IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 27TH DAY OF NOVEMBER, 2019 BEFORE THE HON’BLE MR. JUSTICE N.K. SUDHINDRARAO M.F.A.No.423/2019(MV) BETWEEN:
THE RELIANCE GENERAL INSURANCE COMPANY LIMITED 2ND FLOOR, S .M. TOWERS 11TH MAIN ROAD, 3RD BLOCK JAYANAGAR BENGALURU-560 011.
ALSO AT THE RELIANCE GENERAL INSURANCE COMPANY LTD., EAST WING, 5TH FLOOR, No.28 CENTENARY BUILDING, M .G. ROAD BENGALURU-560 001.
NOW REPRESENTED BY MANAGER LEGAL. ...APPELLANT (BY SRI ASHOK N PATIL, ADVOCATE) AND:
1 . SOBHANA KUMARY P W/O LATE GOPAL SINGH A K AGED ABOUT 58 YEARS.
2 . KUM. SAYANYA S SINGH D/O LATE GOPAL SINGH A K AGED ABOUT 26 YEARS.
3 . SARATH G SINGH S/O LATE GOPAL SINGH A K AGED ABOUT 22 YEARS.
4 . SMT. KAMALAMMA W/O ABHIMANNU AGED ABOUT 82 YEARS.
ALL ARE RESIDING AT A.K.NIVAS KAZHIVOOR POST KANJIRAMKULAM THIRUVANANTHAPURAM KERALA-695 526.
5 . SHRI THRILOKESH S/O RAMAIAH GOVINDAPPA MOHAN KUMAR GOVINDA NILAYA SARJAPURA ROAD ATTIBELE BENGALURU-562 107. …RESPONDENTS (R-1 TO R-4 ARE SERVED AND UNREPRESENTED.
NOTICE TO R-5 DISPENSED WITH V/O DATED 31.10.19.) THIS MFA IS FILED U/S 173 (1) OF MV ACT AGAINST THE JUDGMENT AND AWARD DATED 14.11.2019 PASSED IN MVC No.4675/2017 ON THE FILE OF THE 3RD ADDITIONAL JUDGE & MEMBER, MACT, COURT OF SMALL CAUSES, BENGALURU (SCCH-18), AWARDING COMPENSATION OF Rs.28,04,025/- WITH INTEREST AT 9% P.A. FROM THE DATE OF PETITION TILL THE DATE OF DEPOSIT.
THIS MFA COMING ON FOR FINAL HEARING THIS DAY, THE COURT DELIVERED THE FOLLOWING:
JUDGMENT The learned counsel Sri. Ashok N. Patil, appearing for appellant/Insurance Company is present. Respondent Nos. 1 to 4 served and unrepresented.
The appeal is directed against the judgment and award dated 14.11.2018 passed in MVC No.4675/2017 by the III Additional Judge and Member, MACT, Court of Small Causes, Bangalore, (SCCH-18), wherein, the petition came to be allowed in part and compensation of Rs.28,04,025/- with interest at 9% p.a. from the date of petition till the date of deposit came to be awarded.
2. In order to avoid confusion and overlapping, the parties herein are referred to with their rankings as held by them before the Tribunal.
3. The details of the road traffic accident is as under:
On 17.7.2017 at about 12.20 p.m. Gopal Singh was proceeding on his motor cycle bearing Registration No.GJ.03.BJ.3990 on Bengaluru-Hosur NH.7 near Neralur Gate, at that time, one Eicher Canter bearing Registration No.KA.51.C.6677 came with high speed in a rash and negligent manner and dashed against the motor cycle. Due to which, Gopal Singh sustained grievous head injuries and died on the way to Sparsha Hospital.
4. The claim petition is filed by the dependants who are the widow, children and mother of deceased Gopal Singh contending that prior to accident, deceased-Gopal Singh was hale and healthy and drawing the salary of Rs.35,000./- per month as he was working in Carver Engineering Private Limited. They claim compensation of Rs.63,00,000/-.
5. After service of notice, 1st respondent remained exparte and 2nd respondent-Insurance Company appeared and filed his written statement.
6. The learned member on the basis of the oral evidence of PWs 1 and 2, and RW1 and documentary evidence of Exs.P1 to P18 and Ex.R1 and allowed the claim petition in part and awarded the compensation as mentioned above. Being aggrieved by the same, the Insurance Company has presented this appeal.
7. Sri Ashok N.Patil, learned counsel for appellant Insurance Company would submit that the income of the deceased has been considered at a higher level and deduction in respect of personal and living expenses is considered at 1/4th which ought to have been considered at 1/3rd in the light of the fact that the 3rd petitioner is the son and aged 21 years as on the date of presentation of the petition.
In this appeal, respondents-claimants were served with notice, but there is no representation.
8. Deceased Gopal Singh is stated to be working as an employee at Carver Engineering Private limited and getting an income of Rs.35,000/- per month and aged about 57 years. Learned Member considered the salary of deceased at Rs.29,800/- per month after deducting Rs.200/- towards PT and after deducting Rs.5,380/- and Rs.162/- towards income tax, calculated his actual income at Rs.3,52,058/- per annum and added 10% of the same as future prospects and arrived at total income of the deceased as Rs.3,87,263/- and basing on the age of the deceased as 57 years and his marital status, 1/4th is deducted for personal and living expenses and applying 9 multiplier, awarded Rs.26,14,025/- towards loss of dependency.
The same has to be modified considering his monthly income at Rs.29,800/-, 10% (Rs.2,980/-) of the same towards future prospects, deducting 1/4th towards personal and living expenses and applying 9 multiplier, the loss of dependency comes to Rs.26,55,180/- instead of Rs.26,14,025/-.
9. The learned Member has also awarded Rs.1,90,000/- towards conventional heads which I find to be reduced to Rs.70,000/- in the light of the decision of the Apex Court in this aspect. Thus, the total compensation to which the claimants are entitled would be Rs.27,25,180/- as against Rs.28,04,025/- as awarded by Tribunal.
10. In the circumstances of the case, learned member though came to a right conclusion to allow the claim petition in part, has erred in granting compensation on higher rate which invariably requires to be reduced.
11. Learned counsel for appellant submits that the rate of interest at 9% p.a., awarded by the trial is on the higher side and it is liable to be reduced. I find that the rate of interest awarded at 9% p.a. is just and reasonable and it does not call for reduction.
12. In the result, the appeal filed by the Insurance Company is allowed in part.
The judgment and award dated 14.11.2018 passed in MVC No.4675/2017by the Tribunal is hereby modified by awarding the compensation of Rs.27,25,180/- instead of Rs.28,04,025/- (there would be a reduction of Rs.78,845/-).
The insurance Company is directed to deposit the balance compensation amount with interest at 9% p.a. from the date of petition till its deposit within four weeks from the date of the receipt of the copy of this judgment.
Since the respondents-claimants are not represented in this case, office shall write a letter to the Taluk Legal Services Authority of the concerned, with a direction to help or assist the claimants to get the amount of compensation awarded in their favour.
The amount in deposit shall be transmitted to the jurisdictional Tribunal, forthwith.
Sd/- JUDGE tsn*