A.V.Padma & Ors vs R.Venugopal & Ors

2. The appellants were the petitioners in Writ Petition No. 10405/2008 which was dismissed by the High Court of Karnataka as per order dated 5.8.2008 which is impugned in this appeal.

3. One T.S. Subrahmanyam met with a motor accident on 12.11.1991 and died on 21.7.1993 due to injuries sustained in the accident. Appellant No. 1 is the widow and appellant Nos.2 and 3 are the daughters of the said T.S. Subrahmanyam. In the claim petition 2 filed by the appellants who are the legal heirs of T.S. Subrahmanyam, the Motor Accidents Claims Tribunal-I, Mysore (for short, "the Tribunal") passed an award granting Rs.60,000/- as compensation.

However, the Tribunal directed to invest Rs.1,00,000/- each in long term deposits in favour of appellant Nos. 2 and 3 and to disburse only the balance amount to the appellants. The appellants filed a further application dated 19.6.2008 praying to disburse the entire amount to the decree-holders without insisting on deposit of any portion of the amount in any nationalized bank. However, by an order dated 28.6.2008, the Tribunal rejected the prayer for release of the amount of Rs.2,00,000/- deposited in the nationalized bank. Aggrieved by the order of the Tribunal, the appellants filed Writ Petition No. 10405 of 2008 in the High Court of Karnataka. The High Court dismissed the writ petition observing that the Tribunal had passed the impugned order keeping in mind the law declared by the Supreme Court in General Manger, Kerala State Road Transport Corporation, Trivandrum v. Susamma Thomas and Others, AIR 1994 SC 1631.

6. In this case, the victim of the accident died on 21.7.1993. The award was passed by the Tribunal on 15.2.2002. The amount of compensation was enhanced by the High Court on 6.7.2006. Neither the Tribunal in its award nor the High Court in its order enhancing compensation had directed to invest the amount of compensation in long term fixed deposit. The Insurance Company deposited the compensation amount in the Tribunal on 7.1.2008. In the application filed by the appellants on 19.6.2008 seeking withdrawal of the amount without insisting on investment of any portion of the amount in long term deposit, it was specifically stated that the first appellant is an educated lady who retired as a Superintendent of the Karnataka Road Transport Corporation, Bangalore. It was also stated that the second appellant Poornachandrika is a M.Sc. degree holder and the third appellant Shalini was holding Master Degree both in Commerce and in Philosophy. It was stated that they were well versed in managing their lives and finances. The first appellant was already aged 71 years and her health was not very good. She required money for maintenance and also to put up construction on the existing house to provide dwelling house for her second daughter who was a co-

7. While rejecting the application of the appellants, the Tribunal did not consider any of the above-mentioned aspects mentioned in the application. Unfortunately, the High Court lost sight of the said aspects and failed to properly consider whether, in the facts and circumstances of the case, there was any need for keeping the compensation amount in long term fixed deposit.

8. Having regard to the facts and circumstances of the case and in view of the uncontroverted averments in the application of the appellants referred to above, we are of the view that the Tribunal ought to have allowed the prayer of the appellants. Hence the impugned orders of the Tribunal and the High Court are set aside.

The prayer in the application of the appellants for release of the 8 amount invested in long term deposits stands allowed. The entire amount of compensation shall be withdrawn and paid to the appellants without any further delay. The appeal is allowed in the above terms. There will be no order as to costs.

January 27, 2012.