FAO No.206/2003 Page 1 of 6 13 *IN THE HIGH COURT OF DELHI AT NEW DELHI + FAO No.206/2003 Date of Decision: 13th January, 2010 % RAJESH KUMAR & ANR. ..... Appellants Through : Mr. V.P. Choudhary, Sr. Adv. with Mr. Nitinjya Choudhary and Ms. Sushma, Advs. versus UNITED INDIA INSURANCE CO.LTD. ..... Respondent Through : Mr. S.K. Ray, Adv. for R-1. CORAM :- THE HON'BLE MR. JUSTICE J.R. MIDHA 1. Whether Reporters of Local papers may YES be allowed to see the Judgment? 2. To be referred to the Reporter or not? YES 3. Whether the judgment should be YES reported in the Digest? JUDGMENT (Oral) 1. The appellants have challenged the award of the learned Tribunal whereby compensation of Rs.1,73,000/- has been awarded to the appellants. The appellants seek enhancement of the award amount. 2. The accident dated 2nd August, 1989 resulted in the death of Sukhnandan. The deceased was survived by two minor sons and a married daughter. The two minor sons filed the claim petition before the learned Tribunal. 3. The deceased was aged 45 years at the time of the accident and was a vegetable seller earning Rs.2,500/- per FAO No.206/2003 Page 2 of 6 month. However, in the absence of sufficient proof of income, the learned Tribunal took the income of the deceased as Rs.2,000/- per month, deducted 1/3rd towards the personal expenses and applied the multiplier of 10 to compute the loss of dependency at Rs.1,56,000/-. Rs.2,000/- has been awarded towards funeral expenses and Rs.15,000/- towards loss of estate. The total compensation awarded is Rs.1,73,000/-. 4. The learned Senior Counsel for the appellants has urged the following grounds at the time of hearing of this appeal:- (i) The multiplier be enhanced from 10 to 14. (ii) The future prospects be taken into consideration. (iii) The compensation be awarded for loss of love and affection. (iv) The rate of interest be enhanced. 5. The appropriate multiplier at the age of 45 years is 14 as per the judgment of Hon’ble Supreme Court in the case of Sarla Verma Vs. Delhi Transport Corporation, 2009 (6) Scale 129. Following the aforesaid judgment, the multiplier is enhanced from 10 to 14. 6. In the case of R.K. Malik vs. Kiran Pal, 2009(8) Scale 451, the Hon’ble Supreme Court has allowed the future prospects in the case of minor children. Following the aforesaid judgment, 30% is added as future prospects since the deceased was between the age of 40 to 50 years. FAO No.206/2003 Page 3 of 6 7. The learned Tribunal has not awarded any compensation for loss of love and affection. Rs.10,000/- is awarded as compensation for loss of love and affection. 8. The learned Tribunal has awarded interest @6% per annum which is on a lower side. The appropriate rate of interest in 1989 was 12% per annum which was reduced to 9% per annum in the year 2001 by the judgment of the Hon’ble Supreme Court in the case of Kaushnuma Begum vs. New India Assurance Co. Ltd., AIR 2001 SC 485 and to 7.5% per annum in the year 2008 by the judgment of the Hon’ble Supreme Court in the case of Dharampal vs. U.P. State Road Transport Corporation, III 2008 ACC (1) SC. 9. Following the aforesaid judgments, the rate of interest is enhanced from 6% per annum to 12% per annum from the date of filing of the petition till 31st December, 2000, 9% per annum from 1st January, 2001 to 31st December, 2007 and 7.5% per annum from 1st January, 2008 till realization. 10. Taking the income of the deceased to be Rs.2,000/- per month, adding 30% towards future prospects, deducting 1/3rd towards personal expenses and applying the multiplier of 14, the loss of dependency is computed to be Rs.2,91,200/-. Adding Rs.2,000/- towards funeral expenses, Rs.15,000/- towards loss of estate and Rs.10,000/- towards loss of love and affection, the total compensation is computed to be Rs.3,18,200/- (Rs.2,91,200 + Rs.15,000 + Rs.2,000 + Rs.10,000). FAO No.206/2003 Page 4 of 6 11. The appeal is allowed and the award amount is enhanced from Rs.1,73,000/- to Rs.3,18,200/- along with interest @12% per annum from the date of filing of the petition till 31st December, 2000 @ 9% per annum from 1st January, 2001 to 31st December, 2007 and thereafter @7.5% per annum from 1st January, 2008 up to the date of payment. 12. The enhanced award amount along with interest be deposited by respondent No.1 with UCO Bank, Delhi High Court Branch A/c Rajesh Kumar through Mr. M.M. Tandon, Member-Retail Team, UCO Bank Zonal, Parliament Street, New Delhi (Mobile No. 09310356400) within 30 days. 13. Upon the enhanced award amount along with interest being deposited, UCO Bank is directed to keep a sum of Rs.4,00,000/- in fixed deposit in the following manner:- (i) Fixed deposit for Rs.50,000/- in the name of appellant No.1 for a period of six months. (ii) Fixed deposit for Rs.50,000/- in the name of appellant No.1 for a period of one year. (iii) Fixed deposit for Rs.50,000/- in the name of appellant No.1 for a period of one and a half years. (iv) Fixed deposit for Rs.50,000/- in the name of appellant No.2 for a period of six months. (v) Fixed deposit for Rs.50,000/- in the name of appellant No.2 for a period of one year. (vi) Fixed deposit for Rs.50,000/- in the name of FAO No.206/2003 Page 5 of 6 appellant No.2 for a period of one and a half years. (vii) Fixed deposit for Rs.50,000/- in the name of respondent No.4 for a period of six months. (viii) Fixed deposit for Rs.50,000/- in the name of respondent No.4 for a period of one year. 14. The remaining amount be released to the appellants and respondent No.4 in the equal proportion by transferring the same to their respective Saving Bank Accounts. 15. Interest on all the fixed deposits shall be paid cumulative. 16. The original Fixed Deposit Receipts shall be retained by the Bank in the safe custody. However, the original Pass Book shall be given to the appellants along with the photocopy of the FDRs. 17. The original Fixed Deposit Receipts shall be handed over to the appellants on the expiry of the period of the FDRs. 18. No loan, advance or withdrawal shall be allowed on the said fixed deposit receipts without the permission of this Court. 19. On the request of the appellants, the Bank shall transfer the Savings Account to any other branch of UCO Bank according to their convenience. 20. The appellants shall furnish all the relevant documents for opening of the Saving Bank Account and Fixed Deposit FAO No.206/2003 Page 6 of 6 Account to Mr. M.M. Tandon, Member-Retail Team, UCO Bank Zonal, Parliament Street, New Delhi. 21. Copy of the order be given dasti to counsel for both the parties under the signatures of the Court Master. 22. Copy of this order be also sent to Mr. M.M. Tandon, Member-Retail Team, UCO Bank Zonal, Parliament Street, New Delhi (Mobile No. 09310356400) through the UCO Bank, High Court Branch under the signature of Court Master. J.R. MIDHA, J JANUARY 13, 2010 aj