Judicial Analysis Court Copy Headnote Facts Arguments Court observation

2025 Supreme(Online)(Tel) 67328

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
Gadi Praveen Kumar, J
Iffco Tokio General Insurance Co. Ltd. – Appellant
Versus
Badavath Balkishan – Respondent
M.A.C.M.A. Nos.22 and 922 of 2024

Advocates:
For the Appellants/Petitioners: A.Ramakrishna Reddy
For the Respondents: A.Rajashekar Reddy, S.Surender Reddy

In motor accident claims, when an insurer proves through credible database records that the insurance policy relied upon by the claimant is fake, the evidentiary burden shifts to the claimant to prove the document's authenticity; absent such proof, the insurer remains exempt from liability.

Headnote:(A) Motor Vehicles Act, 1988 - Section 149 and 168 - Insurance policy - Authenticity of documents - Burden of proof - Where an insurer places credible and verifiable records negating the existence of a policy, the onus shifts to the claimant to prove the genuineness of the document - Photocopies of unverified insurance policies without digital authentication do not establish a contract of insurance. (Paras 32-35)

(B) Evidence - Indian Evidence Act, 1872 - Section 106 - Burden of proof regarding source of document - A party asserting a positive fact, such as the existence of a valid insurance policy, must prove it; the insurer cannot be compelled to prove the negative fact of non-issuance when official records contradict the claimant’s document. (Para 34, 36)

Facts of the case:
The appellants challenged the award of compensation awarded by the Motor Accident Claims Tribunals, arguing that the insurance policy relied upon by the claimants to hold the insurance company liable for the accident involving an oil tanker was fake and fabricated. The insurer produced official registers and evidence of a police complaint to demonstrate that the policy was never issued for the crime vehicle.

Findings of Court:
The Court found that the policy produced by the claimants lacked material authenticity (QR codes, digital signatures) and differed from the insurer’s official records. Consequently, the Court held that no contract of insurance existed between the owner of the vehicle and the insurance company.

Issues: Whether the insurance company is liable to indemnify the owner when the policy relied upon is alleged to be fabricated and whether the burden of proof lies on the claimant to establish the authenticity of the insurance policy.

Ratio Decidendi: The insurer successfully produced contemporaneous official records to disprove the document's validity. Since the claimant failed to provide credible evidence of the policy's source or procurement, the insurer could not be held liable for compensation. The principle that third-party rights cannot override the need for proof of a valid contract of insurance was reaffirmed.

Result: Appeals allowed; orders of the Tribunal set aside.

Table of Content
1. consolidation of appeals involving a motor vehicle accident and factual background. (Para 2 , 3 , 4 , 5 , 6)
2. summary of original claims, issues framed by tribunals, and evidence presented by all parties. (Para 7 , 8 , 9 , 10 , 11 , 12 , 13 , 14)
3. arguments concerning the validity of insurance policies and liability of the insurer. (Para 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22 , 23 , 24)
4. evaluation of evidence, including police reports and policy register entries regarding fake documents. (Para 25 , 26 , 27 , 28 , 29 , 30 , 31)
5. burden of proof and the necessity of establishing a valid insurance contract. (Para 32 , 33 , 34 , 35 , 36 , 37 , 38)
6. distinguishing case laws and final determination on liability and claims. (Para 39 , 40 , 41 , 42 , 43 , 44 , 45 , 46)

1. Whether Reporters of Local newspapers

may be allowed to see the Judgments? : Yes

2. Whether the copies of judgment may be

Marked to Law Reporters/Journals? : Yes

3. Whether His Lordship wishes to

see the fair copy of the Judgment? : Yes

___________________________

GADI PRAVEEN KUMAR, J

COMMON JUDGMENT:

Dated 15.10.2025

Between:

IFFCO TOKIO General Insurance Co. Ltd. ... Appellant

VERSUS

1. Badavath Balkishan and others ... Respondents.

Counsel for Appellant : Sri A.Ramakrishna Reddy

Counsel for Respondents : Sri A.Rajashekar Reddy

Sri S.Surender Reddy

GIST :

HEAD NOTE :

Cases referred :

1. MAC Appeal No.7 to 2020 to 09 to 2020

2. C/FA/4114/2009 dated 28.01.2022

Heard Sri A.Ramakrishna Reddy, learned counsel for the appellant and Sri A.Rajashekar Reddy and Sri S.Surender Reddy, learned counsel for the respondents at length and perused the record.

2. M.A.C.M.A.No.22 of 2024 is filed by the Appellant Insurance Company being aggrieved by the order passed by the Motor Accidents Claims Tribunal-cum-Principal District Judge at Nizamabad (for short ‘the Tribunal’) in M.V.O.P.No.67 of 2018 dated 03.08.2023 in respect of deceased Badavath Ravi Kumar, who, while travelling along with his friend Sandeep on motor bike, met with an accident with an oil tanker bearing No. AP- 16TD-4511 (crime vehicle), allowing the claim granting compensation of Rs.31,08,500/- along with interest @ 7.5% p.a.

3. M.A.C.M.A.No.922 of 2024 is filed by the appellant Insurance Company being aggrieved by the award dated 29.12.2023 passed in M.V.O.P.No.32 of 2018 by the Motor Accident Claims Tribunal-cum-I Additional District Judge at Kamareddy in respect of deceased Sandeep, who along with his friend Badavath Ravi Kumar was travelling on a motor cycle met with an accident with an oil tanker bearing No.AP-16TD-4511, allowing the claim granting compensation of Rs.16,55,625/- proportionately along with interest @ 7.5% p.a.

4. Since, the accident occurred on 22.11.2017 at about 2.30 hours where both the deceased while travelling on bike met with an accident by dashing against an oil tanker. Therefore, both these Appeals are clubbed together and are being disposed of by this common judgment.

5. The facts leading to file claims by the respective claimants before the respective learned Tribunals are that on 22-11-2017 at about 2.30 hours near Dharma kanta enroute to Nizamabad-Dichpally Main Road, Dichpalli, the deceased Badavath Ravi Kumar along with his friend Sandeep started on their motor bike bearing No.TS-16EN-5541, and in the meantime, the driver of tanker (lorry) bearing No.AP-16TD-4511 parked on the road without taking any precautions or giving any signals, due to which the deceased dashed into the backside of the lorry, as result of which both the deceased sustained grievous injuries and died on the spot.

6. The police of Dichpally registered a case in Cr.No.220 of 2017 under Section 304-A IPC against the driver of the offending vehicle.

7. It was contended before the respective learned Tribunals that the deceased Badavath Ravi Kumar in MACMA No.22/2024 is aged 26 years working as Chemical Engineer in Granules India Limited, Jeedimetla and earning

Click Here to Read the rest of this document

2025 Supreme(Online)(Tel) 67328

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABADGadi Praveen Kumar, JIffco Tokio General Insurance Co. Ltd. – AppellantVersusBadavath Balkishan – RespondentM.A.C.M.A. Nos.22 and 922 of 2024

In motor accident claims, when an insurer proves through credible database records that the insurance policy relied upon by the claimant is fake, the evidentiary burden shifts to the claimant to prove the document's authenticity; absent such proof, the insurer remains exempt from liability.

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
Gadi Praveen Kumar, J
Iffco Tokio General Insurance Co. Ltd. – Appellant
Versus
Badavath Balkishan – Respondent
M.A.C.M.A. Nos.22 and 922 of 2024