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New India Assurance Co Ltd vs Ketankumar Balvantbhai Barot & 4S

High Court Of Gujarat|16 March, 2012
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JUDGMENT / ORDER

1. By way of this appeal, the appellant-original opponent No.3 has challenged the judgement and award dated 15.04.1997, passed by the Motor Accident Claims Tribunal(Auxi.ii) Ahmedabad (Rural) at Ahmedabad, in M.C.A.P. No.595 of 1988, whereby the tribunal has partly allowed the claim petition and awarded compensation in a sum of Rs.2,50,000/- to the claimants with interest at the rate of 12% per annum from the date of filing the claim petition till its realization.
2. The short facts leading to filing of this appeal are that on 10.03.1988 one Balvantbhai, who was serving as Senior Clerk in the office of the Executive Engineer, Irrigation Division, Ahmedabad alongwith his staffs and family members were going for inspection in a Jeep bearing registration No.GUD 294. When they reached near village Rajid. The driver of the said Jeep was driving his vehicle rashly and negligently, therefore, he lost control over his vehicle and the said Truck turned turtle. As a result of the said accident, the father and mother of the original claimants expired and Manishaben Balvantbhai Barot sustained injuries. Therefore, filed claim petition being M.A.C. P. 595 of 1988 before the Tribunal for compensation. The Tribunal after hearing learned advocates for both the parties and after recording the evidence decided the claim petition and passed the award as stated herein above against which the present appeal is filed by the appellants- original opponent No.3.
3. Learned counsel for the appellants submitted that the Tribunal has committed an error in passing the impugned judgement and award. In support of his contention he relied upon the full Bench decision of this Court in the case of New India Assurance Co. Ltd. Vs. Thakor Bhemaji Ganeshji and Ors. reported in 34(2), GLR-1051 and submitted that the liability of the Insurance Company is limited to the extent of Rs.50,000/-. Therefore, he prayed to allow this appeal.
4. I have heard learned advocate for the appellant and perused the materials on record as also the full bench decision of this Court. Section 95(2)(b)(i) of the M.V. Act, provides that the risk of employees of the insured carried in a vehicle was required to be covered only to the extent of Rs.50,000/-. The full Bench of this Court after considering the same has held that liability of the Insurance Company in respect of employees of the insured travelling in a vehicle would be limited to the extent of Rs.50,000/- only.
5. In that view of the matter, the claimants are only entitled to receive compensation of Rs.50,000/-for compensation. Therefore, the excess amount of Rs.2,00,000/- will be refunded to the appellant- Insurance Company with interest and cost, if any, if the same is deposited by the appellant with the tribunal.
6 . The judgement and award of the tribunal is modified to the aforesaid extent. Decree be drawn accordingly. The present appeal is partly allowed.
(K.S.JHAVERI,J.)
pawan
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Title

New India Assurance Co Ltd vs Ketankumar Balvantbhai Barot & 4S

Court

High Court Of Gujarat

JudgmentDate
16 March, 2012
Judges
  • Ks Jhaveri
Advocates
  • Mr Rajni H Mehta