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2021 Supreme(All) 1602

IN THE HIGH COURT OF ALLAHABAD
KAUSHAL JAYENDRA THAKER, SUBHASH CHAND, JJ.
Smt. Prabha Sharma and Another – Appellants
Versus
The New India Assurance Co. Ltd. and Others – Respondents
First Appeal From Order Nos. 3602, 3994 of 2018
Decided On : 24-09-2021

Advocates:
Advocate Appeared:
For the Appellants : Amit Kumar Sinha, Deepali Srivastava Sinha.
For the Respondents: Brijesh Chandra Naik, Archana Singh.

Headnote:

Indian Penal Code,1860 - Sections 279, 338, 304A - Motor Vehicle Act, 1988 - Section 170 - Causes grievous hurt to any person by doing any act - Rash driving on public place - Rajendra Prasad Sharma (deceased) and appellant no.1 had gone to Village Mukundpur for some personal work and while coming back at 9 O’ clock they were standing on the road side to board a Bus at that time, a car driven by its driver rashly and negligently came at high speed and dashed with both of them namely deceased and his wife PW-1, as a result of which both sustained injuries was admitted in Russa Hospital shifted to Central Hospital situated and during treatment - Deceased was 55 years old on date of accident and after his death he was survived by his widow and son Bharat Sharma - Deceased was practising Advocate at District Court, Aligarh - FIR of accident was registered as case crime Sections 279, 338, 304A IPC at Police Station Madrak, District Aligarh - Held, Medical expenses is concerned since deceased was admitted to the hospital in injured condition and he underwent treatment for some days therefore, on this head lump sum expenses deemed just and proper to be awarded though there are no receipts/bills of the medicine yet the prescription discharge slip admission card - When deceased was underwent to the treatment - Accrued on principle 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 under the head of ‘Tax Deducted at Source’ as provided u/s 194A(3)(ix) of Income Tax At, 1961 and if the amount of interest does not exceeds Rs. 50,000/- in any financial year, registry of Tribunal is directed to allow claimant to withdraw the amount without producing the certificate from the concerned Income-Tax Authority view has been reiterated by this High Court in Review Application First Appeal From Order– Appeal partly allowed.

JUDGMENT :

1. Heard Sri Amit Kumar Sinha, learned counsel for the appellant and Sri B.C. Naik, Advocate and Sri Ajay Singh, learned counsel for the Insurance Company and perused the judgment and order impugned.

2. First Appeal From Order No. 3602 of 2018 (Smt. Prabha Sharma and another Vs. The New India Assurance Company Limited) is at the behest of appellants-claimants against the judgment and award dated 11.07.2018 passed by Motor Accident Claims Tribunal/Additional District Judge, Room No.8, Aligarh (hereinafter referred to as 'Tribunal') in M.A.C.P. No. 77 of 2016 the same is for enhancement of compensation awarded by the Tribunal.

3. First Appeal From Order No. 3994 of 2018 (The New India Assurance Company Limited Vs. Smt. Prabha Sharma and others) against the judgment and award dated 11.07.2018 passed by Motor Accident Claims Tribunal/Additional District Judge, Court No.8, Aligarh (hereinafter referred to as 'Tribunal') in M.A.C.P. No. 77 of 2016 on the ground of non involvement of vehicle in the impugned accident and for exonerating the Insurance Company from the liability to pay compensation to third party.

4. The brief facts culled out from the materials on record are that on 25.11.2015 Rajendra Prasad Sharma (deceased) and appellant no.1 had gone to Village Mukundpur for some personal work and while coming back at 9 O’ clock they were standing on the road side to board a Bus at that time, a car bearing registration No. UP 81 AU 2270 driven by its driver rashly and negligently came at high speed and dashed with both of them namely deceased and his wife PW-1, as a result of which both sustained injuries. Rajendra Prasad Sharma was admitted in Russa Hospital thereafter shifted to Central Hospital situated at Masoodabad and during treatment on 29.11.2015 Rajendra Prasad Sharma died. The deceased was 55 years old on the date of accident and after his death he was survived by his widow and son Bharat Sharma. The deceased was practising Advocate at District Court, Aligarh. The FIR of the accident was registered as case crime no. 234 of 2018 under Sections 279, 338, 304A IPC at Police Station Madrak, District Aligarh. The offending vehicle was insured by New India Insurance Company Limited, therefore, compensation of Rs. 79,25,000/- is claimed along with interest thereon.

5. On behalf of New India Insurance Company-opposite party no.3 filed written statement contending that alleged accident did not take place and the vehicle insured was not involved and was planted. The claim petition had been filed in collusion with owner and the Insurance Company had right to contest the claim petition on all the grounds, available to the Insurance Company in view of Section 170 of Motor Vehicle Act, 1988. It was contended that the Insurance Company cannot be fastened with any liability to pay compensation because the owner has committed breach of terms and conditions of the insurance policy. On behalf of opposite party nos. 1 and 2 owner and driver of the offending vehicle who filed written statement and stated that on the date of accident, the driver of the offending vehicle was having a valid and effective driving license. The offending vehicle was insured with New India Insurance Company Limited. No terms and conditions of the insurance policy was breached on behalf of the respondents responding opposite parties and if any liability to pay the compensation is arise for the same, the Insurance Company is liable to pay. The learned Tribunal after taking evidence on record and herein the passed the award vide judgment and order dated 11.07.2018 awarding compensation of Rs. 16,91,400/- along with 7% interest thereupon and opposite party New India Insurance Company was directed to pay the compensation.

6. First Appeal From Order No. 3994 of 2018 is at the behest of New India Insurance Company, in which the Insurance Company has challenged the

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