Case Note & Summary
The case involved appeals by United India Insurance Co. Ltd. concerning compensation awarded by the Motor Accident Claims Tribunal. The Supreme Court granted leave and noted that the insurance company had deposited amounts of Rs.1,17,907/- and Rs.93,147/- in the respective appeals, allowing the claimants to withdraw these amounts. Sudesh Kumar, the vehicle owner, was present in court and was directed to deposit 1/3rd of the compensation amounting to Rs.3,61,801/- in two equal installments, with deadlines set for June 30, 2011, and July 31, 2011. The court specified that failure to deposit the amount would result in interest accruing at 18% per annum. The claimants were also permitted to withdraw the amount to be deposited by Sudesh Kumar. The Registry was instructed to release the amounts to the claimants after proper verification. The appeals were disposed of with these directions.
Headnote
A) Motor Accident Claims - Compensation Deposit - Timelines for Deposit - Motor Vehicles Act, 1988, Section Not mentioned - The court directed Sudesh Kumar to deposit 1/3rd of the compensation awarded in two equal installments, with specific deadlines for each installment. The court held that in case of default, the amount shall carry interest at the rate of 18% per annum (Paras 2-3).
Issue of Consideration
Whether the amounts awarded by the Motor Accident Claims Tribunal can be withdrawn by the claimants and the timeline for deposit by the vehicle owner.
Final Decision
The Supreme Court directed Sudesh Kumar to deposit 1/3rd of the compensation in two installments and allowed claimants to withdraw the deposited amounts. The court also specified interest on default.
Law Points
- Compensation
- Motor Accident Claims Tribunal
- Withdrawal of Amounts
- Deposit of Compensation
- Interest on Default
