Allowed

P. Laxmi and 3 Others v. B. Swamy and Another

Telangana HC7 Dec 2023MACMA/1413/2013

Case brief

AI extract

What is this about?

High Court allowed a Motor Accident Civil Miscellaneous Appeal, modifying the Tribunal's award. The Court recalculated the deceased's net income by adjusting gross salary and adding 50% for future prospects based on permanent employment status, resulting in a higher total compensation of Rs. 39,36,356/-.

What did the court decide?

The Award dated 17.12.2012 stands modified; petitioners entitled to compensation of Rs. 39,36,356/- with interest at 7.5% per annum.

P. Laxmi and 3 Others Vs B. Swamy and Another — Motor Accident Claims | Telangana HC (2023)

¶1

HIGH COURT FOR^{THE STATEOF TELANGANA} AT HYDERABAD

¶2

THURSDAY, THE SEVENTH^DAY OF^DECEMBER TWO THOUSAND AND TWENTY^THREE

¶3

PRESENT

¶4

THE HONOURABLE SRI JUSTICE^{P.SAM KOSHY} AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI

¶5

MOTOR ACCIDENT CIVIL MISCEL EOUS APPEAL NO: 1413 OF 2013

¶6

Appeal filed under Section 173 of M.V.Act^{against the award and decree dated} 17 .12'.2012 passed in M.V.O.P.No. 837 of^{2010 on the file of the Court of the} Chairman, Motor Accident Claims Tribunal -^cum -^{ll Additional DistrictJudge,} Ranga Reddy District at L.B.Nagar.

¶7

Between:

¶8

P. Laxmi, Wo. Bixapathi, Age: 45^years, Occ:^{Housewife,Rl/o. Sanjay Gandhi} Nagar, Gajularamarbm Road, Jeedimetla,^{Rangareddy District.}

¶9

P.Bixapathi,, S/o. Seethaiah, Age:^{51 years,Rl/o. Sanjay GandhiNagar'} Gajulaiamaram Road, Jeedimetla, Rangareddy^District.

¶10

P.Sridevi,, D/o. Bixapathi, Age27^{years, Occ Housewife,Rl/o. SanjayGandhi} Nagar, Gajularamaram Road, Jeedimetla, Rangareddy^District.

¶11

P.Kanakaraju,, S/o. Bixapathi, Age:^{19 years,Occ Student, Ri/o. Sanjay} Gandhi Naghr, Gajularamiram^Road, Jeedimetla,^{RangareddyDistrict.}

¶12

A4 is declared as major by discharging the^{guardianshipof Al vide c.o.dt.} 22.07.2013 in CMP No. 3465 of 2013

¶13

...Appellants/Petitioners

¶14

AND

¶15

B. Swamy, S/o. B.Sailu, Age: Major,^{Occ Business, R/o. H.NO. 1+1-42412'} Aghapura, Hyderabad.

¶16

The Reliance General lnsurance^{CompanyLtd.,, Rep.by its Divisional} Manager' sagarPlaza' Abids' Hyderabad'

¶17

...Respondents/Respondents

¶18

Counsel for the Appellants :^{Sri Jagathpal Reddy Kasi Reddy}

¶19

Counset for Respondent No.2 :^{Sri A. Ramakrishna Reddy}

¶20

Counsel for Respondent No.1 :^Noneappeared

¶21

The Court delivered the following:^JUDGMENT

¶22

HONOURABLE^{SRIJUSTICEP. SAM KOSHY} AND HONOURABLE^SRT JUSTICE^{N. TUKARAMJI}

¶23

M.A.^{C.M.A.No. 7473 0F 2073}

¶24

DGMENT: (per Hon'blc^sri Jus(icc^{N Tukaramii)}

¶25

$7e have^I'reardMr IQsireddy Jagathpal^{Reddy, Iearned}

¶26

d Mr.^{A. RamakrishnaReddY, learned} counsel^{for the} Petidoners^an counsel^{for the respondentNo'2/insurerand perusedthe record'}

¶27

The instant^{appeal is filed by the claim petitionersagainstthe} decree^{and Awarddated 17'12'201'2 in O'P'No'837 of 2010 on the} hle of^{thc Chairmrtn,Motor Accidents ClaimsTribunal-cum-Il} Additional^District Judge,^{Ranga Reddl' District'}

¶28

Thc petiuoners'^{case in brief is that on 09'07'2010at about} 10.50 p.m.^{while P Santosh I(umar/deceased was proceedingon} motorcycle^{alongwith his mother near Mehfil Cafe' Saniav Gandhi} Nagar, Jeedimetla,^{a lorry bearing Registration No' AP35U1737} driven^{by its drive rin rash and negligent mannerstruckthe} motorcycle^{bearingNo' AP28BI(7578from behindand caused his} instantaneous^clcath'

¶29

¶30

PSK,]&NTR,] MACMA,1413-2013

¶31

¶32

The parents,^{brother and sister of the deceased by pleading} that the^{deceasedwas aged 25 yezrs and unit Mtnager Grade I of} ICICI^{PrudentialLife Insurance with income of Rs'3 lakhsper} annum^{besidesincendvesand used to spend lall his earn.ingson} them^{and the death has affectedtheir dependency' claimedRs'30} lakhs^{as comPeflsatloo}

¶33

5.^{In enquiry the mother of the deceased/petitionerNo'1 got} examined^{herself as P\X/-1 and marked Exs:A-1 to A-5'The} employer^{of the deceasedwas examinedas PW-2and marked Form} No.16/Ex.C-1^{and the identiry card of the deceased/Ex'C-2' On} behalf^{of the insurer none wereexaminedbut Ex'B-1/insuraflce} policy^{hasbeen marked' The tribunal on considering the materials'} awarded^{Rs.1,7,04,924/-with interest at 7.5o/o Per annumagainst} the resPondents'

¶34

Aggrieved^{bY the quanumcompensation, in aPPeal the} petitioners^{wouldcontend that the tribunal had erred in considering} the income^{of the deceased at Rs'2'00' 3441-per annum though the} disclosing^{the annual} documents^{{iled bY emPloYer/PW-2lre}

¶35

P5K,l&NTR,I I'TACMA-1413-2013

¶36

¶37

The future^{prospects of the} income^{atRs.3,02,146/-} Per^annum' deceased^{have been disregarded and the amounts granted under} conventional^{heads are not inconsonancewith the settled} propositions.^{Hence prayedfor grantingiust compcnsation'}

¶38

In repiy,^{the learned counselfor the respondentNo'2/insurer} would^{submit that as} Per^{the salary account given by P\r7-2the} income^{hasbeenassessedby the tr-ibunal' However fairli' admitted} that^{the future prospects have not been consideredand for the age} and occupation^{of the deceased in the private sector' 40%n of the} income^{can be taken towardsthe fuore Pfospectsand 50')'6 of the} income^{has to be deductedfor personalexPenses as the deceased} was^bachelor

¶39

In the above^{set of pleadings the point needs consideration} is, whether^{the awarded compensation is just and ptoper?}

¶40

!7e have^{carefully consideredthe submissionsand perused} the materials^{on record'}

¶41

The^{petitionerNo'1 as PW-1 assertedthat the deceasedwas} aged about^{22 yearsand.the entries in the inquest and post mortem}

¶42

¶43

PSK.]&NTR,] MACMA-1413,2013

¶44

¶45

¶46

reports/Exs:A -3^{artd A-4 are substantiating this fact' Thus' thc age} of the deceased^{by the relevant date can safelybe taken at 22 yezrs} and this aspect^{is not disPuted by the respondentNo'2/insurer'}

¶47

1.1. The^{petitioners' claim and the evidenceof PW-2 coupled} with appointment^{letter/Ex 'A-6ate provingthat the deceasedwas} employed^{as Unit ManagerGrade Iof ICICI Life Insurance'} Secunderabad^{and was eztning lts'3} '02'146^{/ -and incentives'} Further the^{entries in Form No'16 of the deceased/Ex'C-1is} clearly showing^{that the deceasedwas earning gross salary o[} Rs.3,02,146/-^{per annum' Horveverthe tribunalhad taken the} basic salary^{of the deceasedshown in the appointmentletter/Ex'} A-6 at^{Rs.2,00,344/-' Since this document Ex'C-1/Form16 is} prepared^{by the employer' no reasonis foundto discredit the same'} It is settled^{proposition that for assessmentof compensationthe} gross salary^{less tax has to be consideredas actualincome'} Accordingly,^{after deducting the amounts as Per the tax slabsof the} relevant year,^{the annualincome of the deceascd would be of} Fts.2,8'1,723/-.

¶48

PSK,]&NTR,] MACMA 1413_2013

¶49

¶50

1.2. In rcgard to^future ProsPects,^{adistincrion of} permanent/regular^{employment and self employed/empkryment} with fixcd salary^{has been drawnin the dictums of .l ar/a l,/enrta and} olhars us.^{Dellti Tranrpan Cq$toratiott and anothertand National I irance} Conpany Ltd.^{us. Pranay .letbi and others2. In Sarla Verma(supra)it} has becn clarified^{that ane mployment with fixedsalary is one,} without^{the provisionof annual incrementsand other cmoluments'} Further^{an empkrl'mentfor specified tenure is distinguishable with} an emplol'ment^{in generalserviceableage' In this vie w' any} e mplovment^{be1'ondthe fcatures of tenureand fixedsalarl' crrherin} public or pnvate^{sector shall be gradedas an emplol'nrent of} pe rmafle^{nt/regularin nature.}

¶51

In the^{present case, the appointment letter/Ex'A-(r of the} deceased is evidencing^{that, it is not time bound assignment :rnd the} pay is with^{other benefits,as is in publicemPloyment'Iror the} afore said the^{insurer's proposition that employment ofthe}

¶52

deceased is not^{pe rmanent,fails.}

¶53

'^{2009ACJ l29E}

¶54

'?(2017)^{r6 scc 860}

¶55

PSK,]&NTR,] MACMA_1413 2013

¶56

¶57

Therefore, considering the age and guideline s in Pranrly Setbi (:apra) 50oh of the income has to be added towards^future prospects. The acrual annual income^along widr^{50% of future} prospects, makes the annual income of the^{deceased Lt} Rs.4,22,584/-. Since the deceased was bachelor, 50%o^has to^be deducted towards personal living expenses. In effect^the contribution of the deceased to the petitioners would^be Rs.2,11,292/ -. If this amount is multiplied with the relevant multiplier 18 as per S arla Verma (sapra), the total^comesto Rs.38,03,256/-. The petitioners are eligible^{for this amount} towards loss of dependency.

¶58

In addition, as per the directives of Pranal Setbi^(xtpra)the petitionets 1 and 2 are granted^{frlial consortium at Rs.48,400/- each} and also Rs.36,300/- for loss ofestate^{and funeral expenses.}

¶59

1,6. In effect, the petitioners are entided for^{compensation of} Rs.39,36,356/- fi.upees thirty nine lakhs thirty^{six thousandthree} hundred fifry six only) with costs and^{interest at 7.5oh} Per^annum. As the rate of interest awarded is reasonable,^{the same is affirmed.}

¶60

PsK,]&NTR,] MACN4A_1413_2013

¶61

¶62

Further,^{the apportionmentand disbursement sball be in terms of}

¶63

the impugned^Award.

¶64

According',^{the Awarddared17.1'2'2012in O'P'No'837of} 2010 on the^{Frle of theChairman, Motor Accidents Claims}

¶65

Tribunal-cum-Il^{Aclditional District} Judge,^{Ranga Reddy District} stands^modifled.

¶66

In the result,^{the appeal filed by the petitionersis allowed} with costs.

¶67

As a sequel,^{pendingmiscellaneous petitions if any, stands}

¶68

closed

¶69

SD/. P. CH. NAGABHUSHAM ASSISTANT REGIST tg

¶70

//TRUE COPY//

¶71

SECTION OFFICER ,. . .,i, To, 1. The Chairman, Motor Accident Claims Tribunal - cum - ll Additional District,, .,*ffii ,' j,.1{ Judge, Ranga Reddy District at L.B.Nagar. (with records) 2. One CC to Sri Jagathpal Reddy Kasi Reddy, Advocate [OPUCI t 3. One CC to Sri A. Ramakrishna Reddy, Advocate [OPUC] 4. Two CD Copies NjbBp

'4.'

/
P'*I

HIGH COURT

:{{\z

DATED: 0711212023

JUDGMENT

MACMA.No.1413 of²⁰¹³

ALLOWING THE^MACMA WITH COSTS

¶81

--rt
, i!i!:, $li, .
..,,;#
:')
$

¶82

(+ DECREE
2 Drafts)
ffi
Ii 1HE sTA fc
o
rt ((
C
z
O 0 4 ritAY ztru
I
.,+
..t ol.
\ ')rspz,,Tcvtl-
I

¶83

HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD

¶84

ffi:r', "'Y''.

¶85

THURSDAY ,THE SEVENTH DAY OF DECEMBER TWO THOUSAND AND TWENTY THREE

¶86

PRESENT

¶87

THE HONOURABLE SRI JUSTICE P.SAM KOSHY . AND THE HONOURABLE SRI JUSTICE N.TUKARAMJI

¶88

!' a ,,:*' ".

¶89

MOTOR ACCIDENT CIVIL MISCELLANEOUS APPEAL NO: 1413 OF 2013

¶90

Between:

¶91

P. Laxmi, W/o. Bixapathi, Age: 45 years, Occ: Housewife, R/o. Sanjay^.:' Gandhi Nagar, Gajularamaram Road, Jeedimetla, Rangareddy District.

¶92

.. .i,. *i,iffii,, '.*5m,j",:,' ;:'r,/.ff'

¶93

P-Bixapathi,, S/o. Seethaiah, Age: 51 years, Rl/o. Sanjay Gandhi Nagar, Gajularamaram Road, Jeedimetla, Rangareddy District.

¶94

P.Sridevi,, D/o. Bixapathi, Age: 27 years, Occ Housewife, Rl/o. Sanjay Gandhi Nagar, Gajularamaram Road, Jeedimetla, Rangareddy Diskict.

¶95

P.Kanakaraju,, S/o. Bixapathi, Age: 19 years, Occ Student, Rl/o. Sanjay Gandhi Nagar, Gajularamaram Road, Jeedimetla, Rangareddy District.

¶96

44 is declared as major by discharging the guardianship of Al vide c.o.dt 22.07.2013 in CMP No. 3465 of 2013

¶97

n j -i:

¶98

...Appellants/Petitioners

¶99

AND

¶100

B. Swamy, S/o. B.Sailu, Age: Major, Occ Business, R/o. H.NO. 14-1-424t2,^,.1 Aghapura, Hyderabad.

¶101

'r 'si u ..1

¶102

The Reliance General lnsurance Company Ltd.,, Rep. by its Divisional Manager, Sagar Plaza, Abids, Hyderabad.

¶103

...Respondents/ Respondents

¶104

Appeal filed under Section 173 of M.V.Act against the award and decree dated 17.12.2012 passed in M.V.O.P.No. 837 of 2010 on the file of the Court of the.,,: Chairman, Motor Accident Claims Tribunal - cum - ll Additional District Judge,^ri Ranga Reddy District at L.B.Nagar.

¶105

, -"_:!iJ*:^ =-'-.!!$1.?g!1 t,itHl ':.

¶106

ORDER : This' appeal coming on for hearing and upon perusing the grounds of appeal, the Judgment and Decree of the Lower Court and the material^papers in the MVOP and upon hearing the arguments of Sri Jagathpal Reddy Kasi Reddy, Advocate for the Appellants and of Sri A. Ramakrishna Reddy, Advocate for the Respondent No.2 and None appeared for Respondent No.1.

¶107

This Court doth Judgment and decree as follows:-

¶108

.-:i&' ,,'!- l ;..ffi-

¶109

¶110

'1 . That the MACMA be and hereby is allowed with costs,

¶111

That the Award dated 17.12.2O12 in O.P.No. 837 ot 2010 on the file of the Chairman, Motor Accidents Claims Tribunal --cum-ll Additional Diskict Judge, Ranga Reddy District stands modified, the^petitioners be and hereby are entitled for compensation of Rs.39,36,3561 (Rupees thirty nine lakhs thirty six thousand three hundred fifty six only) with costs and interest at 7.5o/o pet annum. il

¶112

That^the interest awarded is reasonable, the same is affirmed, and the apportionment and disbursement shall be in terms of impugned Award; and

¶113

j j r;.i[ :;*

¶114

That the appellants are entitled to the costs of Rs.171l to be paid by the Respondents.

¶115

MEMORANDUM OF APPELLANT COSTS

¶116

MACMA.No. 1413 ot 2O13

¶117

	Rs.Ps
StampsforVakalatnama	55-00
Stampsusedfor the Memo of grounds	25-00
Stamps for Judgment of the Lower Court	01-00
Stamps for decree of the Lower Court	02-00
Value of Copy Stamp paper used for enclosures	28-O0
Advocate's fee (Fee Certificate not filed)	00-00
Batta and Postage	50-00
Courtfee	10-00
Total	171-00