Case: Manuara Khatun  Vs. Rajesh Kr. Singh

3. We herein set out the facts, in brief, to appreciate the issue involved in these appeals.4. On 03.07.2001, Ismail Hussain, husband of Manuara Khatun and Nirod Prasad Mohanty, husband of Mamoni Saikia Mohanty along with some other passengers were proceeding towards Guwahati from Nagoan in Tata Sumo bearing Registration No. AR-09-3997, when they arrived near Jorabat, there was a head-on-collusion between the Tata Sumo and a Truck bearing Registration No. AS-01-H-2598 coming from the opposite direction as a result of which Ismail Hussain and Nirod Prasad Mohanty died on the spot and some other passengers sustained injuries.5. Manuara Khatun, wife of the Ismail Hussain and her 5 minor children filed Claim petition bearing MAC Case No. 653 of 2001 claiming total compensation of Rs. 55,20,400/- and Mamoni Saikia Mohanty, wife of Nirod Prasad Mohanty and her 3 minor children preferred claim petition bearing MAC No. 652 of 2001 claiming total compensation of Rs. 54,62,500/- before the Motor Accident Claims Tribunal, Nagaon against Rajesh Kumar Singh, owner of the Tata Sumo(respondent No.1), Bhadra Kt. Das, owner of the Truck(respondent No.2), the insurer of the Tata Sumo-United India Insurance Co. Ltd.(respondent No.3) and New India Assurance Company Ltd., Insurer of the Truck(respondent No.4). The claim petitions were contested only by the Insurance Companies. So far as the owners of the vehicles were concerned, they remained ex parte.6. The Tribunal, vide award dated 05.08.2008, partly allowed both the claim petitions and awarded a sum of Rs. 24,89,500/- to Manuara Khatun, wife of Ismail Khatun and Rs. 24,09,500/- to Mamoni Saikia Mohanty, wife of Nirod Prasad Mohanty with interest @ 7.5% p.a. from the date of filing of case till payment. The Tribunal held that Tata Sumo was a private car driven by the driver in a rash and negligent manner and at a high speed, which resulted in the accident. It was also held that the driver of the Truck was not negligent in driving the Truck. The Tribunal further held that all the passengers including the two deceased were traveling in Tata Sumo for hire and hence they were held to be "gratuitous passengers". It was held that due to this reason, United India Insurance Company Ltd., the insurer of Tata Sumo(offending vehicle) was not liable. Accordingly, the Insurance Company was exonerated from the liability and the award was passed only against the owner of Tata Sumo (respondent No.1) in both the claim cases. So far as the owner of the Truck(respondent No.2) and the New India Assurance Co. Ltd.-Insurer of the Truck(respondent No.4) were concerned, both were held not liable in any manner because, as mentioned above, the driver of the Truck was not found negligent in driving the Truck.7. Dissatisfied with the award, appeals bearing MAC Appeal No.7 of 2009 and MAC Appeal No. 8 of 2009 under Section 173 of the Motor Vehicle Act, 1988 (hereinafter referred to as "the Act") were filed before the High Court by the claimants for enhancement of the compensation amounts awarded by the Tribunal. The other ground raised before the High Court was that it was the liability of the Insurance Company of the offending vehicle to compensate the claimants jointly and severally with the owner of the Tata Sumo and in any event, the direction to pay the compensation by the insurer of offending vehicle and then to recover from its insured should have been passed against the Insurer(respondent No.3).8. By impugned judgment, the High Court dismissed the appeals filed by the claimants and held that the insurer was not liable because the passengers or occupants were being carried in a private vehicle as "gratuitous passengers".9. Aggrieved by the said judgment, the claimants have filed these appeals by way of special leave petitions before this Court.

Court's reasoning:
13. Having heard the learned counsel for the parties and on perusal of the record of the case, we find force in the submission of the learned counsel for the appellantsThe aforesaid question, in our opinion, remains no more res integra.The facts of the case at hand are somewhat identical to the facts of the case mentioned supra because here also we find that the deceased were found travelling as "gratuitous passengers" in the offending vehicle and it was for this reason, the insurance companies were exonerated. In Saju P. Pauls case (supra) also having held that the victim was "gratuitous passenger", this Court issued directions against the Insurer of the offending vehicle to first satisfy the awarded sum and then to recover the same from the Insured in the same proceedings.We find no merit in any of the submissions. Firstly, as mentioned above, we find marked similarity in the facts of this case and the one involved in Saju P. Pauls Case (supra). Secondly, merely because the compensation has not yet been paid to the claimants though the case is quite old (16 years) like the one in Saju P. Pauls Case (supra), it cannot be a ground to deny the claimants the relief claimed in these appeals. Thirdly, this Court has already considered and rejected the argument regarding not granting of the relief of the nature claimed herein due to pendency of the reference to a larger Bench as would be clear from Para 26 of the judgment in Saju P. Pauls case (supra). That apart, learned counsel for the appellants stated at the bar that the reference made to the larger Bench has since been disposed of by keeping the issue undecided. It is for this reason also, the argument does not survive any more.21. It is for all these reasons, we find no good ground to take a different view than the one consistently being taken by this Court in all previous decisions, which are referred supra, in this regard.