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2014 Supreme(Online)(MP) 134

MADHYA PRADESH HIGH COURT
Brij Kishore Dube, J.
Chandra and Another v. Ranveer Singh Ramavtar and Others
M.J.C. No. 35 of 2012



Legal heirs of deceased are not required to obtain a succession certificate for compensation amounts awarded for death claims.

Headnote:This civil revision under S.115 of the Code of Civil Procedure, 1908 is directed against an order dated 13.9.2012 from the Additional Motor Accidents Claims Tribunal, Gwalior, which denied the release of funds from an FDR to the claimants for lack of a succession certificate. The claimants, being the legal representatives of the deceased, argued that no such certificate was necessary. The Tribunal's insistence on a succession certificate was deemed legally unfounded as the compensation amount awarded could not be classified as a debt or security. The Apex Court in a prior case clarified that compensation awarded for death claims does not fall under the requirements for succession certificates, thus indicating the legal representatives' rights to claim compensation directly. Accordingly, the civil revision is allowed, nullifying the prior order and requiring the Tribunal to re-evaluate the claim expeditiously in line with the judgment.

Table of Content
1. civil revision initiated regarding fund release. (Para 1 , 2)
2. claimants argue against succession certificate requirement. (Para 3)
3. court finds no legal basis for requiring a succession certificate. (Para 4 , 5 , 6)
4. civil revision is allowed and the prior order set aside. (Para 7 , 8)

1. This civil revision under S.115 of the Code of Civil Procedure, 1908 is directed against the order dated 13.9.2012 passed in M.J.C. No. 35 of 2012 by Tenth Additional Motor Accidents Claims Tribunal, Gwalior, whereby the application of revisionists - claimants for release of the amount kept in the FDR of the deceased Gabbar Singh has been rejected with a direction to the revisionists - claimants to obtain and produce the succession certificate.

2. Facts in brief are that revisionists - claimants along with husband of claimant No. 1 and father of claimant No. 2, late Gabbar Singh, had jointly filed a claim petition under S.166 and S.140 of the Motor Vehicles Act, 1988 for compensation on account of death of son of claimants, Chandra and Gabbar Singh and brother of claimant, Maina, namely, Anand, who died in a motor accident. The claimants (Chandra, Gabbar Singh and Maina) succeeded in the claim case and the Tribunal awarded an amount of Rs. 3,73,000 with costs and interest. Consequently, the insurance company deposited the amount with the Claims Tribunal, out of which Rs. 75,000 was invested in the name of Gabbar Singh by way of FDR on 17.7.2007 for a period of five years. However, in between, Gabbar Singh, who is father of the deceased, Anand and the claimant No. 2, Maina and husband of the claimant No. 1, Chandra met natural death on 1.6.2011. When the heirs (revisionists - claimants) of the deceased Gabbar Singh applied for disbursement of the amount kept in the FDR, the said application has been rejected by the Additional Motor Accidents Claims Tribunal, Gwalior and they were asked to obtain and produce the succession certificate for the release of the amount kept in the FDR of Gabbar Singh (since deceased) by the impugned order.

3. Learned counsel for the revisionists submits that the claimants are the legal representatives of the deceased Gabbar Singh as well as deceased Anand, therefore, the learned Claims Tribunal ought not to have insisted for production of succession certificate by the claimants.

4. Having heard the learned counsel for the revisionists and on going through the impugned order dated 13.9.2012, I am of the considered view that the approach of the learned Additional Motor Accidents Claims Tribunal, Gwalior is erroneous and could not be sustained in law. There is no need to direct to obtain and furnish succession certificate especially when there is no claim for the amount in question from anyone else.

5. Admittedly, there were only three claimants, namely, parents (Chandra and Gabbar Singh) and sister (Maina) of the deceased Anand and after award was passed in their favour, one of them, i.e., Gabbar Singh, had died before disbursement of the amount kept in the FDR. It is not disputed that the revisionists - claimants (Chandra and Maina) are the class - I heirs of the deceased Gabbar Singh.

6. Succession certificate has to be insisted only in cases of debts or securities to which a deceased is entitled. Amount awarded as compensation to an individual can never be treated as debt or security. Therefore, no succession certificate is required to be furnished by the present claimants. The Apex Court in the case of Rukhsana v. Nazrunnisa , 2000 AIR SCW 4941, held that the amount awarded as compensation on account of death of an individual cannot be treated as debt or security and legal heirs of the deceased cannot be asked to obtain and produce succession certificate. The relevant part of the judgment is reproduced as under:
"(3) We cannot approve the said view of the High Court, for succession certificate as envisaged in the Indian Succession Act can be granted only in respect of 'debts' or 'securities' to wh



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