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2026 Supreme(Telangana) 235

HIGH COURT FOR THE STATE OF TELANGANA
SUDDALA CHALAPATHI RAO, J.
G. Hemalatha, w/o. late G. Nagaraju and others – Appellants
Versus
S. Narsimha, s/o. Ramachandraiah and Another – Respondents
MACMA Nos.413 & 555 of 2022
Decided On : 09-01-2026

Advocates Appeared:
Mr. P. Ramakrishna, Mr. A. Ramakrishna Reddy.

Negligence in vehicle accidents is evaluated under civil standards where eyewitness testimony is critical, irrespective of contradictions in criminal proceedings, impacting compensation assessment.

Headnote:(A) Motor Vehicles Act, 1988 - Section 166 - Appeal filed for compensation for death in motor accident - Claimants sought Rs.42,00,000/- for the deceased, who was involved in an accident caused by a rash driving of a vehicle - The Tribunal awarded Rs.31,89,560/- which was disputed by both parties - Evidence was reviewed including eyewitness accounts leading to the conclusion that the accident was caused by negligent driving. (Paras 3, 7, 18)

(B) Negligence - Determination of fault in accident - Standard of proof in civil proceedings differs from criminal proceedings; adverse testimony in criminal cases does not entirely discredit eyewitness accounts in civil suits - Appellate courts regard comprehensive and relevant subsequent evidence while deciding claims based on principles of justice and equity. (Paras 17, 19)

(C) Compensation - Tribunal erred in assessing income of deceased for compensation calculation, failing to factor in all relevant deductions - Recalculation done according to established legal principles, total compensation of Rs.40,12,488/- granted with interest. (Paras 22, 25, 27)

Facts of the case:
Deceased, aged 30, was a driver earning Rs.20,000/- per month, died due to an accident caused by the rash driving of a car.

Issues: Whether the accident was due to the negligent act of the car driver and the appropriate calculation for compensation?

Findings of Court:
The Tribunal concluded the accident was caused by negligent driving and awarded compensation, later upheld and modified by the High Court.

Ratio Decidendi: The court emphasized the civil standard of evidence acceptance, upheld the integrity of eyewitness testimony despite conflicting criminal testimonies, and mandated proper compensation evaluation framework.

Result: Insurance appeal dismissed, claimants' appeal partly allowed with increased compensation.

Table of Content
1. claim for compensation due to accident (Para 1 , 2 , 3)
2. disputed claims and grounds for appeal (Para 4 , 9 , 10 , 11 , 12)
3. analysis of evidence and witness credibility (Para 5 , 6 , 7 , 14 , 15 , 16 , 17 , 18 , 20 , 24)
4. legal definitions of 'pecuniary advantage' (Para 21 , 22)
5. final ruling on compensation (Para 26 , 28 , 29)

JUDGMENT :

SUDDALA CHALAPATHI RAO, J.

MACMA No.413 of 2022 is an appeal filed by the claimants and MACMA No.555 of 2023 is an appeal filed by the insurance company. Considering the fact that these two appeals arise out of the same award and decree dated 28.02.2022 passed in M.V.O.P.No.309 of 2015 on the file of the Chairman, Motor Accident Claims Tribunal-cum-XIII Additional Chief Judge (FTC), City Civil Court, Hyderabad, (for short, “the Tribunal”), these two appeals are taken up together and decided by this common judgment.

2. For convenience, the parties hereinafter will be referred to as they are arrayed before the Tribunal.

3. The brief facts leading to filing of these two appeals are that, M.V.O.P.No.309 of 2015 was filed under Section 166 of the Motor Vehicles Act, 1988, by the wife, children and parents of Nagaraju (hereinafter referred to as “the deceased”), against respondent Nos.1 and 2 therein, who are the owner and insurer of the crime vehicle, claiming compensation of Rs.42,00,000/- for the death of the deceased in an accident.

3.1. It is averred that on 04.10.2014 at about 8.00 p.m., the deceased was proceeding on his motor cycle bearing registration No.AP-24-AD-6613 from Khaitapuram to Mallareddygudem and when he reached near flyover bridge at the outskirts of Koyalagudem village, one Maruthi Swift Car bearing registration No.AP-24-AS-4949 (hereinafter referred to as ‘crime vehicle’), driven by its driver in rash and negligent manner, dashed from back side of the vehicle of the deceased, due to which the deceased fell down on the ground and succumbed to injuries on the spot.

3.2. The Police, Choutuppal P.S., registered a case in Crime No.315/2014 under Section 304-A IPC against the driver of the crime vehicle and subsequently, on completion of investigation laid a charge-sheet.

3.3. It is averred that the deceased was aged 30 years, hale and healthy and was working as driver of the APSRTC Bus, Bandlaguda Depot, Hyderabad, and was earning Rs.20,000/- per month and contributing the same for maintaining his family. Further, it is contended that due to the ultimately demise of the deceased in the accident, the claim petitioners have lost their sole source of dependency and thus, prayed for grant of just and fair compensation vide the said MVOP.

4. The respondent No.1/owner of the crime vehicle remained ex parte. The respondent No.2-insurance company filed counter denying the manner in which the accident took place including the age, avocation and income of the deceased. It is contended that there was no negligence on the part of the driver of the crime vehicle and accident occurred only due to negligent driving on the part of the deceased, who drove the vehicle without having any driving licence, and it was averred in the first instance that Ex.A1-First Information Report was lodged against a unknown vehicle and later on the crime vehicle was planted with the active collusion of the respondent No.1 i.e., owner of the crime vehicle with the claimants, as the deceased and owner of the crime vehicle belonged to the same village. Further, it is averred that the main witness P.W.2, who was examined before the Tribunal, has stated that he has witnessed the accident, however, in the trial in criminal case against the driver of the crime vehicle, he stated that he did not witness the incident and do not know anything about the incident. Thus, the insurance company prayed to dismiss the claim petition.

5. On the basis of the above pleadings, the Tribunal framed the following issues:-

1. Whether the accident took place due to rash and negligent driving of the Maruthi Swift Car bearing No.

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