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2020 Supreme(P&H) 1002

IN THE HIGH COURT OF PUNJAB AND HARYANA
Rajiv Narain Raina, J.
Baljeet Kaur @ Baljit Kaur And Others - Appellant
Versus
National Insurance Co. Ltd And Others - Respondent
CR No. 1359 of 2020
Decided On : 26-02-2020

Advocates Appeared:
Mr. Rishabh Gupta, Advocate for the Appellant

Headnote:

MOTOR VEHICLES ACT - Execution Proceedings - Section 174 - Summary of Acts and Sections: The court discussed the provisions of Section 174 of the Motor Vehicles Act, 1988, along with Rules 232 and 235 of the Punjab Motor Vehicles Rules, 1989, and the amendments introduced by The Motor Vehicles (Amendment) Act, 2019. The court highlighted the optional nature of recovery under Section 174 and the alignment of the general provision with the amended Section 169(4) of the MV Act. It emphasized the retrospective application of procedural provisions and the principle that special provisions prevail over general provisions.

Fact of the Case:

The petitioners, claimants of compensation, challenged the order of the Motor Accident Claims Tribunal, Bathinda, which closed their execution proceedings by resorting to Section 174 of the Motor Vehicles Act, 1988. The petitioners argued that the Tribunal should have followed the steps provided in the Punjab Motor Vehicles Rules, 1989, instead of resorting to Section 174.

Finding of the Court:

The court found that the order of the Tribunal was entirely illegal and bad in law, and it set aside the impugned order. The case was remanded to the Tribunal to ensure the award's implementation in accordance with law, emphasizing the need for rapid measures of attachment of the respondent company's bank account to bring quick relief to the claimants.

Issues: The issues revolved around the proper execution and recovery of compensation amount, the applicability of Section 174 of the Motor Vehicles Act, and the alignment of the general provision with the amended Section 169(4) of the Act.

Ratio Decidendi: The court held that the order in Bharti AXA's case did not hold the field and was not good law, emphasizing the need for Tribunals to act in accordance with law and to execute and enforce awards without delay on a priority basis.

Final Decision: The petition was allowed, the impugned order was set aside, and the case was remanded to the Tribunal for proper implementation of the award. Parties were directed to appear before the Tribunal, and the order was to be circulated among the Executing Courts/Motor Accident Claims Tribunals in Punjab, Haryana, and Chandigarh without delay.

JUDGMENT

Rajiv Narain Raina, J. - This petition is by the claimants presented under Article 227 of the Constitution assailing the order dated 16.1.2020 of the Motor Accident Claims Tribunal, Bathinda closing their execution proceedings by resort to Section 174 of the Motor Vehicles Act, 1988 [for short 'MVA'] relegating the petitioners to the Collector upon issuing through his Ahalmad a certificate for the compensation amount to the Collector to recover the same in the same manner as an arrear of land revenue. Is this the proper thing to have done, is the question to be answered.

2. Heard learned counsel for the petitioner on the order dated 16.1.2020 passed in execution proceedings by the Motor Accident Claims Tribunal, Bathinda (acronym 'MACT') exercising the powers of the executing Court. The petitioners are claimants to whom compensation has been awarded. A part of the compensation has been paid towards principal by the insurance company/judgment-debtor. A balance of Rs. 41,909/- remains to be paid, which is the interest element shown in column No. 10 of the application form for attachment of movable property to pay the balance due, which contains this heading; "The Mode in which assistance of the Court is required" It is mentioned in response: "By attachment of Account of respondent/JD No.3 Bank Account No. 912020003966659 in the name of National Insurance Co. Ltd. with Axis Bank Bathinda". This was the specific prayer in the application which was required to be determined by the MACT.

3. This application was taken up by the MACT Bathinda and was disposed of faithfully by complying with the directions issued by this Court in CR No. 3248 of 2017, titled Bharti Axa General Insurance Co. Ltd. vs. Samsuddin and others decided on 08.09.2017, [copy of which has been circulated among the Motor Accident Claims Tribunals/Executing Courts within the territory of this Court] directing them to proceed as per provisions of Section 174 of the MVA in the matter of execution and recovery of compensation amount, or part thereof, as arrears of land revenue upon a certificate issued to the Collector. The MACT has directed his Alhmad to send the Certificate fixing the outstanding amount to the Collector of the district for recovery under Section 174 of the Act and thereafter the Judge has consigned the file to the record room thereby washing his hands off the case, increasing his disposal of cases and making his much sought after Units.

4. The order circulated in Bharti AXA's case, in my considered view is not the correct legal position and overlooks the law on the subject in several directions for the reasons explained in this judgment in the course of discussion hereafter.

5. Mr. Rishabh Gupta appearing for the claimants submits that recovery of compensation as arrears of land revenue is an optional remedy under Section 174 of the Act of general import wherever the States of the Union of India may not enact their own rules relating to enforcement of awards. Instead of adopting this methodology, he contends the MACT ought to have followed the steps provided in the Punjab Motor Vehicles Rules, 1989 framed under the Motor Vehicles Act, 1988 which are special provisions for execution of MACT awards. But in his submissions he seems not to have done enough research on the topic.

6. In support of his principal submission he refers to Rules 232 and 235 in the Punjab Motor Vehicles Rules, 1989 (for short, 'Punjab Rules') which have a material bearing on this case which transcends the ruling in Bharti AXA case. He submits that these important provisions of the procedural law were not brought to the notice of the bench while passing the short order in Bharti AXA's case without proper assistance from the Bar.

7. Before we come to Rules 232 and 235 of the Punjab Rules, it is imperative to refer to the provisions of Order XXI of the Code of Civil Procedure, 1908 which provides the comprehensive adjective law on execution of decrees. Order XXI is specific

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