1. This appeal has been preferred against the order dated 21.12.2004 passed by the Motor Accident Claims Tribunal (Main), Banaskantha at Palanpur in application Exhibit-5 filed u/s.163-A of the Motor Vehicles Act in M.A.C.P. No.501/1998 whereby, the said application was allowed in part and the appellants, original claimants, were awarded compensation of Rs.1,29,500/- along with interest at the rate of 9% per annum from the date of filing of main claim petition u/s.166 of the said Act till its realization with proportionate costs.
2. The aforesaid claim petition was preferred in connection with the vehicular accident that took place on 03.05.1998 at about 1900 hrs., involving a Jeep bearing registration No. GJ-8-T-8158, owned by respondent no.1 and insured with respondent no.2-Insurance Company and in which Sevantilal Harjivan Shah had expired.
3. The main contention raised on behalf of the appellants is that though relevant documents, including Income-Tax Returns for the Assessment Years 1997-1998 and 1998-1999, were produced on record to prove the income of deceased, the Tribunal did not believe the same and assessed the annual income of deceased at Rs.15,000/-. It is submitted that the Tribunal ought to have assessed the annual income of deceased at least at Rs.40,000/- in view of the documentary evidence on record. It is, therefore, submitted that compensation awarded by the Tribunal may be enhanced appropriately.
4. Learned counsel for respondent supported the impugned award and submitted that the documents produced by the claimants regarding income of deceased were of dates subsequent to the date of accident and therefore, the Tribunal has rightly ignored the said documents. It is, therefore, submitted that the present appeal may be dismissed.
5. Heard learned counsel for the parties. It is true that the Income Tax Returns produced on record were filed on date subsequent to the date of accident. However, it also would not be appropriate to assess the annual income of deceased at Rs.15,000/- notionally. Notional assessment of income is made for individuals who are not having any source of income. In the present case, the claimants have produced documentary evidence like Balance Sheets, Accounts of Purchases and Sales, Statement of total income, Counterfoils of Self-assessment tax receipts, etc. to prove income of deceased. It would not be appropriate to completely discard the aforesaid documentary evidence produced by the claimants.
6. In my opinion, it would be in the fitness of things to take average of the notional amount of Rs.15,000/- and the maximum statutory income of Rs.40,000/- for the purpose of arriving at the annual income of deceased. On that basis, the annual income of deceased would come to Rs.27,500/-. Now, considering the decision of the Apex Court in the case of National Insurance Company Ltd. v. Gurumallamma and another, (2009) 16 S.C.C. 43, compensation is to be computed as per the formula prescribed in the Second Schedule appended to Section 163-A of the Act instead of adopting independent multiplier. Since the annual income of deceased has been assessed at Rs.27,500/-, the total compensation would come to Rs.3,36,000/-. From the said amount, 1/3rd is required to be deducted towards personal living expenses of deceased. Hence, the balance amount would come to Rs.2,24,000/-. As per the Schedule, the claimants are also entitled for another Rs.9,500/- under the heads of conventional amount, loss of estate and funeral expenses. Thus, in all, the claimants are entitled to get total compensation of Rs.2,33,500/-. The Tribunal has already awarded compensation of Rs.1,29,500/- and hence, the claimants are entitled for additional compensation of Rs.1,04,000/-. The rate of interest is fixed at 7.5% considering the present day economic scenario.
7. For the foregoing reasons, the appeal is partly allowed. The impugned award passed by the Tribunal is modified to the extent that the appellants, original claimants, shall be entitled for additional compensation of Rs.1,04,000/-
[Rupees One lac four thousand only] along with interest at the rate of 07.5% per annum from the date of application till its realization. The impugned award stands modified to the above extent. The appeal stands disposed of accordingly. No order as to costs.
[K.
S. JHAVERI, J.] Pravin/* Top