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120

IN THE HIGH COURT OF PUNJAB AND HARYANA AT

CHANDIGARH

FAO-850-2019 (O&M)

Date of Decision : 22.12.2025

RENU BALA AND ORS .... Appellants

VERSUS

SAVITA THAPER AND ANR .... Respondents

CORAM : HON’BLE MRS. JUSTICE ALKA SARIN

Present : Mr. Anil Kumar Spehia, Advocate for the appellants.

Mr. R.C. Gupta, Advocate for respondent No.2.

ALKA SARIN, J. (ORAL)

1. At the outset, learned counsel for the appellants states that he

does not press the present appeal under Section 166 of the Motor Vehicles

Act, 1988 and seeks enhancement of compensation under Section 163-A of

the Motor Vehicles Act, 1988 only.

2. Ordered accordingly.

3. The present appeal has been preferred by the claimant-appellants

challenging the award dated 07.12.2018 passed by the Motor Accident Claims

Tribunal, Jalandhar (hereinafter referred to as ‘the Tribunal’) whereby only

an amount of ₹50,000 had been awarded as compensation under no fault

liability under Section 140 of the Motor Vehicles Act along with interest @

8% per annum from the date of filing of the claim petition till realization.

4. The claim petition in the present case was filed under Section

163-A of the Motor Vehicles Act, 1988 and as such there would be no

AMAN JAIN

2025.12.23 09:37

I attest to the accuracy and

integrity of this

order/judgment

FAO-850-2019 (O&M) -2-

question of future prospects.

5. Learned counsel for the claimant-appellants while relying upon

the judgment of the Hon’ble Supreme Court in Ram Murti & Ors. Vs.

Punjab State Electricity Board [2023 ACJ 631] has contended that the

amount of ₹50,000 awarded as compensation by the Tribunal is on the lower

side. Learned counsel would further contend that drawing parity from the

aforesaid judgment, the claimant-appellants would also be entitled to at least

₹5,00,000 as compensation.

6. Learned counsel for respondent No.2-Insurance Company has

contended that the judgment in the case of Ram Murti (supra) is not

applicable in the present case and that sufficient amount had already been

awarded as compensation and there is no scope of any enhancement.

7. Heard.

8. Vide the Motor Vehicles (Amendment) Act, 32 of 2019 Chapter

X stands omitted and substituted by Chapter XI. Section 163-A falls in

Chapter XI of the unamended Motor Vehicles Act, 1988 and the same has

now been replaced by Section 164 and in view thereof, the judgment of the

Hon’ble Supreme Court in the case of Ram Murti (supra) would be fully

applicable in the present case.

9. The Hon’ble Supreme Court in the case of Ram Murti (supra)

has held as under :

“7. The provisions of Section 140 which formed a part

of Chapter 10 of the Motor Vehicles Act 1988 were omitted

by Act 32 of 2019. Simultaneously, Chapter 11 was

AMAN JAIN

2025.12.23 09:37

I attest to the accuracy and

integrity of this

order/judgment

FAO-850-2019 (O&M) -3-

substituted of which Section 164 provides for payment of

compensation in the case of death in the amount of

Rs.5,00,000/- and in the case of grievous hurt of

Rs.2,50,000/-.

8. We are inclined to give the appellants the benefit of

the beneficial provisions which have been enacted by

Parliament. Hence, in modification of the order of the

High Court, we direct that the appellants shall be entitled

to an amount of Rs.5,00,000/- as compensation. However,

if the amount of Rs.50,000 which has been awarded by the

High Court has already been paid over, the balance (or

the entirety of Rs.5,00,000/- if no amount has been paid)

shall be paid over to the appellants by 30 November

2022.”

10. In view of the above, the present appeal is disposed off and the

amount of compensation is enhanced to ₹5,00,000. The amount in excess of

and over and above the amount awarded by the Tribunal shall also attract

interest @ 7.5% per annum from the date of filing of the claim petition till the

realization of the entire amount. The amount shall be apportioned between the

claimant-appellants as directed by the Tribunal. Accordingly, the award

passed by the Tribunal is modified. Pending applications, if any, also stand

disposed off.

22.12.2025 (AL