National Insurance Company … vs Kamal P.Thomas on 13 November, 2008

       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

MACA.No. 564 of 2006()


1. NATIONAL INSURANCE COMPANY LIMITED,
                      ...  Petitioner

                        Vs



1. KAMAL P.THOMAS, S/O.THOMAS,
                       ...       Respondent

                For Petitioner  :SRI.MATHEWS JACOB (SR.)

                For Respondent  :SRI.PHILIP T.VARGHESE

The Hon'ble MR. Justice C.N.RAMACHANDRAN NAIR
The Hon'ble MR. Justice HARUN-UL-RASHID

 Dated :13/11/2008

 O R D E R
                    C.N.RAMACHANDRAN NAIR &
                           HARUN-UL-RASHID, JJ.
               ....................................................................
                           M.A.C.A. No.564 of 2006
               ....................................................................
             Dated this the 13th day of November, 2008.

                                      JUDGMENT

Ramachandran Nair, J.

Appeal is filed challenging the award of compensation on the

ground that the compensation awarded under various heads is very

high. A specific contention also raised by the Insurance Company is

that the interest granted at 9% is unusually high and in the normal

course interest granted ranges from 6% to 7%. We have heard Senior

Counsel appearing for the Insurance Company and counsel appearing

for the respondent.

2. The main ground of challenge against the award is that the

MACT granted Rs.4,08,000/- towards future bystander expenses. Even

though the amount of compensation awarded is unusual, we do not

propose to interfere with this because respondent has become a

paraplegic and since he is bedridden, his parents are unemployed.

Therefore, as an alternate to appointment of a home nurse, the parents

of the victim have to give up their job and always will be by his side to

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take care of him. The victim is periodically taken to hospital for

treatment on account of bedsore and other complaints and therefore,

there is no justification for interfering with the award of compensation

of Rs.50,000/- towards cost of medical care in the future. However,

we find force in the contention of the appellant that over and above

reasonable compensation granted under every head including future

expenses, MACT should not have granted interest at 9%. We,

therefore, reduce the interest to 7.5% p.a. on the entire compensation

amount. The appeal is allowed only to this extent. Since respondents

have already spent substantial amount of compensation amount

released to them, we direct the MACT to order deposit of balance

amount in long term deposit either in the District Treasury or in

Nationalised Banks or in stable Co-operative Banks with the highest

possible interest so that the respondent get maximum interest, if not

monthly, on quarterly basis for regular maintenance. In other words,

release of any further substantial amount should be only on proof of

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requirement. The deposit should be permitted in the name of the

father as long as he is alive and thereafter, in the name of mother.

C.N.RAMACHANDRAN NAIR
Judge

HARUN-UL-RASHID
Judge
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