panchkuia Road the light was blinking, the driver saw the traffic on both sides and finding the road to be clear, was proceeding in its right direction. The deceased entered the crossing from the inner circle of Connaught Circus from the right side of the bus driver at a very fast speed and as a result the accident in question took place.

( 5 ) ON the pleadings of the parties, the following issues were framed:

(1) Whether R. K. Vasudev received fatal injuries due to rash and negligent driving of bus No. DLP 222 on the part of respondent No. 2? (2) Whether the accident was due to negligence on the part of the deceased himself? (3) Whether the petitioners are the legal representatives of the deceased? (4) To what amount of compensation, if any, the petitioners are entitled and from whom? (5) Relief.

( 6 ) ISSUE Nos. 1 and 2 being inter-connected were