Partly allowed

M/S. Tata Aig G.I.Co. Ltd. v. Sapan Sahoo @ Sapan Kumar Sahoo

Orissa HC26 Feb 2024MACA/12/2023

Case brief

AI extract

What is this about?

This court disposed of two appeals regarding a motor accident compensation award. It fixed compensation at Rs. 35 lakces with 6% interest, waived penal interest, and rejected the insurance company's grounds regarding driver involvement and contributory negligence due to lack of evidence.

What did the court decide?

Compensation fixed at Rs. 35 lakces with 6% per annum interest; penal interest waived; statutory deposit refunded to Insurance Company.

M/S. Tata Aig G.I.Co. Ltd. Vs Sapan Sahoo @ Sapan Kumar… — Motor Accident Claims | Orissa HC (2024)

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IN THE HIGH COURT OF ORISSA AT CUTTACK

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MACA No.604 of 2022

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Sapan Sahoo @ Sapan Kumar Sahoo …. Appellant Mr. P.K. Mishra, Advocate

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-Versus-

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ARCS Infrastructure Projects Ltd., …. Respondents Bhubaneswar and Another Mr. P.K. Nayak, Advocate

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And

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MACA No.12 of 2023

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M/s. TATA AIG General Insurance …. Appellant
Company Limited, Kolkata
Mr. G. Mishra, Advocate
-Versus-
Sapan Sahoo @ Sapan Kumar Sahoo …. Respondents
and another
Mr. P.K. Nayak, Advocate
CORAM:
MR. JUSTICE R.K. PATTANAIK
ORDER
26.02.2024

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Order No.

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1. Instant appeals are filed by the respective parties, one by

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the claimant for enhancement of compensation and the other is by the Insurance Company denying the involvement of the driver of the offending vehicle and alleging contributory negligence thereby questioned the correctness of the impugned award dated 21^st October, 2022 passed in M.A.C. Case No.85 of 2019 by the court of learned 1^st M.A.C.T., Jajpur.

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In so far as, the enhancement of compensation is concerned, it is submitted by Mishra, learned counsel for the claimant

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Page 1 of 3

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that the learned Tribunal applied the minimum wage for unskilled labour with reference to the Government notification prevalent in 2018, whereas, the accident took place in 2019 and hence, the wage per head should have been Rs.280/- instead of Rs.224.30 paisa. With all fairness, Mr. Mishra, learned counsel for the Insurance Company admits that the learned Tribunal ought to have applied the minimum wage as applicable in the year 2019. In such view of the matter, with the minimum wage of Rs.280/- per day applied to the case of the claimant, the compensation stands at Rs.36 lac and some odd. However, considering the submissions of learned counsel for the respective parties, the Court is of the view that such compensation should be fixed at Rs.35 lac payable with an interest at the rate of 6% per annum from the date filing the application i.e. dated 18^th April, 2019 as the same would be fair and reasonable. The Court is also of the view that the penal interest which has been levied by the learned Tribunal should be waived in the interest of justice.

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In so far as, the grounds raised by the Insurance Company are concerned, one is that the driver of the offending vehicle was alleged to be not involved in the accident which has been discarded by the learned Tribunal. While claiming so, the Insurance Company has referred to Ext.A/1, a statement of the said driver before the Investigator which has, however, been not accepted by the learned Tribunal. Merely by referring to a statement of the driver of the offending vehicle, it would not be proper to hold that he was not a party to the accident. In other word, the Court is of the view that learned Tribunal did not commit any wrong while not accepting Ext.A/1 vis-à-vis involvement of the driver of the vehicle in question. Secondly, with respect to contributory negligence, the Insurance Company did not lead any specific evidence except the fact that the

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Page 2 of 3

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charge sheet was referred to. The said ground was also not accepted by the learned Tribunal. But then, in absence of any clear evidence regarding contributory negligence by the claimant and the request for examination of I.O. of the criminal case having not been acceded to by learned Tribunal, the Court is of the further view that no such case is made out by the Insurance Company. Hence, the Court is not inclined to accept the aforesaid ground as well. Thus, therefore, the inescapable conclusion is that the learned Tribunal did not err or commit any wrong in awarding the compensation against the Insurance Company.

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Hence, it is ordered.

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In the result, the appeals stand disposed of. As a necessary corollary, the impugned award dated 21^st October, 2022 passed in M.A.C. Case No.85 of 2019 by the Court of learned 1^st M.A.C.T., Jajpur is hereby modified to the extent as aforesaid with a direction to the Insurance Company to deposit an amount of Rs.35 lac payable with an interest at the rate of 6% per annum from the date of application filed till its realization within eight weeks from today which shall thereafter be immediately disbursed in favour of the claimant. It is further directed that the penal interest imposed by the learned Tribunal is waived. It is further directed that the statutory deposit in MACA No.12 of 2023 along with accrued interest thereon shall be refunded to the Insurance Company soon after proof of deposit and disbursement of the compensation amount.

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Signature Not Verified

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Digitally Signed Signed by: ROJINA SAHOO Rojina Designation: Junior Stenographer Reason: Authentication Location: OHC, CTC Date: 27-Feb-2024 12:01:55

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M/S. Tata Aig G.I.Co. Ltd. v. Sapan Sahoo @ Sapan Kumar Sahoo

Case brief

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What did the court decide?

M/S. Tata Aig G.I.Co. Ltd. v. Sapan Sahoo @ Sapan Kumar Sahoo

Case brief

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What did the court decide?

What the court decided

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