Case: Asha Verman  Vs. Maharaj Singh

3. The necessary relevant facts are stated hereunder to appreciate the case with a view to determine whether theappellants are entitled for enhancement of compensation amount as prayed in these appeals?4. On 27.11.2006, Jhabbu Verman, aged 35 years, was on his way back from Tripuri to Garha (Jabalpur) on his motorcycle bearing registration No.and met with an accident when a truck bearing registration No.being driven by respondent No.1 rashly and negligently collided with the back of his motorcycle. As a result of the same, Jhabbu Verman fell towards his right and the wheel of the vehicle ran over his hands which lead to severe damage to his left hand. Due to the grievous injuries caused in the said accident, he was immediately taken to the Mahakaushal College and Hospital and he remained under medical treatment from 28.11.2006, during which period he underwent an operation and plastic surgery twice on his chest and was advised for amputation of his left hand. However, due to the severity of injuries caused to him in the accident, Jhambu Verman died on 08.12.2006.5. A claim petition under Section 166 of the Motor Vehicle Act, 1988 was filed on 06.01.2007 before the Motor Accidents Claims Tribunal (for shortTribunal?), at Jabalpur, M.P. by the appellant No.1wife of the deceased, appellant Nos.2minor children of the deceased, appellant Nos. 4s of the deceased, claiming Rs.31,70,000/as compensation for loss caused due to the death of Jhambu Verman.6. The Tribunal after considering the facts, circumstances and evidence on record of the case on hand, passed an Award dated 08.10.2007 by awarding a total compensation of Rs.3,75,500/at an interest rate of 6.5% per annum to the appellants.7. Aggrieved by the insufficient compensation awarded by the Tribunal in its Award, the appellants preferred an Appeal before the High Court of Madhya Pradesh at Jabalpur for enhancement of compensation urging various grounds. The High Court after examining the facts, circumstances and evidence on record enhanced the amount to a total compensation of Rs.5,35,000/under all heads with interest at the rate of 8% per annum. The following is the breakup of compensation under various heads awarded by the HighLoss of dependencyi) Funeral Expenses) Loss of estate) Loss of consortiumv) Loss of love and affection) Towards pecuniary Losshe appellants filed a review petition before the High Court which was dismissed on 21.06.2013. The appellants have challenged both the orders by filing special leave for enhancement of the compensation amount.

Court's reasoning:
15. We are of the considered view that the courts below have erred in the calculation of loss of dependency by wrongly ascertaining the income of the deceased at the time of his death. It is clear that the deceased at the time of his death was working in the operation theatre as a technician in the permanent post at the Hospital and was earning Rs.4,617/per month (rounded off to Rs.On applying the principles as laid down in the case of Sarla Verma (supra), 50% of the salary must be added to the income of the deceased towards future prospects of income, which comes to Rs.6,900/per month, i.e. Rs.82,800/per annum. Deducting 1/4th for personal expenses and applying the appropriate multiplier taking into consideration the age of the deceased at the time of his death as per Sarla Verma (supra), the total loss of dependency comes to Rs.9,93,600/) 1/4 X16].16. Further, Rs.1,40,000/was spent by thefor medical purposes of her husband(deceased) during the period of treatment before his death. Accordingly, we award an amount of Rs.1,40,000/towards medical expenses incurred for the treatment of the deceased.17. Further, the High Court has erred in awarding only Rs. 5,000/each towards loss of estate, funeral expenses and loss of consortium. We award Rs.1,00,000/towards loss of estate according to the principles laid down inthe case of KalpanarajOrs . v . Tamil Nadu State Transport Corporation (2014 (5) SCALE 479 ), Rs.25,000/towards funeral expenses and Rs.1,00,000/towards loss of consortium as per the principles laid down by this Court in the case of RajeshOrs. v. Rajbir SinghOrs. ((2013) 9 SCC 54 )18. Further, we award Rs.1,00,000/each to thetowards loss of love and affection due to the loss of their father(deceased) as per the decision of this Court in the case of Juju KuruvilaOrs. v. Kunjujamma MohanOrs. (2013)9 SCC 166) . Further, a sum of Rs.50,000/is awarded to each of thetowards loss of love and affection of their deceased son as per the principles laid down by this Court in the case of M. MansoorAnr v. United India Insurance Co. Ltd. (2013 (12) SCALE 324).19. Further, the High Court has erred in awarding an interest at the rate of 8% per annum only, instead of 9% per annum on the compensation amount as per the principles laid by this Court in the case of Municipal Corporation of Delhi v. Association of Victims of Uphaar Tragedy ((2011) 14 SCC 481 ). We accordingly award an interest at the rate of 9% per annum on the compensation amount.