THE HONOURABLE SRI JUSTICE N.V. RAMANA AND THE HONOURABLE SRI JUSTICE P. DURGA PRASAD M.A.C.M.A. No. 164 of 2006 JUDGMENT: (Per Hon’ble Sri Justice N.V. Ramana) The present appeal is directed against the award dated 26.07.2002 passed in O.P. No. 330 of 1996 by the Chairman, Motor Accidents Claims Tribunal-cum- District Judge, Anantapur. The appellants herein filed the above O.P., claiming compensation of Rs.20,00,000/- from the respondent herein namely Andhra Pradesh State Road Transport Corporation represented by its Regional Manager, Anantapur, for the death of one P. Chandrasekhar Murthy in a motor accident. The first appellant is the wife, the second and third appellants are the sons and the fourth and fifth appellants are the parents of the deceased. It was their case that on the fateful night i.e. on 16/17-5-1996, the deceased along with the first and second appellants boarded the bus bearing No.AP-9Z-7305 belonging to the respondent Corporation at Anantapur to go to Bangalore for medical checkup for the second appellant, who has been suffering from a brain ailment. The driver of the bus drove it in a rash and negligent manner and dashed the stationed lorry bearing No. CNP 8178, which was parked on the road margin on the left side of the road. As a result, several passengers including the deceased traveling in the bus received injuries and the deceased succumbed to the grievous and fatal injuries sustained by him. The claimants contended that the deceased used to earn Rs.8,390/- per month and contribute the same to the family. They claimed a total compensation of Rs.20,00,000/- for the death of the deceased in the motor accident, payable by the respondent Corporation. The respondent Corporation filed counter resisting the claim of the appellants. Before the Tribunal, P.Ws. 1 to 3 were examined and Exs.A1 to A9 were marked on behalf of the appellants, while the driver of the bus was examined as R.W.1 and no documentary evidence was adduced on behalf of the respondent Corporation. The Tribunal, having framed the issues and having considered the oral and documentary evidence adduced by the parties, held that the accident occurred due to the rash and negligent driving of the driver of the bus belonging to the respondent Corporation. The Tribunal awarded compensation of Rs.7,58,000/- to the appellants, payable by the respondent Corporation with interest at 9% per annum from the date of petition till the date of realization, and apportioned the same among the appellants as detailed in the order under appeal, and accordingly allowed the petition in part with proportionate costs. Dissatisfied with the quantum of compensation granted by the Tribunal and contending that the Tribunal ought to have allowed their entire claim, the appellants-claimants preferred the present appeal. The counsel for the appellants-claimants submitted that the Tribunal failed to consider the future prospects of the deceased, who died at the age of 40 years. He further submitted that the Tribunal erred in deducting a sum of Rs.1,500/- per month towards income tax from the salary of the deceased. On the other hand, the counsel appearing for the respondent Corporation supported the order under appeal and contended that the compensation granted by the Tribunal needs no enhancement. We have considered the submissions made by the counsel for the parties and perused the order under appeal and other material available on record. Admittedly, the deceased was a bank employee and his age at the time of his death in the motor accident was 40 years. To prove the employment and income of the deceased, the appellants have examined P.W.3, who was a bank employee, and marked Ex.A4, the salary certificate of the deceased issued by the Manager, Indian Bank, Anantapur Branch, which would go to show the gross salary of the deceased is Rs.8,390/- per month. In the absence of any contrary evidence, the Tribunal has taken the gross salary of the deceased at Rs.8,390/- per month as mentioned in Ex.A4, for the purpose of computing the loss of dependency to the family of the deceased. Since the deceased had a permanent job and was aged 40 years at the time of his death, as per the decision of the Apex Court in Sarla Verma v. Delhi Transport Corporation[1], an addition of 30% of the actual salary to the actual salary of the deceased can be made towards future prospects. On such addition, the monthly salary of the deceased would come to Rs.10,907/-. Though the appellants have contended that the deceased was not paying any amounts towards income tax, but however, in the absence of any evidence to show that the deceased was not paying income tax and having regard to the fact that if the deceased had to avoid total payment of tax, he would have to save more than 60% to 70% of his income in the event of which his contribution to the family would be very less, the Tribunal thought it appropriate to deduct a sum of Rs.1,500/- towards income tax from the monthly income of the deceased, which cannot be said to be unreasonable. Thus, after such deduction of income tax, his monthly income would come to Rs.9,407/-, making it to Rs.1,12,884/- per annum. In view of the decision in Sarla Verma case, as the deceased had five dependants, the deduction towards his personal expenses should be 1/4th and on such deduction, his contribution to the family would come to Rs.84,663/- per annum. The age of the deceased at the time of his death was admittedly 40 years and hence the appropriate multiplier applicable, as per the decision in Sarla Verma case, is ‘15’. If the multiplicand of Rs.84,663/- is multiplied by 15, the loss of dependency to the family would come to Rs.12,69,945/-. The amount of Rs.10,000/- each granted by the Tribunal towards loss of consortium and loss of estate and the amount of Rs.2,000/- granted towards funeral expenses need not be interfered with. Thus, in all, the claimants are entitled to the compensation of Rs.12,91,945/- and in view of the decision of Sarla Verma case, the said amount shall carry interest at 6% per annum from the date of petition till the date of realization. The apportionment of compensation amount amongst the appellants, made by the Tribunal, is undisturbed and in addition, the parents of the deceased are entitled to an amount of Rs.50,000/- each from out of the enhanced compensation and the remaining amount shall be taken by the widow of the deceased. Accordingly, the appeal is allowed in part. No order as to costs. _____________ N.V. RAMANA, J _________________ P. DURGA PRASAD, J 1st August, 2011 IBL [1] (2009) 6 SCC 121