IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR & THE HONOURABLE MR. JUSTICE C.K.ABDUL REHIM WEDNESDAY, THE 14TH JANUARY 2009 / 24TH POUSHA 1930 MFA.No. 268 of 1997() --------------------- OP(MV.558/1992 of ADDL. DISTRICT COURT, PATHANAMTHITTA .................... APPELLANTS/RESPONDENTS 1&2: -------------- 1. CHERIAN VARGHESE(BABU) (DRIVER) S/O.CHERIYAN AYYANKOVIL HOUSE, NALLAMTHANNIL, CHUNKATHRA, MALAPPURAM DIST. (PRESENT ADDRESS: AYYANKOVIL HOUSE, VALAKUZHY P.O., VENNIKULAM.) 2. A.V.ABRAHAM, S/O.VARGHESE, AYYANKOVIL HOUSE, NARAKATHANI P.O., MALLAPPALLY, PATHANAMTHITTA DIST.(DIED) ADDITIONAL APPELLANTS: 3. MARIYAMMA ABRAHAM, W/O.LATE A.V.ABRAHAM, AYYANKOVIL HOUSE, THELLIYOOR MURI, THELLIYOOR VILLAE, MALLAPPALLY TALUK, PATHANAMTHITTA DIST. 4. VARGHESE ABRAHAM, S/O.LATE A.V.ABRAHAM, .DO. .DO. , REP. BY HIS POWER OF ATTORNEY MARIYAMMA ABRAHAM, S/O.LATE A.V.ABRAHAM, AYYANKOVIL HOUSE, THELLIYOOR MURI, THELLIYOOR VILLAGE, MALLAPPALLY TALUK, PATHANAMTHITTA DIST. 5. VINO ABRAHAM, S/O.LATE A.V.ABRAHAM, .DO. .DO. (ADDL. APPELLANTS ARE IMPLEADED AS PER ORDER DT.14.1.2009 IN M.F.A. NO.268/1997) BY ADV. SRI.P.R.VENKITESH RESPONDENT(S): --------------- 1. E.J.VARGHESE, S/O.A.V.JACOB, ELAPPAKKATTU HOUSE, VALAKUZHY P.O., THELLIYOOR VILLAGE, MALLAPPALLY TALUK, PATHANAMTHITTA DIST. 2. THE NEW INDIA ASSURANCE CO. LTD., BRANCH OFFICE, CHANGANACHERRY. ADDL. RESPONDENT: 3. SHINO SAMUEL, S/O.LATE A.V.ABRAHAM, AYYANKOVIL HOUSE, THELLIYOOR MURI, THELLIYOOR VILLAGE, MALLAPPALLY TALUK, PATHANAMTHITA DISTRICT. (ADDL. RESPONDENT IS IMPLEADED AS PER ORDER DT.14.1.2009 IN MFA NO.268/1997.) THIS MISC. FIRST APPEAL HAVING COME UP FOR ADMISSION ON 14/01/2009, THE COURT ON 14/01/2009 DELIVERED THE FOLLOWING: C.N.RAMACHANDRAN NAIR & C.K.ABDUL REHIM, JJ. .................................................................... M.F.A. No.268 of 1997 .................................................................... Dated this the 14th day of January, 2009. JUDGMENT Ramachandran Nair, J. Heard counsel for the appellants and Standing Counsel for the Insurance Company. Since copy of Insurance Policy is produced which is reportedly genuine after verification by Standing Counsel with the Company, we allow the appeal by directing the Insurance Company to pay the compensation awarded to the beneficiaries in terms of the award. So far as interest is concerned, Standing Counsel for Insurance Company submitted that company cannot be blamed for the delay in paying the compensation awarded because neither the claimant nor the registered owner produce the policy or even furnish details of the same. We find force in this contention because delay in payment by Insurance Company is not attributable to them. Therefore, reduction of interest is called for. In the normal course we should order reduction only after hearing the aggrieved party who are the beneficiaries of the award. However, we do not think the claimants are entitled to oppose the 2 proposal to reduce interest at reasonable levels because even at this distance of time only the registered owner got the details of policy shifting liability to the Insurance Company. Further, the appellants are stated to be without assets and but for the order of this court holding the Insurance Company liable, the claimants would not have got even the award amount. Therefore, without notice to them, we reduce the interest from 12% to 6%. However, the reduction is granted on condition that the Insurance Company will deposit the compensation amount with 6% interest p.a. from date of application till date of deposit within a period of one month from date of receipt of copy of this judgment. The Cheque will be deposited by the Insurance Company in the name of the claimants before the MACT and as and when Cheque is received, MACT will recall revenue recovery proceedings and release the Cheque directly to the claimants. In view of the above judgment, there will be direction to the Tahsildar, Malappally to withhold recovery proceedings against the review 3 petitioner for a period of six weeks from now and thereafter to return the RR based on intimation received from MACT. C.N.RAMACHANDRAN NAIR Judge C.K.ABDUL REHIM Judge pms