M.S.Liberhan, J.

1. This Letters Patent Appeal arises out of an award granting compensation of Rs. 80,000 to the claimants against the driver and transferee of the offending vehicle, i.e., truck No. PNP 6544.

2. The sole question raised in this appeal was with respect to the liability of the registered owner, namely, Hans Raj, and of the insurance company, i.e., whether the registered owner is liable to reimburse the claimants and resultantly the insurance companys liability to indemnify the insured, i.e., the registered owner.

3. The learned single judge came to the conclusion that the vehicle in question was sold by Hans Raj, the registered owner, to one Mool Chand. Hans Raj, the transferor, was the insurer of the vehicle. The transferor did not intimate the insurance company with respect to the sale of the vehicle. The insurance company did not transfer the policy to the transferee. Thus, in terms of the contract of indemnity, i.e., the insurance policy, the insurance company was absolved of its liability to pay compensation to the claimants.

4. Learned counsel for the appellants challenged the finding of the learned single judge on the facts. It was contended that in fa