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2025 Supreme(Gau) 172

THE HIGH COURT OF GAUHATI (HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH) KOHIMA BENCH
YARENJUNGLA LONGKUMER, J
Tata Aig General Insurance Company Ltd. - Appellant
Versus
Tianaro And 3 Ors - Respondent
MACApp. 6 / 2020
Decided On : 10-03-2025

Advocates Appeared:
For the Petitioner: B. DEVNATH, M WABANG,V. DEVNATH,V. SIRIE,XEPE,M WABANG
For the Respondent: I. APOK PONGENER, ANUNGLA LKR,RENBONI,ATU IMCHEN

IMPORTANT POINT
An insurer can only appeal on statutory grounds unless permitted under Section 170 of the Motor Vehicle Act; new grounds cannot be raised in appeal if not previously presented.

Headnote:

(A) Motor Vehicle Act, 1988 - Sections 170, 173, and 149(2) - Appeal filed against the award of compensation by the Motor Accident Claims Tribunal - The insurer contended that the owner did not contest the case effectively, and the insurance policy was fabricated. The Tribunal denied permission under Section 170 for the insurer to contest on merits. (Paras 2 - 3 , 18-20)

(B) Legal principles - An insurer can only appeal on statutory defences unless permitted under Section 170. New grounds cannot be raised in appeal if not raised before the Tribunal. (Paras 8 , 18 )

(C) Findings of Court - The appeal is dismissed as no permission was obtained under Section 170, and the insurer's arguments regarding the fake insurance policy were not raised before the Tribunal. (Paras 21 - 22 )

Facts of the case:

The appeal arises from a compensation award of Rs. 9,15,600/- in a motor accident case. The insurer claimed the policy was fake and sought permission to contest on merits. (Paras 1 - 2 )

Findings of Court:

The appeal was dismissed, confirming the Tribunal's decision as the insurer failed to seek necessary permission under Section 170. (Paras 21 - 22 )

Issues: Whether new grounds can be raised in appeal not raised before the Tribunal; whether the appeal is maintainable without permission under Section 170. (Paras 15 - 16 )

Ratio Decidendi: The court ruled that without an order under Section 170, the insurer could only contest on grounds specified in Section 149(2), and new grounds not raised before the Tribunal cannot be considered. (Paras 19 - 20 )

Result: Appeal dismissed.

JUDGMENT :

YARENJUNGLA LONGKUMER, J.

Heard Mr. V. Devnath, learned counsel for the appellant as well as Mr. I. Apok Pongner, learned counsel for the respondent Nos. 1 and 2 and Mr. N. Longkumer, learned counsel for respondent No. 3. 1. This is an appeal under Sections 173 of the Motor Vehicle Act, 1988 , against the judgment and award dated 27.08.2019 passed by the learned MAC Tribunal, Mokokchung, Nagaland, in MAC case No. 12/2018 wherein the respondent/claimants were awarded a sum of Rs. 9,15,600/- (One lakh fifteen thousand six hundred). The appellant is the Tata AIE General Insurance Company, represented by learned counsel Shri. V. Devnath.

2. The main ground taken by the present appeal amongst others is that, the owner of the vehicle did not effectively contest the case on merits and as such, the learned tribunal should have granted permission to the appellant/Insurer under Sections 170 of the Motor Vehicle Act, to contest the case of merits, but the same benefit was denied.

3. Another ground taken by the appellant is that the insurance policy exhibited by the claimant in the instant claim case as exhibit P3 is false and fabricated, as it was not issued by the appellant, and the learned tribunal had over-looked this legal aspect of the matter. It is stated by the appellant that they have filed an FIR against the false and fake Insurance Policy relied upon by the claimant. The appellant filed the FIR against the said fake Insurance Policy and also issued an intimation letter to the owner of the vehicle about the said false fabricated Insurances Policy and exhibited the said FIR as exhibit D2, but the learned tribunal below did not deal with this important aspect seriously, and passed the Impugned Judgment award dated 27.08.2019. Learned counsel Mr. V. Devnath also submits that the impugned Judgment and award has been passed erroneously, and therefore, the same is to be set aside and quashed.

4. The learned counsel for the appellant, Shri. V. Devnath has referred to the written statement filed by the appellant before the learned tribunal at paragraph 11, wherein, the insurer/appellant has asked for permission under Sections 170 of the Motor Vehicles Act. However, the learned tribunal had not allowed the said permission. Learned counsel has drawn the attention of this Court to the additional affidavit filed by the insurer/appellant on 03.11.2023 in the present Appeal and while referring to Annexure-I and Annexure-II, has shown certain discrepancies in the insurances certificate produced by the claimant before the learned tribunal to show that the insurance policy was fake and forged document. He has also contended that the insurer/appellant in the present case was not added as a noticee but he was the respondent No. 3 and 4 in the claim petition before the learned tribunal and therefore, it was not necessary for the insurer/appellant to obtain permission under Sections 170 of the Motor Vehicles Act, Learned counsel relies on the cases of United India Insurance Company Limited Vrs Shila Datta & others (2011) 10 SCC 509; Lachhman Singh & others Vrs Hazara Singh & ors (2008) 5 SCC 444; Malluru Mallappa (D) THR.LRs Vrs Kuruvathappa ; Pappu & others Vrs Vinod Kumar Lamba & Anr Civil Appeal 1485 of 2020 (2018) 3 SCC 208; and Darillian Passah Vrs Batriti Lyndoh (2010) 3 GLT 717 to support his contentions. Learned counsel also relies on the case of Sanjay Kumar Singh Vs The State of Jharkhand in Civil Appeal No. 1760 of 2022, wherein, the Hon’ble Apex Court at paragraph 4 and 6 had laid down that:

    “However, at the same time, where the additional evidence sought to be adduced removes the cloud of doubt over the case and the evidence has a direct and important bearing on the main issue in the suit and interest of justice clearly renders it imperative that it may be allowed to be permitted on record, such application may be allowed. Even, one of the circumstances in which


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