1. These appeals are directed against the judgement and award dated 04.11.1995 passed by the Motor Accident Claims Tribunal(Aux.), Vadodara, in MACP No.199 & 201 of 1989 whereby the said claim petition was allowed and the claimant was awarded compensation of Rs. 200000/- and Rs. 125000/- respectively along with interest at the rate of 12% per annum.
2. The claim petitions were filed in pursuance of an accident which had occurred on 28.08.1988 at about 10.30 pm on National Highway No. 8 near Valan Patiya when an matador collided with a truck. As a result of this accident one Chinmay Adhikari sustained serious injuries and later on died. The heirs and legal representatives of said deceased Chinmay filed Claim Petition No. 199/89 and the other injured passenger filed Claim Petition No. 201/89. Both the claim petitions were heard together and the Tribunal passed the aforesaid award.
3. Learned counsel for the appellant has contended that in view of the specific provision contained in Section 95(2)(b)(ii) of the Motor Vehicles Act, the Insurance Company's liability in respect of passenger carried for hire or reward is limited to Rs.15000/-. He has relied upon a decision of the Apex Court in the case of National Insurance Co. Ltd. vs. Nathilal and Others reported in AIR 1999 SC
623.
4. The relevant part of the section 95(2)(b)(ii) as existing at the time of the accident reads as under:
"95.(2) subject to the proviso to sub-section (1), a policy of insurance shall cover any liability incurred in respect of any one accident up to the following limits, namely:-
(a) xxx xxx xxx
(b) where the vehicle in which passengers are carried for hire or reward or by reason of or in pursuance of a contract of employment, -
(i) in respect of persons other than passengers carried for hire or reward, a limit of fifty thousand rupees in all,
(ii) in respect of passengers, a limit of fifteen thousand rupees for each individual passenger."
4.1 A perusal of the said section shows that the liability in respect of passengers, is limited to an extent of Rupees Fifteen Thousand for each individual passenger. The accident in question is of the year 1988 and therefore the liability would not be more than Rs.15000/- qua the Insurance Company. This view is supported by a decision of this Court in the case of United India Fire and General Insurance Co. Ltd. Vs. Bachu Kaba Satrotia and ors., reported in 1986(1) GLR 463 wherein it is held that under section 95(2) of Motor Vehicles Act (IV of 1959) the liability of insurer in respect of a passenger carried for hire or reward by statute is limited to rs.15000/- per individual passenger. The decision in the case of National Insurance Co. Ltd (supra) is also applicable on the facts of the present case.
5. Learned counsel for the respondent-original claimant is not able to contest the aforesaid legal position. He has however relied upon a decision of this Court reported in 2009(3) GLH 692. However, considering the decision in the case of National Insurance Co. Ltd. (supra) this Court is of the view that the insurance company cannot be held to be liable for compensation amount of more than Rs. 15000/- for each passenger.
6. In the premises aforesaid, the present appeals are partly allowed. It is held that the liability of the original opponents no. 1 to 5 - present respondents no. 3 to 7 shall remain intact to meet the entire claim awarded with interest as awarded by the Tribunal. However, so far as the present appellant - Insurance Company is concerned, the award will stand modified and the amount awarded against the appellant will be Rs.15000/- with running interest thereon at the rate of 12% per annum from the date of the application till realization. It will be open to the original claimant to recover the remaining amount from respondent nos. 3 to 7 i.e. original opponent nos.1 to 5. The remaining amount lying in the FDR along with interest shall be refunded to the Insurance Company. However, if the amount is withdrawn by the original claimants, the same shall not be recovered. It will be open for the insurance company to recover the same from the owner and if the amount is not paid to the claimant it will be open for them to recover the same from the owner. The award of the Claims Tribunal shall stand modified accordingly. No order as to costs.
(K.S.
JHAVERI, J.) Divya// Top