SATNAM SINGH Vs. NATIONAL INSURANCE COMPANY

JUDGEMENT

(1.) IN this petition under Article 227 of the Constitution of India, the petitioner is aggrieved against the order dated 16.5.2005 whereby the Motor Accidents Claims Tribunal, Karnal ('Tribunal' for short) has allowed the petitioner to withdraw an amount of Rs. 50,000/- only out of the amount lying deposited in the fixed deposit receipt of the petitioner.

(2.) THE petitioner filed a claim petition under Section 166 of the Motor Vehicles Act, 1988 for grant of compensation on account of injuries suffered in a motor vehicle accident which occurred on 13.1.2003. The learned Tribunal by its award dated 21.10.2004 (Annexure P-1) awarded Rs. 1,15,000/-. It was ordered that the amount of compensation awarded to the above claimant be deposited in his fixed deposit account in some nationalized bank for a period of two years with a stipulation that the bank concerned shall not grant any loan against the security of this deposit and further that the Bank Manager shall make a note of this stipulation on the FDR. It was made clear that the claimant will get monthly/quarterly interest on the amount deposited and would be at liberty to apply to the Tribunal for refund of the amount in case of emergency. It is on account of need that the petitioner filed an application for release of the amount lying in the fixed deposit receipt in pursuance of the award of the Tribunal dated 21.10.2004 (Annexure P-1). The said application having been declined, the petitioner has approached this Court.

(3.) I have given my thoughtful consideration to the contentions of the learned counsel appearing for the petitioner. It is appropriate to note that the Hon'ble Supreme Court in H.S. Ahammed Hussain v. Irfan Ahammed, 2002(3) RCR(Civil) 563 (SC) : 2002(3) PLR 297, has observed that the amounts of compensation awarded in favour of adults should not be kept in fixed deposit in a nationalized bank and in case the amounts had not already been invested, the same shall be paid to them but if, however, invested by depositing in a nationalized bank, there may be its premature withdrawal in case the parties so intend. Therefore, it is to be seen in the fact and circumstances of each case whether an adult claimant who has been awarded compensation in respect of a claim under the provision of the Motor Vehicles Act, 1988 should be given payment immediately or the awarded amount in whole or in part should be retained in a fixed deposit for future payment.