IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 16.07.2008 CORAM: THE HONOURABLE MR.JUSTICE M.VENUGOPAL C.M.A.No.1746 of 2003 and C.M.P.No.11081 of 2003 The Oriental Insurance Company Ltd., Chennai - 108. .. Appellant/ 2nd Respondent Vs 1.Perumayee Ammal 2.T.P.S.Sadhasivam 3.T.P.S.Sekar .. Respondents 1 to 3/ Petitioners 1 to 3 4.S.P.Transport, No.9, Siddha Veerapa Chetty Street, Dharmapuri District. .. 4th Respondent/1st respondent Prayer: Appeal filed under Section 173 of the Motor Vehicles Act, against the award dated 26.12.2002 passed in M.C.O.P.No.156 of 2000, by the Motor Accident Claims Tribunal - Additional District Judge, Fast Track Court No.1, Salem. For Appellant : Mr.J.Chandran For Respondents: Mr.V.R.Rajasekaran for R.1 to R.3 Mr.A.Jenanesan for R.4 JUDGMENT The challenge in this Civil Miscellaneous Appeal is against the award dated 26.12.2002 passed in M.C.O.P.No.156 of 2000, by the Motor Accident Claims Tribunal - Additional District Judge, Fast Track Court No.1, Salem, awarding a compensation of Rs.12,80,397/- (Rupees Twelve Lakhs Eighty Thousand Three Hundred and Ninety Seven https://hcservices.ecourts.gov.in/hcservices/ only), together with interest at 9% p.a from the date of filing of the petition till date of payment. 2. Dissatisfied with the award passed, the appellant/second respondent Insurance Company, in the claim petition has projected the present appeal. 3. The respondents 1 to 3/claimants 1 to 3 being the legal heirs of the deceased Sengoda Gounder have preferred a claim petition in M.C.O.P.No.156 of 2000 on the file of the Motor Accident Claims Tribunal - Additional District Judge, Fast Track Court No.1, Salem, claiming a total compensation of Rs.15,00,000/- (Rupees Fifteen Lakhs only). 4. The short facts of the claim are as follows: On 20.12.1999, at about 12.00 noon, the deceased Sengoda Gounder was travelling in the T.V.S 50 motorcycle bearing Registration No.TN-27-T-3909 on the left side of Salem - Dharmapuri road and when the deceased was nearing the Theevattipatti check post, the bus bearing Registration No.TN-29-K-6666 came from backside in a rash and negligent manner without sounding horn and dashed against his motorcycle, as a result of which, the deceased fell down with the motorcycle and sustained head injuries. Immediately, he was taken to Gokulam Hospital, Salem, but he expired in the hospital in the evening on the same day. The accident took place only due to the rash and negligent driving of the driver of the bus. A criminal case was registered against the driver of the bus by Theevattipatti Police in Cr.No.1224 of 1999 under Sections 279 and 304(A) I.P.C. The deceased Sengoda Gounder was the Proprietor of T.P.S.Bus service in Salem - Harur route. He was the shareholder in T.P.S.Spinning Mills and he was having 20 acres of agricultural lands and he was the Panchayat President in Kookuttapatti and was earning a sum of Rs.40,000/- p.m. At the time of the accident, he was very hale and healthy and was very active in attending his day-to-day work. He was only the earning member of his family. The respondents 1 to 3/claimants were depending upon the earnings of the deceased. Considering the deceased's earnings, dependents and age, the claim of Rs.15,00,000/- was reasonable and moderate one. 5. The fourth respondent/first respondent was the owner of the bus and the appellant/second respondent was the insurer of the said bus and they were jointly and severally liable to pay the entire compensation with costs and interest. 6. The fourth respondent/first respondent has remained ex- parte before the Tribunal. https://hcservices.ecourts.gov.in/hcservices/ 7. The appellant/second respondent Insurance Company took a stand that it was false to say that the accident took place due to the rash and negligent driving of the driver of the bus bearing Registration No.TN-29-K-6666 and that the accident took place only due to the rash and negligent driving of the deceased who was driving in his T.V.S.50 moped and dashed against the bus. There was no actionable claim. The respondents 2 and 3/claimants 2 and 3 were married and they were not depending upon the income of the deceased. The relationship of the claimants with the deceased was not admitted. The claim of Rs.15,00,000/- was excessive and without any basis. The petition was liable to be dismissed and prays for dismissal of the claim petition with costs. 8. Before the Tribunal, on the side of the respondents 1 to 3/claimants, witnesses P.W.1 to P.W.5 were examined and Exs.P.1 to P.16 were marked and on the side of the respondents, no witness was examined and no documents were marked. 9. After contest, on an appreciation of oral and documentary evidence, the Tribunal has awarded a sum of Rs.12,80,397/- (Rupees Twelve Lakhs Eighty Thousand Three Hundred and Ninety Seven only) along with interest at 9% p.a from the date of petition till date of payment payable by the respondents, with costs. 10. To prove negligence, the respondents 1 to 3/claimants have examined P.W.2, Sekar, an eyewitness and he has deposed that on 20.12.1999 at about 12.00 noon, he was standing at the Theevattipatti Tempo Market in Salem - Bangalore road and at that time, the deceased Sengoda Gounder was proceeding in his motorcycle from south to north and from Salem side, S.P.Transport bus bearing Registration No.TN-29-K-6666 came in a high speed and entering into the check post, dashed against him on the backside, as a result of which, he sustained injury on his head and fell unconscious and that he was taken to Salem Hospital in a car and he came to know that he died in the evening on the same day and that the driver of the bus who came behind the deceased Sengoda Gounder was responsible for causing the accident. 11. Ex.P.10, the certified copy of F.I.R, in which the informant's name is mentioned as Veerasamy and the name of the accused is mentioned as TN-29-K-6666 S.P.T Bus driver. The informant/complainant in Ex.P.1, Veerasamy, has not been examined as witness before the Tribunal. A perusal of Ex.P.1, certified copy of F.I.R shows that the Theevattipatti Police have registered a case under Sections 279 and 304(A) I.P.C in Cr.No.1224 of 1999. https://hcservices.ecourts.gov.in/hcservices/ 12. In Ex.P.1, the certified copy of F.I.R, the informant Veerasamy has stated that on 20.12.1999 at about 12.00 noon, he along with one Palanisamy, S/o.Subramanian, was standing in front of Theevattipatti Police Station and at that time, Kookuttapatti Panchayat President, Sengoda Gounder was proceeding towards Theevattipatti in his T.V.S.50 motorcycle bearing Registration No.TN-27-T-3909 on the left side of Salem - Dharmapuri road near Theevattipatti Check Post and at that time, S.P.Transport bus bearing Registration No.TN-29-K-6666, which was proceeding towards Dharmapuri was driven by its driver in a fast speed and negligently and dashed against the deceased Sengoda Gounder, as a result of which he fell down and sustained injury on his backside. His T.V.S.50 motorcycle was damaged and later, he took the deceased Sengoda Gounder in a car which came on that way and admitted at the Salem Gokulam hospital where after some time, he died. 13. Ex.P.3, is the Motor Vehicle Inspector's report in respect of the bus bearing Registration No.TN-29-K-6666 and the T.V.S 50 motorcycle bearing Registration No.TN-27-T-3909, in which the Motor Vehicle Inspector had opined that 'the accident was not due to any mechanical defect of the two vehicles.'. 14. Ex.P.4, is the certified copy of the charge sheet in C.C.No.37 of 2000 on the file of the District Munsif - cum - Judicial Magistrate Court, Ommalur, in and by which, the driver of S.P.Transport bus bearing Registration No.TN-29-K-6666, M.Manoharan, was chargesheeted under Sections 279 and 304(A) I.P.C by the Inspector of Police, Theevattipatti Police Station. 15. Even though, the informant Veerasamy has not been examined as witness before the Tribunal, yet the evidence of eyewitness P.W.2, Sekar in regard to the manner and happening of occurrence coincides with the averments found in Ex.P.1, certified copy of the F.I.R. In fact, the evidence of P.W.2, Sekar is to the effect that when the deceased Sengoda Gounder was proceeding in his motorcycle from south to north, at that time, the bus bearing Registration No.TN-29-K-6666 came from behind the said Sengoda Gounder and while entering into the check post, dashed against him etc., is cogent, convincing and the same is of credence and therefore, this Court accepts his evidence in regard to the manner and mode of occurrence and therefore, this Court comes to the inevitable conclusion that the occurrence has taken place because of the rash and negligent driving of the said bus by its driver in a high speed and that the driver of the said bus is solely responsible for causing the accident. https://hcservices.ecourts.gov.in/hcservices/ 16. Though the learned Counsel for the appellant/Insurance Company contends that the driving licence of the deceased Sengoda Gounder who drove the T.V.S 50 motorcycle bearing Registration No.TN-27-T-3909, has not been produced and therefore, the Tribunal should have given a finding of contributory negligence and reduced the compensation, this Court is of the view that since the bus driver who drove the bus bearing Registration No.TN-29-K-6666 has been negligent and has caused the resultant accident, the plea of contributory negligence does not arise in this case and hence, this Court rejects the argument of the appellant/Insurance Company. Though another plea has been taken by the appellant/Insurance Company in regard to the non-production of the driving licence of the deceased Sengoda Gounder, it is pertinent to point out that the appellant/Insurance Company has not examined any witness on their side in regard to the driving licence aspect of the deceased Sengoda Gounder and therefore, since negligence has been fixed on the driver of the bus bearing Registration No.TN-29-K-6666, the non-production of driving licence by the respondents 1 to 3/claimants 1 to 3, is not fatal to their claim and accordingly, the point is answered. 17. In regard to the quantum of compensation to be awarded, it is to be pointed out that the respondents 1 to 3 in their claim petition have claimed a total compensation of Rs.15,00,000/- for the death of the deceased Sengoda Gounder under various heads claiming different sums which are as follows: Transport to Hospital - Rs. 5,000.00 Extra Nourishment - Rs. 5,000.00 Motorcycle damaged - Rs. 5,000.00 Medical Expenses - Rs. 10,000.00 Funeral Expenses - Rs. 10,000.00 Consortium - Rs. 30,000.00 Compensation for pain and sufferings - Rs. 20,000.00 Compensation of continuing as permanent disability & - Rs.14,15,000.00 Compensation for the loss of earning power ----------------- Total - Rs.15,00,000.00 ----------------- 18. The learned Counsel for the appellant/Insurance Company contends that the Tribunal has failed to appreciate the admission of the second respondent/second claimant that the bus was still running and that it ought to have appreciated the evidence of P.W.5, Kumar that the bus was earning more than previously and https://hcservices.ecourts.gov.in/hcservices/ further that, the Tribunal has not taken into account of the admission of P.W.1 that the lands were purchased in the name of the deceased Sengoda Gounder only by way of selling the ancestral properties and that the Tribunal ought to have given a finding that there was no loss of income due to the demise of the deceased Sengoda Gounder since P.W.1 had deposed that the third respondent/third claimant was looking after agricultural works for the past seventeen years and that the assessment of the loss of earning capacity at Rs.40,000/- by the Tribunal is without any legal basis and further that, the adoption of multiplier of 11 by the Tribunal in taking the age of the first respondent/first claimant at 55 years in stead of the age of the deceased at 61 years, is invalid and in regard to the income of the deceased at Rs.50,000/- p.m, there is no evidence and this has not been taken note of by the Tribunal and therefore, prays for allowing the appeal. 19. P.W.1/Sekar (third claimant) in his evidence, has stated that his father died in the accident and at the time of his death, he was 60 years and the bus was purchased by his father one year prior to the accident and that his father was doing agricultural work and that he was a partner in a Spinning Mill getting a monthly income of Rs.50,000/- and the bus would ply from Salem to Harur in the name of his father, getting a daily collection of Rs.10,000/- and that his father had twenty acres of agricultural lands in his name and that himself and the second claimant were married and that the permit of the bus was in his name and his brother's name and that his father purchased an old bus on 11.02.1999 in an instalment loan and presently, the bus was transferred in his brother's name and that the bus is still running and that his sisters were given in marriage and that after selling the ancestral property, the land was purchased in his father's name. 20. P.W.3, Natarajan, in his evidence has deposed that he being the auditor of T.P.S.Spinning Mills, knew Sengoda Gounder and that the said Sengoda Gounder was a partner in T.P.S.Spinning Mills and that on 26.09.1998, the said Sengoda Gounder had purchased 65,000 shares for Rs.6,50,000/- (value of per share being Rs.10/-) and purchased 20,000 shares at the rate of Rs.10/- per share and that the xerox copy of the share allotment order is Ex.P.10 and that the xerox copy of the sale confirmation letter regarding transfer of shares is Ex.P.11 and that the xerox copy of the resolution in regard to the transfer of shares is Ex.P.12. Ex.P.13, is the xerox copy of the register of members and share ledger accounts in respect of the deceased Sengoda Gounder , where shares' acquisition details were found. It is the further evidence of P.W.3, Natarajan, that the third respondent/third claimant was the Managing Director of the T.P.S.Spinning Mills and that the https://hcservices.ecourts.gov.in/hcservices/ second respondent/second claimant was one of the Directors of the said Mill. 21. P.W.4, Jothi, V.A.O, in his evidence has stated that he knew the deceased Sengoda Gounder who died in the accident and that he was doing agricultural works and quarrying business and he was also operating bus service and that he was having 17 acres of land at Kookutapatti and that fasli account extract copy for the year 1996-97 is Ex.P.14 and that the deceased Sengoda Gounder who cultivated Sugar cane, Paddy, Turmeric and Coconut trees and as per the Adangal, his annual income was well over Rs.4,00,000/- and in the year 1996, he cultivated Sugar cane in 11 acres approximately and turmeric was also cultivated in 2 ½ acres and coconut trees were planted in 2 ½ acres and Sugar cane per acre will yield Rs.30,000/- and that the annual income from per coconut tree was Rs.250/-. In the year 1997, sugar cane was cultivated and in the year 1999 also, he cultivated sugar cane, coconut tree, paddy and turmeric. 22. P.W.4, in his cross-examination, has specifically stated that he was not aware of the cultivating expenditure and the profit earned therein and that he was not directly aware of the receipt of income of Rs.4,00,000/- by the deceased Sengoda Gounder and that stone quarrying and bus business were continuing. 23. P.W.5, Kumar, in his evidence has deposed that he knew the deceased Sengoda Gounder, the T.P.S bus owner and the name of the bus was T.P.S bus service which plied between Salem and Kadathur and that in the said bus, during the year 1998 - 1999, the average daily income was around Rs.3,000/- to Rs.5,000/- and Ex.P.15 is the ticket book series from 01.04.1999 to 30.12.1999 and that the daily collection would be written and handed over to the office and in that, the receipt and expenditure details would find a place on daily basis and after deducting the expenditure, the collection per day would be Rs.2,000/- to Rs.2,500/- and in the daily chit, his signature was found and the daily chit was Ex.P.16 series and the monthly income by operation of the bus service, was Rs.60,000/- to Rs.65,000/-. Further, in his evidence, P.W.5, has stated that even now, he continues to be the conductor in the bus and now, the income is high and that the present monthly income is around Rs.90,000/- this way or that way. 24. It is pertinent to mention that the Tribunal as per Section 168 of the Motor Vehicles Act, is required to pass an award determining the amount of compensation which is to be in the real sense a reasonable and just one. In fact, the award of compensation for death or any kind of injury, can hardly be weighed https://hcservices.ecourts.gov.in/hcservices/ in golden scales. However, the compensation is not expected to be extravagance or windfall for the victim. Equally, compensation to be awarded should not be a pittance. For value of human life or a limb, there is no golden rule applicable to all cases. Suffice it to state that the quantum of compensation cannot be arrived at by exact mathematical calculation. 25. While awarding the compensation, the Tribunal ought to be rational, to adopt a judicious approach and not the outcome of arbitrariness and whims and wild guesses etc. The term 'just' enjoins fairness, equitability and reasonableness and non- arbitrariness, in the considered opinion of this Court. 26. In the decision “M.G.Bros.Lorry Service, Madras and another v. S.Andalammal and others (1982 A.C.J (Supp.) 408)”, at page 412, this Court has inter alia observed that, 'It is not in dispute that the deceased was earning the income assessed in his hands for all the above years, consisted of not only the income from two businesses referred to above but also the agricultural income, the house property income and the income from investments. The income from agriculture, house property and from the investments cannot be taken into account for determining the loss of income, for, those are sources which still continued to exist even after the death of Sanjeevi Mudaliar. Therefore, there cannot be said to be any loss from those three sources. etc.,'. 27. In the decision “State of Haryana and another v. Jasbir Kaur and others (2003 ACJ 1800)”, at page 1802, the Honourable Supreme Court, has, among other things, held that, 'The land possessed by the deceased still remains with the claimants as his legal heirs. There is, however, a possibility that the claimants may be required to engage persons to look after agriculture. Therefore, the normal rule about the deprivation of income is not strictly applicable to cases where agricultural income is the source. Attendant circumstances have to be considered. Furthermore, there was no material before the Tribunal to arrive at the figure of Rs.4,500 per month.'. 28. Further, in the decision “A.Abdul Khadar and another v. V.Sathiyavathi @ Sathiya and others (2008 (1) TN MAC 205), this Court observed that 'normal rule about the deprivation of income not strictly computable to cases where agricultural income is source and notwithstanding death of the deceased, agricultural land remains with claimants as such there is no loss of income and monthly income fixed by Tribunal at Rs.6,250/- is on higher side and since the deceased being aged 45 years, it would be appropriate to take his monthly income from agriculture at Rs.4,500/-.'. https://hcservices.ecourts.gov.in/hcservices/ 29. As seen from Ex.P.6, Election Result Notice, issued by the Returning Officer, Village Panchayat President and Ward Member Elections and Commissioner, Panchayat Union, Kadayampatti, it is evident that the deceased Sengoda Gounder was elected as Panchayat President of Kookuttapatti. Admittedly, Income Tax Returns of the deceased Sengoda Gounder were not filed on the side of the respondents 1 to 3/claimants 1 to 3, to know about his real income and the amount to which he was subjected to pay income tax for the relevant periods. 30. Further, in Ex.P.2, certified copy of the post-mortem certificate dated 21.12.1999, in respect of the deceased Sengoda Gounder, the age was mentioned as about 61 years. However, in the claim petition, the age of the deceased Sengoda gounder was mentioned as 60 years. The first respondent/first claimant's age (wife of the deceased Sengoda Gounder) was mentioned as 55 years in the claim petition. 31. As far as the present case is concerned, in the absence of any document to know about the exact age of the deceased Sengoda Gounder at the time of his death, this Court fixes the age of the deceased Sengoda Gounder at the time of the accident as 61 years as per Ex.P.2, post-mortem certificate. 32. It cannot be gainsaid that the land possessed and cultivated by the deceased Sengoda Gounder continues to remain with his family members. Since the bus was admittedly running, even after the death of the deceased Sengoda Gounder as spoken to by his son Sekar/third claimant/P.W.1, there was no loss of income through running of the bus service and that the respondents 1 to 3/claimants 1 to 3 continue to derive the income. 33. Even though, the respondents 1 to 3/claimants 1 to 3 are the heirs of the deceased Sengoda Gounder, yet they cannot fill the vacuum and void created on account of the demise of the deceased Sengoda Gounder, in the considered opinion of this Court. 34. As a matter of fact, though P.W.4, Jothi, Village Administrative Officer of Kadayampatti, in his evidence has deposed that as per Adangal, Ex.P.14, series, the deceased Sengoda Gounder earned an income of over and above Rs.4,00,000/- on account of cultivation of sugar cane, paddy, turmeric and planting of coconut trees, etc. There is no satisfactory and clinching documentary evidence in the present case. 35. At this stage, it is to be borne in mind that since the proceedings before the Tribunal are of summary in nature, no strict rules of evidence will apply. Hence, the evidence of P.W.4, Jothi, https://hcservices.ecourts.gov.in/hcservices/ V.A.O, that the deceased Sengoda Gounder earned an income of Rs.4,00,000/- and above, as per Ex.P.14, series, village accounts for the fasli year 1996 - 1997, 1999, cannot be brushed aside so lightly, in the considered opinion of this Court. 36. Therefore, taking note of the fact that the deceased Sengoda Gounder was the Panchayat President and since, during his life time, he was a partner in the T.P.S Spinning Mills and because of his death, in an accident, the respondents/claimants have received a shock and set back and bearing in mind of another fact that the respondents/claimants cannot be an effective substitute for the deceased Sengoda Gounder and the fact that the services, wisdom experience and expertise of the deceased Sengoda Gounder are not available in regard to the Management of the Mills, running of the bus service and carrying out the agricultural operations etc., now the same cannot at all be doubted and that his place cannot be so easily replaced by employing a proper individual on salary basis to attend his Management/Administrative works as effectively and efficaciously as the deceased was performing. Therefore, to replace the deceased Sengoda Gounder in regard to the activities carried on by him, at least, a substantial sum has to be spent and therefore, the average loss from all sources can safely and reasonably be taken to be Rs.20,000/- p.m, having regard to the age of the deceased who was aged 61 years at the time of the accident. Even taking it for granted that the longevity of the deceased Sengoda Gounder as 70 years, this Court opines that a multiplier of 5 can safely be adopted and applying the same, then, it works out to Rs.12,00,000/- (Rupees Twelve Lakhs only) being the loss of pecuniary benefit. After deducting 1/3rd amount towards personal expenses of the deceased Sengoda Gounder from the said sum of Rs.12,00,000/- (Rupees Twelve Lakhs only), the same comes to Rs.8,00,000/- {Rs.20,000/- X 12 X 5 = Rs.8,00,000/-} (Rupees Eight Lakhs only). 37. In addition, the first respondent/first claimant being the widow of the deceased, is granted a sum of Rs.20,000/- towards loss of consortium. Towards funeral expenses, a sum of Rs.10,000/- is awarded by this Court. Towards medical expenses, which comes to Rs.5,897/- as per Ex.P.5, medical bills, this Court grants a sum of Rs.6,000/- as a rounded off figure. This Court awards a sum of Rs.5,000/- towards Transport Expenses. Towards