An insurer is not liable for compensation if the policy covering third-party risks was not valid at the time of the accident as mandated by the Motor Vehicle Act.

JUDGMENT :

Pradeep Kumar Srivastava, J.

1. Present appeal under section 173(1) of the Motor Vehicle Act has been preferred on behalf of the National Insurance Company Limited, assailing the judgment/award dated 13.03.2020 passed by Sri Rajeev Ranjan, learned District Judge-III-cum-presiding Officer, Motor Accident Claims Tribunal, Bokaro, in M.A.C.T. Case No.24 of 2017, whereby and whereunder the claim petition was allowed on contest and the appellant was directed to pay Rs.16,96,400/- along with simple interest @ 7 % per annum from the date of institution of the claim petition i.e., 08.02.2017 till its realization.

2. Factual background of the case giving rise to this appeal is that on 31.08.2007 at about 9 am, one Majid Ansari(now deceased) along with his grandson was going on the auto rickshaw bearing Reg. No.JH-09B-7990 and when they reached near village Mohaddih, the driver of the said auto rickshaw lost control of the vehicle due to rash and negligent driving which turned turtle causing serious injuries to Mazid Ansari, who died on 06.09.2007 at Bokaro General Hospital, Bokaro in course of treatment. In connection with the above accident Pindrajora P.S. Case No.64 of 2007 was instituted against the driver namely Manoj Kumar Singh (Opposite party No.2/Respondent No.8) of the said vehicle for the offences under Sections 279 , 337, 338 and 304-A of INDIAN PENAL CODE . After conclusion of the investigation, charge-sheet was submitted against one Manoj Kumar Singh, the driver of the said tempo owned by one Om Prakash Singh(Respondent No.7). It is further alleged that the offending tempo was insured with National Insurance Company Limited vide policy No.170401/31/07/6300004457 w.e.f. 06.09.2007 and valid up to 05.09.2008. The claimants have claimed compensation of Rs.20 lakhs along with interest @ 9 % per annum from the date of application till its realization.

4. Upon valid service of notice, the owner and driver of the offending vehicle bearing Reg. No.JH-09B-7990 did not appear and vide order dated 27.11.2017, they have been set ex-parte.

5. The O.P. No.3(appellant) National Insurance Company Limited appeared on 22.09.2017 and specifically denied the insurance of offending vehicle on the relevant date and time of accident with the National Insurance Company Limited rather post-facto policy was taken by the owner of the vehicle and issued by this company w.e.f 06.09.2007 to 05.09.2008. Admittedly, the accident has happened on 31.08.2007 at 9:00 am, hence, prayed to dismiss the claim against O.P. No.3.

6. Learned Tribunal has settled main Issues as under:-

Issue No.4: whether the petitioner is entitled for compensation if so, from whom and to what extent?

Issue No.6: Whether the opposite party No.1, the owner of the temp rickshaw bearing Reg. No.JH-09B-7990 had valid insurance policy at the time of accident?

While deciding issue No.6, learned tribunal has recorded specific findings that at para 15 of claim petition, claimants have specifically stated that at the time of accident the offending tempo bearing Reg. No.JH-09B-7990 was insured with O.P. No.3 National Insurance Company Limited vide policy No.170401/31/07/6300004457 w.e.f. 06.09.2007 to 05.09.2008(Ext-9). However, the O.P. No.3 in para 18 of its written statement has specifically pleaded that the above offending vehicle was not covered under the policy of insurance on the date of accident i.e. 31.08.2007 as the policy No. 170401/31/07/6300004457 had started from midnight of 05/06.09.2007 and valid till 05.09.2008. Accordingly, it was held by Learned Tribunal that at the time of accident the offending tempo bearing Reg. No.JH-09B-7990 was not insured with O.P. No.3 as the policy had commenced fro