NEW INDIA ASSURANCE CO. Vs. KANTA DEVI

JUDGEMENT

(1.) THE present appeal by New India Assurance Company is directed against the award of Motor Accident Claims Tribunal, whereby it (the appellant) has been ordered to pay the entire amount of compensation, awarded in favour of the claimant Kanta Devi, rejecting its plea that the man, who was driving the vehicle at the time of accident, namely respondent No. 3 Suresh Kumar, did not possess a valid and effective driving licence.

(2.) RESPONDENT Kanta Devi (hereinafter called claimant) filed a petition under Section 166 of the Motor Vehicles Act, seeking award of compensation for the death of her son. The owner and the driver of the vehicle were impleaded as respondents. Besides the appellant, in its capacity as insurer, was also impleaded. The appellant/insurer took the plea that the driver did not possess a valid and effective driving licence and hence, there was breach of condition of policy as to the person authorized to drive the vehicle and hence, it was not liable to pay the compensation, which the Tribunal might award.

(3.) I have heard the learned Counsel for the appellant as also the learned Counsel for the respondents and gone through the record. Even if the plea of the appellant, based on the evidence of the employee from the Licencing Authority, Shimla, is accepted that the licence is not genuine, still the appellant cannot succeed because of the law laid down by the Hon'ble Supreme Court in National Insurance Company Ltd. v. Swaran Singh and Ors. . In the said judgment, the Hon'ble Apex Court has held vide Clause (iii) of para 102 at page 33 that the mere proof of breach of condition would not come to the rescue of the insurer and that the insurer is further required to allege and prove that the insured was negligent or careless and because of that the breach of condition had taken place.