Shivaleela and Others vs The Divisional Manager, United India Insurance Co. Ltd. & Others

Court

Supreme Court of India

Date

17 March 2025

Case No.

Civil Appeal No(s). 3840-3841 of 2025

Result

Partly allowed

Bench

Sudhanshu Dhulia, Ahsanuddin Amanullah

Citation

[2025] 4 S.C.R. 63 : 2025 INSC 357

Issue for consideration

The victim died in an accident. The appellants filed claim petition for compensation. In the Miscellaneous First Appeal, the High Court fixed the monthly income of deceased as Rs.8000/- per month. Whether the High Court was justified in fixing the monthly income of the deceased as Rs. 8000/- per month in the given facts and circumstances of the case.

Headnote

Motor Vehicle Accident claim – Victim met with an accident and died – Claim petition was filed by appellants – The MACT, by Judgment and Order dated 10.01.2014, awarded a compensation of Rs.25,49,000/- with 6% interest p.a. from the date of filing of the claim petition till its realization – The High Court reduced the compensation of Rs.25,49,000/- to Rs.20,61,320/- – While calculating the compensation, the MACT had taken the notional income of deceased as Rs.10,000/per month, which was further reduced by the High Court to Rs.8000/- – Correctness:

Held: Both the MACT as also the High Court had not correctly approached the issue – The MACT and the High Court erred in assessing the income on the lower side – Bearing in mind the evidences adduced by the depositions of PW3, PW4, PW5 and PW6 in totality, it is clear that the deceased had a major role in the businesses – Going by the cumulative income on all the sources (agriculturist, hiring/driving and milk-vending), it is difficult to accept that the income of the deceased was restricted to Rs.10,000/- per month as decided by the MACT, much less Rs.8,000/- per month as decided by the High Court – Thus, on an overall circumspection of the entire facts and circumstances of the cases and material on record, it may be reasonably assumed that the deceased was having a monthly income of Rs.15,000/- per month – Accordingly, the impugned order is modified to the extent that the monthly income of the deceased would be taken as Rs.15,000/- per month instead of Rs.8,000/- per month – Further, the rate of interest shall be 7.5% p.a. from the date of filing of the claim petition till realisation, instead of 6% p.a. – Thus, the total compensation will be as Rs.35,66,600/-. [Paras 10, 11, 13, 14]

Judgment Ahsanuddin Amanullah, J. Leave granted. 2. The present appeals are directed against the common Final Judgment and Order dated 24.01.2023 in MFAs No.6192/2014 (MV-D) and No.2087/2014 (MV-D) (hereinafter referred to as the ‘Impugned Order’) passed by the High Court of Karnataka at Bengaluru (hereinafter referred to as the ‘High Court’) challenging the award dated 10.01.2014 passed by the Senior Civil Judge & Motor Accidents Claim Tribunal IX at Harapanahalli (hereinafter referred to as the ‘MACT’) in MVC No.73 of 2012, whereby the High Court dismissed the appeal filed by the appellan

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