NATIONAL INSURANCE CO LTD Vs. MD. AYAN

JUDGEMENT

(1.) These appeals impugns the award of compensation dated 29.10.2018 passed by the learned MACT in MACT Nos. 356472/16, 356473/16, 356587/16, 356588/16, 356589/16, 356631/16 and 358078/16, on the ground that despite being not so licensed, the offending motor vehicle was being used as a commercial vehicle at the time of the motor accident, therefore, there was a breach of policy condition. The learned Tribunal has returned a finding that the vehicle was indeed being used as a commercial vehicle. It has reasoned on this issue as under:

(2.) The factum of the vehicle being used as a commercial vehicle is not denied. The vehicle was registered as a private vehicle and not for public purposes as a commercial vehicle. Therefore, the appellant shall be entitled to and is granted right of recovery from the owner of the offending insured vehicle. No other grounds are pressed at this stage. Be that as it may, for such breach, the principle of pay and recover as enunciated by the Supreme Court in Manuara Khatun and Ors. vs Rajesh Kumar Singh (2017) 4 SCC 796, shall be applicable and the compensation shall first be paid to the claimants.

(3.) The appellant is stated to have deposited the compensation amount before the learned Tribunal. Let the same be released to the beneficiary(ies) of the award in terms of the scheme of disbursement specified therein. The learned Tribunal shall ensure that the monies are released only into the bank accounts of the claimants, which are maintained in a bank near their place of residence. No cheque-book or ATM card shall be issued for the said accounts. Monies shall be permitted to be withdrawn only on the basis of withdrawal slip issued to the claimants.