UNITED INDIA INSURANCE CO LTD Vs. MEENA GUPTA

JUDGEMENT

(1.) THE Appellant United India Insurance Company Limited seeks reduction of compensation of Rs. 16,62,000/- awarded for the death of Ms. Pearl Gupta who died in a motor accident which occurred on 19.11.2007.

(2.) THE deceased was a first year student of BSW (Bachelor of Social Work) a Professional Course in Delhi University. During inquiry before the Motor Accident Claims Tribunal (the Claims Tribunal) it was claimed that the deceased was giving home tuitions and was earning Rs. 9,000/- per month. It was claimed that after completion of the course, the deceased's expected salary would have been Rs. 30,000/- per month. THE Claims Tribunal referred to the judgment of this Court in Ramesh Chand Joshi v. New India Assurance Company MAC APP.No.212-213/06 decided on 20.01.2010, a judgment of the Rajasthan High Court in Draupadi Devi v. Inder Kumar 1998 ACJ 418, a judgment of the Madras High Court in Divisional Manager v. T. Chelladurai 2010 ACJ 382 and a judgment of the Andhra Pradesh High Court in B.Ramulamma v. Venkatesh Bus Union I (2010) ACC 563 to hold that the potential income of a student undergoing a Professional Course can be taken into consideration to assess the loss of dependency. THE Claims Tribunal held the potential income of the deceased to be Rs. 20,000/- per month. THE observations of the Claims Tribunal are extracted hereunder:-

(3.) IT is thus well settled that the potential income of a student pursuing professional course can be considered for computation of loss of dependency to the legal representatives. At the same time, the Claims Tribunal was not justified in adding the sum of Rs. 7,500/- towards earning from tuitions in the potential income of Rs. 20,000/- per month. PW-1's testimony on the potential income of Rs. 30,000/- per month was not seriously challenged in the cross-examination. In the circumstances, I would not interfere in the assessment of the potential income as Rs. 20,000/- per month by the Claims Tribunal.