The Oriental Insurance Company Ltd in M.C.O.P.No.3168 of 2000, on the file of the Motor Accidents Claims Tribunal, Chennai (6th Small Causes Court, Madras) is the appellant. The first respondent is the claimant. He has filed the petition claiming compensation of Rs.3,00,000/- for the injuries sustained by him in a motor accident on 26.02.1999. The second respondent is the owner of the offending vehicle. The Tribunal has awarded a total compensation of Rs.1,21,500/- with interest at the rate of 7.5% per annum. Pending appeal, the 1st respondent / claimant died and his representatives (R3 to R7) have come on record.
2. The only challenge before this Court is that the Insurance Company is not liable to pay the compensation inasmuch as the driver of the offending vehicle was not duly licensed, to drive the vehicle at the time of accident and thereby, the insured violated the conditions of policy. There is no challenge to the quantum of compensation fixed by the Tribunal.
3. The learned counsel appearing for the appellant/Insurance Company, would submit that the driver of the offending vehicle did not possess valid licence to drive the offending vehicle, at the time of accident and that therefore, it is a case of clear violation of terms and conditions of the policy of insurance.
4. R.W.3 is an Assistant, in the Office of Regional Transport Authority. He stated that the driver of the offending vehicle had not obtained badge to drive a taxi (the offending vehicle). A perusal of the materials on record would clearly show that, there was breach of policy condition. Therefore, there is no difficulty in coming to the conclusion that the insured has violated conditions of the policy. However, the victim is a third party. Therefore, there must be a direction to the Insurance Company to pay the award amount for and on behalf of the owner of the offending vehicle, at the first instance. Thereafter, the insurance company is entitled to recover the deposited award amount from the insured by way of execution proceedings before the tribunal without filing any separate proceedings.
7. In the result, the Civil Miscellaneous Appeal is allowed in part to the extent as mentioned above. The insurance company is directed to d eposit the award amount to the credit of MCOP No.3168 of 2000 on the Motor Accidents Claims Tribunal, Chennai (6th Small Causes Court, Madras), within a period of six weeks from the date of receipt of a copy of this order with interest as ordered by the tribunal. The Insurer is entitled to recover the deposited award amount from the insured/owner of the vehicle by way of execution proceedings before the tribunal without filing any separate proceedings. The legal representatives of the claimant is permitted to withdraw the compensation award amount with proportionate interest less the amount already withdrawn, if any, by making necessary application before the Tribunal. Consequently, connected Miscellaneous petition is closed. There shall be no orders as to costs.
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1.The Motor Accidents Claims Tribunal, 6th Small Causes Court, Madras.
2.The Section Officer, V.R.Section, High Court, Madras.
N.AUTHINATHAN, J.
jv C.M.A. No.317 of 2005 CMP No.1723 of 2005 23.02.2017 http://www.judis.nic.in