D.M., Oriental Insurance Co. L.T.D Vs Sujata Biswal — Orissa HC (2024) — LawSathi Research

D.M., Oriental Insurance Co. L.T.D Vs Sujata Biswal — Orissa HC (2024) — LawSathi Research

What the court decided

AI extract

Outcome

Modified (settled) compensation of Rs.17,25,000/- with interest @6% per annum from the date of filing of the claim application, to be deposited by the Insurer before the Tribunal within two months and disbursed on terms and proportion to be fixed by the Tribunal; statutory deposit with accrued interest refunded to the appellant on proper application and proof of deposit.

Issue for consideration

Whether the Tribunal's award of Rs.14,14,000/- with interest @7% per annum (challenged by the insurer's appeal and the claimants' cross objection) should be modified in quantum and rate of interest.

Court's answer

Compensation is fixed/modified at Rs.17,25,000/- with interest @6% per annum from the date of filing of the claim application (quantum enhanced, interest reduced from 7%), the claimants' counsel having agreed to the proposed figure and the insurer's counsel having left the matter to the discretion of the Court.

Ratio / Principle

The Insurer-Appellant is directed to deposit the compensation of Rs.17,25,000/- along with interest @6% per annum from the date of filing of the claim application before the Tribunal within two months, whereafter it shall be disbursed to the claimants on terms and proportion to be fixed by the Tribunal.

Key takeaways

The statutory deposit made by the Appellant, with accrued interest, is to be refunded to him on proper application and on production of proof of deposit of the award amount before the Tribunal.ratio¶27

Detailed headnote1 paragraphs

Motor Accidents Claims Appeal (MACA No.588 of 2023, Orissa High Court, Justice B.P. Routray, disposed 15.05.2024): appeal by The Divisional Manager, The Oriental Insurance Co. Ltd., together with the claimants' cross objection, against the judgment dated 22.03.2023 of the District Judge-cum-1st M.A.C.T., Dhenkanal (M.A.C. Case No.20 of 2020) awarding Rs.14,14,000/- with interest @7% per annum for a death in the motor vehicular accident of 16.12.2019. In course of hearing the Court proposed a modified compensation of Rs.17,25,000/- with interest reduced to 6% per annum from the date of filing of the claim application; the claimants' counsel agreed and the insurer's counsel deferred to the Court's discretion, whereupon the Court fixed the amount, directed the Insurer to deposit it before the Tribunal within two months for disbursement on terms and proportion to be fixed by the Tribunal, ordered refund of the appellant's statutory deposit with accrued interest on proper application and proof of deposit of the award amount, and disposed of the appeal.

Signature Not Verified

Digitally Signed Signed by: CHITTA RANJAN BISWAL Reason: Authentication Location: Orissa High Court, Cutt ack Date: 17-May-2024 10:53:42

IN THE HIGH COURT OF ORISSA AT CUTTACK

MACA No.588 of 2023

The Divisional Manager, The Oriental Insurance Co. Ltd.

…. Appellant

Mr.S.Roy, Advocate

-versus-

Sujata Biswal and others

…. Respondents

Mr.B.Mohanty, Advocate for Respondent No.1-3

CORAM:

JUSTICE B. P. ROUTRAY

ORDER 15.5.2024

Order No.

The matter is taken up through Hybrid mode.

Heard Mr.Roy, learned counsel for Appellant-Insurer and Mr.Mohanty, learned counsel for claimants-Respondents No.1 to 3.

Present appeal by the Insurer is directed against the judgment dated 22^nd March 2023 of District Judge-cum-1^st M.A.C.T., Dhenkanal passed in M.A.C. Case No.20 of 2020, wherein compensation to the tune of Rs.14,14,000/- has been granted along with interest @7% per annum with effect from the date of filing of the claim application on account of death of the deceased in the motor vehicular accident dated 16^th December 2019.

Upon hearing both parties and considering all such grounds raised in the appeal as well as the cross objection, a

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Signature Not Verified

Digitally Signed modified compensation of Rs.17,25,000/- along with interest Signed by: CHITTA RANJAN BISWAL Reason: Authentication Location: Orissa High Court, Cutt@ ack6% per annum is proposed to the parties in course of hearing. Date: 17-May-2024 10:53:42

The same is agreed by Mr.Mohanty, learned counsel for the claimants. Mr.Roy, learned counsel for the Insurer leaves it to the discretion of the Court. As such, the amount is fixed to that extent.

The Insurer-Appellant is directed to deposit the compensation of Rs.17,25,000/- (Seventeen lakh twenty five thousand) before the Tribunal along with interest @6% per annum from the date of filing of the claim application within a period of two months from today; where-after the same shall be disbursed in favour of the claimants on such terms and proportion to be fixed by the Tribunal.

With aforesaid modification in the compensation amount, the appeal is disposed of.

The statutory deposit made by the Appellant with accrued interest thereon be refunded to him on proper application and on production of proof of deposit of the award amount before the learned Tribunal.

Urgent certified copy of this order be granted on proper application.

( B.P. Routray)

Judge

C.R.Biswal

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