High CourtsDivision Bench(2010) 04 JH CK 0165

Dev Narain Yadav vs Divisional Manager Oriental Insurance Co Ltd & Anr.

Jharkhand High Court · Decided on 7 April 2010 · Citation: (2010) 4 JLJR 429

HON’BLE JUDGES
M.Y. Eqbal, J · Pradeep Kumar, J
RESULT
Disposed of
CASE NUMBER
M.A. No. 147 Of 2009

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Judgment

22 paragraphs · 460 words
1.

This appeal has been filed by the claimants-appellants against the judgment and award passed by Motor Vehicle Accident Claims Tribunal, Ranchi

in Compen sation Case No. 149 of 2004.

2.

Mr. Ashutosh Anand, learned counsel appearing for the appellant confined this appeal only to that part of the award by which payment of interest

has been refused by the Tribunal.

3.

It is a case where right hand of the claimant was amputated, as a result of injury sustained by him in a motor vehicle accident. The Tribunal

awarded a sum of Rs. 5,42,179/-.

4.

However, interest has not been awarded on the ground that there was no delay on the part of the respondent-Insurance Company in prosecuting

the case. The relevant portion of the judgment, which reads as under:â€

“From perusal of record it appears that application under Section 166 of the M.V. Act was admitted on 25.5.2007 and thereafter notices were

issued against the opposite parties. Opposite party no. 2 appeared and filed its W.S. on 29.4.2008 but opposite party no. 1 did not appear and case

proceed ex parte against him, as it appears vide order dated 25.6.2008. The evidence of claimant was closed on 14.11.2008 and thereafter opposite

party no. 2 did not take time in adducing its evidence. Thus, it appears that delay has not been caused on the part of opposite party no. 2. I further find

that a considerable amount of award has been passed in favour of the claimant, therefore, I am not inclined to grant interest in this case from the date

of filing of the claim application rather I want that interest should be paid in this case from the date of passing of the award. As such issue nos. 5 and

6 are decided in favour of claimant and against the opposite parties.â€​

5.

In our view, Section 171 of the M.V. Act confers power upon the Tribunal to award interest in addition to the compensation assessed in case of

death, badly injury. By using the word “shallâ€, it becomes obligatory on the part of the Tribunal to award interest. However, the discretion is with

regard to the Tribunal to award interest from such date as he deem fit and proper.

6.

In the instant case, even assum ing that there was delay on the part of the claimant, the written statement was filed by the respondents on.

29.4.2008. Hence, in our view, the interest must be awarded at least from the date when the respond ents appeared and file written statement. Hence,

we modify the award to the extentthat the compensation so awarded by the Tribunal shall carry interest from 29.4.2008 till the date of payment.

7.

With the aforesaid directions/ob servations, this appeal stands disposed of.