The High Court of Karnataka allowed the insurance company's appeal in part, holding that the interest rate of 9% p.a. awarded by the Trial Court is excessive and reducing it to 6% p.a. while leaving the compensation quantum unaltered.
Interest awarded at 9% p.a. is reduced to 6% p.a.; compensation quantum remains unaltered.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
NC: 2024:KHC-D:13092 MFA No. 103116 of 2014
IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH DATED THIS THE 13TH DAY OF SEPTEMBER 2024 BEFORE
THE HON'BLE MR. JUSTICE SHIVASHANKAR AMARANNAVAR MISCELLANEOUS FIRST APPEAL NO. 103116 OF 2014
BETWEEN:
THE DIVISIONAL MANAGER, NATIONAL INSURANCE COMPANY LTD., RAMDEV GALLI BELGAUM, NOW REPRESENTED BY ITS DY.MANAGER REGIONAL OFFICE, HUBLI.
…APPELLANT
(BY SRI. RAJASHEKHAR S. ARANI, ADVOCATE)
AND:
YASHAVANT NARAYANKAR
Location: HIGH COURT OF KARNATAKA
…RESPONDENTS
(BY SRI. HANAMANT R. LATUR, ADVOCATE FOR R1; R2-SERVED)
THIS MFA FILED U/SEC.173(1) OF THE MOTOR VEHICLES ACT,1988, PRAYS TO CALL FOR THE RECORDS, HEAR THE PARTIES, AND ALLOW THE APPEAL AS PRAYED FOR BY SETTING ASIDE THE IMPUGNED JUDGMENT AND AWARD DATED 23.07.2014 PASSED BY THE COURT OF SENIOR CIVIL JUDGE & ADDL. MACT, BAILHONGAL IN MVC NO.2888 OF 2012 WITH COST IN THE INTEREST OF JUSTICE AND EQUITY.
THIS APPEAL COMING ON FOR ORDERS THIS DAY, THE COURT DELIVERED THE FOLLOWING:
CORAM: THE HON'BLE MR. JUSTICE SHIVASHANKAR AMARANNAVAR
ORAL JUDGMENT
This appeal is filed by the insurance company
challenging the quantum of compensation awarded in judgment dated 23.07.2014 passed in MVC No.2888/2012 by the Senior Civil Judge and Addl. MACT, Bailhongal.
evidence on record has awarded compensation as under:
| Sl.No. | Heads | Amount |
|---|---|---|
| 1. | Pain and suffering | Rs.40,000/- |
| 2. | Loss of amenities and future unhappiness |
Rs.20,000/- |
| 3. | Medical expenses incurred | Rs.1,05,000/- |
| 4. | Incidental expenses | Rs.10,000/- |
| 5. | Loss of income during laid up and rest period |
Rs.18,000/- |
| 6. | Loss of future income | Rs.1,96,000/- |
| 7. | Future medical expenses | -- |
| Total | Rs.3,89,000/- |
judgment on the ground that the compensation awarded is
on higher side and also the interest awarded at 9% p.a. is
also higher side.
appellant/insurance company and learned counsel for respondent No.1.
contend that he is now not challenging the quantum of compensation but interest at 9% p.a is higher side.
argue on quantum of compensation, this Court is not going to consider the appeal with regard to quantum of compensation as awarded by the Tribunal. The Tribunal has awarded interest at the rate of 9% p.a from the date of petition till realization. Considering the decision of Hon’ble Apex Court, interest at 9% p.a. is on higher side and the Tribunal ought to have awarded interest at 6% p.a.
ORDER
ii. The compensation awarded by the Tribunal in MVC No.2888/2012 dated 23.07.2014 is remained altered. The interest awarded at the rate of 9% p.a is reduced to 6% p.a. Other aspects in the award are remained unaltered.
Sd/(SHIVASHANKAR AMARANNAVAR) JUDGE
RKM CT:ANB List No.: 1 Sl No.: 14
2 issues framed by the court
Whether the interest rate of 9% p.a. awarded by the Tribunal in a motor vehicle accident compensation case is sustainable.
Whether the compensation quantum awarded by the Tribunal requires modification.
1 provisions across 1 enactments
THE DIVISIONAL MANAGER, NATIONAL INSURANCE COMPANY LTD.
ASHOK BASAPPA YARGATTI
YASHAVANT NARAYANKAR
MAHAVEER ARJUN NAGANUR
SHIVASHANKAR AMARANNAVAR
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
