THE HON’BLE SRI JUSTICE D.S.R.VARMA AND THE HON’BLE SRI JUSTICE B.N.RAO NALLA Civil Miscellaneous Appeal No.199 of 1999 Date: 30-6-2010 Between New India Assurance Co. Ltd., Rep. by its Manager, Cuddapah … Appellant/Respondent No.2 and 1. Gude Gangulamma and 2 others … Respondents/Petitioners 4. G.Venkatrami Reddy … Respondent/Respondent No.1 THE HON’BLE SRI JUSTICE D.S.R.VARMA AND THE HON’BLE SRI JUSTICE B.N.RAO NALLA Civil Miscellaneous Appeal No.199 of 1999 Oral Judgment: (per D.S.R.Varma, J.) Heard both sides. 2. This appeal is directed against the award and decree, dated 28-10-1997, in M.V.O.P.No.270 of 1993, passed by the Motor Accident Claims Tribunal cum District Judge, Cuddapah. 3. The appellant herein is the insurer, respondents 1 to 3 are the claimants and respondent No.4 is the insured. 4. The Tribunal had awarded a sum of Rs.25,000/- towards compensation in favour of the claimants, who are the two wives and a son of the deceased Gude Dasanna who died in a motor vehicle accident. The liability was fastened against the insurer basing on the principle laid down by the apex Court in B.V.Nagaraju v. M/s. Oriental Insurance Co. Ltd., Divisional Officer, Hassan[1]. The said judgment was held to be not a good law by the apex Court in New India Assurance Co. Ltd., v. Asha Rani[2]. The principle laid down i n Asha Rani’s case (2 supra) has been subsequently relied on in various judgments rendered by the apex Court. 5. In view of the matter, the appeal filed by the insurer is to be allowed, inasmuch as, the claimants are to be held as gratuitous passengers. 6. In the result, the appeal is allowed and the impugned award passed by the Tribunal insofar as the present O.P., is concerned, is set aside. 7. However, it is made clear that this judgment shall not bar the claimants from making claim against the insured-owner of the vehicle. _________________________ JUSTICE D.S.R.VARMA _________________________ JUSTICE B.N.RAO NALLA 30th June, 2010. Ak THE HON’BLE SRI JUSTICE D.S.R.VARMA AND THE HON’BLE SRI JUSTICE B.N.RAO NALLA Civil Miscellaneous Appeal No.199 of 1999 (Judgment of the Division Bench delivered by DSRV, J.) 30th June, 2010. (Ak) [1] (1996) 4 SCC 647 [2] (2003) 2 SCC 223