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1987 Supreme(P&H) 736

M.S.LIBERHAN
Kailash Kumari And Ors. – Appellant
Versus
Bhola And Ors. – Respondent


Judgment

M.S.Liberhan, J.

1. The claimants have applied under Section 92A of the Motor Vehicles Act, 1939 , for directing respondent No. 5 to pay the sum of Rs. 15,000 along with interest at the rate of 12 per cent. per annum during the pendency of the appeal.

2. Counsel for respondent No. 5 opposes the prayer and contends that the insurance company having been absolved in the impugned judgment on the ground that the passenger was a gratuitous person, the company was not liable to make the payment under Section 92 A of the Act.

3. The factum of the vehicle being insured with the respondent-company and the cause of accident being the negligence of the driver are undisputed. It is stated that a similar application was moved before the Tribunal but somehow or other no order was passed on the said application.

4. Learned counsel for the applicants cited Oriental Fire and General Insurance Co. Ltd. v. Smt. Beasa Devi [1986] 59 Comp Cas 643 (P & H), wherein it has observed that (at page 652) :

"The insurance company can be saddled with the liability under Section 92A as insurer, keeping in view the provisions of Section 96, only if either the insurance company admits the fact that the off



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