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2026 Supreme(P&H) 391

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
VIKAS BAHL, J.
Shakuntla And Another - Appellants
Versus
Raj Singh And Others - Respondents
FAO-836-2010
Decided On : 25-02-2026

Advocates Appeared:
For the Appellant :Mr. Gulshan Nandwani, Advocate,
For the Respondent:Mr. B.K. Bagri, Advocate, Mr. Rajneesh Malhotra, Advocate, Ms. Manvi Verma, Advocate

JUDGMENT :

VIKAS BAHL, J. 

1. Parents of the deceased-Rajesh have filed the present appeal for enhancement. The Motor Accident Claims Tribunal, Rewari, vide award dated 15.09.2009 had awarded an amount of Rs.2,93,000/- along with interest to the appellants as compensation for the death of Rajesh, which had taken place in an accident that had occurred on 18.05.2007.

2. Learned counsel for the appellants has submitted that the present appellants/claimants had filed a claim petition under Section 163A of the Motor Vehicles Act, 1988 (hereinafter to be referred as “the 1988 Act”). It is submitted that under issue No.1, the Tribunal had held that the accident in question resulting into the death of Rajesh had taken place while respondent No.1, who was driver of the vehicle, was driving the offending vehicle which was a truck bearing registration No.HR-47-C-0916. It is argued that after considering the said fact and also the fact that the driver had produced the driving licence (Ex.R2), which was held to be valid, the insurance company was also held liable. It is submitted that an amount of Rs.2,93,000/- was awarded as compensation. It is further submitted that the provisions of Section 163A of the 1988 Act have now been replaced with Section 164 of the 1988 Act and thus, the claimants are entitled to an amount of compensation of Rs.5,00,000/-. It is submitted that the Hon'ble Supreme Court in the case of “Ram Murti and others Vs. Punjab State Electricity Board, reported as 2023 ACJ 631, in similar facts and circumstances, was pleased to grant compensation of an amount of Rs.5,00,000/- in a case where the negligence of the driver of the offending vehicle was not proved. In the said case also, although the accident had taken place on 23.05.1991 and the award in the said case was passed on 12.04.1994, yet the Hon'ble Supreme Court had given the benefit of the beneficial provisions of Section 164 of the 1988 Act, which provision had been incorporated by the Act 32 of 2019. It is submitted that in view of the same, the said amount be paid along with interest to the claimants from the date of the application till the date of the actual payment. It is submitted that the present case be treated as a case under Section 164 of the 1988 Act as amended.

3. Learned counsel appearing for respondent No.3-insurance company has opposed the present appeal and has submitted that the amount awarded to the appellants/claimants to the extent of Rs.2,93,000/- is adequate and the same does not call for any enhancement.

4. This Court has heard learned counsel for the parties and has perused the paper book.

5. This Court in case bearing No.FAO-247-1991 titled as “Sushma Devi and others Vs. Tarlochan Singh and others” decided on 03.09.2024 while considering the case of no fault liability had, by placing reliance upon the judgment of the Hon’ble Supreme Court in case of Ram Murti and others (Supra), directed the Insurance Company to pay an amount of Rs.5,00,000/- to the claimants along with the interest at the rate of 7.5% per annum from the date of filing the claim petition till its actual payment. Relevant portion of the said judgment passed in the case of Sushma Devi and others (Supra) is reproduced hereinbelow:-

“6. Section 140 of the Motor Vehicles Act, 1988, which was in force on the date of the accident i.e. 04.12.1989 provided that the compensation to the extent of Rs.25,000/- would be payable in the case of death of a person and in such a situation, the claimant was not required to plead and establish that the death or permanent disablement in respect of which the claim had been made was due to any wrongful act, negligence or default of the owner of the offending vehicle or vehicles concerned or any other person. The said Section 140 of the Motor Vehicles Act, 1988 was amended in the year 1994 and the amount payable in the case of death was enhanced to Rs.50,000/-. The relevant portion of amended Section 140 of the Motor Vehicles Act, 1988 is reproduced as

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