IMPORTANT POINT
Where the claimant suffers a permanent disability as a result of injuries, the assessment of compensation under the head of loss of future earnings would depend upon the effect and impact of such permanent disability on his earning capacity.

JUDGMENT

Aftab Alam, J.

1. Leave granted.

2. The appellant, victim of a motor vehicle accident has come to this Court making grievance about the low amount of compensation awarded to him by the Tribunal and the High Court.

3. The appellant used to earn his livelihood as a cart puller. On December 17, 2003, at about 3.00 P.M. he was carrying some goods on a four-wheel cart when he was hit by a tanker which was being driven in a rash and negligent manner. In the accident, the left leg of the appellant was crushed. The X-Ray report showed multiple fractures in the left leg. He was admitted to a hospital where he had to undergo two surgeries between December 17, 2003 and January 3, 2004 and in the end his left leg was amputated below the knee. He filed an application (Claim Case No.16/2004) before the Second Additional Motor Accident Claims Tribunal, Gwalior, (M.P.), claiming compensation for the injuries suffered by him under section 166 of the Motor Vehicles Act, 1988. It was stated by him before the Tribunal that at the time of accident his age was 50 years and his monthly income, as a cart puller, was Rs.3,300/-. As a result of the amputation of his leg, he was no longer in a position to walk without support and he was, therefore, rendered incapable of doing any work and to earn his livelihood.

4. The Tribunal found and held that the accident took place as a result of the negligent and rash driving by the tanker driver. It further held that at the time of the accident the age of the appellant was 55 years and his monthly income was Rs.2,400/- and not Rs.3,300/- as claimed by him. Coming to the extent of disability, the Tribunal referred to the disabled-person identity card given to the appellant (Exhibit P.27) in which his disability was shown as 60%. The Tribunal also observed that when the claimant appeared in court, it was evident that his left leg was amputated below the knee. Though the appellant’s disabled-person card showed his disability as 60%, the Tribunal, with reference to Schedule 1 of the Workmen’s Compensation Act, 1923, held that the appellant’s disability could not be reckoned above 50%.

5. Having held that that the appellant’s age at the time of the accident was 55 years, the Tribunal applied the multiplier of 11 and on the basis of the findings that the appellant’s monthly income was Rs.2,400/- and the extent of his disability was 50%, fixed the amount of Rs.1,58,400/- as compensation for loss of future earnings. In addition to this, the Tribunal gave to the appellant Rs.30,000/- for mental and physical agony due to permanent disability and a further sum of Rs.15,000/- for medical expenses and special diet. Accordingly, the Tribunal, by its award dated July 31, 2004 held the appellant entitled to receive a total sum of Rs.2,03,400/- as compensation along with interest at the rate of 9% per annum from the date of filing of the claim petition on January 9, 2004 till the date of payment.

6. Against the award of the Tribunal, the appellant preferred an appeal (Miscellaneous Appeal No.844 of 2004) before the Madhya Pradesh High Court, Gwalior Bench. In the High Court, the case was referred to Lok Adalat where the Insurance Company agreed for enhancement of the amount of compensation by Rs.50,000/-. It, however, appears that the matter could not be settled in the Lok Adalat and the appeal came to be finally heard and disposed of by the High Court on merits. The High Court by its judgment and order dated April 1, 2009 simply raised the amount of the monthly income of the appellant from Rs.2,400/- to Rs.3,000/- and, thereby, arrived at a sum of Rs.1,98,000/- as compensation for the loss of future earnings. The total compensation amount was, thus, raised from Rs.2,03,400/- to Rs.2,58,000/- (practically what was offered by the Insurance Company before the Lok Adalat on which no settlement was arrived at between the parties!)

7. On hearing counsel for the parties and on going through the materials on record, we are