IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE GOPINATH P.

WEDNESDAY, THE 12^TH DAY OF MARCH 2025 / 21ST PHALGUNA, 1946 OP (MAC) NO. 47 OF 2020 AGAINST THE ORDER DATED 06.02.2020 IN I.A. NO.2160 OF 2018 IN OP(MV) NO.854 OF 2002 OF MOTOR ACCIDENT CLAIMS TRIBUNAL, MUVATTUPUZHA PETITIONER/JUDGMENT DEBTOR:

BRANCH MANAGER, NATIONAL INSURANCE COMPANY LIMITED, PERUMBAVOOR, REPRESENTED BY ITS MANAGER, REGIONAL OFFICE, M.G.ROAD (PO), ERNAKULAM, PIN-682035 BY ADV SEBASTIAN VARGHESE RESPONDENT/DECREE HOLDER:

1 BELLA BENNY, W/O. BENNY, PULLAN HOUSE, KEERAMPARA (PO), KEERAMPARA VILLAGE, KOTHAMANGALAM, PIN-689691.

2 GEORGE KUTTY BENNY (MINOR), S/O. BENNY, REPRESENTED BY HIS MOTHER AND LEGAL GUARDIAN, BELLA BENNY, W/O. BENNY, PULLAN HOUSE, KEERAMPARA (PO), KEERAMPARA VILLAGE, KOTHAMANGALAM, PIN-689691.

(APPEARING THROUGH POWER OF ATTORNEY BY HIS UNCLE WILSON GEORGE S/O. GEORGE (AADHAR NO 686291621479) AGED

50 YEARS, PULLAN HOUSE, KEERAMAPA P.O., KOTHAMANGALAM)

3 THRESSIAMMA GEORGE, W/O. GEORGE, PULLAN HOUSE, KEERAMPARA (PO), KEERAMPARA VILLAGE, KOTHAMANGALAM, PIN-689691 BY ADV ANEY PAUL THIS OP (MAC) HAVING BEEN FINALLY HEARD ON 12.03.2025, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:

JUDGMENT

This Original Petition has been filed challenging Exhibit P9 order of the Motor Accidents Claims Tribunal, Muvattupuzha (hereinafter referred to as ‘the Tribunal’) in I.A. No.2160 of 2018 in OP(MV) No.854 of 2002.

2. The brief facts which are necessary to be noticed for considering the issues raised in this Original Petition are as follows:-

The respondents were claimants in OP(MV) No.854 of

2002. The Tribunal, by Exhibit P1 Award found that the respondents were entitled to a sum of Rs.24,73,000/- with interest at the rate of 8.5% per annum from date of application till the date of deposit. Exhibit P1 Award was challenged before this Court by the petitioner-Insurance Company as also by the claimants. The appeal filed by the claimants was allowed by enhancing the award amount by a sum of Rs.2,26,500/ while the appeal filed by the Insurance Company was dismissed. At the time of admission of the appeal filed by the Insurance Company (M.A.C.A. No.2747 of 2008), this Court passed an order in I.A. No.3212 of 2008 in MACA No.2747 of 2008, directing that the there will be an interim stay for three months on condition that the appellant (Insurance Company) deposits 50% of the amount awarded before the Tribunal within one month from that date. The petitioner-Insurance Company deposited a sum of Rs.20 lakhs on 17.04.2010. By Ext.P9 order, the Tribunal relying on judgment of the Supreme Court in Gurpreeth Singh V. Union of India; (2006) 8 SCC 457, come to the conclusion that where there is a deposit of amounts on account of a decree for money, the Judgment Debtor would be entitled to appropriate the money deposited, first against interest, then against costs and thereafter, against the principal amount. The Tribunal, therefore held that the amount of deposit of Rs.20 lakhs made on 17.04.2010 can be appropriated in terms of Ext.P8 statement filed by the respondents and directed to make payment within one month from that date. According to the petitioner- Insurance Company appropriation should be as set out in Exhibit P10 statement. The difference between Exhibits P6 and P10 appear to be that while the respondents/Claimants have appropriated the deposit first against the interest due on the date of deposit, the Insurance Company has treated the deposit as having been appropriated by paying 50% of the interest due and 50% of the principal amount due.

3. Learned counsel appearing for the petitioner-

Insurance Company vehemently submits that when this Court had directed deposit of 50% of the Award amount, the term ‘Award amount’ includes principal and interest. It is submitted that, the deposit of Rs.20 lakhs on 17.04.2010 would therefore have to be against 50% of the interest due and 50% of the principal amount due and if calculated in that manne