JUDGMENT :

Alok Mahra, J.

The present appeal has been filed by appellant owner, under Section 173 of the Motor Vehicles Act, 1988, (for short “the Act, 1988”) against the judgment and award dated 27.11.2019, passed by the Motor Accident Claims Tribunal/ First Additional District Judge, Nainital in M.A.C.P. No.04 of 2018, Trilok Singh and another vs. Mohd. Abbas and another, whereby the Tribunal awarded a sum of Rs.5,16,000/- and gave a liberty to the respondent no.2 to recover the amount of compensation from the owner of the vehicle (appellant herein).

2. Brief facts of the case are that on 25.03.2012, at approximately 9:00 p.m., Khim Singh (deceased) was riding his motorcycle number UA-06H-1776 near the Karbala turn at Gadarpur Kelakheda Road. At that time, a truck number UK-04E-9756, driven by a driver at high speed and recklessly and negligently, struck the motorcycle from behind due to which he sustained serious injuries and died on the spot. After receiving information about the accident, the police prepared an inquest report and conducted a post-mortem of the deceased Khim Singh. Accordingly, claimants moved a claim petition before the MACT for compensation of Rs.10,00,000/-.

3. The appellant (owner of the vehicle) has filed his written statement, stating that the amount of compensation has been claimed in an inflated manner and without any basis. On the fateful day, the vehicle was insured with the National Insurance Company and was being driven by a person holding a valid and effective driving licence.

4. Respondent-Insurance Company also filed its written statement wherein it was stated that the information of the accident was not given to the Insurance Company as per the provisions of the Act, 1988. On the fateful day, the vehicle was not being driven by a driver having valid licence for which the condition of Insurance policy has been violated and hence, the insurance company is not liable for making any payment.

5. On the basis of the pleadings of the parties, three issues were framed:-

(i) Whether on 25.03.2012 at 9.00 pm, near Karbala turn on Gadarpur Kelakheda Road, Khim Singh was going on his motorcycle number UA 06H-1776, when the driver of truck number UK 04E-9756 coming from behind, by driving the truck rashly and negligently, hit the motorcycle from behind, due to which the motorcyclist Khim Singh suffered serious injuries and died on the spot due to the serious injuries sustained in the said accident?

(i) Whether on the aforesaid date, time and place, the driver of the offending vehicle was not having a valid driving licence and whether the truck was not being driven as per the conditions of the insurance, if so, then it affects?

(iii) To what relief the petitioner-claimant is entitled to get?

6. Learned Tribunal decided the claim petition by awarding a sum of Rs.5,16,000/- and fastened the liability to pay compensation on the respondent-vehicle owner for the reason that it came to the conclusion that at the time of accident the driver of the offending vehicle was not holding a valid and effective licence.

7. Heard learned counsel for the parties and carefully gone through the entire material available on record.

8. Learned counsel for the appellant/owner has emphatically argued that the offending vehicle, on the fateful day, was being driven by its driver, who was having a valid and effective driving licence. The learned Tribunal has erred in law in transferring the liability of claim upon the vehicle owner. He took reasonable care in employing him as a driver as he was holding a valid and effective licence which later on during trial found to be a fake one. Thus, this case would not fall within “fundamental breach of condition of policy”.

9. Learned counsel for the insurance company has also been heard, who could not satisfy as to why the insurance company is not liable in this matter to pay the amount of compensation.

10. In order to adjudicate the issue whether the driver of the offending vehicle was having a valid