NATIONAL INSURANCE CO LTD Vs. SIKANDAR ALI

JUDGEMENT

(1.) HEARD learned counsel for the parties.

(2.) THIS appeal has been preferred by the National Insurance Company Ltd. against the award dated 9. 8. 1995 passed by Motor Accident Claims Tribunal Jhunjhunu. The Tribunal therein awarded a sum of Rs. 1,02,400/- for the death of husband of respondent No. 3.

(3.) TWO-Judge Bench of Supreme Court in Ramesh Kumar supra, doubted the correctness of the earlier Supreme Court judgment in New India Assurance Company Ltd. vs. Satpal Singh : 2000 ACJ 1 (SC) = (RLW 2000 (1) SC 98) in so far as the law it laid down regarding second category of cases therefore, referred this question for re-consideration of this question by the Larger Bench. The three-Judge Bench of Supreme Court in New India Assurance Company Ltd. vs. Asha Rani and others: ACJ 2003 (1) 17 considered the provisions of Section 147 of the Motor Vehicles Act, 1988 corresponding to Section 95 of the Motor Vehicles Act, 1939. These cases in fact arose out of the accidents which occurred prior to amendment in clause (i) of Section in 1994 to also include "injury to any person including owner of the goods or his authorized representative being carried in the vehicle. " Larger Bench of Supreme Court in New India Assurance Company Ltd. vs. Asha Rani and others supra held that "even if widest interpretation is given to the expression `to any person', it will not cover either the owner of the goods or his authorised representative being carried in the vehicle," which was purposely later added therein by the Motor Vehicle (Amendment) Act of 1994. The later amendment therefore cannot be said to be either clarificatory in nature or amplification of pre-existing statute. Judgment of Supreme Court in New India Assurance Company Ltd. vs. Satpal Singh supra was not therefore held to have been correctly decided and thus stands over ruled. This very view has again been reiterated not only with regard to death or injury of owner of the vehicle but also gratuitous passenger. And so far as the law on the question as to risk of gratuitous passenger carried in a goods vehicle is concerned, it has been consistent view of the Supreme Court since Ramesh Kumar supra which was approved in New India Assurance Company Ltd. vs. Asha Rani and others supra and later reiterated by Supreme Court in National Insurance Co. Ltd. vs. Bommithi Subbhayamma and others supra and in recently pronounced judgment of Supreme Court in Smt. Thokchom Ongbi Sangeeta @ Sangi Devi and Anr. supra, Oriental Assurance Company Ltd. vs. Brijmohan supra and New India Assurance Company Ltd. vs. Vedwati & Ors. supra. Settled proposition of law emerging from all these judgments thus is that the insurance-company can not be held liable to make payment of compensation for the death or bodily injury to a gratuitous passenger travelling in goods/transport vehicle.