IN THE HIGH COURT OF ALLAHABAD
KAUSHAL JAYENDRA THAKER, SUBHASH CHAND, JJ.
Satayawati and 3 Others - Appellants
Versus
Vidya Prakash and 2 Others - Respondents
First Appeal From Order No. 863 of 2021 (First Appeal From Order Defective No.136 of 2018)
Decided On : 02-08-2021
Income Tax Act, 1961 – Section, 194A (3) (ix) - Uttar Pradesh Motor Vehicles (Eleventh Amendment) Rules, 2011 - Compensation - Income-Tax Authority - Issue of negligence of driver and quantum - None of drivers or insurance companies have challenged award respondents have not challenged liability imposed on them jointly and severally –
Finding of the Court:
Total amount of interest accrued on principal amount of compensation is to be apportioned on financial year to financial year basis and if interest payable to claimant for any financial year exceeds insurance company/owner is/are entitled to deduct appropriate amount head of 'Tax Deducted at Source' as provided of Income Tax and if amount of interest does not exceeds Fresh Award be drawn accordingly in above petition by tribunal as per modification made herein -Tribunals in State shall follow direction of this Court as herein aforementioned as far as disbursement is concerned it should look into condition of litigant and pendency of matter and not blindly apply judgment same is to be applied looking of each case - Registrar General to Tribunals in State for guidance after seeking approval of Hon’ble Chief Justice - A copy of this judgment be sent tribunal whose judgment is challenge so that in future he may not take such erroneous view which would be unsustainable and against settled legal provisions of law and remain updated with precedents –
Result: Order accordingly
JUDGMENT :
1. Heard Sri Sushil Kumar Pandey, learned counsel for the appellant, Sri Pankaj Rai, learned counsel for the respondent-insurance company and perused the judgment and order impugned.
2. This appeal, at the behest of the claimants, challenges the judgment and award dated 13.7.2017 passed by Motor Accident Claims Tribunal/Additional District Judge, Court No.1, Muzaffar Nagar (hereinafter referred to as 'Tribunal') in M.A.C.No.370 of 2014 awarding a sum of Rs.31,99,757/- with interest at the rate of 7% as compensation.
3. The accident is not in dispute. As per the judgment of Apex Court in U.P.S.R.T.C. Vs. Km Mamta and Others, AIR 2016 SCC 948, all the grounds raised in the appeal are required to be adjudicated and that is how, we would decide issue of negligence of driver and quantum and would go ahead with the discussion. The issue of negligence decided by the Tribunal has been partly decided in favour of appellants and none of the drivers or insurance companies have challenged the award. The respondents have not challenged the liability imposed on them jointly and severally. The issues to be decided are compensation awarded and whether there was negligence of deceased in the accident taking place for which the Tribunal has deducted the monetary benefit admissible to the claimants.
4. Brief facts as culled out from the record are that on 27.6.2014 the deceased along with his friends was traveling from village Soram to Manali in the car bearing No. HR-26 BV-7516, at about 2:15 a.m. in the morning when they reached Gurdeepazi at Kirtpur Sahab to Bilaspur Road, a Truck bearing No. HP-23 B-5215 came from the front and hit the car. As a result of the negligence of the drivers the accident was caused whereby, deceased Udaiveer Singh and his friend-Rajneesh Kumar who were sitting in the car have died on the spot and Mukul and Prempal who were also travelling in the car have sustained grievous injuries.
5. It is submitted by learned counsel for the appellants that the deceased was 42 years of age at the time of accident. The deceased was a government Assistant Teacher. His income was considered by the Tribunal to be Rs.31,090/-per month. It is further submitted that the Tribunal granted future loss of income of the deceased. The future loss should be granted as per Uttar Pradesh Motor Vehicles (Eleventh Amendment) Rules, 2011 and also as per decisions of Supreme Court in Sarla Verma Vs. Delhi Transport Corporation, (2009) 6 SCC 121 and Sri K.R. Madhusudhan and others Vs. Administrative Officer and another, (2011) 4 SCC 689. It is further submitted that the amount granted under non-pecuniary damages is on the lower side and same should be computed and granted as per the decision titled National Insurance Company Limited Vs. Pranay Sethi and Others, (2017) 0 Supreme (SC) 1050. It is further submitted that the deduction towards personal expenses of the deceased should be 1/3rd or 1/4th as he was survived by widow, mother and two sons. It is submitted by learned counsel that tax is calculated wrongly and the deduction of income tax by adding future prospect is against legal position of law and is bad.
6. It is further submitted that the deceased was not a tort-fessor despite that Tribunal has deducted compensation which could not be done as it is settled law that amount cannot be deducted if the person sustained injuries or death occurred for no fault of his.
7. The counsel for the appellants has submitted that from the factual data, this Court can cull out that that the accident occurred on 27.6.2014 causing death of Udaiveer who was 42 years of age at the time of accident. The Tribunal has assessed income to be Rs.31,090/-per month even if not disturbed by this Court as Rs.580/- is the deduction which includes Rs.500/- as tax. It is submitted that the deceased was in the age bracket of 40-50 and had a permanent job hence additi
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