THE HON’BLE MR JUSTICE L. NARASIMHA REDDY Civil Miscellaneous Appeal No.65 of 2001 JUDGMENT: This appeal is filed by the claimants in O.P.No.381 of 1989 on the file of the Motor Accidents Claims Tribunal-cum-Additional District Judge, Nizamabad. They filed the O.P., claiming a sum of Rs.1,20,000/-, on account of the death of Naini Chinna Yerra Sayanna, husband of the 1st appellant, son of the 2nd appellant and father of appellants 3 to 6. It was pleaded that Sainna, a resident of Gannaram Village, was proceeding by walk in the limits of Indalwai Village along the National Highway No.7 at 1.45 a.m. on the left side, and an auto-rickshaw bearing No.AET 6397, owned by the 1st respondent and insured with the 2nd respondent, dashed against him. He was declared dead when taken to the Government Hospital, Nizamabad. According to the appellants, the death of the deceased occurred, on account of the rashness on the part of the driver of the auto-rickshaw. The claim was made under different heads. The 1st respondent filed written statement, disputing the quantum of compensation. The 2nd respondent filed a written statement, admitting the existence of insurance coverage, but stating that its liability is restricted to Rs.50,000/-. Through its order, dated 30.06.1992, the Tribunal awarded a sum of Rs.1,20,000/- as compensation, but restricted the liability of the 2nd respondent to Rs.50,000/-. Hence, this appeal. Heard Sri S.Raj Kumar, learned counsel for the appellants, and Sri T.Ramulu, learned counsel for the 2nd respondent. The only question that arises for consideration is as to whether the Tribunal was justified in restricting the liability of the 2nd respondent to Rs.50,000/-. No serious dispute is raised as to the quantum of compensation. The Motor Vehicles Act, 1939 was replaced by the Act 59 of 1988. The subject concerning the insurance of vehicles was covered by Section 95 of the Act 59. Sub-section (2)(b) of Section 95 restricted the liability of an insurer in respect of claims arising out of a vehicle in which passengers are carried, to Rs.50,000/- vis-à-vis third parties and Rs.15,000/- as regards inmates of the vehicle. The 1988 Act came into force with effect from 01.07.1989. Under this enactment, the liability of an insurer is without any limits. In the instant case, the accident occurred on 20.05.1989, at a time when the 1939 Act was came into force. The Tribunal has assigned cogent reasons for restricting the liability of the 2nd respondent for Rs.50,000/-. No interference is warranted by this Court. The appeal is accordingly dismissed. There shall be no order as to costs. _______________________ L.NARASIMHA REDDY, J Dt:15.12.2011 GJ