GIRDHARILAL Vs. CHHAGANLAL

JUDGEMENT

(1.) THIS appeal is filed by the owner of the vehicle challenging the award dated 7. 1. 2000 passed by the additional Member Judge, Motor Accidents Claims Tribunal, Vidisha in Claim case No. 38 of 1997 whereby a sum of rs. 79,500 is awarded by the claimants for the death of a 12-year boy Sanjay with interest at the rate of 12 per cent per annum. The Claims Tribunal has further directed that if the amount is not deposited within one month, then the defendants will have to pay interest at the rate of 18 per cent per annum. Motor Accidents Claims Tribunal has also found that as the vehicle in question was driven in violation of the terms of insurance policy the insurance company is not liable.

(2.) CONTENTION of the learned counsel for the appellant is that in a case for violation of terms of insurance policy, the Tribunal should have directed the insurance company to first pay the amount of compen-sation and should have granted right of recovery to the insurance company.

(3.) MR. M. P. Agrawal, counsel for the insurance company, respondent No. 4, has no objection for this purpose. He relied upon a Division Bench decision of this court in the case of Durgesh Kumar Yadav v. Vimal, 2003 ACJ 1374 (MP), wherein this court has held that in case of third party, the insurance company should be first directed to deposit the amount of award and given a right of recovery to the insurance company.