High Court of Bombay at Nagpur Dismisses Appeal by Employer in Motor Accident Claim — Negligence of Crane Driver Proved, Compensation Upheld. The Court affirmed the Tribunal's assessment of income at Rs.30,000/- per month and multiplier of 13 for a 50-year-old deceased employee under the Motor Vehicles Act, 1988.

High Court: Bombay High Court Bench: NAGPUR In Favour of Prosecution
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Case Note & Summary

The present appeal was filed by Western Coal Fields Ltd. (the appellant) under Section 173 of the Motor Vehicles Act, 1988, challenging the judgment and award dated 29.08.2018 passed by the Motor Accident Claims Tribunal, Chandrapur in M.A.C.P. No.85/2014. The Tribunal had awarded compensation of Rs.62,26,400/- to the respondents (claimants), who are the wife and children of the deceased Rajkumar Tiple, and also to the driver of the crane involved in the accident. The accident occurred on 17.08.2013 when the deceased was travelling on a scooter bearing registration No. MH-34-Q-6325. A crane bearing equipment Serial No.4812, owned by the appellant and driven by respondent No.4 (Sudhakar Kathale), was driven rashly and negligently and dashed against the scooter, causing the death of Rajkumar Tiple on the spot. An offence was registered at Durgapur Police Station under Sections 279, 337, 338, 304-A of the Indian Penal Code and Section 184 of the Motor Vehicles Act. The claimants filed a claim petition seeking compensation, which was opposed by the appellant by filing a written statement denying negligence and the income of the deceased. The Tribunal, after considering the evidence, held that the accident occurred due to the rash and negligent driving of the crane driver and assessed the income of the deceased at Rs.30,000/- per month based on the salary certificate and evidence of the employer. The Tribunal applied a multiplier of 13, deducted 1/4th towards personal expenses, added 15% towards future prospects, and awarded Rs.62,26,400/-. The appellant challenged the award on the grounds that the income was exaggerated and the multiplier was wrongly applied. The High Court, after hearing both sides, found no error in the Tribunal's findings. The High Court noted that the appellant failed to produce any evidence to contradict the salary certificate or the evidence of the employer. The multiplier of 13 was correctly applied as per the age of the deceased (50 years) following the Sarla Verma case. The deduction of 1/4th towards personal expenses was proper as the deceased had four dependents. The addition of 15% towards future prospects was also correct as per the Pranay Sethi case. The High Court dismissed the appeal and directed the appellant to deposit the entire amount within six weeks.

Headnote

A) Motor Accident Claims - Negligence - Rash and Negligent Driving - The accident occurred due to rash and negligent driving of a crane owned by the appellant, resulting in the death of a scooter rider. The Tribunal held the appellant liable, and the High Court affirmed the finding of negligence based on the evidence of the claimants and the criminal proceedings. (Paras 4-6)

B) Motor Accident Claims - Compensation - Income Assessment - The Tribunal assessed the deceased's income at Rs.30,000/- per month based on the salary certificate and evidence of the employer. The High Court found no error in this assessment, as the appellant failed to produce any contrary evidence. (Paras 7-9)

C) Motor Accident Claims - Compensation - Multiplier - The Tribunal applied a multiplier of 13 based on the age of the deceased (50 years) as per the Sarla Verma case. The High Court upheld the multiplier, noting that the deceased was aged 50 years and the multiplier of 13 was appropriate. (Para 10)

D) Motor Accident Claims - Compensation - Deductions - The Tribunal deducted 1/4th towards personal expenses of the deceased, which was correct as the deceased had four dependents. The High Court affirmed this deduction. (Para 11)

E) Motor Accident Claims - Compensation - Future Prospects - The Tribunal added 15% towards future prospects as per the Pranay Sethi case. The High Court upheld this addition, as the deceased was a permanent employee of the appellant. (Para 12)

F) Motor Accident Claims - Appeal - Dismissal - The High Court dismissed the appeal, finding no perversity or error in the Tribunal's award. The appellant was directed to deposit the entire amount within six weeks. (Paras 13-14)

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Issue of Consideration

Whether the Motor Accident Claims Tribunal erred in awarding compensation of Rs.62,26,400/- to the claimants, particularly regarding the assessment of the deceased's income and the multiplier applied.

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Final Decision

The High Court dismissed the appeal and upheld the award of the Motor Accident Claims Tribunal, Chandrapur. The appellant was directed to deposit the entire amount of compensation within six weeks.

Law Points

  • Motor Vehicles Act
  • 1988
  • Section 173
  • Negligence
  • Compensation
  • Multiplier
  • Income Assessment
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Case Details

2023 LawText (BOM) (03) 123

First Appeal No.1823 of 2019

2023-03-14

Urmila Joshi-Phalke, J.

Mr. Shriram Chopde, Advocate h/f Mr. D. L. Dharmadhikari, Advocate for appellant; Mr. P. R. Agrawal, Advocate for respondent Nos.1 to 3.

Sub-Area Manager, Western Coal Fields Ltd., Padmapur, Tah and Dist. Chandrapur.

1. Smt. Anjutai Wd/o Rajkumar Tiple, 2. Jitendra S/o Rajkumar Tiple, 3. Sudarshan s/o Rajkumar Tiple, 4. Sudhakar s/o Pundlikrao Kathale

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Nature of Litigation

Appeal under Section 173 of the Motor Vehicles Act, 1988 against the judgment and award of the Motor Accident Claims Tribunal, Chandrapur in M.A.C.P. No.85/2014.

Remedy Sought

The appellant (Western Coal Fields Ltd.) sought to set aside or reduce the compensation awarded by the Tribunal.

Filing Reason

The appellant challenged the Tribunal's award on the grounds that the income of the deceased was exaggerated and the multiplier was wrongly applied.

Previous Decisions

The Motor Accident Claims Tribunal, Chandrapur in M.A.C.P. No.85/2014 dated 29.08.2018 awarded compensation of Rs.62,26,400/- inclusive of the amount paid under Section 140 of the Motor Vehicles Act.

Issues

Whether the Tribunal erred in assessing the income of the deceased at Rs.30,000/- per month? Whether the Tribunal erred in applying a multiplier of 13? Whether the Tribunal erred in adding 15% towards future prospects?

Submissions/Arguments

The appellant argued that the income of the deceased was exaggerated and the multiplier was wrongly applied. The claimants argued that the Tribunal correctly assessed the income based on the salary certificate and evidence, and the multiplier was as per the age of the deceased.

Ratio Decidendi

The High Court held that the Tribunal's assessment of income at Rs.30,000/- per month based on the salary certificate and evidence of the employer was correct, and the appellant failed to produce any contrary evidence. The multiplier of 13 was correctly applied as per the age of the deceased (50 years) following the Sarla Verma case. The addition of 15% towards future prospects was also correct as per the Pranay Sethi case. There was no perversity or error in the award.

Judgment Excerpts

The present appeal is preferred under Section 173 of the Motor Vehicles Act, 1988 by the Western Coal Fields Limited Padmapur, District Chandrapur challenging the Judgment and Award passed by the Motor Accident Claims Tribunal, Chandrapur in M.A.C.P. No.85/2014 dated 29.08.2018 by which Tribunal has awarded the compensation of Rs.62,26,400/- inclusive of the amount paid under Section 140 of the Motor Vehicles Act. On 17.08.2013 deceased Rajkumar Tiple and Shakil @ Chotu Abdul Sheikh travelling by Scooty bearing MH-34-Q-6325 to Padmapur W.C.L. The driver of the Crane bearing equipment Serial No.4812 was driven rashly and negligently and dashed against Scooty bearing No. MH-34-Q-6325. The Tribunal has rightly assessed the income of the deceased at Rs.30,000/- per month and applied multiplier of 13 and added 15% towards future prospects. There is no perversity or error in the award.

Procedural History

The claim petition (M.A.C.P. No.85/2014) was filed by the respondents before the Motor Accident Claims Tribunal, Chandrapur. The Tribunal passed an award on 29.08.2018 granting compensation of Rs.62,26,400/-. The appellant filed the present appeal under Section 173 of the Motor Vehicles Act, 1988 before the High Court of Bombay at Nagpur Bench. The appeal was admitted and finally heard on 14.03.2023, and the High Court dismissed the appeal.

Acts & Sections

  • Motor Vehicles Act, 1988: Section 173, Section 140, Section 184
  • Indian Penal Code, 1860: Section 279, 337, 338, 304-A
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