NATIONAL INSURANCE CO Vs. MOHD QAIYUM

JUDGEMENT

(1.) THE present appeal arises out of the award dated 19. 01. 2006 vide which the tribunal awarded compensation to the tune of Rs. 2,40,000/- along with interest @ 7% per annum.

(2.) THE brief facts of the case inter-alia are that on 14. 1. 2003 the deceased was going to Turkman Gate from Kanchanpuri by the vehicle bearing registration no. HR 38-E-8546, when the said vehicle reached near Sauchalya 4, Tourist Camp, jln Marg, Darya Ganj, the driver of the said vehicle who was driving the vehicle rashly and negligently all of a sudden applied brake due to that the vehicle got disbalanced and the deceased fell down on the road and received injuries. The deceased was rushed to LNJP Hospital where he was declared dead.

(3.) A short controversy arises in the present appeal as to whether the appellant insurance company has no liability whatsoever to pay the compensation amount as admittedly the offending vehicle was carrying a gratuitous passenger. The contention of the counsel for the appellant is that carrying gratuitous passenger in said commercial vehicle was clearly in violation of the terms and conditions of the policy as well as against the statutory provisions as contemplated under Section 149 (2) of the Motor Vehicles Act. In support of his arguments counsel for the appellant has placed reliance on the judgment of the apex Court in National Insurance Co. Ltd. Vs. Bommithi Sabbhayenna and Ors. 2005 ACJ 721. Per contra, Mr. J. S. Kanwar, counsel for the respondent has placed reliance on the judgment of the Apex Court in New India Assurance Co. Vs. Asha rani, 2003 ACJ 1 (SC) to contend that in such like cases the insurance company can be given the recovery rights to ultimately claim the compensation amount from the owner of the offending vehicle.