IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 6.11.2008 CORAM THE HONOURABLE MR.JUSTICE R.SUDHAKAR C.M.A.No.1560 of 2008 and M.P.No.1 of 2008 Oriental Insurance Co. Ltd., Esplanade, Chennai-108. ... Appellant/2nd Respondent vs. 1.Mrs.Shantha, 2.C.Selvam, 3.C.Perumal, 4.C.Kesavan, 5.J.Vijayalakshmi, 6.N.P.Govindaraj. ... Respondents/Petitioners 1 to 5 and 1st respondent Civil Miscellaneous Appeal is filed under Section 173 of Motor Vehicles Act, 1988 against the award and decree dated 27.10.2006 passed in M.C.O.P.No.2772 of 1997 on the file of the Motor Accidents Claims Tribunal (II Judge, Small Causes Court), Chennai. For appellant : Mr.S.Arunkumar For respondents : Mr.Parthasarathy for R1 to R5 : No appearance for R6 ----- JUDGMENT The Oriental Insurance Company is on appeal challenging the award dated 27.10.2006 passed in M.C.O.P.No.2772 of 1997 on the file of the Motor Accidents Claims Tribunal (II Judge, Small Causes Court), Chennai. 2. It is a case of fatal accident. The brief facts of the case are as follows:- The accident in this case happened on 7.7.1997. The deceased K.Chinnaraj, aged 57 years, craftsman in https://hcservices.ecourts.gov.in/hcservices/ I.C.F., was walking on the G.S.T. Road, Guduvancherry. When the bus driven by its driver in a rash and negligent manner, hit the said Chinnaraj and ran over the body. In that accident he died on the spot. The bus was insured with the appellant insurance company. The wife aged 50 years, three sons aged 32 years, 30 years and 28 years respectively, and a daughter aged 26 years are the claimants. They claimed a sum of Rs.7 lakhs stating that the deceased was earning a sum of Rs.8,850/- per month. 3. In support of the claim, the wife of the deceased was examined as P.W.1. One Rajasekaran was examined as P.W.2. A son of the deceased was examined as P.W.3. One Mani, the eye witness, was examined as P.W.4. The following documents were marked on the side of the claimants:- Ex.A-1 is the copy of post-mortem certificate, Ex.A-2 is the death certificate, Ex.A-3 is the Legal heir certificate, Exs.A-4 and A-6 are the service certificates, Ex.A-5 is the salary certificate and Ex.A-7 is the copy of F.I.R., No oral or documentary evidence was let in on behalf of the appellant insurance company, the second respondent before the Tribunal. 4. The finding of negligence on the part of the driver of the bus and the liability of the insurance company to compensate the claimants is not disputed and the same is confirmed. 5. The only contention raised by the learned counsel for the appellant is on the quantum of compensation awarded by the Tribunal. 6. Insofar as the quantum of compensation is concerned, the same was dealt with by the Tribunal in paragraphs 7 of the award onwards in answer to point No.2. The age of the deceased was taken as 57 years based on Ex.A-4 service certificate of the deceased. The income of the deceased was fixed at Rs.7,931/- per month based on Ex.A-5 salary certificate. The dependency has been fixed by the Tribunal at Rs.5,000/- per month. By adopting 8 multiplier based on the second schedule to the Motor Vehicles Act, the pecuniary loss to the dependents was fixed as Rs.4,80,000/- (Rs.5,000/- x 12 x 8 = Rs.4,80,000/-). Compensation under conventional heads were also granted. In all, the Tribunal granted the following amounts as compensation with interest at 7.5%:- https://hcservices.ecourts.gov.in/hcservices/ Sl. No. Head Amount granted by the Tribunal 1 Loss of pecuniary benefits to the dependents Rs.4,80,000/- 2 Funeral expenses Rs. 3,000/- 3 For mental agony and for loss of security to the dependents Rs. 20,000/- Total Rs.5,03,000/- 7. According to the appellant's counsel, the deceased had only 3 more years of service. Therefore, the compensation at best should be calculated in a sum of Rs.1,80,000/- (Rs.5,000/- x 12 x 3 = Rs.1,80,000/-) for three years of service. Post retirement, the contribution will be only Rs.2,000/- to Rs.2,500/- and for the balance five year period after deducting the 3 years of service, the sum of Rs.1,50,000/- can be granted as a lump sum. In addition learned counsel for the appellant stated that Rs.20,000/- granted towards mental agony and loss of security can be adjusted towards loss of consortium to the wife and the loss of love and affection to the children of the deceased. The sum of Rs.3,000/- granted for funeral expenses is not in dispute. The sum of Rs.1,80,000/- as compensation for three year period of service and Rs.1,50,000/- as compensation for balance five years post retirement totally amounting to Rs.3,30,000/- towards loss of pecuniary benefits to the dependents is accepted by the learned counsel for the respondents 1 to 5/claimants. The multiplier fixed is not disturbed. The quantum of income is only modified for the period post retirement period. The determination of the amount and the reworking of the compensation has been done at the instance and concurrence of both the parties, and the Court is of the view that the same is just and reasonable and therefore, the award stands modified as follows:- Sl.No. Head Amount granted by the Tribunal Amount granted by this Court 1 Loss of pecuniary benefits to the dependents Rs.4,80,000/- Rs.3,30,000/- 2 Funeral expenses Rs. 3,000/- Rs. 3,000/- 3 For mental agony and for loss of security to the dependents Rs. 20,000/- --- 3(a) For loss of consortium and loss of love and affection --- Rs. 20,000/- Total Rs.5,03,000/- Rs.3,53,000/- 8. The interest granted by the Tribunal at 7.5% stands confirmed since the accident in this case happened in the year 1997 and the award was passed in the year 2006. https://hcservices.ecourts.gov.in/hcservices/ 9. It is stated that a sum of Rs.3,50,000/- with proportionate interest has been deposited as per order of this Court dated 30.4.2008. Counsel for the appellant prays six weeks' time to deposit the balance award amount, if any, as determined by this Court. 10. In the result, the Civil Miscellaneous Appeal is allowed in part as follows:- (i) The award of the Tribunal is reduced to Rs.3,53,000/- from 5,03,000/-. (ii) The interest granted by the Tribunal at 7.5% stands confirmed. (iii) Appellant is granted six weeks' time to deposit the balance award amount, if any, as determined by this Court. If any amount is excess in deposit, the appellant is entitled to withdraw the same after settling the claimants. (iv) The claimants are entitled to withdraw the award amount as determined by this court and as apportioned hereunder:- Wife/first respondent Rs.2,53,000/- with proportionate interest and cost as awarded by the Tribunal Four children/respondents 2 to 5 (Rs.25,000/- each) Rs.1,00,000/- with proportionate interest (v) There will be no order as to costs (vi) Consequently, connected miscellaneous petition is closed. Sd/- Asst. Registrar. /true copy/ Sub Asst. Registrar. ts https://hcservices.ecourts.gov.in/hcservices/ To 1. II Judge, Small Causes Court, (Motor Accidents Claims Tribunal) Chennai. + 1 CC To Mr.M.Nazir Ahamed, Advocate SR NO.62182 Judgment in C.M.A.No.1560 of 2008 RSI {CO} TP/1.12.08 https://hcservices.ecourts.gov.in/hcservices/