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2024 Supreme(Gau) 1096

IN THE HIGH COURT OF GAUHATI, NAGALAND, MIZORAM AND ARUNACHAL PRADESH
Parthivjyoti Saikia, J.
Smti Runu Deka, W/O Lt. Dipak Deka and ors. – Petitioners
Versus
The National Insurance Co Ltd and anr. – Respondents
MACApp./481/2018
Decided On : 16-08-2024

Advocates:
Advocate Appeared:
For the Petitioner: Mr. S C Pandit
For the Respondent: Ms. A Thakuria, Ms. S Roy, Ms. R D Mozumdar, Ms. C Mozumdar, Mr. S P Sharma

IMPORTANT POINT
Compensation for fatal accidents must be based on the deceased's actual income and future prospects, not merely on basic pay.

Headnote:

Motor Vehicles - Compensation - Motor Vehicles Act, 1988 - Sections 173 - The Court modified the compensation calculation based on the deceased's actual income and future prospects, emphasizing the need for accurate income assessment in compensation claims.

Fact of the Case:

The case involves an appeal against a compensation award for a fatal motorcycle accident where the deceased, a government employee, was hit by a vehicle, resulting in his death.

Finding of the Court:

The Court found that the Tribunal incorrectly calculated the deceased's income for compensation, leading to an adjustment in the awarded amount based on accurate income and future prospects.

Issues: Whether the Tribunal correctly calculated the compensation based on the deceased's income and future prospects.

Ratio Decidendi: The Court held that the actual net pay of the deceased should be the basis for calculating compensation, not just the basic pay, and emphasized the importance of considering future prospects.

Result: The appeal is allowed, and the compensation is modified to Rs.6,22,932/-.

JUDGMENT :

Parthivjyoti Saikia, J.

Heard Mr. S.C. Pandit, learned counsel representing the appellants as well as Mrs. R.D. Mozumdar, learned counsel appearing for the Respondent No.1.

2. This is an appeal under Section 173 of the Motor Vehicles Act, 1988 against the judgment and award dated 29.05.2013, passed by the learned Member, Motor Accident Claims Tribunal, Nalbari in MAC Case No.84 of 2012.

3. On 17.02.2012 at about 2.20 P.M., Dipak Deka was driving a motorcycle. At Mazdia, the vehicle bearing Registrations No.AS 14/A-7677 had hit the motorcycle of Dipak Deka. He sustained injuries and died on the same day at about 5.30 P.M.

4. The deceased was 45 years old at the time of his death. He was a Government employee doing the job of Panchayat Secretary, No.22, Dakhin Khetri, Dharmapur Panchayat. He left behind his wife and two children.

5. The Tribunal considered his basic pay of Rs.14,180/- as the basis for calculating the compensation.

6. Finally, the Tribunal awarded a compensation of Rs.15,58,500/-.

7. Being aggrieved by the said judgment, the present appeal has been filed on the ground that the Tribunal should have held the net pay of the deceased as the basis for calculating the compensation amount.

8. I have considered the submissions made by the learned counsel of both sides.

9. This Court is of the opinion that the learned Tribunal in spite of having documentary evidence relating to the monthly income of the deceased, erroneously held that the monthly income of the deceased was Rs.14,180/-.

10. Therefore, the judgment of the Tribunal requires to be interfered with. The modified calculation will be like this– Amount already paid to the claimant

Amount already paid to the claimant

Rs.15,58,500/-.

Income =

Rs.20,996/- as per page 4 of the LCR- Ext.2- Salary Certificate.

Future prospect – 43%, Multiplier 13, Deduction 1/3rd. 30% of Rs.20,996/-

Rs.6,298/-.

Dependency calculation will be

Rs.20,996/- + Rs.6,298/- = Rs.27,294/-.

1/3rd of Rs.27,294/-

Rs.9,098/-

Rs.27,294/- – Rs.9,098/-

Rs.18,196/-

Rs.18,196/- X 13 (Multiplier) X 12 = Rs.28,38,576 + Rs.70,000/- (conventional amount)

Rs.29,08,576/-.

Contribution of deceased towards accident 25%

Rs.7,27,144/-.

Total Compensation = Rs.29,08,576/- - Rs.7,27,144/- (25% contribution towards accident)

Rs.21,81,432/-

Rs.21,81,432/- - Rs.15,58,500/- (Amount already paid by insurance company)

Rs.6,22,932/-.

Payable

Rs.6,22,932/- (Rupees six lakhs twenty two thousand nine hundred thirty two) only.

11. Now, the appellants shall be entitled to receive only Rs.6,22,932/-.

12. The appeal is allowed accordingly.

13. The Insurance Company is directed to deposit Rs.6,22,932/-in the Registry of this Court within next 6(six) weeks. It is further directed that failure to pay the money within next six weeks, would cause the Insurance Company to pay an interest at the rate of 6% per annum from the date of filing of the claim petition. Upon deposit of the said amount, it shall be disbursed in favour of the claimants without any riders.

14. The appeal is accordingly allowed. Send back the LCR.

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