NEW INDIA ASSURANCE COMPANY LIMITED Vs. SANTOSH KUMAR

JUDGEMENT

(1.) This application has been filed pointing out certain error apparent on the face of the record in the matter of a settlement arrived at in the Lok Adalat of High Court held on 23rd of September, 2006 while disposing of M.A.No.86/2005. Seeking correction of the aforesaid error, the Insurance Company has filed this application.

(2.) Arising out of an award passed by the Motor Accident Claims Tribunal, Seoni in Motor Accident Claim Case No.15/2002, the claimants preferred an appeal under Section 173 of the Motor Vehicle Act seeking enhancement of the compensation. The matter was taken up in the Lok Adalat, which was held on 23rd of September, 2006 and the same was settled by enhancing the compensation by a sum of Rs.1,70,000/- (Rupees One Lac Seventy Thousand Only).

(3.) It is pointed out by Shri Pranay Gupta, learned counsel for the Insurance Company that in the award passed by the tribunal on 8th of September, 2004, the liability for payment of compensation was fastened both on the Insurance Company and the owner of the bus namely, Madhya Pradesh State Road Transport Corporation and both were liable to pay 50% of the amount of compensation. However, when the award was passed in the Lok Adalat, this aspect of the matter was lost sight of, as a result, the Insurance Company is saddled with the liability for paying the entire amount of compensation, therefore, it is submitted by learned counsel for the Insurance Company that the settlement award be corrected and 50% of the amount of compensation be directed to be paid by the owner of the vehicle i.e. the MP State Road Transport Corporation.