THE HON'BLE SRI JUSTICE GHULAM MOHAMMED M.A.C.M.A. No.625 of 2005 ORDER: This appeal by the insurance company is directed against the judgment dated 16.08.2004 passed by the Motor Vehicle Accidents Claims Tribunal-cum-Principal District Judge’s Court, Kurnool in M.V.O.P.No.600 of 2002, whereby the claim petition of the respondents herein was allowed by awarding a compensation of Rs.2,37,500/-. Brief facts of the case are that on 13.06.2002, when one Chakali Ramu was going to Dhone from the factory where he was working as hamali, on N.H.7 road by walk along with his co-hamalies at about 8.30 p.m., one lorry bearing No.AP 13 T 8992 came behind them from Kurnool side and hit them, as a result, they received injuries and they were shifted to Government Hospital, Dhone, but they were succumbed to injuries. Therefore, the legal representatives of the said Ramu filed the claim petition before the Tribunal claiming a compensation of Rs.3,00,000/- for the death of the deceased. To prove their claim, the claimants examined P.Ws.1 to 3 and marked Exs.A-1 to A-5 i.e., F.I.R. in Crime No.111 of 2002, inquest report, postmortem report, Motor Vehicle Inspector’s report and charge sheet in the crime. The insurance company examined R.Ws.1 and 2 and marked Ex.B1 – insurance policy. The Tribunal, after considering the facts and circumstances of the case and the evidence on record, observed that the accident occurred due to the rash and negligent driving of the driver of the lorry and because of the accident only, the deceased died and therefore, the claimants are entitled for compensation. Since the deceased was aged 35 years and was working as hamali, the Tribunal has taken his income at Rs.18,000/- per annum and after deducting 1/3rd towards self contribution, a sum of Rs.12,000/- per annum was arrived towards contribution to the family. Considering the age of the deceased, the Tribunal adopted multiplier ‘17’. Accordingly, the loss of earnings and dependency was arrived at Rs.2,04,000/-. The Tribunal awarded further sums of Rs.15,000/- towards consortium, Rs.15,000/- towards loss of estate, Rs.2,500/- towards funeral expenses and Rs.1,000/- towards transportation. In total, the Tribunal awarded a compensation of Rs.2,37,500/- with proportionate costs and interest at 9% per annum from the date of petition till realization. The learned counsel for the appellant - insurance company submitted that in view of the of decision of the Apex Court in Sarla Verma vs. Delhi Transport Corporation[1], the correct multiplier for the age of the deceased i.e., 35 years shall be ‘16’ and the interest awarded by the Tribunal has to be reduced to 7% per annum. I find force in the submission of the learned counsel. Accordingly, the loss of earnings and dependency comes to Rs.1,92,000/- (12,000/- X 16). Considering the facts and circumstances of the case, loss of estate is decreased to Rs.10,000/- and the sum awarded towards funeral expenses is enhanced to Rs.5,000/-. The interest awarded by the Tribunal is reduced to 7% per annum. In all other respects, the judgment of the Tribunal shall remain intact. Accordingly, the C.M.A. is partly allowed by reducing the compensation to Rs.2,23,000/- (1,92,000 + 15,000 + 10,000 + 5,000 + 1,000) which carry interest at 7% per annum from the date of the claim petition till realization. No costs. _______________________ GHULAM MOHAMMED, J 29th July, 2010 GHN [1] (2009) 6 SCC 121 = 2009(3) Supreme Today 487