NATIONAL INSURANCE COMPANY Vs. JAGANNATH PRASAD

JUDGEMENT

(1.) HEARD Counsel. An interim award was passed. The present petitioner that is, National Insurance Company Limited was asked to deposit a sum of Rs. 11,350, (i.e. 7,500 + Interest 3,850) towards no fault liability. According to the petitioner, final award has since been given by the Tribunal on 29th of July, 1994. Relying upon a decision, given by this Court reported as National Insurance Company, Jabalpur v. Thaglu Singh and Ors. , it has been argued that when owners have been directed to meet the liability for an accident then a further direction should also be given directing them to refund the amount paid by Insurance Company towards no fault liablity to the Insurance Company. Reliance is being placed on the following observations made by this Court.

(2.) IN these cases, there is no contention that the vehicles involved in the accidents are not covered by policies. There is also no dispute that the vehicles were involved in accidents and death followed as consequence of the accidents. The Tribunal was therefore, justified in directing the Insurance Companies to pay compensation on the basis of non fault liability. If ultimate in passing the final award, it is found mat the insurer has no liability with regard to persons who sustained injuries, fatal or otherwise, the Tribunal may issue appropriate directions for reimbursement of the amount from the owner(s) of the vehicle(s).