^niii-^, SZi=~r\. -^-i-^-J^^ HiGH COURT OF CHHATTISGARH AT BiLASPUR DSVSSSON BEMCH CORAM: HON'BLE SHRI RAJEEV GUPTA, CJ. HON'BLE SHR1 RANGNATH CHANDRAKAR,J Appellants Resoondents M.A.fCl No. 931 OF 2007 1. Smt. Pushpa, W/o. Late Dhan Singh Chauhan, aged about 23 years. 2. Dayaram Chauhan, S/o. Samram Chauhan, aged about 58 years. 3. Smt. Kailasho Bai, w/o. Dayaram Chauhan, aged about 55 years. All Caste-Cheek, R/o. Village Kolhenjhariya, Tahsil Kunkuri, District Jashpur (CG). Versus 1. Mohd. Sheikh Niyajuddin, S/o. Mohd. Sheikh Riyajuddin, R/o. Kharpani, P.S. Baramkeia, District Raigarh (CG). 2 Smt. Azra Nahid, W/o. M. Aamir, R/o. Baramkeia, Tahsil Sarangarh, District Raigarh (CG). 3 The New India Insurance Company Umited.DivisionaI Office, Raipur(CG). Misc. Appeal under Section 173 of the Motor Vehicles Act Present : Shri Sanjay Agrawai, counsei for the appellants. Shri Roop Naik, counsei for respondent No.2. Shri Saurabh Sharma, counsel for respondent No.3. Order (11th March, 2010) The foilowing order of the Court was passed by Rajeev Gupta, C.J. This is claimants' appeai for enhancement of the compensation awarded by the Motor Accident Ciaims Tribunai, Jashpur, (for short 'the Tribunal') vide award dated 28.03.2007, passed in CJaim Case No.56/2005. 2) As against the compensation of Rs.23,70,000/- claimed by the appeitants/cialmants, unfortunate widow, and parents of deceased Dhan Singh, by filing a ciaim petition under Section 166 of the Motor Vehicles Act, for his death in the motor accident on 25.04.2005, the Tribunai awarded a total sum of Rs.2,95,728/- as compensation aiong with interest @ 6% per annum from. the date of fljing ofthe claim petition tiiJ the date of actual payment. 3) The Tribunal on a ciose scrutiny of the entire evidence led by the parties held that deceased Dhan Singh died on account of the injuries sustained by him in the motor accident on 25.04.2005; the accident occurred due to rash and negtigent driving of the driver ot' the offending vehicie Tata Specio bearing Registration No.CG- 13C/0830; as the offending vehicle Tata Specio on the date of the accldent was insured with the New India Insurance Company Limited, the tnsurance Company was liable to pay compensation to the claimants. 4) As the respondents have not filed any appeal against the award, the above findings recorded by the Tribunal have now attained finaiity. ' „ 5) The Tribunal' assessed the income of the deceased at Rs.89.79 per day, the rate prescribed by the Coliector for V contingency paid empioyees and Rs.1,796/- per month assuming that the deceased would be getting work only for 20 days in a month. By deducting 30% of Rs.1,796/- towards the personat expenses of the deceased, the claimants' dependency was assessed at Rs.1,258/- per month and Rs.15,096/- per annum. By multiplying the annual dependency of Rs.15,096/- with the multiplier of 18, the compensation was worked out to Rs.2,71 ,728/-. By awarding further sum of Rs.24,000/- under other heads, the Tribunal awarded a total sum of Rs.2,95,728/- as compensation to the daimants for the death of deceased Dhan Singh in the motor accident. The Tribunal further directed payment of interest on the above amount of compensation of Rs.2,95,728/- @ 6% per annum from the date of the filing of the claim petition till the date of actuat payment. 6) Shri Sanjay Agrawal, learned counsel for the appellants submitted that the Tribunal has erred in not accepting the cialmants' evidence about the income of the deceas^d and in assessing his jncome at Rs.1 ,796/- per month only; and in awarding low compensatjon of Rs.2,95,728/- only. 7) Shri Saurabh Sharma, learned counsel for respondent No.3 The New India insurance Company Limited, on the other hand supported the award and contended that the Tribunal has been quite liberal in awarding substantial compensation of Rs.2,95J28/- to the claimants. 8) Shri Roop Naik, learned counsei for respondent No.2, Smt Azra Nahid, owner of the offending vehicle also supported the award. 9) True, the claimants pieaded that deceased Dhan Singh used to earn Rs.150/- per day as Mason and Rs.25,000/- per annum from agricuiture, the evidence ied in that behaif was not 6f clinching nature. In this state of evidence, we do not flnd any fault in the approach of the Tribunal in discarding the claimants' evidence about the income of the deceased. 10) Nevertheless, the income of the deceased assessed by the Tribunal at Rs.1,796/- per month is certainly on the lower ^lde and requires re-consideration. 11) The Tribunai while discarding the claimants' evidence about the income of the deceased ought to have assessed his income on the basis of the notional income prescribed in the Second Schedule under Section 163-A of the Motor Vehicies Act. 12) Section 163 - A of the Act where-under the Second Schedule was introduced in the year 1994 reads as foliows : "{163 A. Special provisions as to payment of compensation on structured formula basis - (1) Notwithstanding anythirrg contained in this Act or in any other law for the time being in force or instrument having the force of Eaw, the owner of the motor vehicle or the authorized insurer shalJ be jiable to pay in the cas^ of death or permanent disabfement due to accident arising out of the use of motor vehicie, compensation, as indicated in the \t! ^.'"%. :y.'r:"^. ^, "w^"^ ''—^•^-ryffy^S^y1^' ^ Second Schedule, to the legal heirs or the victim, as the case may be. Explanation - For the purposes of this sub- section, "permanent disabitity" shali have the same meaning and extent as in the Workmen's Compensation Act, 1923 (8 of 1923). (2) in any claim for compensation under Sub - Section (1), the claimant shail not be required to plead or establish that the death or permanent disablement in respect of which the claim has been made was due to any wrongful act or neglect or default of the owner of the vehicle or vehicles concerned or of any other person. (3) The Central Govemment may, keeping in view the cost of living by notification in the Official Gazette, from time to time amend the Second Schedule." 13) The above quoted Sub - Section (3) of Section 163 - A of the Act mandated the CentraS Government to amend the Second Schedule from time to time keeping in view the cost of living. 14) As the Central Government has failed in amending the Second ScheduSe as provided in Sub - Section (3) of Section 163 - A of the Act, the Courts / Tribunal can take judicial notice of increase in the prices of essentialcommodities and the cost of living during the period between the introduction of the Second Schedule in fhe year 1 994 and the date of accident in the given case. v ^ 15) Now, reverting to the present case, the accident wherein deceased Dhan Singh lost his life took place in the year 2005. If '^^ Jy ....// ^. "••y:^,^ ^A^-" the increase in the prices of essentiai commodities and the cost of living during the period between 1994 and 2005 are taken into consideration, the notional income of Rs.15,000/- prescribed in the Second Schedule in the year 1994 would certainly come to Rs.36,000/- in the year 2005. We, therefore, propose to re-compute the compensation taking the income of the deceased at Rs.36,000/- per annum. 16) By deducting the usuai 1/3rd of Rs.36,000/- towards the personal expenses of the deceased, the ciaimants' dependency is assessed at Rs.24,000/- per annum. 17) Considering the age of the deceased, his widow and parents, we are of the opinion that multipiier of 15 would be appropriate in the present case. 18) By multiplying the annuai dependency of Rs.24,000/- with the multiplier of 15 the compensation works out to Rs.3,60,000/-. The claimants are further entitled to receive Rs.5,000/- towards funeral expenses; Rs.5,000/- for loss of estate and Rs.5,000/- for [oss of consortium to the widow. The claimants, thus, become entitled to receive a totai sum of Rs.375,000/- as compensation for the death of deceased Dhan Singh in the motor accident. 19) Learned counsel for the parties submitted that with a view to avoid any possible dispute between the parties about the period for which the claimants are entitled to receive interest on the enhanced amount of compensation, the amount of interest on the enNanced amount of compensation may be quantified in this appeal itself. ^•y:^^ T>.^ ^ /? ^. "^F'^ ^^fc^'' 20) Considering all the relevant factors including the delay in disposal of the claim petition and the present appeal, and the fact that the insurance Company alone is not to be blamed for the entire delay in the matter, we quantify the amount of interest on the enhanced amount of compensation of Rs.79,272/- at Rs.7,728/-. 21) For the foregoing reasons, the appeal fiied by the-appeliants/ ciaimants for enhancement of the compensation is allowed in part. The compensation of Rs.2,95,728/- awarded by the Tribunal is enhanced to Rs.3,75,000/- with further quantified amount of interest of Rs.7,728/- on the enhanced amount of compensation of Rs.79,272/-. 22) Respondent No.3 The New India insurance Company Limited is granted three months' time for depositing the total sum of Rs.87,000/- (Rs.79,272/- towards enhanced amount of compensation + Rs.7,728/- towards quantified amount of interest on the enhanced amount of compensation of Rs.79,272/-) before the concerning CIaims Tribunal. 23) No order as to costs. Sd/- aiiefjustice Sd/- R.N. Chandrakar Judge subbu )