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Madras High CourtCMA/1464/2020partly allowed

S.Priya v. N.Sivaraj

2020-11-11Honourable Mr Justice R.Subbiah,Honourable Mr Justice C. Saravanan5 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 11.11.2020

CORAM

THE HONOURABLE MR.JUSTICE R.SUBBIAH AND THE HONOURABLE MR.JUSTICE C.SARAVANAN C.M.A.No.1464 of 2020 1.S.Priya W/o.T.Kumaravadivel (Late) 2.K.Keshav (Minor), S/o.T.Kumaravadivel (Late) (minor appellant represented by his mother S.Priya as his N.G and N.F.) 3.T.Usha W/o.S.Thiyagarajan 4.S.Thiyagarajan S/o.Srinivasan ... Appellants vs 1.N.Sivaraj S/o.Nasan 2.Royal Sundaram General Insurance Company Ltd., Legal Department, Subramanian Building, II Floor, No.1, Club House Road, Anna Salai, Chennai - 2.

... Respondents (since 1st respondent was set ex parte in the lower Court notice to the said respondent may be dispensed with in the above Appeal).

Prayer: Civil Miscellaneous Appeal filed u/s.173 of the Motor Vehicles Act, 1988, against the order and decree dated 17.10.2019 passed in M.C.O.P.No.3219 of 2018 on the file of Motor Accident Claims Tribunal, Chief Judge, Court of Small Causes, Chennai.

For Appellant : Mr.K.Suriyanarayanan For Respondents: Mr.G.Vasudevan [R2] Ex parte [R1]

JUDGMENT

[Judgment of the Court was delivered by R.SUBBIAH, J] This matter is heard through Video Conference.

2. Not being satisfied with the quantum of compensation awarded by the Tribunal in and by its judgment dated 17.10.2019 passed in M.C.O.P.No.3219 of 2018 on the file of Motor Accident Claims Tribunal, Chief Judge, Court of Small Causes, Chennai, appellants/claimants have filed the present appeal.

3. The brief facts of the case is as follows: Appellants are wife, minor son and parents of the deceased T.Kumaravadivel respectively. On 17.04.2018 at about 19.30 hours, while the deceased was riding his motorcyle bearing Registration No.TN-09-BD-9101 on the Madipakkam Bazar Main Road, a Tanker Lorry bearing Registration No.TN-25-BZ-7799, came in a rash and negligent manner and hit the two-wheeler from behind, as a result of which the deceased fell down and the Tanker Lorry ran over him resulting in his instantaneous death. First respondent is the owner of the Tanker Lorry and second respondent is the insurer thereof. Appellants/claimants filed a claim petition seeking compensation in a sum of Rs.3,00,00,000/-.

4. Resisting the claim of appellants/claimants, second respondent insurance company had filed a counter.

5. Before the Tribunal, on the side of appellants/claimants, wife of the deceased examined herself as PW-1, one Mr.G.Prakash, HR Department, Inatech India Pvt. Ltd. examined as PW-2 and one Mr.Sowndar, eye-witness to the occurrence was examined as PW-3 and 43 documents were marked. On behalf of second respondent insurance company, one G.Ranjit Kumar was examined as RW-1 and no documents were marked. On appreciation of materials, the Tribunal has arrived at a finding that the accident had occurred due to the rash and negligent driving of the Tanker Lorry and awarded compensation as follows:

Amount 1.

Loss of dependency [(24000+40%-1/4)*12*16] 48,38,400/-

Amount 2.

Loss of love and affection [10000 * 4] 40,000/- 3.

Loss of consortium 30,000/- 4.

Funeral expenses 15,000/- Total 49,23,400/- The said sum was directed to be paid together with interest at 7.5% p.a. from the date of filing of the claim petition till the date of realization.

6. Learned counsel appearing for appellants/claimants submits that it was the case of appellants/claimants before the Tribunal that the deceased was working as Consultant-Marketing in Inatech India Private Limited and was earning a sum of Rs.52,456/- p.m. and Rs.2,17,000/- as incentive p.a. and in toto, was earning a sum of Rs.8,50,000/- p.a. To substantiate their claim, they have examined PW-2, HR personnel from Inatech India Pvt. Ltd. and marked Ex.P17 - pay slips for April 2017 to March 2018 and Exs.P12 to P23 - income tax returns, offer letter, appointment order etc. However, the Tribunal had fixed the monthly income of the deceased only at Rs.24,000/-. Thus, learned counsel prays this Court to fix the annual income of the deceased at Rs.8,50,000/- and accordingly, enhance the compensation under the head 'loss of dependency'.

7. Per contra, learned counsel appearing for second respondent insurance company submits that on appreciation of materials before it, the Tribunal has passed a well-reasoned award and hence, the same does not require interference by this Court.

8. This Court has considered the rival submissions. Perused the materials on record.

9. This Court finds that to establish the income of the deceased, appellants/claimants have examined PW-2 - employee of Inatech India Private Limited and marked income tax returns of the deceased for the Assessment Years 2016-17, 2017-18 and 201819, in which the annual income was shown as Rs.4,90,410/-, Rs.7,33,883 and Rs.6,72,743/- respectively. As per the income tax returns, the annual average income is Rs.6,32,345/-. This Court is of the view that appellants/claimants have produced sufficient proof to establish the income of the deceased. In such circumstance, the Tribunal went wrong in fixing Rs.24,000/- as the monthly income of the deceased. Hence, this Court considers that it would be appropriate to fix a sum of

Rs.6,32,345/- as the annual average income of the deceased and to deduct Rs.60,000/- towards income tax. As the deceased was aged 34 at the time of accident, 40% has to be added towards future prospects and multiplier '16' has to be applied. In the present case, this Court considers that it would be appropriate to deduct 1/3 towards personal expenses. Accordingly, the compensation payable under the head 'loss of dependency' is recalculated as follows:

Annual Average Income :

Rs. 6,32,345/- Less:

Income Tax :

Rs. 60,000/- ------------------ Rs. 5,72,345/- Add : Future prospects 40% of Rs.5,72,345/- :

Rs. 2,28,938/- ------------------ Rs. 8,01,283/- Less : Personal expenses (1/3):Rs. 2,67,094/- ------------------ Rs. 5,34,189/- Multiplier :

------------------ Loss of dependency :

Rs.85,47,024/- ------------------

10. Further, this Court finds that only a sum of Rs.30,000/- was awarded towards loss of consortium and hence, the same is hereby enhanced to Rs.40,000/-. The amount awarded under the head loss of love and affection at the rate of Rs.10,000/- each to appellants/claimants, is set aside. Instead, a sum of Rs.1,20,000/- i.e. Rs.40,000/- each to appellants 2 to 4/claimants is awarded under such head. Since no amount was awarded towards loss of estate, a sum of Rs.15,000/- is awarded under such head. In all other aspects, the award of the tribunal is hereby confirmed.

11. Accordingly, the modified compensation payable would be: Amount awarded by Tribunal Amount awarded by this Court 1.

Loss of dependency 48,38,400/- [(24000+40%- 1/4)*12*16] 85,47,024/- [(632345 - 60000) + 40% - 1/3 *16] 2.

Loss of love and affection 40,000/- [10000 * 4] 1,20,000/- [40,000 * 3] 3.

Loss of consortium 30,000/- 40,000/-

Amount awarded by Tribunal Amount awarded by this Court 4.

Funeral expenses 15,000/- 15,000/- 5.

Loss of estate - 15,000/- Total 49,23,400/- 87,37,024/- In the result, the Civil Miscellaneous Appeal is partly allowed. The compensation awarded by the Tribunal in a sum of Rs.49,23,400/- is hereby enhanced to Rs.87,37,024/- [Rupees Eighty Seven Lakhs Thirty Seven Thousand and Twenty Four only]. Second respondent insurance company is directed to deposit the modified compensation of Rs.87,37,024/-, less the amount, if any, already deposited, together with interest at 7.5% p.a. from the date of petition till the date of deposit within a period of six weeks from the date of receipt of this judgment. On such deposit, appellants 1, 3 and 4/wife and parents of the deceased are entitled to withdraw their respective shares, as apportioned by Tribunal, on due application. The share of minor appellant/son of the deceased shall be deposited in any nationalised Bank in fixed deposit till he attains majority and first appellant/mother of minor is entitled to withdraw interest once in three months. No costs.

Sd/- Assistant Registrar(CS-VIII) //True copy// Sub Assistant Registrar gm To The Motor Accident Claims Tribunal, Chief Judge, Court of Small Causes, Chennai.

Copy To The Section Officer, VR Sectio, High Court, Madras.

+1cc to Mr.K.Suriyanarayanan, Advocate SR.No.36670 C.M.A.No.1464 of 2020 PM (CO) GMY(07/05/2021)