IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 15.12. 2008
CORAM:-
The Hon'ble Mr. Justice R. SUDHAKAR
C.M.A.No.3873 of 2008
and
M.P.No.1 of 2008
Cholamandalam Ms General Insurance Co. Ltd.,
Dare House, Parrys Corner,
Chennai. .. Appellant
Vs.
1. Shanmugavadivu
2. Ramalingam
3. Navaladi Ganesh
4. Madheswaran (Exparte before the lower Court) .. Respondents
. . .
Appeal filed under Section 173 of the M.V.Act against the award and decree dated 16.08.2007 made in M.C.O.P No.91 of 2006 on the file of the Motor Accidents Claims Tribunal,(Sub Court ), Sankagiri.
. . .
For Appellant : Mr.M.B.Raghavan
For respondents : Mr. D.Gopal for
M/S.N.Manokaran (R1 to R3)
R4-Ex parte before the lower Court.
. . .
J U D G M E N T
The Insurance Company has filed this appeal challenging the award dated 16.08.2007 made in M.C.O.P No.91 of 2006 on the file of the Motor Accidents Claims Tribunal,(Sub Court ), Sankagiri.
2. It is a case of fatal accident. The accident in this case happened on 10.10.2005. The deceased Gowri Shankar, aged about 28 years, working as Supervisor in Tamil Nadu State Marketing Corporation, was riding a two wheeler and when he was nearing Andipalayam Division in the Tiruchengodu-Erode main road, he was hit by another motor cycle driving a two wheeler, T.V.S.Victor. The said T.V.S.Victor vehicle bearing registration No.TN-34-C-9798 was insured with the appellant, Insurance Company. In that accident, the said Gowri Shankar, sustained grievous head injuries and died on the spot. A case was registered against the driver of the two wheeler who drove the offending T.V.S Victor motor cycle, insured with the appellant. On the death of Gowri Shankar, mother aged about 54 years, father aged 56 years and brother aged 24 years filed a claim for compensation in a sum of Rs.10,00,000/- stating that the deceased was earning Rs.10,000/- per month as a Supervisor in TASMAC.
3. In support of the claim, mother of the deceased was examined as P.W.1 and one Kumar, Eye witness was examined as P.W.2. Documents were marked as Exs.P.1 to P.11. Ex.P.1 is the copy of First Information Report. Ex.P.2 is the wound Certificate. Ex.P.3 is the Motor Vehicle Inspector’s report. Ex.P.4 is the copy of the rough sketch. Ex.P.5 is the copy of the Charge Sheet.. Ex.P.6 is the Legal heir Certificate. Ex.P.7 is the B.A Degree Certificate. Ex.P.8 is the Diploma Certificate. Ex.P.9 is the Policy. Ex.P.10 is the Death Certificate. Ex.P.11 is the Salary Certificate. No oral and documentary evidence was let on the side of the appellant/respondent before the Tribunal.
4. The finding of rash and negligent driving on the part of the driver of the T.V.S Victor vehicle insured with the appellant and the liability fixed on the appellant Insurance Company to compensate the claimants is not seriously disputed by the counsel for the appellant and as such, the same is confirmed.
5. Learned counsel for the appellant restricted his argument with regard to the quantum of compensation. The issue relating to compensation was dealt with by the Tribunal in paragraph 8 onwards in answer to Point No.2. The mother of the deceased in her chief examination as P.W.1, stated that her deceased son was earning Rs.3,000/- per month as salary, Rs.3,000/- as annual bonus and Rs.3,000/- as annual incentive, totalling to Rs.42,000/- per annum, of which the Tribunal deducted Rs.15,000/- towards the personal expenses of the deceased and the contribution to the dependants was taken as Rs.28,000/- The age of the deceased was 28 years and it is not disputed. Based on the oral and documentary evidence on record, the Tribunal adopted 11 multiplier and granted a sum of Rs.3,08,000/- towards pecuniary loss. In addition to the above, the Tribunal granted a sum of Rs.50,000/- for loss of expectation of life, Rs.30,000/- for loss of love and affection to the claimants and Rs.10,000/- towards funeral expenses. In all, the Tribunal granted the following amounts with 7.5% interest.
Sl.N0.
Head
Amount granted by
the Tribunal.
1 Pecuniary loss Rs. 3,08,000/- 2 Loss of expectation of life Rs. 50,000/- 3. For loss of love and affection Rs.10,000/- each Rs. 30,000/- 4. Funeral expenses Rs. 10,000/- Total Rs 3,98,000/-
6. Aggrieved by the said order, this appeal has been filed by the Insurance Company, stating that the Tribunal without any justification has granted Rs.50,000/- for loss of expectation of life. Excess amount has been granted for pecuniary loss on the death of the said Gowrishankar. It is also contended that the income fixed at Rs.36,000/- per annum and the annual bonus and annual incentive, is excessive and the dependency fixed by the Tribunal is on the higher side.
7. Mr.D.Gopal, learned counsel for the claimants, on the other hand, vehemently argued and stated that the future income of the deceased has not been taken into consideration. He stated that the possibility of the deceased, who was working as Supervisor in TASMAC, getting higher income in the near future can be considered for the purpose of determining the quantum of compensation.
8. As far as the income of Rs.3,000/- per month and Rs.36,000/- per annum are concerned, there cannot be any dispute since the deceased in this case is working as Supervisor in TASMAC and he can certainly earn the said amount. So far as bonus is concerned, it has been granted as lumpsum at the end of the year along with Rs.3,000/- towards incentive. The deceased in this case was working as Supervisor in Liquor Vending outlet of the Government of Tamil Nadu. There can be no dispute on the above said figures. Therefore, the total annual income fixed at Rs.42,000/- stands confirmed and the deduction is also properly made. For the age group of 28 years, the Tribunal is justified in adopting 11 multiplier whereas as per Schedule II to Section 163(A)of the Motor Vehicles Act, for the age group of 28 to 30 years, the multiplier will be 18. Therefore, the total pecuniary loss to the dependants fixed by the Tribunal as Rs.3,08,000/- is justified. The choice of multiplier also is justified in view of the decision of the Apex Court in Bijoy Kumar Dugar – vs. – Bidya Dhar Dutta reported in 2006 AIR SCW 1116 = 2006 (3) SCC 242.
9. The next contention raised by the learned counsel for the appellant is on the compensation awarded by the Tribunal in a sum of Rs.50,000/- on the head of loss of expectation of life. When suitable compensation has been granted for pecuniary loss, the question of grant of further amount under the head of loss of expectation of life does not arise. Therefore,the said sum of Rs.50,000/- granted for loss of expectation of life is set aside. As far as funeral expenses is concerned, a sum of Rs.10,000/- is granted by the Tribunal and the same is confirmed. The Tribunal granted Rs.10,000/- for each claimant towards loss of love and affection is very low and the same is modified. The father and mother of the deceased are entitled to Rs.15,000/- each on the death of their son and the brother is entitled to Rs.10,000/- on the death of his brother. Accordingly, the total compensation stands modified as follows:
Sl.N0.
Head
Amount granted by
this Court
1
Pecuniary loss
Rs. 3,08,000/-
2.
For loss of love and affection
Rs. 40,000/-
4.
Funeral expenses
Rs. 10,000/-
Total
Rs 3,58,000/-
Since the accident in this case happened in the year 2005 and the award was passed in the year 2007, the interest granted by the Tribunal at the rate of 7.5% p.a stands confirmed.
10. In the result, the Civil Miscellaneous Appeal is allowed in part as follows:
i. The award of the Tribunal is reduced to Rs.3,58,000/- from Rs.3,98,000/-.
ii) The interest granted by the Tribunal at 7.5 % stands confirmed.
iii) Learned counsel for the appellant seeks eight weeks’ time to deposit the balance amount and is granted. On such deposit,the father,mother and brother /claimants are permitted to withdraw the amount as per the order of this Court. Learned counsel for the appellant is permitted to withdraw the excess amount, after settling the claimant as per the order of this Court.
iv. Connected miscellaneous petition is closed.
v. There will be no order as to costs.
PAL
To
The Motor Accidents Claims Tribunal,
Sub court,
Sankagiri