Disposed

Divisional Manager, New India Assurance Co. Ltd. v. Ranjita Behera

Orissa HC9 Mar 2023MACA/88/2020

Case brief

AI extract

What is this about?

The High Court of Orissa disposed of an appeal by an insurance company against a Motor Accident Claims Tribunal award of compensation for a death arising from a motor vehicular accident. The court upheld the compensation amount and the right of recovery for the insurer but reduced the interest rate from 7% to 6% per annum.

What did the court decide?

Appeal disposed of with direction to insurer to deposit compensation of Rs.1,14,000 with interest @ 6% per annum before the tribunal within two months.

Divisional Manager, New India Assurance Co. Ltd. Vs Ranjita Behera — Insurance | Orissa HC (2023)

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IN THE HIGH COURT OF ORISSA AT CUTTACK MACA No.88 of 2020

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The Divisional Manager, New India Assurance Company Ltd.

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…. Appellant

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Mr. G.C. Samantaray, Advocate

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-versus-

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Smt. Ranjita Behera and Others

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…. Respondents

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CORAM:

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SHRI JUSTICE B. P. ROUTRAY

ORDER

9.3.2023

Order No.

The matter is taken up through hybrid mode.

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Heard Mr. G.C. Samantaray, learned counsel for the insurer – Appellant. None appears on call for the Respondents despite sufficiency of service of notice on them.

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Present appeal by the insurer is directed against the impugned judgment dated 31^st October, 2019 of learned 2^nd MACT, (Southern Division), Berhampur, Ganjam passed in MAC No.150 of 2017 (70/2017-GDC), wherein compensation to the tune of Rs.1,14,000/along with interest @ 7% per annum from the date of filing of the claim application, i.e. 5^th April, 2017 has been granted on account of death of deceased Bikash Behera in the motor vehicular accident dated 16^th February, 2017.

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Perusal of the impugned judgment reveals that the claim application was filed under Section 163-A of the M.V. Act and the tribunal has granted right of recovery in favour of the insurance

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company while directing for payment of compensation. Thus, keeping in view the specific nature of the claim, the amount granted by the tribunal and the right extended in favour of the insurer, I do not find any merit in the contention of the insurer to interfere with the impugned award, particularly when validity of the insurance policy in respect of the offending vehicle is admitted. However, the rate of interest is reduced to 6% from 7%.

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In the result the appeal is disposed of with a direction to the Appellant – insurer to deposit the entire compensation amount of Rs.1,14,000/- (one lakh fourteen thousand) before the tribunal along with interest @ 6% per annum from the date of filing of the claim application, i.e. 5^th April, 2017, within a period of two months from today, where-after the same shall be disbursed in favour of the claimant – Respondents on same terms and proportion as contained in the impugned judgment.

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It is made clear that the right of recovery as granted by the tribunal in favour of the insurer – Appellant is left undisturbed.

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The statutory deposit made by the insurer - Appellant before this court along with accrued interest be refunded to the Appellant on proper application and on production of proof of deposit of the awarded amount before the tribunal.

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An urgent certified copy of this order be issued as per rules.

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( B.P. Routray) Judge

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M.K.Panda

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Divisional Manager, New India Assurance Co. Ltd. v. Ranjita Behera

Case brief

What is this about?

What did the court decide?

Divisional Manager, New India Assurance Co. Ltd. v. Ranjita Behera

Case brief

What is this about?

What did the court decide?

What the court decided

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