The main legal point established in the judgment is the consideration of provident fund and the enhancement of interest rate in the computation of compensation for loss of dependency.

J.R. Midha, J.

The Appellants have challenged the award of the learned Tribunal whereby compensation of Rs. 21,15,000/- has been awarded to the Appellant. The Appellants seek enhancement of the award amount.

2. The accident dated 16th April, 2004 resulted in the death of Varun Khosla. The deceased was survived by his parents who filed the claim petition before the learned Tribunal.

3. The deceased was aged 24 years at the time of the accident and was working as Territory Manager with DHL Worldwide Express (India) Pvt. Ltd. drawing a salary of Rs. 25,666/- per month.

4. The learned Tribunal took the income of the deceased as Rs. 21,166/ - per month, deducted 1/2 towards the personal expenses of the deceased and applied the multiplier of 11 to compute the loss of dependency at Rs. 20,95,434/-. The learned Tribunal has awarded Rs. 10,000/- towards funeral expenses and Rs. 10,000/- towards loss of love and affection. The total compensation awarded is Rs. 21,15,000/-.

5. The learned Counsel for the Appellants has urged the following grounds at the time of hearing of this appeal:

(i) Provident Fund of Rs. 2,200/- be taken into consideration for computation of compensation.

(ii) The compensation be awarded for loss of estate.

(iii) The rate of interest be enhanced from 7% per annum to 7.5% per annum.

6. The deceased was working as Territory Manager with DHL Worldwide Express (India) Pvt. Ltd. His appointment letter was proved as Ext. PW4/B and the salary certificate was proved as Ext. PW4/C. As per Ext. PW4/C, the salary of the deceased at the time of the accident was Rs. 25,666/- per month out of which Rs. 2,200/- was deducted towards provident fund and Rs. 2,300/- towards Income Tax. The net monthly salary of the deceased was Rs. 21,166/- which has been taken into consideration by the learned Tribunal. The provident fund of Rs. 2,200/- also forms part of the salary and is, therefore, taken into consideration. The income of the deceased for computation of compensation is taken to be Rs. 23,366/- per month (Rs. 21,166 + Rs. 2,200). Adding 50% towards future prospects, deducting 1/2 towards personal expenses and applying the multiplier of 11, the loss of dependency is computed to be Rs. 23,13,234/- [(Rs. 23,366 + 50% of Rs. 23,366) x 1/ 2x12x11].

7. The learned Tribunal has not awarded any compensation for loss of estate. Rs. 10,000/- is awarded towards loss of estate.

8. The learned Tribunal has awarded interest @ 7% per annum. Following the judgment of the Hon'ble Supreme Court in the case of Dharampal v. U.P. State Road Transport Corporation III (2008) A.C.C. 1: 2008 (3) T.A.C. 789 (S.C.), the rate of interest is enhanced from 7% per annum to 7.5% per annum.

9. The Appellants are entitled to total compensation of Rs. 23,43,234/ - (Rs. 23,13,234 + Rs. 10,000 + Rs. 10,000 + Rs. 10,000).

10. The appeal is allowed and the award amount is enhanced from Rs. 21,15,000/- to Rs. 23,43,234/- alongwith interest @7.5% per annum from the date of filing of the petition till realization.

11. The enhanced award amount alongwith interest be deposited by Respondent No. 3 with UCO Bank A/c Pawan Khosla, Delhi High Court Branch through Mr. M.M. Tandon, Member-Retail Team, UCO Bank Zonal, Parliament Street, New Delhi (Mobile No. 09310356400) within 30 days.

12. Upon the aforesaid deposit being made, the UCO Bank is directed to release 50% of the same to the Appellants by transferring the same to their Saving Bank Account. The remaining 50% amount be kept in fixed deposit for a period of three years on which monthly interest be paid to the Appellants.

13. The interest on the aforesaid fixed deposit shall be paid monthly by automatic credit of interest in the Savings Account of the Appellants.

14. Withdrawal from the aforesaid account shall be permitted to the Appellants after due verification and the Bank shall issue photo Identity Card to the Appellants to facilitate identity.

15. No cheque book be issued to the Appellants without the permission of this Court.