IN THE HIGH COURT OF MADHYA PRADESH AT INDORE BEFORE HON'BLE SHRI JUSTICE BINOD KUMAR DWIVEDI st ON THE 21 OF JANUARY, 2026 MISC. APPEAL No. 2174 of 2016 SMT. SHARDABAI AND OTHERS Versus JAHID SHAH AND OTHERS Appearance:

Shri Pourush Ranka - Advocate for the appellants.

None for the Respondents.

ORDER This Misc. Appeal under Section 173(1) of the Motor Vehicles Act, 1988 has been preferred against the award dated 27/08/2016 passed by II Member, Motor Accident Claims Tribunal, Mandsaur (M.P.) in Claim Case No.15/2016, whereby an award of Rs.4,37,000/- along with interest @ 8% per annum has been awarded fastening the liability on respondent No.1 / owner and driver of the vehicle, which met with an accident resulting in death of deceased Kanhaiyalal and exonerating the respondent No.2 - Insurance Company from the payment of compensation on the ground that the vehicle was being driven without licence and permit.

2) Brief facts of the case are that on 12/05/2013 at about 03:00 pm deceased being a pillion rider was going on motorcycle with son Govind from Ratlam to Sabakheda. When he reached near Village Aakya, near Sarsod Fanta, Tata Magic vehicle bearing registration number MP-43-P-

0232 driven by the respondent No.1 rashly and negligently came from wrong side and hit the motorcycle, whereby the deceased Kanhaiyalal and his son fell down and deceased suffered grievous injury in his head and passed away while being taken to the Hospital for treatment. The incident was reported to Police Station Bhawgar, Mandsaur, where offence under 279, 337 and 304-A of IPC was registered at Crime No.160/2013. Due to untimely and accidental death of deceased Kanhaiyalal, his survivors have filed claim petition for grant of compensation of Rs.12,50,000/-.

3) In the claim petition, respondent No.1 did not appear even after service of notice on him, therefore, the case was proceeded ex parte against him. Respondent No.2 - National Insurance Company Ltd. defended claim petition on the ground that on the date of accident, respondent No.1 was not the owner and driver of the Tata Magic vehicle and if it is found that he was driving the vehicle, even then he was not having valid Driving License to drive the aforesaid vehicle and no permit and fitness was there. At the time of accident, this vehicle was being driven against the conditions of registration, fitness, permit and insurance, therefore, Insurance Company is not liable for payment of any compensation to the claimants.

4) After framing relevant issues, learned Claims Tribunal came to the conclusion that though claimants are entitled for an award of Rs.4,37,000/- but the Insurance Company is not liable as vehicle was being driven against the terms and conditions of the Insurance Police without permit and valid license.

5) Even after service of notice, none appeared on behalf of the respondents' side.

6) Learned counsel for the appellants / claimants submits that learned Claims Tribunal has wrongly exonerated the National Insurance Company Ltd. from the liability of payment of compensation. Driving License (Ex.-D/4) of respondent No.1 was filed, which was issued on 06/07/2002 and was valid up to 05/07/2022, whereas the accident took place on 12/05/2013. Inviting attention of this Court towards the judgments delivered by the Apex Court in the case of Mukund Dewangan Vs. Oriental Insurance Company Limited reported in (2017) 14 SCC 663; and Bajaj Alliance General Insurance Company Limited Vs. Rambha Devi and Others reported in (2025) 3 SCC 95, learned counsel submits that Gross Vehicle Weight (GVW) of the offending vehicle was under 7500 Kilogram and the driver of the vehicle was having license of Light Motor Vehicle (LMV), which is apparent from the Ex.-D/4, therefore, he was entitled to drive the aforesaid vehicle. On this count, he submits that award passed by the learned Claims Tribunal exonerating the Insurance Company on the ground of lack of Driving License is not in accordance with law.

6.1) He further s