SOBHA MOHAN KUMAR Vs. NATIONAL INSURANCE CO LTD

JUDGEMENT

(1.) An important question of law that has come up for consideration is whether O.21, R.1 CPC is applicable in execution of awards passed by the Motor Accidents Claims Tribunals. The petitioners filed this O.P. for quashing Ext. P4 order passed by the Motor Accidents Claims Tribunal, Irinjalakuda, fixing the balance amount due to the petitioners as Rs. 18,026 as on 31st May 1999 and interest on Rs. 4,16,000 from 1st June 1999 till deposit. But according to the petitioners the balance amount due would come to Rs. 92,809 as the method adopted by the Tribunal in the appropriation of the deposits made by the Insurance Company was wrong.

(2.) Heard the learned Counsel for the petitioner and the Insurance Company.

(3.) The Motor Accidents Claims Tribunal, Irinjalakuda, awarded a total compensation of Rs. 7,66,000 in OP (MV) 2788/93. Out of the above compensation amount, Rs. 66,000 was to be paid to the 4th petitioner whereas the rest of the amount Rs. 7,00,000 was to be paid to petitioners 1 to 3 in OP (MV) 2788/93. Interest at 12% from the date of petition viz. 25th March 1991 also was awarded. In the present O.P. we are concerned with the amount awarded in favour of the petitioners 1 to 3 ie., Rs. 7,00, 000 with interest at 12% thereon from the date of petition. Admittedly an amount of Rs. 2,00,000 was deposited by the Insurance Company on 5th February 1996, Rs. 1,20,000 on 20th February 1996 and Rs. 9,85,794 on 5th May 1999. According to the petitioners the total balance due to them was Rs. 92,809. The Tribunal as per Ext. P4 order accepted the contention of the Insurance Company and found that the balance due to the petitioners was Rs. 18,026 as on 31st May 1999 and also the subsequent interest on 4,16,000 from 1st June 1999 till the date of deposit and Rs. 250 towards costs. On going through Ext. P4 it could be seen that the Tribunal had appropriated the deposits made by the Insurance Company towards the principal amount and calculation was made accordingly. According to the learned counsel for the petitioners the appropriation of amount deposited should be first towards the interest and thereafter towards the principal and O. XXI, R.1 CPC would be the guideline in the appropriation of the deposits made by the 1st respondent.