LAWS(ALL)-2008-11-1

SHANTI SHUKLA Vs. ORIENTAL INSURANCE CO LTD

Decided On November 25, 2008
SHANTI SHUKLA Appellant
V/S
ORIENTAL INSURANCE CO. LTD. Respondents

JUDGEMENT

(1.) We have heard Mr. P.K. Jain, learned counsel for the appellant.

(2.) The appellant has not made statutory deposit of Rs. 25,000.00 under section 173 of the Motor Vehicles Act, 1988, for maintaining this appeal. The learned counsel for the appellant has urged that since the insurance company has deposited the entire amount of compensation before the Tribunal, therefore, the appellant is not required to deposit the statutory deposit of Rs. 25,000.00 for maintaining this appeal under section 173 of the Motor Vehicles Act, 1988 and he filed an application for exempting the appellant from making the statutory deposit of Rs. 25,000.

(3.) Learned counsel for the appellant has further submitted that the requirement of section 173 of the Motor Vehicles Act, 1988 is satisfied as the insurance company has already deposited the entire amount to pay the compensation and no useful purpose will be served directing the appellant to deposit Rs. 25,000 for filing the appeal. The purpose of the section is to ensure deposit of Rs. 25,000 only with a view to pay the same amount to the aggrieved party. Here in the present case since the entire amount has already been deposited, therefore, the object of section 173 has already been achieved and, therefore, there will be no use to direct the appellant to deposit Rs. 25,000 more for the same award under challenge. In his submissions, if the application is not allowed serious prejudice be caused to the appellant, therefore, his exemption application should be allowed.