M.R. SHAH, J.

1. Feeling aggrieved and dissatisfied with the impugned judgment and award passed by the learned Motor Accident Claims Tribunal (Main), Sabarkantha at Himatnagar (hereinafter referred to as "the tribunal") dated 17/09/2005 in MACP No.663/1995, the appellant herein-original opponent no.2-The National Insurance Company Ltd. the insurer of Jeep No.GJ-V-5911 involved in the accident has preferred the present First Appeal in so far as holding the appellant- Insurance Company liable to pay the compensation.

2. The facts leading to the present Appeal in a nutshell are as under;

2.1 In a vehicular accident, which occurred on 22/08/1994 deceased-Pratapsinh Punjaji Parmar who was traveling in the Jeep No.GJ-V-5911 died and, therefore, the original claimants filed the Claim Petition before the learned tribunal claiming Rs. 3 lakhs towards compensation. It was the case on behalf of the original claimants that at the relevant time the deceased was traveling in the offending Jeep, which at the relevant time was being driven by original opponent no.1. According to the original claimants, original opponent no.1 was driving the said Jeep in a rash and negligent manner and when the said Jeep reached near the place of the accident, the driver of the offending Jeep suddenly applied the break and the deceased who was sitting on the back side of the Jeep fell down and serious head injuries was caused and he died while taking treatment.

2.2 The Claim Petition was opposed by original opponent no.1 by filing written statement at Exh.14 wherein he inter alia contended that he was driving the offending vehicle/Jeep at the time of the accident and he was having valid driving license for driving the said vehicle/Jeep. According to him the vehicle was insured with original opponent no.2- Insurance Company i.e. the appellant herein. The Claim Petition was vehemently opposed by original opponent no.2- Insurance Company by filing written statement at Exh.19. The Insurance Company specifically denied their liability. It was also contended on behalf of the appellant-Insurance Company that as the cheque towards the premium of the insurance policy, which was given by the owner of the Jeep involved in the accident, was dishonoured and even an intimation was given to the owner of the Jeep and thereafter the accident took place, the Insurance Company cannot be fastened with the liability to pay the compensation as there was no valid insurance policy and the risk was not covered. In support of the above defence the Insurance Company relied upon the decision of the Kerala High Court in the case of New India Assurance Co. Ltd. v. Raghu & Ors reported in 2002 ACJ 217. However, relying upon the decision of this Court in the case of United Insurance Co. Ltd. v. Minor Mamtaben B. Rathod, through Byassingh Bansisingh Rathod reported in 2005 (1) GLH 330 and observing that no intimation was given by the Insurance Company to the RTO Office regarding dishonour of the cheque or cancellation of the policy, by the impugned judgment and award the learned tribunal has held the appellant-Insurance Company liable to pay the compensation.

Feeling aggrieved and dissatisfied with the impugned judgment and award passed by the learned tribunal in holding the appellant herein-Insurance Company liable to pay the compensation, the appellant herein-original opponent no.1-Insurance Company-the insurer of Jeep No.GJ-V-5911 has preferred the present First Appeal.

3. Shri Sunil Parikh, learned advocate appearing on behalf of the appellant-Insurance Company has vehemently submitted that the learned tribunal has committed a grave error in holding the appellant-Insurance Company liable to pay the compensation. It is further submitted that the owner of the Jeep involved in the accident gave the cheque towards the premium on dated 08/10/1993, which came to be dishonoured and an intimation was given about dishonour of the cheque and cancellation of the policy to the owner of the Jeep o