NEW INDIA ASSURANCE CO LTD Vs. BHUVNESH PATHAK

JUDGEMENT

(1.) THE respondent No. 1, Bhuvnesh Pathak, widow of late Paramsukh alias Parmeshwar Pathak, filed the claim case against the driver/respondent No. 2, Manoj Pathak, who is her own son as well as against the appellant. It was claimed by her in the application for grant of compensation that the respondent No. 2, Manoj Pathak was driving the tractor along with a trolley, bearing registration No. MP 16 -A -5411. The trolley was loaded with stones and Paramsukh alias Parmeshwar Pathak was sitting in the trolley. The tractor and trolley turned turtle and on account of that Paramsukh alias Parmeshwar Pathak died. He was the owner and insured of the tractor.

(2.) THE Claims Tribunal granted compensation amounting to Rs. 50,000 to the respondent No. 1, Bhuvnesh Pathak, after rejecting the contention of the appellant that the insured was not entitled to claim any damages.

(3.) FURTHER , it is clear from the impugned award that Rs. 25,000 out of Rs. 50,000 have already been deposited by the appellant insurance company in the fixed deposit account in favour of the respondent No. 1 in a nationalised bank for a period of two years. In this respect the impugned award is modified to the extent that after expiry of two years of fixed deposit of Rs. 25,000 it shall be renewed for a further period which the Claims Tribunal thinks necessary for final disposal of the claim case pending before it. The amount shall remain deposited in the fixed deposit till the final award is made. So far as the remaining amount of Rs. 25,000 is concerned, which is directed to be paid to the respondent No. 1 by the Claims Tribunal, this court follows the decision of a learned single Judge of this court in New India Assurance Co. Ltd. v. Raghuvir 1996 ACJ 196 (MP). It is directed that the respondent No. 1, Bhuvnesh Pathak, while withdrawing Rs. 25,000 (Rupees twenty -five thousand), shall furnish a solvent surety to the satisfaction of the Claims Tribunal with an undertaking that in case, it is ultimately found that the insurance company is not liable for payment of compensation, she shall pay interest at the rate of 6 per cent per annum on Rs. 25,000 (Rupees twenty -five thousand) from the date of final award till its realisation.