NEW INDIA ASSURANCE CO LTD Vs. SHARDA GUPTA

JUDGEMENT

(1.) Appellant by Mr. B.N. Malhotra, Advocate. Claimants by Mr. Deepak Gupta, Advocate. Respondent No. 8 by Mr. S. Gajendragadkar, Advocate. Heard.

(2.) This appeal is filed by the insurance company, insurer of Maruti van bearing registration No. MP 08-D 0873 challenging the interim award dated 18.2.2008 passed by the Seventh Additional Motor Accidents Claims Tribunal at Gwalior in Claim Case No. 89 of 2007, whereby the learned Tribunal allowed the application filed by the claimants under section 140 of the Motor Vehicles Act, 1988 (in short 'the Act') and held that the insurer of Maruti van and bus are jointly and severally liable to pay the amount of interim compensation and held them liable under section 147 of the Motor Vehicles Act, 1988.

(3.) The sole contention of the learned counsel for the appellant is that as per the insurance policy dated 16.9.2006 Maruti van was insured 'Act Liability Only' and the risk of the occupant travelling in the said vehicle is not covered and no premium charged for the same. It is also submitted that the accident occurred due to negligent driving by respondent No. 3 against which the criminal case was also registered after due investigation. He lastly submitted that Tribunal has not considered the legal aspect while allowing the application under section 140 of the Motor Vehicles Act and committed a legal error in directing the appellant to pay the amount of Rs. 25,000 to the claimants-respondent Nos. 1 to 4.