NARMADI BAI Vs. TRIUPATI AROLU

JUDGEMENT

(1.) Heard the learned counsel for the appellant/claimant and the learned counsel for the respondent/Insurance Company and perused the appeal papers.

(2.) The only issue for consideration in the instant appeal is with regard to the appropriate quantum of compensation. The accident had occurred on 1/12/2010 wherein the 21 year old son of the claimant who was pursuing the second year of Bachelor of Engineering course had died. The Motor Accidents Claims Tribunal (For short 'MACT') on reckoning the notional income of Rs.3,000.00 per month had awarded the compensation of Rs.2,90,000.00. The High Court while taking the notional income at Rs.6,000.00 per month has enhanced the compensation to Rs.5,75,000.00 through its judgment dtd. 11/5/2016. It is noted that both the MACT as well as the High Court have applied the multiplier of '15' while arriving at the compensation. In the present facts we have already noted that the deceased was pursuing his Bachelor of Engineering course which by itself would indicate that he was a bright student and had secured a seat for engineering. Therefore, on completion of the course he would be assured of employment. Therefore, even on a conservative estimate, it would be appropriate to reckon the income at Rs.8,000.00 per month. To the said amount, 40% is added as the 'future prospects' which would in a sum of Rs.3,200.00 per month. Out of the total amount of Rs.11,200.00 per month, 50% is deducted towards the personal expenses since he was a bachelor. The Appropriate multiplier to be applied is '18'. In that view, on the above basis, the compensation towards 'loss of dependency' would be in a sum of Rs.12,09,600.00. In addition to the same, sum of Rs.70,000.00 under the 'conventional heads' is awarded. The total compensation therefore, would be in a sum of Rs.12,79,600.00 which shall be payable with 6% interest from the date of the claim petition. The amount already paid shall be deducted from the said amount and the balance amount shall be deposited before the MACT by the Insurance company within a period of 6 weeks from the date of receipt of a copy of this judgment whereupon the amount shall be disbursed to the appellant/claimant.