ORIENTAL INSURANCE COMPANY LTD. Vs. SHYAM CHANDEL

JUDGEMENT

(1.) The present petition has been filed by the Oriental Insurance Company Limited with prayer that the impugned order dated 29.12.2015, passed by the learned Motor Accident Claims Tribunal, Bilaspur,in Execution Petition No. 2/10 of 2015 titled Shyam Chandel & another Versus The Oriental Insurance Company Limited, may kindly be quashed and set Whether reporters of Local Papers may be allowed to see the judgment aside and the petitioner-Insurance Company may be held not liable to pay any further sum towards compensation amount, interest etc. to claimants/respondents No.1 & 2 or . alternatively, after allowing the application separately being moved by the Petitioner-insurer for impleadment of the concerned Income-Tax Officer, amount of Rs.10,617/- already deposited towards TDS in the concerned head of Income-Tax Department may kindly be ordered to be refunded to the petitioner-insurer along with up-to-date interest.

(2.) The main matrix of the case are that the respondents No. 1 and 2/ Claimants had filed a petition under Section 166 of the Motor Vehicles Act, 1988 for grant of compensation before the learned Motor Accident Claims Tribunal, Bilaspur and the same was decided on 24.09.2014. The petition was allowed and the respondents No. 1 & 2/ Claimants have been awarded compensation of Rs.2,40,000/-alongwith interest @ 9% per annum from the date of filing of the claim petition till the date of deposit/payment to be paid by the insurer. It has been further averred in the petition that the said award attained finality as it was decided by the competent authority in Petitioner-Company not to file an appeal against the same. The respondents No. 1 & 2/ Claimants filed an application for execution of said award

(3.) It is further case of the petitioner/Insurance Company that during the pendency of the execution proceedings, order dated 29.12.2015 was passed by the learned Motor Accident Claims Tribunal, Bilaspur (HP) in Execution Petition No. 2/10 of 2015 titled Shyam Chandel and another Versus Oriental Insurance Company Limited whereby while rejecting plea of the insurer as regards deduction of TDS by relying upon observations of this Hon'ble Court in case: Court on its own motion Versus H.P. State Co-operative Bank Limited and others (2014( Suppl.) Him. L.R. 2675), it was held that TDS amount was wrongly deducted from the amount of the award to which the claimants were entitled from the amount of award to which the respondents No. 1 & 2/ Claimants were entitled since the amount of compensation awarded to them on account of death of their father was in the form of damages and not the income and thus, no TDS was to be deducted and directed the insurer to deposit the amount deducted as TDS on the interest component of award amount and held the insurer liable to pay the outstanding amount of Rs.14,518/- as claimed by the respondents No. 1 & 2/ Claimants and directed to deposit the same alongwith interest @ 9% per annum.