Court No. - 1
Case :- FIRST APPEAL FROM ORDER No. - 1741 of 2020 Appellant :- United India Insurance Co. Ltd.
Respondent :- Rakesh Kumar And 7 Others Counsel for Appellant :- Krishna Shanker Chaudhary
Hon'ble Vivek Agarwal,J.
1. Heard Sri Krishna Shanker Chaudhar, learned counsel for the appellant.
2. This appeal has been filed by the insurance company being aggrieved of award dated 05.10.2020 passed by learned Motor Accident Claims Tribunal, Etawah in Claim Case No. 824 of 2014 on two grounds namely, income of the deceased has been wrongly computed at Rs. 9,000/- (nine thousand rupees) per month for an accident which took place on 18.10.2014 and secondly, in place of deduction of 1/4th income, 1/5th has been made in violation of the provisions contained in judgment of Smt. Sarla Verma and others vs. Delhi Transport Corporation and another as reported in AIR (2009) 6 SCC 121.
3. As far as quantum of income is concerned, learned tribunal has discussed that deceased was admittedly managing a provision store. His income was alleged to be Rs. 15,000/- (fifteen thousand rupees) per month as he was alleged to be engaged in not only supplying goods from his provision store, but was also engaged in making supplies to neighboring areas. However, the tribunal has taken into consideration a fact that deceased was spending money on education of his children and also managing his family, therefore, notional income @ Rs. 9,000/- (nine thousand rupees) has been taken, taking into consideration all the attendant circumstances produced before the learned tribunal including that of the registration of the shop, which was produced before the tribunal.
4. I am of the opinion that this computation of the income on the basis of facts and circumstances presented before the tribunal does not call for any interference, therefore, this ground to interfere with the award is not sustainable.
5. However, there is substance in the argument put forth by the learned counsel for the appellant that since there were only five dependents on the deceased, therefore, as per the law laid down by Hon'ble Supreme Court in case of Smt. Sarla Verma (supra), 1/4th deduction is to be made from the income of the deceased treating it to have been spent by the deceased on self rather than 1/5th deduction, which is permissible when number of dependents are more than six.
6. Admittedly, deceased was surviving by one wife, three children and one dependent mother, therefore, the tribunal apparently erred in deducting 1/5th amount from the income of the deceased in place of 1/4th amount. Therefore, the award needs to be modified accordingly.
7. Income of the deceased has been computed at Rs. 9,000/- (nine thousand rupees) per month or Rs. 1,08,000/- (one lakh eight thousand rupees) per annum. When 1/4th amount is deducted, then annual dependency will come out to Rs. 81,000/- (eighty one thousand rupees) in place of 86,400/- (eighty six thousand four hundred rupees) computed by the learned claims tribunal. When 15% as has been added by the learned claims tribunal towards future prospects is added, then annual dependency will come out to Rs. 93,150/- (ninety three thousand one hundred fifty rupees) in place of Rs. 99,360/- (ninety nine thousand three hundred sixty rupees) calculated by the learned claims tribunal. When multiplier of 15 as applied by the learned claims tribunal is applied, then total pecuniary compensation will come out to Rs. 13,97,250/- (thirteen lakhs ninety seven thousand two hundred fifty rupees) in place of Rs. 14,90,400/- (fourteen lakhs ninety thousand four hundred rupees) as awarded by learned claims tribunal. Therefore, there will be a deduction of Rs. 93,150/- (ninety three thousand one hundred fifty rupees) from the awarded amount and therefore, the total amount admissible to the claimant will be 16,67,250/- (sixteen lakhs sixty seven thousand two hundred fifty rupees) in place of Rs. 17,60,400/- (seventeen lakhs sixty thousand four hundred rupees) awarded by the learned claims tribunal. Remaining terms and conditions of the award shall remain intact.
8. Award is accordingly modified, appeal is allowed in part.
Order Date :- 6.1.2021 Vikram/-