IN THE HIGH COURT OF JUDICATURE OF ANDHRA PRADESH:: HYDERABAD FRIDAY, THE FOURTH DAY OF NOVEMBER TWO THOUSAND AND ELEVEN PRESENT:: HON’BLE SRI JUSTICE G.V.SEETHAPATHY M.A.C.M.A.No.3976 OF 2008 Between: The New India Assurance Company Limited, Rep. by its Divisional Manager, Kadapa Town. …Appellant A n d Dasari Erikala Reddanna and others ..Respondents HON’BLE SRI JUSTICE G.V.SEETHAPATHY M.A.C.M.A.No.3976 OF 2008 JUDGMENT: This appeal is directed against the order dated 16.11.2005 in M.V.O.P.No.488 of 2004, on the file of the Motor Accidents Claims Tribunal, (District Judge), Kadapa, wherein the said claim application filed by respondents 1 to 3 herein under Section 166 of the Motor Vehicles Act was allowed-in-part, awarding compensation of Rs.3,84,000/- with interest at 7.5% per annum from the date of petition. 2. Heard the learned counsel for the appellant and the learned counsel for the respondents. Perused the record. 3. Respondents 1 to 3 herein filed claim application seeking compensation of Rs.3 lakhs for the death of the deceased Erikala Reddakka who died in a motor vehicle accident that occurred on 27.08.2003. The first claimant is the husband and claimants 2 and 3 are the children of the deceased. According to the claimants, on that day, the first claimant and his wife, the deceased, engaged a mini lorry bearing No.AP 9V 3158 for the purpose of transporting broom sticks from Allagadda to Hyderabad and that they were accompanying the said goods in the lorry and when the vehicle reached Pebbair on NH-7, on account of rash and negligent driving, the vehicle dashed against the stationed lorry bearing No.AP 13 T 4797, as a result of which the deceased died on the spot. 4. The owner of the offending mini lorry, the 4th respondent herein, did not file any counter. The appellant-insurer filed a counter opposing the claim and denying their liability to pay the compensation. 5. During enquiry, P.Ws.1 & 2 were examined and Exs.A-1 to A-4 were marked on behalf of the claimant. No oral or documentary evidence was adduced on behalf of the appellant-insurer. 6. On a consideration of the evidence available on record, the Tribunal held that the accident occurred due to the rash and negligent driving of the lorry by its driver. The said finding is not seriously challenged in this appeal. The Tribunal further held that the claimants are entitled for a total compensation of Rs.3,00,000/- with interest at 7.5% per annum. Aggrieved by the same, the insurer filed the present appeal. 7. The learned counsel for the appellant would contend that the deceased was unauthorized traveller in the mini lorry. As seen from the evidence of P.W.1 and also the contents of F.I.R Ex.A-1 and inquest report-Ex.A- 2 and charge sheet Ex.A-4, the deceased and P.W.1 have engaged the mini lorry for the purpose of transporting the broom sticks in which they were trading and that they were accompanying the goods vehicle from Allagadda to Hyderabad. It is, therefore, not a case where the deceased boarded the lorry as a midway passenger. On the other hand, the deceased was travelling in the said lorry as owner of the goods and accompanying the goods. It is not disputed that the liability of such person is covered by the policy. 8. In the absence of any proof of income of Rs.5,000/- per month as claimed, the Tribunal has taken the income of the deceased at Rs.3,000/- per month from broom stick business. The evidence on record also shows that the deceased was doing business in broom sticks and in that connection only she was travelling in the lorry along with her stock in trade to Hyderabad. Even if the deceased is assumed to be an agricultural labourer, still her income can reasonably be assessed at Rs.100/- per day, which comes to Rs.3,000/- per month. Thus, viewed from any angle, the income of Rs.3,000/- per month taken into consideration by the Tribunal, cannot be termed excessive or unreasonable. After deducting one-third thereof, the contribution of the deceased to the family would come to Rs.2,000/- per month i.e., Rs.24,000/- per annum. The appropriate multiplier applicable to the age of the deceased who was 38 years would be ‘15’ as per the decision of the Apex Court in SARLA VERMA & OTHERS V. DELHI TRANSPORT CORPORATION[1]. Applying the same, the loss of dependency works out to Rs.3,60,000/- (Rs.24,000/- x 15). The claimants, however, restricted their claim only to Rs.3 lakhs. The Tribunal has, therefore, rightly awarded the said amount of Rs.3 lakhs. However, the claimants would be entitled for interest only at the rate of 6% per annum, as per the decision of the Apex Court in Sarla Verma’s case. 9 . In the circumstances, subject to the above modification regarding the rate of interest, the impugned award does not call for any interference. 10. In the result, the appeal is disposed of as stated above. There shall be no order as to costs. ____________________ G.V.SEETHAPATHY, J 04th November 2011 Lrkm. [1] 2009(3) ALD 83 (SC)