NATIONAL INSURANCE COMPANY LTD Vs. KABITA DEVI

JUDGEMENT

(1.) 07/01.08.2012: The petitioner-Insurance Company has filed this writ petition challenging the award dated 22.8.2008 rendered by Permanent Lok Adalat in M.V. Case No.56 of 2005. The award has been rendered on the consent of the parties. An amount of Rs. 40,000/- by way of compensation has been awarded under Section 166 of the Motor Vehicle Act in addition to the amount awarded / paid under Section 140 of the Motor Vehicle Act. The grievance of the petitioner is that in the said award, Insurance Company has not been given right to recover the same from the owner of the vehicle. Learned counsel appearing on behalf of the petitioner, at the outset, submitted that award made in favour of the claimants has not been challenged by the petitioner. But the petitioner is dissatisfied with the award, because it has not been given right to recover the amount from the owner of the vehicle.

(2.) I have heard learned counsel for the petitioner and perused the record. The permanent Lok Adalat has awarded compensation amount of Rs. 40,000/- under Section 166 of the M.V. Act to the claimants who are mother and father of the deceased girl Chanchala Kumari aged about five years. It appears that petty amount was awarded only because the Insurance Company agreed to settle the claim, however, after the said award was passed by the Permanent Lok Adalat, the petitioner � Insurance Company hastened to file this writ petition challenging the said order. Permanent Lok Adalat made the said award in exercise of its power under Section 22 of the Legal Services Authority Act, 1987. Section 22E of the said Act clearly provides that award of Permanent Lok Adalat shall be final and binding on all the parties thereto. Section-22E reads as follows :-