ORIENTAL INSURANCE COMPANY LTD Vs. SAVITRI DEVI

JUDGEMENT

(1.) THIS appeal has been preferred by the above named Insurance Company against the award by the District Judge - cum -Motor Vehicle Tribunal Nawadah in Motor vehicle accident claims Case No. 1. of 1992.

(2.) THE facts of the case is that deceased Mosafir Yadav was travelling on 12.7.1991 by Bus No. S. H.Y. 465 from Nawadah to his village Chhanaun. Near village Bahera the bus met with an accident due to rash and negligent driving by the driver. Deceased was killed in that incident. The bus at the relevant time was insured with the appellant. The compensation was claimed by the heirs of the deceased to the tune of Rs. 2,40,000/ -. The factum of accident due to negligence of the driving of the bus has been proved and the same has not been challenged by the Insurance Company. The only challenge is with respect to improper calculation of the compensation by the learned tribunal. The deceased was basically an agriculturist and was engaged in the contract work also. He was 48 years of age at the time of his death and his monthly income was assessed at Rs. 1,000/ -. A wrong approach has been taken by the learned court below in calculating the compensation is found to be correct on going through the paragraph 10 of the impugned judgment. After the amendment of the Motor Vehicles Act and the theory of multiplied method is introduced the calculation of compensation comes to a formulated one. When Rs. 1,000/ - has been assessed as the montly income of the deceased then 1/3rd of the same should be deducted towards his personal expenditure and then Rs. 700/ - comes to be contribution towards the family and the yearly contribution comes upto Rs. 8,400/ -. As the deceased was 45 years of age at the time of his death then 15 would be the proper multiplier on the yearly contribution being made and the amount of compensation comes up to Rs. 1,26,000/ - out of which the claimants have already received Rs. 25,000/ - as interim compensation and taking the same amount comes upto Rs. 1,01,000/ -and loss of consortum is added as Rs. 4,000/ - and the amount comes upto Rs. 1,05,000/ -. this is also the principle enuntciated that the award ot compensation should be in such a form that il the said amount is being kept in Nationalised Bank then the interest of the same should? fetch amount of income or contribution which has been lost to the family, if ildl that the compensation awarded by 'the learned tribunal is too high and did not consider the amounts in their proper perspective. Thus if the calculated amount as mentioned above as kept in the nationalised Bank would fetch something more than Rs. 1,000/ - per month, this would include the prospect of increase of income during the life time ot the deceased and contribution towards the family. In that way the appeal is allowed to the extent as mentioned above by modifying the amount of compensation as granted by the learned tribunal. The interest as has been ordered by the learned tribunal shall remain intact.