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2024 Supreme(P&H) 750

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
ALKA SARIN, J.
Amarjit Kaur & Anr. – Appellants
Versus
Mewa Singh & Ors. – Respondents
FAO-5404 of 2015 (O&M)
Decided On : 20-02-2024

Advocates Appeared:
Mr. Ankur Gupta, Advocate; For the Appellant
Mr. Lalit Garg, Advocate for Respondent No.3-Insurance Company.

The court established that the income of a deceased should be assessed based on qualifications and evidence, applying a multiplier of 17 and including future prospects in compensation calculations.

Headnote:(A) Motor Vehicles Act, 1988 - Compensation for loss of dependency - The deceased was 26 years old and employed in Italy, with a salary certificate not considered by the Tribunal - The multiplier of 11 was incorrectly applied instead of 17 as per Sarla Verma - Future prospects not awarded - Compensation recalculated to Rs. 22,74,000/- with 7.5% interest from the date of filing. (Paras 3, 7, 9)

(B) Appeal - The court can modify the Tribunal's award if the multiplier or income assessment is incorrect, ensuring just compensation is awarded. (Paras 6, 10)

Facts of the case:
The claimant-appellants challenged the Tribunal's award, arguing the deceased's income was underestimated and future prospects were ignored. The Tribunal had fixed the income based on minimum wage without considering the salary certificate.

Findings of Court:
The court found the deceased's income should be assessed at Rs. 15,000/- per month, applying a multiplier of 17 and including future prospects, leading to a total compensation of Rs. 22,74,000/-.

Issues: The main issues were the appropriate multiplier and the consideration of future prospects in calculating compensation.

Ratio Decidendi: The court ruled that the Tribunal's application of the multiplier was incorrect and that future prospects must be considered, reaffirming the principles established in Sarla Verma and Pranay Sethi.

Result: Appeal allowed, award modified.

JUDGMENT

Mrs. Alka Sarin, J. (ORAL)

The present appeal has been preferred by the claimant-appellants against the award dated 29.08.2014 passed by the Motor Accident claims Tribunal, Ludhiana.

2. Since the facts, as recorded in the impugned award passed by the Tribunal are not in dispute, the same are not being reproduced herein for the sake of brevity.

3. Learned counsel for the claimant-appellants would contend that the deceased in the present case was 26 years of age and was working in Italy. It is further the contention that the salary certificate produced by the claimant-appellants has not been considered by the Tribunal and his salary has been assessed as Rs. 6,000/- per month. It is further the contention that no amount has been awarded towards future prospects and multiplier of 11 has wrongly been applied and the same ought to have been 17 as per the law laid down by the Supreme Court in the case of Sarla Verma & Ors. v. Delhi Transport Corporation & Anr. [(2009) 6 SCC 121]. It is further the contention that the amount awarded under the conventional head is on the lower side and no amount has been awarded under the head loss of consortium. In support of his contentions the learned counsel for the claimant-appellants has relied upon the judgments of the Hon'ble Supreme Court in the case of National Insurance Company Ltd. v. Pranay Sethi & Ors. [(2017) 16 SCC 680] and Magma General Insurance Company Limited v. Nanu Ram @ Chuhru Ram & Ors. (2018) 18 SCC 13.

4. Per contra, the learned counsel for respondent No.3-Insurance Company has vehemently argued that sufficient amount has already been awarded as compensation in the present case and that there is no scope of any enhancement. Learned counsel would further contend that there is nothing on the record to prove that the deceased was employed in Italy.

5. Heard.

6. In the present case the deceased had completed his course in BCA as per the certificate produced on the record. The salary certificate produced by the claimant-appellants was not relied upon by the Tribunal as the claimant-appellants did not disclose as to who has translated the same. In fact, none of the other supporting documents were produced on the record. Neither the passport nor the work permit was produced on the record. The Supreme Court in the case of Chandra @ Chanda @ Chandraram v. Mukesh Kumar Yadav [2021 (4) RCR (Civil) 492] has held as under :

"10. It is the specific case of the claimants that the deceased was possessing heavy vehicle driving licence and was earning Rs. 15000/- per month. Possessing such licence and driving of heavy vehicle on the date of accident is proved from the evidence on record. Though the wife of the deceased has categorically deposed as AW-1 that her husband Shivpal was earning Rs. 15000/- per month, same was not considered only on the ground that salary certificate was not filed. The Tribunal has fixed the monthly income of the deceased by adopting minimum wage notified for the skilled labour in the year 2016. In absence of salary certificate the minimum wage notification can be a yardstick but at the same time cannot be an absolute one to fix the income of the deceased. In absence of documentary evidence on record some amount of guesswork is required to be done. But at the same time the guesswork for assessing the income of the deceased should not be totally detached from reality. Merely because claimants were unable to produce documentary evidence to show the monthly income of Shivpal, same does not justify adoption of lowest tier of minimum wage while computing the income. There is no reason to discard the oral evidence of the wife of the deceased who has deposed that late Shivpal was earning around Rs. 15000/- per month. In the case of Minu Rout & Anr. v. Satya Pradyumna Mohapatra & Ors. (2013) 10 SCC 695 this Court while dealing with the claim relating to an accident which occurred on 08.11.2004 has taken the salary of the driver of light motor vehicle at Rs. 6000/- per

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