Akeel Ahmad and Another vs New India Insurance Company Ltd. Thru. Divisional Manager Sitapur and Another — Allahabad HC (2025) — LawSathi Research

Akeel Ahmad and Another vs New India Insurance Company Ltd. Thru. Divisional Manager Sitapur and Another — Allahabad HC (2025) — LawSathi Research

What the court decided

AI extract

Outcome

Appeal admitted; trial court record summoned; notice issued to respondents No.2 to 8 (steps within one week); until further orders, the direction of the learned Tribunal giving liberty to the Insurance Company to recover the amount from the owner/driver of the vehicle shall remain stayed, subject to the clarification that the Insurance Company is not restrained from satisfying the award.

Issue for consideration

Whether, in view of the consensus at Bar and the order dated 27.05.2025 passed in FAO No.223 of 2025 arising out of the same accident, the direction of the learned Tribunal giving liberty to the Insurance Company to recover the amount from the owner/driver of the vehicle ought to remain stayed during the pendency of the present appeal.

Court's answer

Until further orders, the direction of the learned Tribunal giving liberty to the Insurance Company to recover the amount from the owner/driver of the vehicle shall remain stayed, the same order being passed as in FAO No.223 of 2025 on the consensus of the parties.

Ratio / Principle

The interim order shall not be construed as if this Court has restrained the Insurance Company from satisfying the award.

Detailed headnote1 paragraphs

Allahabad High Court, Lucknow Bench (Abdul Moin, J.), First Appeal From Order No.238 of 2025 (Akeel Ahmad And Another vs New India Insurance Company Ltd.) - Order dated 30.5.2025. Appeal against a Motor Accident Claims Tribunal direction admitting the insurer's liberty to recover the awarded amount from the owner/driver of the vehicle. Appeal admitted; trial court record summoned; notice to respondents No.2 to 8. On consensus at Bar, noting that in the companion appeal (FAO No.223 of 2025 between the same parties concerning the same accident), this Court - considering Iffco Tokio General Insurance Co. Ltd. vs Geeta Devi & Ors, 2023 INSC 954 - had by order dated 27.05.2025 stayed the Tribunal's recovery direction while clarifying that the insurer was not restrained from satisfying the award, the same interim order was passed: until further orders the Tribunal's direction permitting the Insurance Company to recover the amount from the owner/driver of the vehicle shall remain stayed, and the order shall not be construed as restraining the Insurance Company from satisfying the award.

Court No. - 5

Case :- FIRST APPEAL FROM ORDER No. - 238 of 2025

Appellant :- Akeel Ahmad And Another Respondent :- New India Insurance Company Ltd. Thru. Divisional Manager Sitapur And Another Counsel for Appellant :- Aman Kumar Shrivastav Counsel for Respondent :- Zafar Aziz

Hon'ble Abdul Moin,J.

1 . Heard learned counsel for the appellants, and Shri Zafar Aziz, learned counsel for the respondent.

2 . Admit.

3 . Let Trial court record be summoned.

4 . Issue notice to the respondents No.2 to 8. Steps to be taken within a period of one week.

5 . There is consensus at Bar that with respect to the same accident, the appellants have also approached this Court by filing FIRST APPEAL FROM ORDER No.223 of 2025 In Re Akeel Ahmad And Another vs New India Insurance Company which appeal has been admitted and considering the judgment of the Hon'ble Supreme Court in the case of Iffco Tokio General Insurance Co. Ltd. vs Geeta Devi & Ors : 2023 INSC 954 this Court has stayed until further orders direction of the learned Tribunal giving liberty to the Insurance Company to recover the amount from the owner/driver of the vehicle but it has also been clarified that the order shall not be construed as if the Court has restrained the Insurance Company to satisfy the award.

6 . Learned counsels for the parties states that same order may also be passed in the instant case. Accordingly, considering the consensus amongst the parties and the order dated 27.05.2025 as passed by this Court in the aforesaid case, it is provided that until further orders, direction of the learned Tribunal giving liberty to the Insurance Company to recover the amount from the owner/driver of the vehicle

shall remain stayed.

7 . This order shall not be construed as if this Court has restrained the Insurance Company to satisfy the award.

Order Date :- 30.5.2025

prateek

Digitally signed by :- PRATEEK ARORA High Court of Judicature at Allahabad, Lucknow Bench