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2022 Supreme(All) 1007

IN THE HIGH COURT OF JUDICATURE AT ALLAHABAD
J.J. MUNIR, J.
The New India Assurance Co. Ltd. - Appellant
Versus
Smt. Lajjawati and Ors. - Respondents
First Appeal From Order No. 1140 of 2014
Decided On : 02-09-2022

Advocates Appeared:
For the Appellant : Rahul Sahai.
For the Respondent: Kamini Pandey, Anand Pandey.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Appeal by insurers against Tribunal award for compensation due to fatal accident - Insurer denied negligence and liability, while claimants sought compensation for their financial loss - Court upheld Tribunal's finding of negligence and adjusted compensation according to future prospects and conventional heads. (Paras 20, 39)

(B) Compensation Calculation - Burden of proof lies on the claimants in negligence-based claims, while different provisions exist under Section 163-A for no-fault claims. The Tribunal's errors in deductions from income for allowances were rectified to ensure complete justice. (Paras 8, 10, 18)

Facts of the case:
The deceased, a government employee, was killed in a vehicular accident on 04.09.2011 while supervising work on a road. He earned a monthly salary of Rs.52,041/- and left behind dependents. The insurers contested liability and the award given by the Motor Accident Claims Tribunal regarding compensation of Rs.65 lakhs.

Findings of Court:
The court affirmed the Tribunal’s application of the multiplier, calculating total compensation to Rs.52,71,849/-, including future prospects and conventional heads like loss of consortium.

Issues: The main issues included the determination of negligence in the accident, the deceased's age for multiplier application, and the validity of the claimed compensation.

Ratio Decidendi: The court established that eye-witness testimony is credible if the individual is near the incident despite facing away, upheld the Tribunal's age finding for calculating compensation, and allowed enhancement without a cross-appeal.

Result: Insurers' appeal dismissed; compensation enhanced to Rs.52,71,849/- with interest.

Table of Content
1. establishment of facts regarding the accident. (Para 1 , 2 , 3 , 4 , 5 , 6)
2. insurance and owner's denial of liability. (Para 7 , 8)
3. court decisions on evidence and witness reliability. (Para 10 , 11 , 12 , 13)
4. discussions on witness credibility and evidence. (Para 14 , 15 , 19)
5. assessment of just compensation principles. (Para 20 , 21 , 22 , 23)
6. determination of compensatory calculations. (Para 25 , 26 , 27 , 29 , 30 , 31)
7. entitlement to future prospects and conventional heads. (Para 32 , 33)
8. final compensation awarded and court's decision. (Para 38 , 39 , 40)

JUDGMENT :

This is an appeal by the Insurance Company, challenging an award of the Motor Accident Claims Tribunal/ the Additional District Judge, Court No.9, Mathura dated 09.01.2014, awarding compensation to the claimant-respondents, on account of a fatal motor accident, where one Heera Singh Chaudhary lost his life.

2. The facts giving rise to this appeal are thus:

According to the claimant-respondents, who are respondent nos.1 to 5 to this appeal and shall hereinafter be called 'the claimants', Heera Singh Chaudhary was a Junior Engineer with the Department of Irrigation, Government of U.P. posted at Etah. On 04.09.2011 for the purpose of tail-feed work, he was supervising the removal of shrubs, garbage etc., blocking water passage under the culvert, situate at the Khitauli Turn on the Amapur-Sahwar Road, Etah. At about 2:30 p.m., a truck bearing Registration No. UP-80F-9381, driven negligently and at a high speed, approached from the Etah side. It hit Heera Singh Chaudhary and ran him over. In consequence, Heera Singh Chaudhary sustained grievous injuries and was conveyed for medical aid to the Sahwar Hospital, but declared dead by the doctors there. His dead body was subjected to autopsy at Etah. Since the accident had occurred within the local limits of Police Station Sahwar, District Kashiram Nagar, Case Crime No. 323 of 2011, under Sections 279 , 337, 338, 304A IPC, was registered there.

3. It is the claimants' further case that the deceased Heera Singh Chaudhary was an able bodied and healthy man. He was employed with the Department of Irrigation as a Junior Engineer. He was drawing a monthly salary of Rs.52,041/-, which was the source of livelihood for the family. The entire family, that is to say, the claimants, who are dependents of Heera Singh Chaudhary, have plunged into a financial crisis and their future turned bleak. Accordingly, the claimants have preferred the present claim.

4. It is further pleaded that the accident occurred on account of the offending vehicle being driven at a high speed and negligently by its driver, Kaptan Singh, opposite party no.1 to the claim petition and respondent no.7 here. He shall hereinafter be called 'the driver'. Smt. Mithilesh Kumari, opposite party no.2 to the claim petition, was the registered owner of the offending vehicle at the time of the accident. She is respondent no.6 to this appeal. She will hereinafter be called 'the owner'.

5. The offending truck was insured with the New India Assurance Company Limited, Saukh Adda, Mathura through its Branch Manager (hereinafter referred to as ''the insurers') under a policy valid from 22.01.2011 to 21.01.2012. It is the claimants' case that they are entitled to a total compensation of Rs.65 lakhs, together with interest @ 12% per annum on account of the fatal motor accident, payable by the opposite parties to the claim petition, that is to say, the owner, the insurers and the driver, jointly and severally.

6. The claimants, accordingly, instituted the claim petition under Section 166 of the MOTOR VEHICLES ACT , 1988 (for short, 'the Act') before the Motor Accident Claims Tribunal/ District Judge, Mathura as they are residents of Mathura, a fact on account of which the Tribunal at Mathura had territorial jurisdiction.

7. The Insurers put in a w

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