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1992 Supreme(Guj) 246

Gujarat High Court
Judgename :J.N.Bhatt, V.H.BHAIRAVIA
MOHANBHAI GEMABHAI - Appellant
Versus
BALUBHAI SAVJIBHAI - Respondent
C.A. 1316 of 1981
Decided On : 09/28/1992

Advocates Appeared: K.F.DALAL, K.T.DAVE

Headnote:

Motor Vehicles Act, 1939 – Section 110 –Motor Vehicles Act, 1988 – Section 168 and 171, 173 – Accident claim – Compensation - Claimant is entitled to a consolidated amount of compensation of Rs. 18,060 by way of compensation with running interest at rate per annum from date of application till realization break-up - Head of Award Conveyance charges – Past economic loss – Pain shock and suffering, and physical discomfort Tribunal, also, found that the original opponent No. 1 was the driver, original opponent No. 2 was the owner, and original opponent No. 3 was Insurer, in respect of offending truck bearing and therefore, the aforesaid award, came to be passed against all the three opponents, against the original claim of Tribunal also directed applicant to pay the cost of the opponents on the remaining amount of claim disallowed – Award, the original injured claimant has, now come up before this Court challenging its legality and validity, by invoking the aids of Sec. 173 of Motor Vehicles Act, 1988 – Held, Conventional rate of interest at annum as accepted and adopted, long before, deserves to be enhanced in view of the significant fall in value of rupee and high inflationary, trend, prevalent in our economy – It could very well be seen that interest rate has been periodically reviewed and revised and lastly Apex Court adopted and awarded and raised conventional rate of interest money value has substantially gone down and there has been material effect on purchasing power of rupee rate of interest awarded, in the recent past, at the rate of per annum requires upward revision we deem it expedient and find that claimants or victims of such unfortunate road accidents are entitled to interest at least at the rate of annum from the date of application till its realisation on amount of compensation to be awarded –Justification for submission or proposition that in any event rate of interest to be awarded on the amount of compensation should not be more than rate of interest paid by nationalised banks in relevant year of accident or at the best, in year of filing of claim petition. Such contention was also raised before the Division Bench of this Court consisted of Brother Judges with Civil Appeal and it was, rightly, rejected such a contention cannot be sustained as it is, totally, meritless – Before parting with the matter, we may mention that out of additional amount with proportionate cost and interest as aforesaid, an amount shall be paid to claimant by an account payee cheque remaining amount with proportionate cost and interest shall be invested in Fixed Deposit in any nationalised bank or in any Government Security of choice of claimant or any scheme of State or Union of India Undertaking wherein rate of interest is higher, for a period not less than and claimant shall be entitled to interest which shall accrue periodically – Application is allowed.

BHATT, J.

( 1 ) IN this Civil Appeal, some interesting and important questions have surfaced for examination and adjudication, in connection with the amount of compensation, arising out of an unfortunate vehicular accident, under the motor Vehicles Act.

( 2 ) WITH a view to appreciate the merits of the question raised before us, it would be necessary to set out some salient facts, giving birth to the present appeal. The appellant, herein, is the original claimant, who sustained serious injuries in a road accident, which occurred, at 7-30 a. m. , on 1 4/03/1980. The appellant-claimant was proceeding from his residence on cycle, on the unfateful day, for attending his work. When he reached near the gate of M. S. University, on Polytechnic Road, a truck bearing No. GTS 6337, driven by respondent No. 1 (original opponent No. 1), came from behind and dashed against the claimant, resulting into serious injuries to the claimant. The respondents Nos. 1, 2 and 3 are original opponents nos. 1, 2 and 3 being driver, owner and insurer in respect of offending truck, respectively. The parties are hereinafter, referred to as claimant and opponents Nos. 1, 2 and 3, for the sake of convenience.

( 3 ) THE injured claimant was removed to the hospital, where he was treated, and on radiological examination, it was found that he had sustained two fractures on the right hand. It was the case of the claimant that he sustained permanent injuries and partial disablement on the right hand, on account of rash and negligent driving, on the part of the driver of the offending truck. The claimant was earning Rs. 600 per month, at the time of the accident, by way of employment, in Alemblic Chemical Company Ltd. , baroda. The claimant, therefore, filed a Claim Petition, under Sec. 110a of the Motor Vehicles Act, 1939 (the "old Act" for short), and claimed Rs. 80,000 by way of compensation, for economic and personal loss.

( 4 ) ORIGINAL opponent No. 3-Insurance Company, appeared and resisted the claim, by filing written statement, at Exh. 13, which came to be adopted by original opponents Nos. 1 and 2, the driver and the owner of the offending truck. They, inter alia, contended that the accident in question occurred, on account of the carelessness and mistake in riding on the bicycle by the claimant. It was denied that the driver of the truck was rash and negligent and responsible for the accident. The amount of compensation claimed by the claimant of rs. 80,000 was, also, seriously, challenged. Thus, the entire claim was questioned.

( 5 ) ON appreciation of the evidence, the Motor Accidents Claims Tribunal (Main), at Baroda, reached to the conclusion that original opponent No. 1 driver of the truck bearing No. GTS 6337 was rash and negligent and responsible for the accident. The Tribunal found that the injured claimant had sustained two fractures on his right hand and it had also resulted into 16% permanent partial disablement. The claimant was serving in Alembic Chemical Company, at the relevant point of time, and he was earning a consolidated salary of Rs. 600 per month. Therefore, the Tribunal, came to the conclusion that the claimant is entitled to a consolidated amount of compensation of Rs. 18,060 by way of compensation with running interest at the rate of 6% per annum from the date of the application, till realisation, the break-up of which, is as follows : sr. No. Head of Award Rs. 1. Conveyance charges, etc. 500 2. Past economic loss 5,560 3. Pain, shock and suffering, and physical discomfort 12,000 18,060 the Tribunal, also, found that the original opponent No. 1 was the driver, original opponent No. 2 was the owner, and original opponent No. 3 was the Insurer, in respect of the offending truck bearing No. GTS 6337 and therefore, the aforesaid award, came to be passed against all the three opponents, against the original claim of Rs. 80,000. The Tribunal also directed the applicant to pay the cost of the opponents on the remaining amount of claim dis































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