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2023 Supreme(All) 1432

IN THE HIGH COURT OF ALLAHABAD
J.J. Munir, J.
National Insurance Company Ltd. – Appellant
Versus
Sri Bhoora Kha And Others – Respondents
First Appeal From Order No. 841, 842, 843, 844, 845, 1641, 1642, 1640, 1264, 1638 of 2000
Decided On : 20-09-2023

Advocates:
Advocate Appeared:
For the Appellant : Amit Manohar, Amit Kumar Singh,Ram Singh
For the Respondent: Amit Kumar Singh, Ram Singh, Vennet Singh, Amit Manohar

The court's decision emphasized the proper calculation of compensation based on the deceased's income, future prospects, and dependency, and the application of the appropriate interest rate.

Headnote:

Dependents - Calculation of Compensation - The court modified the compensation awarded by the tribunal based on the deceased's income, future prospects, and dependency, and revised the interest rate. The court also held that the insurers would be obliged to pay in the first instance and recover from the owner.

Fact of the Case:

The deceased was involved in dairy farming and earned a monthly income of Rs.2000. The tribunal's calculation of compensation was flawed, and the court modified the awards.

Finding of the Court:

The court modified the compensation awarded by the tribunal, revised the interest rate, and held the insurers responsible for paying in the first instance and recovering from the owner.

Issues: Calculation of compensation, dependency, and interest rate

Ratio Decidendi: The court revised the calculation of compensation based on the deceased's income, future prospects, and dependency, and also revised the interest rate based on the applicable rules.

Final Decision: The court allowed the appeals in part, modified the awards, and held the insurers responsible for paying in the first instance and recovering from the owner.

JUDGMENT :

J.J. Munir, J.

1. This is a batch of ten appeals arising out of a common judgment and award of Mr. Naresh Chandra Dubey, the then Motor Accident Claims Tribunal/ 6th Additional District Judge, Aligarh, dated 26.02.2000, partly allowing five claim petitions. One set of appeals has been preferred by the Insurance Company, who have been held liable to indemnify, whereas the other set is by the claimants, who think that they have been inadequately compensated. There are, thus, five appeals by the Insurance Company and five by the claimants.

2. FAFO Nos.841 of 2000, 842 of 2000, 843 of 2000, 844 of 2000 and 845 of 2000 have been preferred by the Insurance Company, whereas FAFO Nos.1264 of 2000, 1638 of 2000, 1640 of 2000, 1642 of 2000 and 1641 of 2000 have all been preferred by the claimants, seeking enhancement of the compensation awarded. Since all the ten appeals relate to the same motor accident, giving rise to common questions of fact and law, except some difference in entitlement, based on facts in case of the claimants' appeals, this Court proposes to decide all the appeals by this common judgment.

3. For the sake of convenience, FAFO No.841 of 2000 shall be treated as the leading case and facts, that are common, noticed from the records of the said case. In case of the claimants' appeals, dealt with in this judgment after the Insurance Company's appeals, facts individual to each case for enhancement, would be separately noticed.

The Accident

4. On the 18th of June, 1993, Nusarat Khan, Smt. Raisan, Abdul Latif, Bhura Khan son of the late Aziz Ullah and Bhura Khan son of the late Bashir Khan, all residents of Village Tikta, Police Station Barla, District Aligarh, were members of a bridal party (Barat), proceeding to attend the wedding of a certain Abdul Sattar son of Abdul Zabbar. They had with them some necessaries relating to the wedding and were in the company of other members of the bridal party, proceeding to destination on board a Swaraj Mazda Truck, bearing Registration No. UP-81B-5068. The driver of the Swaraj Mazda Truck, which has quaintly been described by the learned Judge in the Tribunal as a 'Matador Swaraj Mazda', is said to have been driven at an uncontrolled speed. The driver was cautioned by those on board not to do so, but he did not heed. As the vehicle reached Village Shafipur, within the local limits of Police Station Palimukimpur, District Aligarh, the driver lost control, leading the vehicle to turn turtle. In consequence of this accident, some passengers on board died on the spot whereas others were grievously injured.

The Claim Petitions

5. Five claim petitions were instituted before the Motor Accident Claims Tribunal, Aligarh, to wit, the District Judge, Aligarh. These are: MACP No.25 of 1994, Asit Ullah Khan vs. Prakash Chandra and another; MACP No.26 of 1994, Ash Mohammad @ Asi Mohammad vs. Prakash Chandra and another; MACP No.31 of 1994, Bhura Khan vs. Prakash Chandra and another; MACP No.33 of 1994, Farakh Sultana vs. Prakash Chandra and another; and, MACP No.34 of 1994, Smt. Nazeeran vs. Prakash Chandra and another. All the claim petitions were assigned to the 6th Additional District Judge, Aligarh, sitting as the Tribunal, who vide order dated 26.07.1995 directed all the petitions to be consolidated and heard together, with MACP No. 25 of 1994 as the leading case. Evidence was recorded in the leading case alone.

6. MACP No.25 of 1994 is a case of fatal accident, where the victim Nusarat Khan son of Asit Ullah Khan died. Compensation was claimed by his heirs and LRs, numbering four. Since this is the leading case and the Tribunal has noticed facts and acted on pleadings in this claim petition, besides recording the evidence here, a greater detail of facts and proceedings relating to it, will be mentioned shortly. The deceased here was a young man of 18 years and a student, who was also en

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