BAJAJ ALLIANZ GEN. IN Vs. BADAL SINGH

JUDGEMENT

(1.) HEARD learned counsel for the parties. This appeal by the Insurance Company is directed against the award dated 30.06.2011, passed by the Motor Accident Claims Tribunal -I, Balasore, in M.A.C. No. 28 of 2008, awarding an amount of Rs. 1,17,000/ - as compensation along with interest @ 7.5% per annum from the date of filing of the claim application, i.e. 19.03.2008.

(2.) THE sole contention raised by learned counsel for the appellant -Insurance Company is that as the driver of the offending vehicle (Auto Rickshaw) did not possess a valid and effective driving licence authorizing him to drive a transport vehicle, learned Tribunal erred in fixing the liability on the present appellant as the insurer of the offending vehicle. In this regard it is submitted that as the Auto Rickshaw was a passenger carrying vehicle and the driver of the vehicle was holding a driving licence authorizing him to drive a 'Light Motor Vehicle', the said driving licence did not authorize him to drive the passenger carrying Auto Rickshaw, which is a transport vehicle. Therefore, the Insurance Company is not liable to pay the compensation amount. It is further submitted that as there is a gross violation of the policy condition, the Insurance Company is entitled to recover the awarded compensation amount from the owner of the vehicle.

(3.) HOWEVER , it is open for the appellant -Insurance Company to recover the compensation amount from the owner of the vehicle by way of filing appropriate application before the learned Tribunal, as provided under Section 174 of the M.V. Act. If such an application is filed, learned Tribunal shall hear and dispose of the same on merit and in accordance with law after providing opportunity of hearing to the Insurance Company and the owner of the offending vehicle.