High CourtsSingle Bench(2012) 03 DEL CK 0453

National Insurance Co. Ltd. vs Devki Rawat and Others

Delhi High Court · Decided on 7 March 2012

HON’BLE JUDGES
J.R. Midha, J
RESULT
Dismissed
CASE NUMBER
Mac. APP. 612 of 2006

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Judgment

7 paragraphs · 516 words

J.R. Midha

1.

The appellant has challenged the award of the Claims Tribunal whereby compensation of Rs. 6,54,000/- has been awarded to the claimants/respondents No. 1 to 5. The accident dated 5th June, 1992 resulted in the death of V.S. Rawat. The deceased was survived by his widow, three daughters and one son who filed the claim petition before the Claims Tribunal.

2.

The deceased was an ex-serviceman holding a diploma in pharmacy. The deceased was drawing the pension of Rs. 2,223/- per month apart from business income of Rs. 1,000/- per month. The Claims Tribunal took the income of the deceased as Rs. 3,223/- per month, added Rs. 1,761/- towards future prospects, deducted 1/6th towards personal expenses and applied the multiplier of 13 to compute the loss of dependency at Rs. 6,24,000/- . Rs. 25,000/- was awarded towards loss of love and affection and Rs. 5,000/- towards funeral expenses. The total compensation awarded is Rs. 6,54,000/- along with interest @ 7% per annum.

3.

The learned counsel for the appellant submits that the award amount is liable to be reduced as the income and future prospects of the deceased were not proved by sufficient evidence. It is further submitted that the appropriate deduction towards personal expenses of the deceased should be 1/5th instead of 1/6th.

4.

The widow of the deceased appeared in the witness box as PW-2 and deposed that the deceased was a diploma holder in pharmacy. The diploma certificate and certificate of Registered Pharmacist were proved as Ex.PW-2/2 and Ex.PW-2/3 respectively. The deceased was an ex-serviceman and his discharge from the Army Medical Corps. from the post of Subedar (Pharma) on 28th February, 1990 vide discharge book proved as Ex.PW2/8. PW-2 further deposed that the deceased was drawing a pension of Rs. 2,223/- per month apart from income of Rs. 1,000/- from business. The Claims Tribunal took into consideration that the deceased was a technical person and although there was no documentary proof of income, the statement of PW-1 that the deceased was earning Rs. 1,000 per month apart from the pension was held to be fair and reasonable. The Claims Tribunal took the future prospects into consideration considering the revision in minimum wages due to inflation and price rise index. There is no infirmity in findings of the Claims Tribunal with respect to the income and future prospects of the deceased. With respect to the deduction towards personal expenses, the Claims Tribunal has deducted 1/6th towards personal expenses whereas the appropriate deduction should have been 1/5th. However, considering that the Claims Tribunal has awarded interest @7% per annum whereas the appropriate rate of interest at the relevant time was 12% per annum, no interference is warranted in the facts and circumstances of this case but this case shall not be treated as precedent with respect to the deduction towards the personal expenses.

5.

For the aforesaid reasons, the appeal is dismissed. The pending application is disposed of.

6.

The LCR be sent back forthwith. Copy of this judgment be sent to respondents No. 1 to 5 as well as their counsel.