LAWS(CHH)-2011-9-43

NATIONAL INSURANCE COMPANY LTD Vs. BAHAL RAM VERMA

Decided On September 19, 2011
NATIONAL INSURANCE COMPANY LTD Appellant
V/S
BAHAL RAM VERMA Respondents

JUDGEMENT

(1.) THIS appeal has been filed by the Insurance Company against the impugned award dated 08.11.2010 passed by the Ist Additional Motor Accident Claims Tribunal, Rajnandgaon Distt. Rajnandgaon, Chhattisgarh, in Claim Case No. 64/2008 against the liability as well as quantum part.

(2.) THE application u/s 170 of the Motor Vehicles Act was rejected, but we are of the opinion that the owner and driver in their written statement have stated that whatever the amount of compensation is to be fixed by the Tribunal, the Insurance Company would be responsible to pay. In such circumstances the Tribunal should have treated this part of the written statement as collusion between the owner and the claimants and therefore, the application u/s 170 of the Act should not have been rejected. THE appellant has challenged the rejection order in the instant appeal. THErefore, we are of the opinion that the Claims Tribunal has committed manifest error of law in rejecting the application u/s 170 of the MVA. In view of the above, we would consider the quantum part of the award also.

(3.) WE have heard learned counsel for the parties at length and have also gone through the records.