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2000 Supreme(MP) 56
High Court Of Madhya Pradesh
D. M. DHARMADHIKARI,usha SHUKLA
BODHIRAM - Appellant
Versus
RAMPRASAD - Respondents
M. A. 1101 Of 1997
Decided On : 01/18/2000
SANJAY KUMAR AGARWAL, V.P.VERMA
The court considered notional income, age of the claimant, and funeral expenses in enhancing the compensation amount, in accordance with the guidelines under the Motor Vehicles Act.
Headnote:
Compensation - Motor Accidents - The court enhanced the compensation amount for the death of a 15-year-old student in an automobile accident, considering notional income, age of the claimant, and funeral expenses.
Fact of the Case:
The Motor Accidents Claims Tribunal awarded Rs. 50,000 as compensation for the death of a 15-year-old student in an automobile accident. The parents appealed for enhancement of compensation.
Finding of the Court:
The court allowed the appeal, considering the deceased's notional income, age of the claimant, and funeral expenses. The compensation amount was enhanced to Rs. 1,22,000.
Issues: The main issue was the adequacy of the compensation awarded by the Motor Accidents Claims Tribunal for the death of the 15-year-old student in the automobile accident.
Ratio Decidendi: The court considered the guidelines under the Second Schedule to section 163-A of the Motor Vehicles Act, and applied a proper multiplier to calculate the enhanced compensation amount.
Final Decision: The appeal was partly allowed, and the compensation amount was enhanced to Rs. 1,22,000. The insurance company was directed to pay this amount with interest, and the respondents were directed to deposit the amount within a specified period.
( 1 ) VII Motor Accidents claims Tribunal awarded Rs. 50,000 as compensation for the death of Vijay Kumar in an automobile accident on 20. 2. 1996. His parents have filed this appeal against that award, claiming enhancement of compensation.
( 2 ) LEARNED counsel for the appellants argued that the deceased was aged about 15 years and was studying in class VII. He was a meritorious student having bright prospects. The Tribunal limited the compensation to Rs. 50,000 which was awarded by way of interim compensation. This was highly unjustified and inadequate.
( 3 ) HAVING heard the counsel for both sides and having perused the record, we are of the view that the appeal should be allowed. Although the deceased was not an earning member, yet following the guidelines given under the Second Schedule to section 163-A of the Motor Vehicles Act, we would take his notional income to be rs. 15,000 per annum. And considering the age of the claimant and other imponderables, the proper multiplier in our view would be 12. The amount thus calculated comes to Rs. 1,80,000. Making a deduction of 1/3rd, the amount conies to Rs. 1,20,000. Adding thereto a sum of Rs. 2,000 towards funeral expenses, the total amount comes to Rs. 1,22,000.
( 4 ) THE appeal is, therefore, partly allowed. Compensation amount is enhanced to rs. 1,22,000. The insurance company shall pay this amount less the amount already paid with interest at the rate of 12 per cent per annum from the date of petition till realisation.
( 5 ) RESPONDENTS are directed to deposit the aforesaid amount within a period of two months from the date of supply of certified copy of this order failing which the amount shall carry interest at the rate of 15 per cent per annum. On deposit the amount shall be disbursed to the claimants keeping in mind the well settled guidelines laid down by the Apex Court. The award shall be substituted as indicated herein-above. Counsel's fee Rs. 1,000, if pre-certified. Appeal partly allowed.
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