M.R. Pathak, J.

1. The appellant, the National Insurance Company Limited, represented by its Branch Manager, Dimapur Branch, Nagaland has preferred this appeal under Section 173 of the Motor Vehicles Act, 1988 (MV Act, in short) against the Judgment & Award dated 25.05.2011 passed by the learned Member, Motor Accident Claims Tribunal, (MACT, in short) Dimapur in M.A.C. Case No. 83 of 2008 allowing the claim petition of the claimants/respondent Nos. 1 to 4 herein, awarding Rs. 5,53,500/- as total compensation, directing the appellant Insurance Company to deposit the said awarded amount by cheque within 30 days from the date of passing the said judgment & award, in default further directed the said appellant Insurance Company to pay interest @ 9 % per annum on the said awarded amount of Rs. 5,53,500/- from the date of filing of the claim application by the claimant/respondents No. 1 to 4 before the Tribunal i.e. from 24.04.2008 till such payment is made. The brief facts of the case is that the respondent No. 5 is the owner of a Tata Indica Vehicle bearing Registration No. AS-01-AE-3777 insured with the appellant insurance company. On 29.11.2007 at about 04:00 P.M., she sent her authorized & engaged driver; one Bal Bahadur Thapa with her said Tata Indica vehicle to the local market at Diphu for purchasing household items and during such circumstances, some unidentified miscreants took away her said Tata Indica vehicle with her said authorized driver. The respondent No. 5, the insured owner of the vehicle duly informed the said incident to the police concerned as well as appellant insurance company. Later, her said driver was killed in the process and the unidentified miscreants committed theft of her said Tata Indica vehicle, which is yet to be recovered and police subsequently recovered the body of her said driver at Dhing of Nagaon District, Assam.

2. The respondent No. 1, wife of the deceased driver on her behalf, on behalf of the respondent No. 2, Master Raju Thapa, being the legal representative of their minor son and on behalf of the respondent Nos. 3 & 4, namely, Mrs. Renu Thapa & Mr. Ram Bahadur Thapa, the parents of the said deceased driver respectively filed a claim petition under Section 163-A of the MV Act being the M.A.C. Case No. 83/2008 before the Member, MACT, Dimapur, Nagaland claiming compensation for the death caused to the deceased driver Bal Bahadur Thapa in an accident arising out of the use of the said Tata Indica motor vehicle bearing Registration No. AS-01 -AE-3777. In support of her claim the respondent No. 1 along with the said claim petition submitted the police report, post mortem report of the deceased driver, copy of the FIR etc. The respondent No. 5, insured owner of the said Tata Indica vehicle in her statement before the Member, MACT, Dimapur stated that on the date of the incident i.e. on 29.11.2007 her said vehicle was insured with the appellant National Insurance Company Limited and her said vehicle had all the requisite documents. She also stated that on the said date her said vehicle was driven by her paid, authorized & engaged driver Bal Bahadur Thapa, i.e. the deceased driver, who was in possession of valid & effective driving license.

3. The learned Member, MACT, Dimapur framed following seven issues towards adjudication of the said claim which are as follows:-

(1) Whether the claim is maintainable in the present form?

(2) Whether the vehicle bearing Registration No. AS-01-AE-3777 (Indica Car) was plying in contrary to the terms and conditions of the insurance policy and is the insured liable for breach of contract and the insurer to be exonerated from liability?

(3) Whether the deceased namely, Bal Bahadur Thapa died while discharging his duty as paid driver in an accident arising out of the use of motor vehicle?

(4) Whether the deceased was 22 years of age and was a driver by profession and earning Rs. 4,000/- per month as salary?

(5) Whether the vehicle was possessing all valid and eff