IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH FAO No.2363 of 1995 (O&M) Date of decision:21.02.2011 Madan Gopal Sharma and others ...Appellants versus Sudarshan Lal and others ....Respondents II FAO No.2048 of 1995 (O&M) United India Insurance Company Limited ...Appellant versus Madan Gopal Sharma and others ...Respondents III FAO No.2049 of 1995 (O&M) United India Insurance Company Limited ...Appellant versus Harinder Nath Sharma and others ....Respondents CORAM: HON’BLE MR. JUSTICE K. KANNAN ---- Present: Mr.Gaurav Chopra, Advocate, for the appellants in FAO No.2363 of 1995 and for respondents 1 to 6 in FAO No.2048 of 1995. Mr. Neeraj Khanna, Advocate, and Mr. Ravinder Arora, Advocate, for the appellant in FAO Nos.2048 and 2049 of 1995 and for respondent No.3 in FAO No.2363 of 1995. ---- 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. ---- FAO No.2363 of 1995 (O&M) - 2 - K.Kannan, J.(Oral) 1. The appeal in FAO No.2363 of 1995 is for enhancement of claim of compensation for death of a person, aged 25 years, working as Assistant in New India Assurance Company, Ambala. The proved income was `2780/- per month. The claimants were parents. The Tribunal has already awarded `1,25,000/-. Learned counsel seeks for reappraisal of compensation in the light of law laid down by the Hon'ble Supreme Court in Sarla Verma and others Versus Delhi Transport Corporation and another 2009(6) SCC 121 . I will make a provision for increase in salary by 50%, take deduction of ½ for personal expenses and adopt a multiplier of 11 instead of 10 taken by the Tribunal. The loss of dependency will be `2,75,220/-. I will also make an addition to loss of estate and funeral expenses and tabulate the claim as follows:- Fatal Accidents Age: 25 Occupation Assistant 2780 Claimants Parents Heads of Claim Tribunal High Court Sr.No. Amount ` Amount ` 1. Income 2780 2. Add % of increase 30%/50% Nil 50% 3. Deduction (1/2,1/3, 1/4, 1/5) 1/2 4. Multiplicand 2085 5. Multiplier 10 11 6. Loss of Dependence 2,75,220/- 7. Medical Expenses 8. Loss of Consortium 9. Loss to Estate 5000 10. Funeral Expenses 2500 Total 1,25,000/- 2,82,720/- FAO No.2363 of 1995 (O&M) - 3 - 2. The amount in excess over what has already been awarded by the Tribunal shall attract interest @ 6% from the date of petition till the date of payment. 3. The appeal in FAO No.2363 of 1995 is allowed to the above extent. 4. The appeals in FAO Nos.2048 and 2049 of 1995 are at the instance of the Insurance Company challenging the issue of liability on the ground that the driver did not have a valid driving licence. It was the contention of the insurer that they had sent a copy of the licence for verification with the Licensing Authority, Kota (Rajasthan) and when they did not secure any reply, they had filed a petition for appointment of Commissioner for collecting evidence. That application was dismissed on the ground that the provisions of Civil Procedure Code were not applicable. The Tribunal could devise its own procedure and it had the powers to do complete justice in terms of Section 169 of the Motor Vehicles Act. A want of driving licence would amount to violation of terms of policy and consequently, a tenable ground of defence under Section 149. I will, therefore, allow to the insurer an opportunity to establish its defence by summoning such evidence as it desires. 5. Even while making the insurer pay under the awards, the insurer shall be at liberty to produce in support of its defence that the driver did not have a driving licence and at its option, the Insurance Company may summon any official from the licensing authority and also the relevant documents and registers to verify whether the copy of the driving licence produced with the particulars contained therein, was FAO No.2363 of 1995 (O&M) - 4 - genuine or not. The awards are modified to provide for such a remedy. The matters are remitted to the Tribunal at Patiala for adjudication on the issue of the validity of driving licence which is essentially a matter of contest between the insurer and the insured and it shall not become necessary for any of the claimants to join issue on the same. 6. The appeals by the insurer are allowed to the above extent and remitted to the Tribunal at Patiala. 7. For appearance of parties before the Tribunal at Patiala on 19.03.2011. (K.KANNAN) JUDGE 21.02.2011 sanjeev