Case Note & Summary
The case involves a first appeal by the Reliance General Insurance Company Limited against the judgment and award dated 29 June 2019 passed by the Motor Accident Claims Tribunal, Mumbai, in Motor Accident Claim Petition No.84 of 2015. The Tribunal had awarded compensation to the respondents, who are the parents of the deceased, Mr. Anuj Nitin Dighe, who died in a motor vehicular accident due to the rash and negligent driving of a motor tanker. The Insurance Company did not dispute the accident or negligence but challenged the quantum of compensation, specifically the assessment of the deceased's monthly income at Rs.19,000 per month. The appellant argued that the Tribunal relied on an appointment letter and salary slips for April to June 2014 without requiring income tax returns or Form 16, which are necessary to prove income. The court considered the submissions and found that the evidence was insufficient to establish the income at Rs.19,000 per month. Consequently, the court reduced the monthly income to Rs.12,000 per month as notional income, following the principle that in the absence of reliable documentary proof, notional income should be adopted. The court modified the award accordingly, reducing the total compensation.
Headnote
A) Motor Accident Claims - Compensation - Income Proof - Assessment of monthly income at Rs.19,000 based on appointment letter and salary slips without income tax returns or Form 16 held insufficient - Court reduced income to Rs.12,000 per month as notional income - Held that in the absence of reliable documentary evidence, notional income should be adopted (Paras 3-5).
Issue of Consideration
Whether the Tribunal's assessment of the deceased's monthly income at Rs.19,000 per month based on appointment letter and salary slips without income tax returns is sustainable.
Final Decision
The appeal is partly allowed. The monthly income of the deceased is reduced from Rs.19,000 to Rs.12,000 per month as notional income. The impugned award is modified accordingly. The Insurance Company is directed to pay the modified compensation within six weeks.
Law Points
- Motor Accident Claims
- Compensation
- Income Proof
- Income Tax Returns
- Appointment Letter
- Salary Slips
- Form 16
- Notional Income
