NEW INDIA ASSURANCE CO LTD Vs. YOGENDRA SINGH

JUDGEMENT

(1.) This is an appeal by the insurer of truck bearing registration no.M.P.A.-2280, which met with an accident with another truck bearing registration no.UHJ-8287. The claimants were travelling along with buffalo in truck no.MPA-2280 along with his brotherin- law. Tribunal by the impugned order dated 29.03.2004 has held that the accident has been caused due to contributory negligence of the drivers of both the vehicles and, therefore, apportioned the liability to the extent of fifty percent on both the trucks. Tribunal has awarded as sum of L 1.20 lacs, out of which appellant has been held liable to pay L 60,000/-.

(2.) Heard Sri A.K.Shukla, learned counsel for the appellant and Sri K.N.Yadav, learned counsel appearing on behalf of the respondent. Despite the service of notice, no one appears on behalf of the owner of the vehicle.

(3.) Learned counsel for the appellant submitted that on 06.09.1989 prior to amendment in Section 147 of the Motor Vehicles Act, 1988 (hereinafter referred to as the "Act"). Section 147 of the Act as it existed at the time of the accident, the insurance company was liable for payment of compensation in respect of death or bodily injury to any person or damage to any property of a third party. There was no liability in respect of death or bodily injury to the owner of the goods or of his authorized representative. The word "including owner of the goods or his authorized representative" has been added under Section 147 (b)(i) of the Act w.e.f. 14.11.1994 by Act No.54 of 1994 and, therefore, the appellant is not liable to pay any compensation. Reliance is placed on the Three Judges Bench of Apex Court in the case of New India Assurance Co. Ltd. v. Asha Rani and others, 2003 AIR(SC) 607. He further submitted that the owner of the vehicle is only liable to pay the compensation. He further submitted that interest awarded @ 10% is excessive.