1991 Supreme(MP) 494
I (1992) ACC 686, 1992 ACJ 242
D Dharmadhikari, K.L. Issrani
Kusumlata Trivedi And Ors.
vs
State Of Madhya Pradesh And Ors.
Decided On : 14 November, 1991
The amounts of pension, gratuity, provident fund and other pensionary benefits are not deductible from the total amount of compensation assessed on account of death under the provisions of Section 110-B of the Motor Vehicles Act.
Headnote:
MOTOR VEHICLES ACT, 1939 - SECTION 110-A, 110-B, 110-D - COMPENSATION FOR DEATH - DEDUCTION OF PENSION, GRATUITY, PROVIDENT FUND AND OTHER PENSIONARY BENEFITS - NOT PERMISSIBLE - FUTURE CHANCES OF PROMOTION - TO BE CONSIDERED - MULTIPLIER - 15 - INTEREST - 6% PER ANNUM FROM DATE OF APPLICATION TILL REALISATION.
Fact of the Case:
Deceased Narain Prasad Trivedi, an Acting Deputy Director in the Department of Education, Govt. of Madhya Pradesh, died in a road accident while on duty. His family filed a claim petition under Section 110-A of the Motor Vehicles Act, 1939, seeking compensation of Rs. 1,43,968/-.
Finding of the Court:
The Claims Tribunal held that the driver was negligent and the deceased would have survived for 16 more years, but awarded no compensation as the family had already received ex gratia payment and other benefits. The High Court set aside the award and granted compensation of Rs. 1,26,000/- with interest at 6% per annum from the date of application.
Issues: 1. Whether the Claims Tribunal was right in deducting the amount of pension, gratuity, provident fund and other pensionary benefits from the compensation? 2. Whether the future chances of promotion of the deceased should be considered while assessing compensation? 3. What is the appropriate multiplier to be applied? 4. What is the appropriate rate of interest to be awarded?
Ratio Decidendi: 1. The amounts of insurance, provident fund, gratuity and family pension are not deductible from the total amount of compensation assessed on account of death under the provisions of Section 110-B of the Motor Vehicles Act. Only the payment of ex gratia amount is deductible. 2. The future chances of promotion of the deceased should be considered while assessing compensation. 3. A multiplier of 15 is appropriate in this case. 4. Interest at the rate of 6% per annum from the date of application till realization is appropriate.
Final Decision: The appeal was allowed. The impugned award was set aside and the appellant-claimants were ordered to be paid Rs. 1,26,000/- with interest at the rate of 6% per annum from the date of application till realization.
K.L. Issrani, J.
1. This is an appeal under Section 110-D of the Motor Vehicles Act, 1939, against the award dated 23.2.1981 passed by Mr. M.S. Quraishi, Additional Member, Motor Accidents Claims Tribunal, Satna, in Claim Case No. 113 of 1980 dismissing the whole of the claim petition of the appellant-claimants.
2. The appellant-claimants had filed a claim petition under Section 110-A of the Motor Vehicles Act, 1939 and prayed for compensation of Rs. 1,43,968/-. Their case was that the deceased Narain Prasad Trivedi, the husband of appellant No. 1 and father of appellant Nos. 2 and 3, on 13.10.1979 proceeded on tour to Rewa and therefrom to Maihar in connection with the selection and inspection of the land for establishing Sanskrit Research Foundation. On 15.10.1979, he came to Maihar by vehicle No. MPZ 9230 and went to Sharda Mai Temple for selection and inspection of the land. The said vehicle was being driven by respondent No. 3, who was in service of respondent No. 1. On account of rash and negligent driving the driver lost his balance, as a result of which the said vehicle turned down and the deceased Narain Prasad Trivedi died on the spot. At that time he was 54 years old and could have survived atleast up to 75 years of his age and could have served the Government till 58 years of his age. He was due for promotion to the post of Divisional Superintendent of Education. At the time of accident he was working as Acting Deputy Director in the Department of Education, Govt. of Madhya Pradesh, at Bhopal and was drawing Rs. 1,566/- per month plus Rs. 100/- as Deputation Allowance. He was also getting a sum of Rs. 1.200/- per year as examiner remuneration.
3. The respondent Nos. 1 and 2 admitted that the deceased was working as Acting Deputy Director. It was submitted that on the date of his death he was drawing Rs. 1,200/- per month. It was also admitted that the deceased at the time of accident was on duty, but it was denied that the vehicle was being driven at a high speed by the respondent No. 3.
4. The respondent No. 4 Ratna Mandloi was a formal party. According to the appellants she was daughter of deceased Narain Prasad Trivedi, but was married in lifetime of Narain Prasad Trivedi and was not dependent on him. She has not filed any separate written statement or claim.
5. After assessing the evidence led by both the parties, the learned Member, Motor Accidents Claims Tribunal held that the driver was negligent in driving the vehicle. It was further held that the deceased would have survived for 16 years more and the appellant-claimants were entitled to receive a sum of Rs. 18,000/-, but they were not granted anything because according to the Tribunal they had already received ex gratia payment of Rs. 8,238/- and Rs. l0,000/- as Family Benefit Fund but Rs. 10,000/- as gratuity and other pensionary benefits still remained to be paid. Hence, the appellant-claimants have filed the present appeal.
6. The submission of the learned Counsel for the appellants is that the deceased would have survived up to 75 years of age. The Claims Tribunal was wrong in deducting the amount of pension, gratuity, provident fund and family pension etc. The Claims Tribunal also erred in ignoring the fact that there were future chances of promotion of the deceased Narain Prasad Trivedi. The multiplier applied was also not just. In any case, the Claims Tribunal was wrong in not awarding any amount to the appellant-claimants.
7. The learned Counsel for the respondent Nos. 1 to 3 has only supported the award passed by the Claims Tribunal.
8. The first point which is to be seen is whether the Claims Tribunal was right in deducting the amount of pension, gratuity, provident fund and other pensionary benefits. Full Bench decision of this Court in Kashiram Mathur v. Rajendra Singh 1983 ACJ 152 (MP), held that the amounts of insurance, provident fund, gratuity and family pension are not deductible from the total amount of compensation assessed on account of