Partly allowed

National Insurance Company Ltd. Represented through Its Incharge Jharkhand Legal Cell v. Nita Singh and Ors.

Jharkhand HC18 Jan 2023MA/52/2015

Case brief

AI extract

What is this about?

High Court modified High Court/MVACT Tribunal awards against two insurance companies. Liability for one was erroneous due to a general pool of funds but followed the swarn singh case. Liability for other was modified due to unchecked cheque bounce proof as explained in the judgment.

What did the court decide?

Liability of appellants modified to pay award with liberty to recover from owners. Deposit remaining amount within six weeks. Remit deposited amounts to tribunal for release.

National Insurance Company Ltd. Represented through Its Incharge… — Insurance | Jharkhand HC (2023)

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IN THE HIGH COURT OF JHARKHAND AT RANCHI

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M.A. No. 52 of 2015

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National Insurance Company Ltd. Branch Office, Bistupur, P.O. and P.S. Bistupur, Jamshedpur, District (East) Singhbhum, Regional Office, National Insurance Company Ltd., Delton Street, Kolkata-700071, represented through its Incharge, Jharkhand Legal Cell, National Insurance Company Ltd., Kutchery Road, P.O. Ranchi, P.S. Kotwali, District-Ranchi

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…….. Opposite Party No. 5/Appellant

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Versus

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Nita Singh, wife of Basist Narayan Singh

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Basist Narayan Singh, son of late Surendra Nath Singh

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Rakhi Kumari, daughter of Basist Narayan Singh

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Kiran Kumari, daughter of Basist Narayan Singh

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Abhimanyu Kumar, son of Basist Narayan Singh

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All are resident of Road No. 12, Block No. 210/2/2, P.S.-R.I.T, P.O. Adityapur, District-Seraikella-Kharsawan ………..Applicants/Respondents

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1. Tapan Kumar Mandal, son of late Ram Chandra Mandal, resident Daharpur, P.O. and P.S. Tamulia, District Mednapur (West Bengal) (Driver of Vehicle No. WB29-5664, Dumper)

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………… Opposite Party/Respondent

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Deba Prasad Jena, son of Amula Kumar Jena, resident of Dhahin Chora, Shankar Para, P.O. and P.S. Tamuluk, District Mednapur (East) West Bengal, (Owner of vehicle No. WB 29-5664), Dumper).

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………. Opposite Party No. 2/Respondent

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The Oriental Insurance Company Ltd. Branch Office, Bistupur, P.O. and P.S. Bistupur, Jamshedpur, District East Singhbhum, Regional Office, The Oriental House, Asif Ali Road, P.O. and P.S. New Delhi, New Delhi-110002.

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……. Opposite Party No. 3/Respondent

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M/s Kokai Cargo, Mover of Tridev Apartment, Flat No. G-2, Main Road, Bistupur, P.O. and P.S. Bistupur, Jamshedpur, District-East Singhbhum ………….Opposite Party No. 4/Respondent

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Abdul Kalam, son of Dil Mohmmad Khan resident of village-Hasanpura, P.S. Sadar, District Jaipur, Rajasthan …………….Respondents

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With

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M.A. No. 01 of 2015

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Oriental Insurance Company, Bishtupur, P.O. and P.S. Bishtupur, Jamshedpur, East Singhbhum, having its Head Office at Oriental House, Asif Ali Road, PNew Delhi110002

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…….. Opposite Party No. 3/Appellant

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Versus

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Nita Singh, wife of Basist Narayan Singh

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Basist Narayan Singh, son of late Surendra Nath Singh

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Rakhi Kumari, daughter of Basist Narayan Singh

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Kiran Kumari, daughter of Basist Narayan Singh

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Abhimanyu Kumar, son of Basist Narayan Singh

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All residents of Road No. 12, Block No. 210/2/2, P.O. and P.S.-R.I.T,. Adityapur, District-Saraikella-Kharsawan

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………..Claimant Nos. 1 to 5 respectively.

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Tapan Kumar Mandal, son of late Ram Chandra Mandal, resident of Daharpur, P.O. and P.S. Tamulia, District Midnapur (West Bengal) Driver ….. Opp. Party No. 1

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Deba Prasad Jena, son of Amula Kumar Jena, resident of Dhahin Chora, Shankar Para, P.O. and P.S. Tamulia, District Midnapur (West Bengal), (Owner of vehicle No. WB 29-5664)

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………. Opposite Party No. 2

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M/s Kakai Cargo, Movers, Office at Tridev Apartment, Flat No. G-2, Main Road, Bistupur, P.O. and P.S. Bistupur, Jamshedpur, District- Singhbhum East

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(Owner of Truck No. JH05C-0758T ……Opp. Party No. 4

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Branch Manager, National Insurance Co. Ltd. Bistupur, P.O. and P.S. Bistupur, Jamshedpur, District Singhbhum East having its head office at 7, Middleton Street, P.O. and P.S. Middleton Street, Kolkata-700071………. (Opp. No. 5)

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10.Abdul Kalam, son of Dil Mohmmad Khan resident of village-Hassanpura, P.S. Sadar, District Jaipur, Rajasthan …………….Respondents

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---------

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CORAM: HON'BLE MR. JUSTICE SANJAY KUMAR DWIVEDI

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--------- For the Appellant : Mr. G.C. Jha, Advocate (in M.A. No. 52/2015) Mr. Alok Lal, Advocate (in M.A. No. 01/2015 For the Respondents /Claimants: Mr. L.C.N. Shahdeo, Advocate

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24/Dated: 18/01/2023

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Heard Mr. G.C. Jha, learned counsel for the appellant in MA. No. 52/2015, Mr. Alok Lal learned counsel for the appellant in M.A. No. 01/2015 and Mr. L.C.N. Shahdeo, learned counsel for the claimants/respondents in both the cases.

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The owner and driver of the vehicles in both the appeals have not appeared and by order of the Court notices upon the owner and the driver was directed to be published in newspaper where they are residing pursuant to that notice was published in the newspaper where they were residing and in this regard supplementary affidavit has been filed. Inspite of that said respondents have not appeared and the matter was adjourned on 04.01.2023 that is why in their absence, both the appeals have been heard.

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In both the appeals judgement dated 18.08.2014 passed in Compensation Case No. 04 of 2006 by the learned District Judge-I-cum-M.V.A.C.T. Tribunal, Seraikella-Kharsawan are under challenge.

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On 06.05.2005 at about 6.15 hour in the morning the deceased Kapil Kumar Singh was travelling by bicycle near Adityapur Telephone Exchange on the Tata-Kandra main road, two dumpers bearing No. JH-05C-0758T and WB-29-5664 were coming from behind at high speed. The dumper no. WB 29-5664 driven recklessly by the driver dashed the deceased from behind as a result deceased was thrown away on the main road in the meantime the other dumper No. JH-05C-0758T which was trying to overtake at breakneck speed crushed over the injured Kapil Kumar lying on the road to death. After the occurrence the deceased was taken to

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hospital where he was declared dead. The deceased was quite young and energetic person aged about 22 years working as a security supervisor in Hawk Security Services at Adityapur drawing Rs. 5,000/- per month including all admissible allowance. He was unmarried and main support for the economy for the family members i.e. parents younger brother and sister. The deceased was moving on the left side of the road taking all care and caution, had the drivers of the both the dumper taken due caution the present life of the deceased would have saved. Due to untime death of the deceased at the young age and think of help the family sustained considerable loss towards pecuniary and none pecuniary which cannot be compensated in terms of money.

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Mr. G.C. Jha, learned appearing on behalf of the appellant-National Insurance Company Ltd. in M.A. No. 52 of 2015 submits that learned tribunal even after finding that driving licence was for the Tempo and at the relevant time of accident driving licence was there or not, the tribunal has fastened liability upon the National Insurance Company and has directed to pay 50% awarded amount by the National Insurance Co. Ltd with simple interest of Rs. 6% from the date of admission of the case i.e. 03.04.2006 after deducting amount of Rs. 50,000/-. He submits that National Insurance Company has already deposited Rs. 2 lakhs on 13.01.2017 in the tribunal and pursuant that this Court granted stay in favour of appellant.

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Mr. Alok Lal learned counsel appearing on behalf of the appellant-Oriental Insurance Company Ltd. in in M.A. No. 01 of 2015 submits that learned tribunal has considered the submission of the appellant-Oriental Insurance Company Ltd. that cheque in question issued by the owner of the vehicle for renewal of insurance policy was bounced and due to that policy was cancelled and intimation to that effect was provided by the Insurance Company to the owner of the vehicle prior to the accident inspite of that learned tribunal has directed to pay 50% of awarded amount.

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Mr. L.C.N. Shahdeo, learned counsel for the claimants/respondents submits that claimants have not received awarded amount except the interim compensation granted in terms of section 140 of the Motor Vehicle Act. He submits that awarded amount are still required to be paid to the claimants.

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In view of above submission of the learned counsel for the parties the Court has gone through the judgement of the learned tribunal and finds that while deciding Issue Nos. 3, 4, 5 and 6, the learned tribunal has considered the Exhibit-D which is the verification report of Anirudh Bhansali, licence investigator showing that the driving licence no. 503635 dated 16.06.2005 in the name of Kalam Khan, son of Sk. Deen Mohmad who authorized to drive Tempo in which it is mentioned that Driving Licence validity Badge No. 1991 w.e.f. 29.06.1990, 16.06.2005 to 15.06.2008 wherein the accident took place on 06.05.2005 inspite of that the learned tribunal has directed the National Insurance Company Ltd. to pay 50% of compensated amount.

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Looking into the said findings, it appears that occurrence took place on 06.05.2005 and driver was having licence of tempo but driving the dumper no. JH05C-0758T. In view of the liability fixed upon the National Insurance Company Ltd. is found to be erroneous. However, considering the judgment of the Hon’ble Supreme Court in the case of National Insurance Co. Ltd. V. Swarn Singh & Ors. (2004)

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3 SCC 297, the National Insurance Company Ltd. shall satisfy the award with liberty to recover the same from the owner. The award so far as National Insurance Company Ltd. is concerned is modified to the above extent.

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So far as findings recorded with regard to Oriental Insurance Company Ltd. is concerned, the Court finds that the learned tribunal has rightly held that the communication made for cancellation of the policy by the Oriental Insurance Company Ltd, has not been proved before the tribunal and that is why Oriental Insurance Company Ltd. is made liable to pay 50% of the awarded amount however, it appears that the cheque in question was bounced which has been proved before the tribunal by way of adducing evidences on behalf of the Insurance Company. In that view of the matter liability fixed upon the Oriental Insurance Company Ltd is required to be modified to the extent that Oriental Insurance Company Ltd shall satisfy the award in favour of claimants with liberty to recover the same from the owner of the vehicle.

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The statutory amount deposited by the Insurance Companies shall be

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remitted to the learned tribunal forthwith. The appellants in both the appeals shall deposit the remaining amount before the learned tribunal within six weeks from the date of this order. The learned tribunal shall take endeavor to release the said amount and fruit of award in favour of the claimants at the earliest if the same has not been provided as yet. The award in both the appeals are modified in above terms. Rest part of the findings of the learned tribunal are kept intact.

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It is open to the claimants to provide bank account number along with IFSC Code to the M.V.A.C.T. so that the amount be directly transmitted in the account of the claimants.

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These appeals stand disposed of in above terms.

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( Sanjay Kumar Dwivedi, J.)

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Satyarthi/

National Insurance Company Ltd. Represented through Its Incharge Jharkhand Legal Cell v. Nita Singh and Ors.

Case brief

What is this about?

What did the court decide?

National Insurance Company Ltd. Represented through Its Incharge Jharkhand Legal Cell v. Nita Singh and Ors.

Case brief

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What did the court decide?

What the court decided

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