HAVAPPA Vs. MD ASAD ALI

JUDGEMENT

(1.) PETITIONERS in M. V. C. No. 392 of 1995 are the husband, son and mother of one Vidyawathi who died in a motor vehicle accident. Deceased was working as a coolie. Her income is to be assessed at Rs. 1,500 per month.

(2.) ON re-examination of facts and evidence, as per unit system, one-fourth, i. e. , rs. 375 shall be deducted from the income of the deceased for her personal expenses. The total loss of dependency comes to rs. 1,75,500 (Rs. 1,125 x 12 x 13 ). The petitioners are entitled to Rs. 10,000 towards loss of expectancy of life and Rs. 3,000 for funeral expenses. In all, petitioners are entitled for a compensation of Rs. 1,88,500 as against Rs. 1,70,000 awarded by the Tribunal. The enhanced compensation carries interest at 6 per cent per annum from the date of petition till payment.

(3.) LEARNED counsel for the respondent insurer contends that the deceased was a passenger in a goods vehicle and that the insurer does not incur any liability to pay the compensation. However, in view of the decision of the Hon'ble Supreme Court in new India Assurance Co. Ltd. v. Satpal singh, 2000 ACJ 1 (SC), the insurer has satisfied the award amount. But, the insurer is not liable to pay the enhanced compensation, in view of the absence of the legal liability, as per the ratio laid down by the hon'ble Supreme Court in the case of New india Assurance Co. Ltd. v. Asha Rani, 2003 ACJ 1 (SC ). The contention is well founded. The insurer is entitled to resist the liability to pay enhanced compensation even without filing an appeal and can support the Tribunal's order.