NATIONAL INSURANCE COMPANY LIMITED Vs. KAMAL KISHORE GUPTA

JUDGEMENT

(1.) NATIONAL Insurance Company has filed this appeal aggrieved by award dated 12.07.2004 of learned Additional District Judge (Fast Track) No.7, Jaipur City, Jaipur. Learned Tribunal awarded compensation of Rs.21,53,000/- to the claimants-respondents for death of Surendra Kumar, who died in a road accident took place on 03.03.2001.

(2.) SHRI Vizzy Agrawal, learned counsel for appellant argued that statutory provisions clearly indicate that compensation must be "just and reasonable" and it cannot be a bonanza; not a source of profit but same should not be a pittance. Learned Tribunal failed to consider evidence led by claimants in order to prove occupation as well as earning of deceased. Firm S.K. Motors, of which it is claimed that deceased was its sole proprietor, was virtually non-existent. It was said to be run from home. It was neither registered with Registrar nor did it have any RST/CST numbers. Even account books of said Firm were neither available nor produced on record. Claimants have not produced on record details pertaining to stock-in-trade, closing balance, commission earned etc. Claimants have produced three income-tax returns of deceased to prove his income, but last income-tax return had been submitted by his father exaggerating his income. It was father of deceased, who created a fictitious firm on papers in the name of his deceased son, so as to evade tax liability generated from his own business in name and style of Kamal Motors. Admittedly, deceased was studying at the time of his death, which shows that he was not earning or carrying out any business at relevant point of time. Learned Tribunal erred in enhancing income of deceased on the basis of future prospects. Learned Tribunal has illegally assessed monthly income of deceased at Rs.10,000/- and after adding 50% thereto on account of future prospects, made it Rs.15,000/-. Learned Tribunal, while assessing loss of dependency also failed to make suitable deduction under the heads of Income Tax. Father of dependent was in no way dependent upon deceased as he was having his own independent business, and mother and sister of deceased were dependent upon father of deceased and not on deceased himself.