Cholamandalam Ms General Insurance Company Ltd… — Motor Accident Claims | Allahabad HC (2025)

Cholamandalam Ms General Insurance Company Ltd… — Motor Accident Claims | Allahabad HC (2025)

What the court decided

AI extract

Outcome

Appeal admitted with interim orders only: appellant-insurer to deposit the entire decretal amount before the Tribunal within six weeks after adjusting the Rs. 25,000/- statutory deposit; on deposit, 50% of the amount awarded against the appellant stays held in an FDR/interest-bearing account (renewable yearly), and the remaining 50% is released to the claimants against an indemnity bond; appeal listed for 12.12.2025 pending adjudication of the grounds raised.

Issue for consideration

Whether the Tribunal erred in treating the claim petition as an injuries-cum-death claim and awarding compensation to the deceased's legal representatives from the date of filing of the petition up to the petitioner's death, when the death occurred about six years after the accident due to causes unrelated to the accident injuries. +1 more

Key takeaways

The Court found the matter to require consideration and deferred adjudication of the contested grounds, admitting the appeal, summoning the lower court record, ordering notice to respondents through the District Judge concerned, and listing it for 12.12.2025.¶¶16
Interim direction: the appellant-insurance company is to deposit the entire decretal amount before the Tribunal within six weeks, after adjusting the statutory amount of Rs. 25,000/- deposited before the Court at the time of filing of the appeal, subject to the outcome of the appeal.¶¶22
Interim arrangement upon deposit of the decretal amount: 50% of the amount awarded against the appellant shall remain stayed, kept in an FDR of a nationalised bank or interest-bearing account renewable year to year during pendency of the appeal, while the remaining 50% shall be released in favour of the claimants on their furnishing an indemnity bond.¶¶22

Detailed headnote1 paragraphs

Motor accident insurance appeal (S. 173, Motor Vehicle Act, 1988) admitted with interim orders. Cholamandalam Ms General Insurance Co. Ltd. challenged the award dated 26.08.2025 of the Motor Accident Claims Tribunal, Lucknow (North) in M.A.C.P. No. 63 of 2017 granting Rs. 13,59,821/- with 7% interest to injured claimant Anil Kumar Maurya, whose legal representatives (LR 1/1 Manno Maurya) were substituted after his death on 25.11.2023 — six years after the 17.08.2016 accident and due to causes unrelated to the accident injuries. Appellant contends the Tribunal wrongly treated the petition (filed 25.01.2017 by the injured himself for lost income and medical expenses) as an injuries-cum-death claim, awarding compensation from the date of filing up to death, and wrongly applied multiplier 14 instead of 13. Judge found the matter to require consideration, admitted the appeal, summoned the lower court record and ordered notice; interim directions require the insurer to deposit the full decretal amount (less the Rs. 25,000/- statutory deposit) before the Tribunal within six weeks, with 50% of the awarded amount stayed in an FDR/interest-bearing account renewable yearly and the balance 50% released to claimants against indemnity bond; listed 12.12.2025 (Ram Manohar Narayan Mishra, J.).

HIGH COURT OF JUDICATURE AT ALLAHABAD LUCKNOW

FIRST APPEAL FROM ORDER No. - 481 of 2025

Cholamandalam Ms General Insurance Company Ltd., Lko. Thru. Manager

.....Appellant(s)

Versus

Anil Kumar Maurya (Died) Thru. Legal Representative 1/1. Manno Maurya And Others

Representative 1/1. Manno Maurya And Others .....Respondent(s) Counsel for Appellant(s) : Prashant Tripathi Counsel for Respondent(s) :

Court No. - 19

HON'BLE RAM MANOHAR NARAYAN MISHRA, J.

Heard learned counsel for the appellant and perused the record.

The instant F.A.F.O. under Section 173 of the Motor Vehicle Act, 1988 has been preferred against the judgement and award dated 26.08.2025 passed by the presiding Officer , Motor Accident Claims Tribunal, Lucknow (North) in M.A.C. P. No. 63 of 2017 whereby a sum of Rs. 13,59,821/- alongwith 7% interest has been awarded to the deceased/ injured Anil Kumar Maurya.

Learned counsel for the appellant submits that initially Anil Kumar Maurya himself filed a claim petition, which was registered as Claim Petition No. 63 of 2017 . During the course of hearing he appeared as a witness but subsequently during the pendency of claim petition he died on 25.11.2023 and his legal representative/ dependents were substituted in his place. The injured Anil Kumar Maurya died six year after the accident due to causes unconcerned with his injuries suffered in accident dated 17.08.2016, but the Tribunal has fallen into an error while treating injuries-cum- death claim petition and awarded compensation to legal representative of the deceased from the date of filing of petition to death of the petitioner whereas the same was not permissible on the fact of the case and almost the claim petition should have been awarded from the date of accident to from the date of filing of claim petition.

FAFO No. 481 of 2025

2

Learned counsel for the appellants next submitted that the claim petition was filed on 25.01.2017 by the injured himself for last income and the medical expenses suffered by him due to accident. Even, the Tribunal has wrongly applied the multiplayer of 14 by calculating the compensation instead of multiplayer 13 which is applicable at the age of claimant at the time of accident.

The matter requires consideration.

Admit.

Summon the lower court record.

Issue Notice to respondents which shall be served through District Judge concerned.

Steps be taken within a week.

List o 12.12.2025.

In the meantime, The appellant- Insurance Company is directed to deposit the entire decretal amount, after adjusting the statutory amount of Rs. 25,000/- deposited before this Court at the time of filing of appeal, before the Tribunal, subject to outcome of the present appeal within a period of six weeks from today. Upon deposit of the decretal amount, 50% of the amount awarded against the appellant shall remain stayed and the same shall be kept in the form of FDR issued by a nationalize bank or some interest bearing account initially for a period of one year and subsequently renewable from year to year during pendency of instant appeal. The rest 50% amount shall be released in favour of the claimants on furnishing indemnity bond by them.

(Ram Manohar Narayan Mishra,J.)

November 12, 2025 dk/

Digitally signed by :- DEVENDRA KUMAR High Court of Judicature at Allahabad, Lucknow Bench