CIVIL REFERANCE No.1 OF 2000 ------- Against the order dated 15.2.2000 passed by Shri Arun Dhwaj Prasad SinghM.A.C.Tcum 9th Additional Dist. Judge, Bhojpur, Ara. INDU SINHA & ORS----------------------------(Appellant) Versus M.RAFI ALAM & ORS-------------------------(Respondents) ------ For the Petitioner : M/s V.Nath Ashok Kumar R.M.pandey For the opposite Parties : Mr. Ashok Priyadarshi P R E S E N T THE HON'BLE MR. JUSTICE CHANDRAMAULI KUMAR PRASAD THE HON'BLE MR DR. JUSTICE RAVI RANJAN Prasad & Ranjan, JJ This is a reference made by Motor Accidents Claim Tribunal, Bhojpur in purported exercise of the Power under section 113 of the Code of Civil Procedure. Short facts giving rise to the present reference are that husband of claimant no.1 Indu Sinha while traveling by his motorbike was knocked down by a Maruti Van. As a result of the said accident he died. Said Maruti Van was covered under insurance with New India Assurance Company and was subsisting on the date of accident. The widow and minor children of the deceased filed application claiming compensation under section 166 of the Motor Vehicles Act. During the pendency of the said application, an application was filed under section 140 of the Motor Vehicles Act claiming interim compensation of Rs. 50,000/-. The owner of the vehicle did not contest the claim. However - 2 - the insurer New India Assurance Company Ltd unfortunately resisted the petition. The tribunal finding conflict in the opinion of this Court deemed it necessary to make reference under section 113 of the Code of Civil Procedure. When the matter is taken up for hearing Mr. Ashok Priyadarshi appearing on behalf of New India Assurance Company Ltd., as also Mr. V. Nath appearing on behalf of the claimant submit that in view of judgement of this Court in the case of Kanhai Rai & ors Vs. Sri Dharampal & ors (2001)3 PLJR,103 it is the insurer who has to pay the interim compensation passed under section 140 of the Motor Vehicles Act. In the said case on consideration of large number of authorities and decisions the Division Bench of this Court has held as follows: “Thus, after considering the question involved in this appeal from different angles, I am of the considered view that the order under section 140 of the Act can be passed against the insurer also in view of the discussions made above. If ultimately it is found at the time of final determination of the question of compensation that the insurer is not liable to pay compensation, then the insurer is not loser or remediless as an order can be passed for reimbursement of the amount from the owner as held in the case of Jethu Ram (Supra)”. In view of aforesaid we are of the opinion that an order under section 140 of the Motor Vehicles Act for grant of interim compensation can be passed against the insurer and it is liable to make payment thereof. Ultimately if it is found at the time of final determination of the question of compensation that the insurer is not liable to pay - 3 - Patna High Court The 5th Sept,2008 Rahman/NAFR compensation an order can be passed for reimbursement of the amount from the owner. Before we part with the reference we would like to observe the casual manner in which the tribunal has made the reference, Even if there is conflict of opinion in the judgement of this court the option before the tribunal adjudicating the matter is to follow the decision which it consider reasonable and legal. If the subordinate courts and the tribunal start making such reference on such ground this court will be flooded with large number of references. Reference in this case has done a serious harm to the claimant because of pendency of this reference the matter before the tribunal was adjourned sine die. We direct the Motor Accident Claim Tribunal in seisin of the case to take up the case on priority basis and pass final order within 90 days from the date of receipt of a copy of this order. Reference is answered accordingly with the direction aforesaid. This reference is disposed of. Let the L.C.R. be sent down immediately. (Chandramauli Kr. Prasad, J) (Dr. Ravi Ranjan, J) - 4 -