IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 30TH DAY OF JANUARY, 2017 PRESENT:
THE HON'BLE Mr. JUSTICE S.ABDUL NAZEER AND THE HON'BLE Mr. JUSTICE B.SREENIVASE GOWDA Miscellaneous First Appeal No.8 OF 2017 (MV) Between:
1. Smt. Rekha Aged 33 years 2. Master Anirudha Aged 7 years 3. Vihas Aged 2 years.
4. Smt. Leelaathi Aged 67 years W/o. Laxman Bhandary.
5. Laxman Bhandary Aged 72 years S/o. late Anantha Bhandary.
First appellant is the wife and Appellants 2 and 3 are children of Late Jagadish K Appellants 2 and 3 are minors Represented by their guardian mother-1st appellant.
All appellants are r/at Chinmaya Kasturba Road Ajjarkad, Neawr LIC, Udupi – 576 101.
... Appellants (By Sri.Vyasa Rao K.S., Adv.) And:
1. Sundar Shetty Aged 43 years S/o. Sadashiva Shetty R/at 204, Yuvadeep Apartment Hunglur Village & Post, Kundapura – 576 201.
2. M/s. Reliance General Insurance Co.Ltd. Ground Floor, Sri.Ram Arcade Opp. Head Post Office Udupi – 576 101 By its Branch Manager.
... Respondents (By Sri.B.Pradeep, Adv., for R2, Notice to R1 is dispensed with v/o. dated 23.1.17) This MFA is filed under Section 173 (1) of the MV Act against the judgment and award dated 27.09.2016 passed in MVC No.940/2014 on the file of the Principal Senior Civil Judge, Additional MACT, Udupi, partly allowing the claim petition for compensation and seeking enhancement of compensation.
This MFA coming on for admission, this day, S.Abdul Nazeer J., delivered the following:
JUDGMENT This appeal by the claimants is directed against the judgment and award in MVC No.940/2014 dated 27.09.2016 on the file of the Principal Senior Civil Judge & Additional MACT, Udupi, (for short ‘Tribunal’), whereby the Tribunal has awarded a total compensation of `12,75,200/- with interest at 6% p.a. from the date of petition till the date of actual deposit. The claimants have filed this appeal seeking enhancement of compensation.
2. Learned Counsel for the appellants submits that the deceased was doing his own business and he was earning more than `65,000/- p.m. The Tribunal has notionally fixed his income at `8,000/- p.m. which is on the lower side. It is further submitted that the Tribunal has not awarded appropriate compensation under other heads also.
3. On the other hand, learned Counsel appearing for the second respondent/insurance company has sought to justify the impugned judgment and award.
4. We have carefully considered the arguments of the learned Counsel made at the bar and perused the materials on record.
5. There is no dispute as to the occurrence of the accident and liability of the insurance company to pay the compensation.
6. Having regard to the contentions urged, the only question for consideration is, whether the compensation awarded by the Tribunal is adequate?
7. It is clear from the materials on record that the deceased was doing business. However, no materials have been produced to show his income. The appellants have produced Ex.P.8- pay slip, which relates to the income of the deceased for the month of January 2013. This pay slip has been issued by his previous employer. Having regard to the materials on record, it is just and proper to fix his income notionally at `12,000/- p.m. The deceased was aged 45 years at the time of the accident. Therefore, the multiplier applicable to the case is 14. 1/4th of the income has to be deducted towards his personal expenses. Therefore, by taking the income of the deceased at `12,000/- p.m. with the application of multiplier 14 and after deducting 1/4th of the income towards his personal expenses, the compensation payable towards loss of dependency comes to `15,12,000/-.
8. We are also of the view that it is just and proper to award `1,50,000/- towards loss of love and affection to appellant Nos.2, 3 and 4 and also a sum of `1,00,000/- towards loss of consortium to appellant No.1. It is also just and proper to award a sum of `25,000/- towards funeral and other expenses. Thus, the compensation payable to the claimants is reassessed as under:-
9. The Tribunal has awarded a sum of `12,75,200/-, which has to be deducted from the aforesaid amount and the balance of compensation payable to the claimants comes to `5,11,800/-. The claimants are also entitled for interest at the rate of 6% p.a. from the date of petition till the date of deposit.
10. In the result, appeal succeeds and it is accordingly allowed in part. The 2nd respondent – insurance company is directed to deposit a sum of `5,11,800/- with interest at 6% p.a. from the date of petition till the date of deposit in addition to what has been awarded by the Tribunal within a period of four weeks from today. Out of the aforesaid amount, the Tribunal is directed to invest a sum of `1,00,000/- each in the name of appellant Nos.2 and 3 in a Fixed Deposit in any Nationalized Bank till they attain majority. Appellant No.1 is permitted to withdraw half yearly interest. A sum of `1,00,000/- shall be released in favour of claimant/appellant No.4. Balance of the amount shall be released in favor of claimant/appellant No.1.
11. Sri.B.Pradeep, learned Counsel is permitted to file vakalath on behalf of the second respondent/insurance company within a period of eight weeks from today. No costs.
Sd/- Judge Sd/- Judge SA/-