FAO No. 5199 of 2010 1 IN THE HIGH COURT OF PUNJAB & HARYANA, CHANDIGARH FAO No. 5199 of 2010 Date of decision February 2 , 2011 Oriental Insurance Company ....... Appellant Versus Smt. Jai Devi and others ........Respondents CORAM: HON'BLE MR. JUSTICE K. KANNAN Present:- Mr. Ashwani Talwar, Advocate for the appellant. Mr. R. S. Mamli, Advocate for the respondents. None for respondent Nos. 1 and 2. **** 1. Whether reporters of local papers may be allowed to see the judgment ?No 2. To be referred to the reporters or not? No 3. Whether the judgment should be reported in the digest?No K. Kannan, J (oral). 1. The appeal by the Insurance Company is on the issue of quantum on a point of law that the Tribunal ought to have given appropriate deduction for the benefit that the family has obtained by a compassionate assistance through a scheme that provides for a gratuitous payment to the family members the same salary as the deceased was earning for the rest of the period when the deceased would be in service. According to him the same shall be deducted. 2. This Court has already taken a view with reference to the manner of compensation in a case where a compassionate assistance is given and its statutory in character for the FAO No. 5199 of 2010 2 family to secure its enforcement in the judgment in New India Assurance Company Ltd. Vs. Santosh and others FAO No.3432 of 2009 dated 29.9.2010. I would therefore proceed to dispose of the appeal in terms of the law laid down through the aforesaid decision and particularly in the light of the order of determination of compensation for the death as laid down in Sarla Verma Vs.Delhi Road Transport Corporation reported in (2009) 6 SC 121. 3. Learned counsel appearing on behalf of the claimant would point out that subsequent to the death there had been revision of pay through the Sixth Pay Commission for all persons who had been in service and amount of `17,617/- which was the salary stood revised to `25,062/- and the compensation ought to have provided only on such basis. The income as assessed by the Tribunal at `17,617 was therefore not appropriate and it was lower than what the claimant was entitled to. Since the Sixth Pay Commission had been applied retrospectively to all persons who were alive on 1.1.2006, I would understand the family were also be entitled to financial assistance at `25,062/- and the scale of compensation will have to be reckoned on that basis. I will make a deduction of 15% as going towards tax and take the average salary to be `21,761/-, I will provide for a 1/4th deduction and take the contribution to the family per month at `16,321/- and I would adopt a multiplier of 11 and find the loss of dependency and the amount that could have become payable will be `21,54,408/-. The compassionate assistance and tax component will be @ `21,761/- `11,50,345/- for 54 months. The balance of the amount will be `10,40,063/-. I will provide for an additional amount of `20,000/- towards conventional heads of claims such as funeral expenses and loss of consortium etc., as provided by the Tribunal. The FAO No. 5199 of 2010 3 total amount payable will be `10,60,063/- with interest at the rate of 6% per annum. 4. The appeal is accordingly disposed of. (K. KANNAN) JUDGE February 2, 2011 archana