SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2025 Supreme(Jhk) 968

IN THE HIGH COURT OF JHARKHAND AT RANCHI
Gautam Kumar Choudhary, J.
Asha Devi, W/o Late Naresh Choudhary @ Naresh Pasi and ors. - Appellants
Versus
Rajesh Mandal, S/o Amulya Mandal and ors. - Respondents
M. A. No. 466 of 2015, C. O. No. 43 of 2021
Decided On : 13-02-2025

Advocates:
Advocate Appeared:
For the Appellant :Mr. Arbind Kr. Lall, Advocate, Mr. Bibhash Sinha, Advocate, Mr. Manish Kumar, Advocate
For the Respondent:Mr. Arbind Kr. Lall, Advocate, Mr. Bibhash Sinha, Advocate, Mr. Manish Kumar, Advocate, Mr. G. C. Jha, Advocate

The court clarified that oral evidence can prevail over FIR statements in determining liability and compensation in motor vehicle accident claims.

Headnote:

(A) Motor Vehicles Act, 1988 - Sections 166 and 147(1)(b) - Claim for compensation due to death in a motor vehicle accident - The Tribunal awarded Rs.9,500/- under conventional heads and computed the deceased's income at Rs.3,000/- instead of Rs.4,500/- claimed - The court held that the FIR is not substantive evidence and oral testimonies can override it - The insurance company is liable to pay the compensation amount. (Paras 1, 10, 12, 14)

(B) Compensation Calculation - The court recalculated the compensation based on Rs.3,000/- as monthly income, applying a 40% future prospect and a multiplier of 16, resulting in a total compensation of Rs.6,88,800/- plus interest. (Paras 13, 14)

Facts of the case:
The claim was filed for the death of Naresh Choudhary in a vehicular accident, with disputes over the deceased's income and the nature of his travel in the vehicle.

Findings of Court:
The Tribunal erred in classifying the deceased as a gratuitous passenger, which breached the insurance policy terms; the insurance company was found liable for compensation.

Issues: The main issues were the correctness of the income assessment and the classification of the deceased's status in relation to the insurance coverage.

Ratio Decidendi: The court ruled that oral evidence presented by claimants cannot be disregarded based on FIR statements, reaffirming that the FIR is not substantive evidence.

Result: Misc. Appeal is accordingly, allowed.

JUDGMENT :

GAUTAM KUMAR CHOUDHARY, J.

Heard, learned counsel for the parties.

1. The claimants have preferred M.A. No.466 of 2015 for enhancement of compensation against the Award dated 27th March, 2015 passed in Title (M.V.) Suit No.262 of 2013 under Section 166 of the M.V. Act for death of one Naresh Choudhary@ Naresh Pasi in a motor vehicle accident, whereas C.O. No.43 of 2021 has been preferred by the appellant-owner of the offending vehicle against the liability fixed on the owner to pay the compensation amount.

2. It is submitted by the learned counsel for the claimants/ appellants that the judgment/ Award passed by the learned Tribunal is not in accordance with the ratio laid down by Hon’ble the Supreme Court in National Insurance Company Ltd. vs. Pranay Sethi , reported in (2017) 16 SCC 686 as loss of income under the head of Future Prospect has not been considered and further under the conventional head, only Rs.9,500/- has been awarded.

3. It is further argued that the deceased was working as Cook and in the claim application, income of the deceased as Rs.4,500/- per month was made, but the Award has been computed on the basis of monthly income of the deceased as Rs.3,000/-.

C. O. No. 43 of 2021

4. It is argued by learned counsel on behalf of the appellant-owner of the offending vehicle (Tata 407 bearing Registration No.JH10D-6776) that the vehicle was given on hire for carrying goods to the caterer in which the deceased was travelling as a representative of the owner of the goods and, therefore, he will come within the purview of Section 147(1)(b) of the M.V. Act and the insurer will be liable to indemnify the owner as the vehicle was indisputably under insurance cover at the time of accident.

5. It is further submitted on fact that P.W.2 and P.W.3 have specifically stated that it was only the deceased who was travelling with the goods in the offending vehicle at the time of accident, but the learned Tribunal considering the content/ statement made in the FIR (Ext.1) held that 25 to 26 persons were returning to Dhanbad from Katras after completing the catering work on the offending vehicle which met with an accident. The deceased was regarded as gratuitous passenger and the liability was fixed upon the owner. It is submitted that in absence of any contrary oral evidence, it was not logical to the Tribunal to take contrary view on the basis of the FIR which is not a substantive piece of evidence. Reliance is placed on 2021 SCC OnLine SC 849 [National Insurance Company Limited vs. Chamundeshwari and Ors.].

6. It is argued that as per the R.C. Book, two persons were permitted to travel in the said vehicle including the driver and the insurance policy (Ext.X/2) was a comprehensive package policy, therefore the deceased was covered as representing the owner of the goods travelling in the offending vehicle.

7. Learned counsel for the Respondent- Insurance Company has opposed the prayer. It is submitted that so far the appeal for enhancement of compensation is concerned, the monthly income of the deceased was pleaded in the claim application as Rs.4,500/- per month, and the learned Tribunal recorded a finding of fact that the monthly income of the deceased was Rs.3,000/- per month, considering the evidence on record.

8. Further in the Cross-Objection, it is argued that the F.I.R which is the foundational document of criminal case and was recorded on the basis of fardbeyan of Gopal Manjhi, who was one of the co-employees of the deceased has stated that 25 to 26 persons were travelling in the said vehicle. The oral evidence was in contradiction to the evidence as appearing in the F.I.R. After investigation, charge-sheet was also submitted against the driver of the offending vehicle.

9. It has also come in the F.I.R that after the accident, the driver and co-driver fled away from the place of occurrence and, therefore, it goes to show that the deceased was not under the insurance cover and was travelling in the vehicle as a gratuitous p

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top