NATIONAL INSURANCE CO LTD Vs. RAMWATI

JUDGEMENT

(1.) -THIS appeal is arising out of an order dated 14. 1. 2008 passed by the concerned Motor Accident claims Tribunal, Bareilly, fixing the liability of payment of compensation of Rs. 1,89,500/- alongwith the interest upon the owner to be paid to the claimants on account of death of the deceased but as a stop gap arrangement the direction was given upon the Insurance Company to pay the amount of compensation and recover such amount from the owner.

(2.) NO application under section 170 of the Motor Vehicles Act, 1988 (hereinafter referred to as 'the Act') was allowed. By preferring this appeal, the appellant contended before this Court that since the case is arising out of breach of policy, the statutory requirement to make an application under section 170 of the Act is not required. In other words, the case is covered under section 149 (2) of the Act. He has further contended before this Court that since it has been proved beyond doubt under Issue Nos. 5 and 6 that the driver and/or owner run the vehicle in contravention of the policy, Insurance Company is not liable to pay the compensation at all to the claimants.

(3.) FACTUALLY, the offending tractor was insured only to run by the driver but the labourers were also there on the tractor trolley who expired in such accident.