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2026:CGHC:20203

HIGH COURT OF CHHATTISGARH AT BILASPUR

MAC No. 1432 of 2016

Divisional Manager, The New India Insurance Company Ltd. Raipur

Division Office No.1, First Floor, Madina Building, Kutchery Chowk, Raipur,

Distt. Raipur, Chhattisgarh, Through Authorised Signatory, The New India

Insurance Company Ltd, Divisional Office Second Floor, Rama Trade

Centre, in front of Rajeev Plaza, Dist. Bilaspur,

Chhattisgarh ................Insurer (Non-applicant No. 3)

... Appellant

versus

1 - Krishna Kumar Sahu S/o Late Pushau Ram Sahu, Aged About 43 Years

R/o Gram Nisda, Thana- Arang, District Raipur, Chhattisgarh,

Chhattisgarh.

2 - Sohadra Bai Sahu W/o Shri Krishna Kumar Sahu, Aged About 41 Years

R/o Gram Nisda, Thana- Arang, District Raipur, Chhattisgarh.

3 - Lokesh Kumar Sahu S/o Shri Krishna Kumar Sahu, Aged About 20

Years R/o Gram Nisda, Thana- Arang, District Raipur, Chhattisgarh.

4 - Kishore Kumar Sahu S/o Krishna Kumar Sahu, Aged About 18 Years

R/o Gram Nisda, Thana- Arang, District Raipur,

Chhattisgarh .................Claimants.

5 - Hem Singh Chouhan S/o Shri Alakh Singh Chouhan, Aged About 35

Years R/o Village Age Post Lakhouli Bhatapara, Police Station- Arang,

District- Raipur, Chhattisgarh...............Driver (Non-applicant No.1).

6 - Yugal Kishore Sharma S/o Shri Lok Nath Sharma, Aged About 37 Years

R/o Suman Colony Arang, Distt. Raipur, Chhattisgarh ....Owner (Non-

applicant No.2) ... Respondents

For the appellant : Mr. B. N. Nande, Advocate

For respondent no.5 : Mr. S. P. Sahu, Advocate

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(Hon’ble Shri Justice Sanjay Kumar Jaiswal)

Judgment on Board

30/04/2026

1. This appeal under Section 173 of Motor Vehicles Act, 1988 (for

short “MV Act”) has been filed seeking modification or setting aside

the award dated 20.07.2016 passed by the learned VIII MACT,

Raipur, in Claim Case No.127/2015 as against the appellant.

2. As per the pleadings of the claim application filed under Section

166 & 140 of the MV Act, the claimants/respondents 1 to 4 herein

are the parents and siblings of deceased. On 06.01.2015 deceased

Dugeshwar who was pillion rider with rider of motorcycle Deman Lal

Sahu was going to Shriram Auto Centre Showroom. At about 1.00

p.m., the offending vehicle Hywa Truck bearing Regn.No.C.G.04-HQ-

8625 driven by respondent no.5 Hem Singh in a rash and negligent

manner hit the motorcycle from behind and ran over crushing

deceased’s head, due to which, he died on the spot. The claimants

being legal heirs of deceased filed claim application seeking a total

compensation of Rs. 27 lakhs on various heads.

3. The learned claims Tribunal after appreciating the facts and

evidence granted a total compensation of Rs. 5,86,000/- with annual

interest @ 6% from the date of claim petition till the date of payment.

While passing the impugned award, the Tribunal has found that the

insurer admitted the fact that the offending vehicle was insured

under its policy for the period from 12.12.2014 to 11.12.2015; it is

not proved that the owner and driver violated the policy conditions

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and the Insurance Company will be liable for the owner’s liabilities.

Therefore, being the insurer of the offending vehicle the appellant is

primarily responsible for paying the above compensation amount of

Rs. 5,86,000/-. Hence the appeal has been filed for

modification/setting aside that part of the order.

4. The submission of learned counsel for the appellant is that the

owner of the offending vehicle had no permit from the RTA at the time

of accident, therefore, there was fundamental breach of insurance

policy. He further contends that the learned Tribunal has failed to

appreciate the evidence of witness Ramchandra Kunjam, (NA-3) who

being an official of RTA, Raipur had categorically deposed that at the

time of accident, no permit was issued. The permit was issued on

07.01.2015 effective from 08.01.2015 to 07.01.2020 whereas the

accident occurred on 06.01.2015. He relies on a case law

reported in Amrit Paul Singh v. TATA AIG General Insurance Co.

Ltd. (2018) 7 SCC 558 and contends that drivin