IN THE COURT OF IX ADDITIONAL CHIEF JUDGE CITY CIVIL COURT
AT: HYDERABAD.
Thursday, this the 13 th day of April, 2023
Present : Smt. G. Sunitha Ravindra Reddy IX Addl. Chief Judge,CCC,Hyderabad
M.V.O.P.No. 1947 OF 2014
Between:-
1. Kamala Varma @ Kamala Devi W/o. Late Ghan Shyam Varma, aged about 48 years, Occ: Household.
2. Yogendra Pratap Varma S/o. Late Ghan Shyam Varma, aged about 28 years, Occ: Enemployee.
3. Khojendra Pratap Varma S/o. Late Ghan Shyam Varma, aged about 25 years, Occ: Enemployee.
4. Mamata Varma D/o. Late Ghan Shyam Varma, aged about 24 years, Occ: P.G student (unmarried).
5. Deepa Varma D/o. Late Ghan Shyam Varma, aged about 20 years, Occ: Student.
(All are R/o.3-5-69, RTC Colony, L.B. nagar, Hyderabad.
...Petitioners
AND
1. M/s. Globe Ecologistics Limited, Pirana Village, Dascroi Taluka, Ahmedabad, Gujrat.
2. HDFC ERGO General insurance Company Limited, rep.by its Manager, Door No.6-3- 346/1, 2nd floor, Road No.1, opp: Vengalrao Park, Banjara Hills, Hyderabad.
(Policy No.2315200368177301000, valid from 12-11-2013 to 11-11-2014, policy issued at Mubai)
....Respondents
This petition is coming on this day before me for final hearing in the presence of Sri P. Chandra Mouli, Learned counselfor petitioners and respondent No.1 remained exparte and Sri B. Papa Reddy, learned counsel for respondent No.2 and upon hearing both the counsel and on perusing the material available on record and the matter having been stood over for consideration till this day, this Court made the following:-
: O R D E R :
1. This petition is filed under Section 166 of M.V.Act, 1988 and Rule 475/1 B of
A.P.M.V. Rules r/w Section 163-A, 140 (c) of A.P.M.V.Act 1989 seeking the court to award compensation of Rs.40,00,000/- to the petitioners against the respondents by directing the respondents to pay to the petitioners jointly and severally together with interest @ 18% per annum from the date of accident till the date of realization.
2.The brief averments made in the petition are as follows:
On 28-5-2014 at about 4.30 P.M, the deceased Ghan Shyam Varma started from residence at L.B.Nagar towards Chaderghat side on his motor cycle bearing No.AP 29BN- 5528. The deceased was riding the motor cycle with great care and diligence by following traffic rules with extreme left side of the road at about 5.30 P.M. At the same time, the driver of one lorry (trailer) bearing No.GJ1 AU-3995 which was proceeding in the same direction at that material time, the driver of the lorry (trailer) bearing No.GJ1 AU 3995 drove the lorry in a rash and negligent manner with high speed without following traffic rules, lost the control of the offending vehicle and dashed to the deceased motor cycle from back side. As a result, the deceased fell down on the road along with motor cycle,, as a result of which the lorry left side rear tyres were gone over the deceased, due to which the deceased sustained bleeding injuries all over the body. Immediately after the accident, the police shifted the deceased to Osmania General Hospital, Hyderabad where the doctors declared the deceased as brought dead. The police, Malakpet registered a case in Crime No.283/2014 under
Section 304-A, 337 and 338 of IPC against the driver of offending lorry. The deceased was a businessman and he was doing the business of Synthetic Hair wigs in whole sale under the name and style of M/s. Y.K.Traders, L.B.Nagar, Hyderabad on which the deceased was earning more then Rs.4,30,000/- per annum prior to the accident. The deceased was only earning member in his family, other than deceased there is no person earning in his family.
The petitioners No.2 and 3 are unemployee sons of the deceased and petitioners No.4 and 5 are students and unmarried daughters of deceased. The petitioners lost love and affection, best guidance and future with the deceased. There is no source of income for the petitioners
Page 3 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad to maintain their livelihood. The respondents No.1 and 2 being owner and insurer of the lorry (trailer) are jointly and severally liable to pay compensation of R.40,00,000/- to the petitioners.
3.On receipt of summons, the respondent No.2 filed counter denying all the allegations made in the petition except those that are admitted that this respondent denied the manner of accident, involvement of the offending vehicle, age, avocation and income of the deceased.
The insurance policy issued by this respondent in favour of the respondent No.1 lorry (trailer bearing No.GJ 1 AU 3995valid from 12-11-2013 to 11-11-2014 is in possession of the insured i.e., respondent No.2. The owner of the lorry willfully entrusted the vehicle to a driver who was not holding a valid driving license therefore even if the policy is in existence, the second respondent is not liable. The respondent No.1 has not informed about the accident to this respondent, hence this respondent shall be permitted to take all necessary defences as contemplated under Section 147, 149 and 170 of M.V.Act. As per Section 134 (c ) of M.V.Act, it is mandatory duty of owner/respondent No.1 to furnish the particulars of policy, date, time and place of accident, particulars of injuries and the name of the driver and particulars of driving license but the owner/respondent No.1 had not complied with statutory demand. As per
Section 158 (6) of M.V Act 1988 it is a statutory obligation on the concerned police officials to forward to claims tribunal having jurisdiction about the death or bodily injury to any person. It is mandatory on the part of the concerned police officials to send all the relevant papers to the concerned insurer and the owner of the vehicle within 30 days from the date of information, but the concerned police officials failed to forward the documents and not complied with the statutory demand. The respondent No.1 had not issued any notice about the accident to respondent No.2 and this respondent is at liberty to take all the defences under Section 170 B of
M.V.Act. Besides the defences under Section 147 and 149 of M.V.Act. The interest claim by petitioners is highly excessive and is contrary to Section 3 of Interest Act. Hence, prays to dismiss the petition.
Page 4 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad
4.On the basis of the above pleadings, the following issues have been settled by my learned predecessor for trial on 5-1-2018:
1) Whether the pleaded accident had occurred resulting in death of the deceased,
Ghan Shyam Varma, due to the rash and negligent driving of the driver of the
crime vehicle lorry bearing No. GJ 1 AU 3995 by its driver?
2) Whether the petitioners are entitled to compensation, and, if so, to what quantum and what is the liability of the respondents?
3) To what relief?
5.During the course of enquiry, the petitioner No.1 who is wife of deceased examined as
PW1, eye witness to the accident examined PW2 and also examined PW3 and got marked Exs.A1 to A9 documents. On behalf of respondent No.2, RW1 who is Deputy Manager was examined and also examined Motor Vehicle Inspector as RW2 and got marked Exs.B1 to B3 documents and
Ex.X1 and X2 documents were marked.
6.Heard both sides. Perused the material records. The written arguments filed by both sides.
7. ISSUE NO.1: Whether the pleaded accident had occurred resulting in death of the deceased, Ghan Shyam Varma, due to the rash and negligent driving of the driver of the crime vehicle lorry bearing No. GJ 1 AU 3995 by its driver?
It is the case of the petitioners that the petitioner No.1 is wife, the petitioners No.2 and 3 are sons and the petitioner No.4 and 5 are daughters of deceased M. Ghan Shyam Varma.
The deceased was businessman of Synthetic Hair wigs in whole sale under the name and style of M/s. Y.K.Traders, L.B.Nagar, Hyderabad on which the deceased was earning more than Rs.4,30,000/- per annum prior to the accident, which he used to contribute for the welfare of the family. On 28-5-2014 at about 4.30 P.M, the deceased Ghan Shyam Varma was started from residence at L.B.Nagar towards Chaderghat side on his motor cycle
Page 5 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad bearing No.AP 29BN-5528. At that time a lorry (trailer bearing No.GJ1 AU 3995) driven by its driver in a rash and negligent manner at high speed and dashed to the deceased motor cycle from back side, as a result of which he sustained fatal injuries and died instantaneously. The petitioners suffering with mental agony due to death of the deceased.
The petitioner No.1 is wife and petitioners No.2 to 5 are children, lost his love and affection and consortium. The police, Malakpet registered a case in Crime No. 283 of 2014 under
Sections 304-A of the IPC. The respondent No.1 is the owner. The insurance policy, issued by respondent No.2 covering the vehicle, gives the name of the respondent No.1 as the owner of the vehicle. All the respondents are jointly and severally liable to pay compensation to the petitioners. Hence, constrained to file the present petition. In support of their version, the wife of the deceased was examined as PW1, eye witness to the accident examined PW2 and also examined PW3 and got marked Exs.A1 to A9 documents. Ex.A1 is the certified copy of FIR with complaint, Ex.A2 is the certified copy of charge sheet, Ex.A3 is the certified copy of inquest report, Ex.A4 is the certified copy of PME report, Ex.A5 is the certified copy of MVI report, Ex.A6 is the IT returns of the deceased for the assessment year 2014-2015, 2013-2014 and 2012-2013, Ex.A7 is the M/s Y.K Traders Licence issued by Commercial Tax Department, Ex.A8 is the original driving license of the deceased and
Ex.A9 is the copy of insurance policy. On behalf of respondent No.2, RW1 who is Deputy
Manager was examined and also examined Motor Vehicle Inspector as RW2 and got marked Exs.B1 to B3 documents. Ex.B1 is the true copy of policy along with terms and conditions, Ex.B2 is the office copy of the letter sent to respondent No.1 along with postal receipt and Ex.B3 is the office copy of the letter sent to respondent No.1 along with courier receipt and Ex.X1 and X2 documents were marked. Ex.X1 is the computation of total income tax for assessment year 2012 to 2015 and Ex.X2 is the true copy of Vehicle Check
Report dt.01-06-2014.
Page 6 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad
8.From the evidence present on record and on the back drop of rival contentions raised by both parties, it is to be seen whether there is any substance in the claim made by the petitioners or to the contra whether the stand taken by the respondents has been vindicated. The record clinchingly establishes that the accident occurred due to rash and negligent driving of driver of crime vehicle. The respondent No.2 had insured the policy No.2315200368177301000, valid from 12-11-2013 to 11-11-2014 is valid as on the date of accident to the respondent No.1 for the insured vehicle. As on the date of accident, the terms and conditions of the policy are not violated . Thus this issue is answered in favour of petitioners and against the respondents.
9. Issue No.2:Whether the petitioners are entitled to compensation, and, if so, to what quantum and what is the liability of the respondents?
For determining issue No.2, the following points are to be considered .
1. Age of the deceased at the time of accident.
2. Income of the deceased.
3. Liability of the respondents and dependency of the petitioners.
Age of the deceased at the time of accident:
The age of deceased as per documents filed by the petitioners i.e., FIR, inquest report and postmortem examination report his age was 50 years on the date of accident. So the multiplier as per Sarla Verma Case is “13”.
Page 7 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad
Income of the deceased:
The case of the petitioners is that deceased was businessman of Synthetic Hair wigs in whole sale under the name and style of M/s. Y.K.Traders, L.B.Nagar, Hyderabad on which the deceased was earning more then Rs.4,30,000/- per annum, which he used to contribute for the welfare of the family. In support of the said version, the petitioners had filed Exs.A6 and A7, but the income tax returns for the year 2014-2015 was paid an amount of Rs.1,650/- and so the same cannot be considered in view of abnormal delay and there is every presumption that the same was paid in subsequent years only to claim compensation from the respondents. So the income per annum was taken for the years 2012-2014 which amounts to
Rs.3,45,000/-
Liability of the respondents and dependency of the petitioners.
Admittedly offending vehicle lorry (trailer) bearing No.GJ1 AU 3995 is insured and it is valid from 12-11-2013 to 11-11-2014 and the same is evident from Ex.B1. The date of accident was occurred on 28-05-2014. Therefore, Ex.B1 policy is valid as on the date of accident.
Though the case of the respondent No.1 is that the owner of offending vehicle had willfully entrusted the vehicle to driver who is not having valid driving license. The insurance policy, issued by respondent No.2 covering the vehicle, given the name of the respondent No.1 as the owner of the offending vehicle. Driver of the crime vehicle is not in possession of driving license as on the date of accident, as such the policy invoked Section 181 of MV Act and the motor vehicle inspector issued vehicle check report that driver was not having the driving license. Except that, respondent No.2 had not alleged that the crime vehicle is not responsible for the death of the deceased, therefore the respondent No.2 being the insurer and respondent
No.1 being the owner of the vehicle/driver are jointly and severally liable to pay compensation to the petitioners. This court relied on decision of Hon’ble Apex Court in National
Insurance Co. Limited vs. Swarn Singh and Ors 2004 ACJ I, wherein held that “The breach of policy condition i.e, disqualification of driver or invalid driving license of the
Page 8 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad driver, as contained in sub-section (2) (a) (ii) of Section 149, have to be proved to have been committed by the insured for avoiding liability by the insurer. Mere absence, fake or invalid driving license or disqualification of the driver for driving at the relevant time, are not in themselves defences available to the insurer against either the insured or the third parties.
To avoid its liability towards insured, the insurer has to prove that the insured was guilty of negligence and failed to exercise reasonable care in the matter of fulfilling the condition of the policy regarding use of vehicle by duly licensed driver or one who was not disqualified to drive at the relevant time”. The said decision is well applicable to the facts of the present case. It is pertinent to glance oral testimony of PW1 wherein he elicited that he had not filed any document to show that the deceased used to earn a sum of Rs.4,30, 000/- per annum by his profession work. PW1 had filed the driving license of the deceased. The driver was not having a valid driving license and the vehicle was plying without permit and fitness certificate.
PW2 in his cross examination elicited that he is not complainant in F.I.R. He had not produced any document to show that he witnessed the accident and police recorded his statement. In view of the Judgment of the Hon’ble Apex Court in National Insurance Corporation vs.
Pranay Sethi 2017 ACJ 2700 (SC), petitioners 1 to 5 would be entitled to Rs.15,000/- towards loss of estate, Rs.40,000/- each towards consortium to the petitioners No.1 to 5 and
Rs.15,000/- towards funeral expenses. If the deceased had been alive, he would have a prospective future and the earnings would have increase. As per Pranay Sethi Case supra, the increase in future prospects will be by 25% as the deceased was aged 50 years. The compensation to which the petitioners are entitled to is calculated as under:
Page 9 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad
DescriptionCalculationAmount in Rs.
Income per annum 3, 45,000/-3,45,000/-
Future prospects per month @25% 3,45,000X 25%=86,250/- 86,250/- 3,45,000+86,2504,31,250/-
Personal expenses @ 1/4 4,31,250x1/4th1,07,812.5
Contribution to family 3/44,31,250x3/4th3,23,437.5
Compensation on applying multiplier 3,23,437x 1342,04,687.5/-
Consortium to petitioners l to 540,000/- each2,00,000/-
Funeral Expenses15,000/-
Loss of estate15,000/-
Total compensation 44,34,687/-
10.Thus, the just compensation to which the claimants No.1 to 5 are entitled to from respondents l and 2 is Rs.44,34,687/- (Rs. Forty Four Lakhs Thirty Four Thousand Six
Hundred and Eighty Seven only) This issue is decided accordingly in favour of the claimants.
11. Issue No.3: To what relief?
In view of the findings given on Issues No.1 to 3, I hold that Respondents No.1 and 2 are jointly and severally liable to pay a compensation of Rs.44,34,687/- (Rs. Forty Four
Lakhs Thirty Four Thousand Six Hundred and Eighty Seven only) with interest @ 7.5 % per annum from the date of petition till the date of deposit.
12.IN THE RESULT, the claim is Allowed against respondents No.1 and 2 for
Rs.44,34,687/- (Rs. Forty Four Lakhs Thirty Four Thousand Six Hundred and Eighty Seven
Page 10 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad only) with interest @7.5% per annum in favour of the petitioners No.1 to 5 and Award is passed in the following terms:
1. Respondents No.1 and 2 are jointly and severally liable to pay a compensation of
Rs.44,34,687/- (Rs. Forty Four Lakhs Thirty Four Thousand Six Hundred and Eighty
Seven only) and with interest @ 7.5 % per annum from the date of petition till the date of deposit.
2. Respondents No.1 and 2 shall deposit Compensation amount so awarded within two months from the date of Award.
3. On such deposit of the compensation amount, petitioner No.1 is entitled to a compensation of Rs.20,34,687/- along with accrued interest interest on her share and entire costs awarded. Out of the share of petitioner No.1 a sum of Rs.5,00,000/- shall be kept in a Nationalized Bank for a period of two years in the form of interest generating Fixed Deposit and she is permitted to withdraw the remaining amount of her share along with accrued interest and entire costs.
4. Petitioner No.2 and 3 are entitled to a compensation of Rs.6,00,000/- each along with accrued interest of their share and they are permitted to withdraw their entire amount.
5. Petitioner No.4 and 5 are entitled to a compensation of Rs.6,00,000/- each (Rupees
Six Lakhs only) each along with accrued interest of their share and they are permitted to withdraw their entire amount.
Page 11 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad
6. Petitioners shall pay the deficit Court fee, if any undertaken to be paid later at the time of registration of petition, within one month from today. Decree be prepared accordingly.
7. The petitioners are directed to pay the deficit court fee on the awarded compensation amount (AIR 2003 SC 674 and 2013 ACJ 12) and on deposit of court fee the petitioners are entitled to withdraw the compensation amount.
8. Advocate’s fee is fixed at Rs.5,000/-.
Typed to my dictation by the Stenographer G-I, Corrected and Pronounced by Me in the open Court, on this the 13 thday of April, 2023.
Sd/-
IX ADDITIONAL CHIEF JUDGE
CITY CIVIL COURT, HYDERABAD
APPENDIX OF EVIDENCE
WITNESSES EXAMINED
FOR PETITIONER: FOR RESPONDENTS:
PW1:Kamala Varma @ Kamala Devi RW1: Yalla Someswara Babu PW2: Aravind Prakash Srivastav PW3: B. Venkateswar Rao
DOCUMENTS MARKED FOR PETITIONERS
Ex.A1: Certified copy of FIR with complaint. Ex.A2: Certified copy of charge sheet. Ex.A3: Certified copy of inquest report. Ex.A4: Certified copy of PME report. Ex.A5: Certified copy of MVI report.
Page 12 of 12 MVOP 1947/2014 IXACJ CCC Hyderabad
Ex.A6: IT returns of the deceased for the assessment year 2014-2015, 2013-2014 and 2012-2013, Ex.A7: M/s Y.K Traders Licence issued by Commercial Tax Department. Ex.A8: Original driving license of the deceased. Ex.A9: Copy of insurance policy.
DOCUMENTS MARKED FOR RESPONDENT
Ex.B1: True copy of policy along with terms and conditions. Ex.B2: Office copy of the letter sent to respondent No.1 along with postal receipt. Ex.B3: Office copy of the letter sent to respondent No.1 along with courier receipt
MARKED THROUGH PW3
Ex.X1: Computation of total income tax for assessment year 2012 to 2015. Ex.X2: True copy of Vehicle Check Report dt.01-06-2014.
Sd/-
IX Additional Chief Judge City Civil Court, Hyderabad