UNITED INDIA INSURANCE CO LTD Vs. P MMATAJ

JUDGEMENT

(1.) -THE appeal arises out of the judgment dated 17. 8. 2005 made in M. C. O. P. No. 2880 of 2000, whereby the Motor Accidents Claims Tribunal/fifth small Causes Court, Chennai has allowed the claim petition and awarded a compensation of Rs. 12,50,000 (rupees twelve lakh fifty thousand) with interest at 7. 5 per cent per annum, for the death of one Feroz Khan, son of respondent Nos. 1 and 2 and brother of respondent Nos. 3 and 4, in a motor accident said to have taken place on 22. 4. 2000 near a junction at Sathiyavedu Road and G. N. T. Road.

(2.) THE brief facts are:

(3.) THE only contention argued before us by the learned counsel appearing for the appellant insurance company is with regard to the quantum of compensation arrived at by the Tribunal for loss of income and estate at rs. 12,00,000. He submits that the tribunal having found that the deceased was aged about 24 years and was earning rs. 10,000 per month at the time of accident and having also fixed the age of the mother of the deceased as 42 years, ought to have applied the multiplier of 10 as per the principles laid down in Municipal corporation of Greater Bombay v. Laxman iyer, 2004 ACJ 53 (SC) and accordingly, could have fixed a sum of Rs. 8,00,000 towards loss of income and estate. But, the tribunal, without following the principles laid down in the aforesaid decision, simply arrived at a sum of Rs. 12,00,000, which is illegal and hence, compensation awarded by the Tribunal is liable to be scaled down if not completely set aside at the hands of this court.