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2022 Supreme(Online)(KAR) 45

HIGH COURT OF KARNATAKA
MR. PRADEEP SINGH YERUR, J
UNITED INDIA INSURANCE CO., LTD. – Appellant
Versus
SRI NAGENDRA – Respondent
MISCELLANEOUS FIRST APPEAL NO.8801 OF 2018 (WC) | MISCELLANEOUS FIRST APPEAL NO.334 OF 2020 (ECA)



Advocates:
For the Appellants/Petitioners: SRI SEETHA RAMA RAO B.C., SMT.SUMA KEDILIYA
For the Respondents: SRI V.PADMANABHA KEDILAYA, B.C.SEETHA RAMA RAO

The loss of one eye resulting in total incapacity to continue the driving profession constitutes 100% loss of earning capacity under the Employees’ Compensation Act.

Headnote:(A) Employees’ Compensation Act, 1923 - Section 4(1) - Compensation and assessment of loss of earning capacity - The trial Court awarded Rs.7,88,423/- with 12% interest for injuries sustained by the petitioner in a hit-and-run accident. The insurer challenged the assessment of earning capacity at 100% - Court upheld the trial Court’s decision based on total loss of eyesight in one eye and agreed upon minimum wage rates. (Paras 4, 11, 12, 28).

(B) Assessment of income - The court discussed the impact of the injuries on the petitioner's ability to perform his job as a driver and established that the assessment of monthly income should adhere to statutory minimum wages as defined by relevant gazette notifications. (Paras 13, 20).

Facts of the case:
The petitioner was injured in a hit-and-run incident while working as a driver, leading to permanent vision loss in his left eye. Authorities determined he was entitled to compensation based on his established earnings and the severity of his injuries.

Findings of Court:
The Court concluded the petitioner has a total loss of earning capacity due to his condition, awarding a total of Rs.10,48,715/-.

Issues: The key issues included whether the trial court misassessed the compensation and the application of interest from the accident date.

Ratio Decidendi: The Court ruled that the complete loss of eyesight constituted 100% loss of earning capacity under the Act, and interest from the accident date was justified.

Result: Appeals concluded with an enhancement of compensation in favor of the petitioner.

Table of Content
1. review of facts surrounding the accident. (Para 1 , 4 , 5)
2. discussion on the significance of lost earning capacity due to injury. (Para 7 , 10 , 11 , 20)
3. assessment of income considering minimum wage laws. (Para 8 , 12)
4. final conclusion on the loss of capacity due to injuries. (Para 28 , 30)

JUDGMENT

MFA.No.8801/2018 is preferred by the Insurance Company whereas MFA.No.334/2020 is preferred by the petitioner challenging the judgment and award dated 13.07.2018 passed in ECA .No.11/2014 by the Senior Civil Judge and JMFC and Motor Accident Claims Tribunal, H.D.Kote (for short ‘trial Court’). The appeal preferred by the Insurer is premised on the ground of perversity, arbitrariness and exorbitant amount of compensation awarded, whereas the appeal preferred by the petitioner is premised on the ground of wrong assessment of income and inadequacy of compensation.

2. Parties to the appeals shall be referred to as per their status before the trial Court.

3. Brief facts of the case is as under:

Petitioner was an employee under respondent No.1, wherein he was working as a driver of jeep bearing registration No.KA-12-M-4781. On 01.05.2011, at about 9.30 p.m. when petitioner was driving the jeep as mentioned above along with another person from hand post of H.D.Kote Taluk towards Antharasanthe Village on Mysuru-Manandawadi Road, near Anagatti gate, on the left side of the road, a vehicle came from the opposite direction and dashed against the petitioner’s jeep. Pursuant to the accident, the said unknown vehicle without stopping the vehicle, absconded from the spot whereby it is a hit and run case. Due to the impact of the said accident, petitioner and another occupant namely, Devaraju @ Devaiah sustained injuries. Petitioner sustained injuries on his face, left eye and other parts of the body, whereas the other occupant namely, Devaraju succumbed to the injuries at the spot itself.

3.1. Immediately after the accident, petitioner was shifted to Government Hospital, H.D.Kote and after obtaining first aid treatment, he was shifted to K.R.Hospital, Mysuru for better treatment, where he was admitted as an inpatient in the said Hospital. Petitioner sustained the following injuries:

a) Abrasion on left humerus;

b) Injuries on face and head;

c) Injury on left leg knee joint;

d) Injury on left eye; 3.2.

Due to the injuries sustained by the petitioner in the accident, his left eye was severely damaged and pursuant to the surgery being to the left eye, he came to be discharged on 09.05.2011. Pursuant to discharge from the Hospital in view of post-operation complications, he took further treatment on OPD basis. In view of injuries sustained in the accident and severely on the left eye, the petitioner has lost his left eye vision completely and thereby sustained permanent visual disability resulting in his incapacity to do his avocation of driving employment. Thus, the petitioner suffered loss of future earning capacity in view of injuries sustained in the accident.

3.3. It is stated by the petitioner that prior to occurrence of accident, he was hale and healthy and aged 24 years as on date of occurrence of accident and was earning an income of Rs.200/- as daily wages and Rs.50/- as bata per day.

3.4. In view of the accident, petitioner lodged a complaint before H.D.Kote Police Station and consequently, the Police registered an FIR in Crime No.147/2011 on 02.05.2011 for the offences punishable under Sections 279, 337, 304(A) of IPC read with Section 134(A) and (B) of the IMV Act. It is stated by the petitioner that the accident occurred during the course of employment and arising out of employment with the employer namely, respondent No.1. It is further stated that since petitioner was in employment with respondent No.1, there exists relationship of employee and employer and that respondent No.1 employer of the said vehicle, involved in the accident, had insured the vehicle with respondent No.2-Insurance Company. Hence, respondent Nos.1 an

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