D.K. Sinha, J.

1. This miscellaneous appeal is directed against the award passed by Additional District Judge, Fast Track Court No. III-cum-Motor Vehicle Accident Claims Tribunal, Jamshedpur in Compensation Case No. 38 of 2001 on 4.4.2006, whereby and whereunder, the appellant Oriental Insurance Co. Ltd. was directed to pay a sum of Rs. 5,60,000/- to the claimants-Respondents No. 1 to 4 (third party) by indemnifying the owner of the insured vehicle and satisfying the claim of the claimants minus the amount already paid to the claimants as interim compensation with the interest thereon at the rate of 6 per cent per annum since 22.5.2001.

2. The brief fact of the case was that one Omprakash Verma (since deceased) was travelling in an Ambassador car on 1.4.2000 with other four co-passengers. At about 6 p.m. the Ambassador car collided with the offending truck bearing registration No. MP-26D-0470, allegedly being driven by the driver Harinaryan Yadav @ Harinath Yadav, respondent No. 6 rashly and negligently as a result of which all the five occupants of the Ambassador car including Omprakash Verma sustained grievous injuries.

3. The driver and the cleaner of the offending truck escaped leaving behind the offending truck abandoned at N.H. 33 on its own fate. The injured Omprakash Verma was taken to RMCH, Ranchi for better management of his injuries but he succumbed on 9.4.2000. Pursuant to such accident, a criminal case vide Bundu P.S. Case No. 28 of 2000 was instituted on 1.4.2000 itself for the offence under Sections 279/338/427/304A of the Indian Penal Code.

4. The owner of the offending truck Shyamsundar Choudhary, respondent No. 5 appeared before the Motor Accident Claims Tribunal and pleaded that his vehicle was covered under a policy of the appellant Oriental Insurance Co. Ltd. valid from 29.5.1999 to 28.5.2000 and that the date of accident of his truck viz. 1.4.2000 was covered therefor and the insurer appellant herein was liable to indemnify the insured by compensating the claimants third party.

5. On the other hand, the. appellant Oriental Insurance Co. Ltd. by its rejoinder, outrightly denied and disputed the entire claim of the owner on the ground that the offending truck No. MP-26D-0470 was not insured for the relevant period of accident. The appellant pleaded before the Tribunal that the owner of the offending truck had deposited a cheque for Rs. 5993/- towards premium of the insurance policy in favour of Oriental Insurance Co. Ltd. but the said cheque returned unpaid by the drawee Bank, consequently the insurance policy of the offending vehicle was cancelled as the contract between the insurer and insured as per law of insurance did not subsist.

6. By deciding the relevant issue Nos. 3, 4 and 6, the Tribunal discussed the facts, examined the documents and statement of the witnesses on oath and came to conclusion that the owner of the offending truck Shyamsundar Choudhary issued a cheque of Rs. 5993/- on 28.5.1999 which was tendered at the drawee Piskamore Branch of Central Bank of India which was returned unpaid with the endorsement "Exceeds Arrangements" (Ext.D). The cheque was proved Ext.E whereas copy of the receipt of the cheque issued to the owner was proved Ext.F.

7. The communication made by the appellant Oriental Insurance Co. Ltd. to the owner of the offending truck Shyamsundar Choudhary dated 4.6.1999 was proved and marked Ext.G. The certificate cum policy schedule shows that it was cancelled on 4.6.1999 itself. However, relying upon certain, decisions and the arguments advanced on behalf of the parties the tribunal observed, From the above discussions it has been established that in the instant case, the Insurance Company is liable to the applicants for payment, even though the Insurance policy of the said truck is cancelled for non payment of premium.

8. Yet, the Tribunal was silent as to under which provision of Insurance Law or otherwise the appellant- Insurance Company was liable to pay compen