NEW INDIA ASSURANCE COMPANY LIMITED BY ITS MANAGER Vs. SMT. PADMAVATHAMMA WIFE OF K.N. VENKATARAJU, SMT. K. RAJESWARI WIFE OF K.V. KAMALAKAR AND D.N. SUDHEER SON OF D.R. NAGARAJA SHETTY

JUDGEMENT

(1.) HEARD the Counsel for the appellant. The respondents having been served remain unrepresented.

(2.) THE appellant is the insurer of a private car involved in an accident. The respondents herein were the legal representatives of a deceased victim, who was an occupant of the car involved in the accident. The appellant had contested the claim for compensation on the ground that the policy of insurance that was issued by the appellant was a 'Act only Policy', which implied that the liability to cover the risk of an occupant of a private car was not covered and this contention was upheld by the Tribunal. However, the Tribunal has proceeded to direct the appellant to pay the compensation in the first instance and recover the same from the insured. It is this which is sought lo be challenged in the present appeal.

(3.) THE appeal is accordingly allowed. The liability insofar as the insurer is concerned is set aside. The claimants are at liberty to work out their remedies against the insured. The amount in deposit is be refunded to the appellant.