Oriental Insurance Co. Ltd. vs Gurmeet Singh and Others

Vijender Singh Malik, J.—This is an appeal brought by Oriental Insurance Co. Ltd. against the award dated 4.5.2013. Sanjay Sharma alias

Suman Kumar had brought a claim petition u/s 166 of the Motor Vehicles Act, 1988 (for short, ""the Act"") seeking compensation in a sum of Rs.

8,00,000/- for the injuries suffered by him in a roadside accident that took place on 25.7.2010. Learned Motor Accidents Claims Tribunal,

Ambala (for short, ""the Tribunal"") has allowed the claim petition and has awarded a sum of Rs. 2,42,000/- as compensation. Learned counsel for

the appellant has contended that the driving licence of respondent No. 1 has been proved on record as fake. According to him, Bharat Sarswat,

Junior Assistant, RTO Agra has been examined as RW-1 in the case and he has stated that the driving licence of Gurmeet Singh [Ex. R2] has not

been issued by their office at any point of time in the name of Gurmeet Singh. He has further submitted that learned Tribunal has ignored this

aspect. He has further submitted that the offending vehicle was transferred by the insured without informing the appellant and u/s 157 of the Act,

the appellant is not liable to indemnify the owner.

Bharat Sarswat has appeared as RW-1. He has admitted that he had not brought the original record wherefrom he was making the statement.

According to him, the original record was with the police and he was making statement after referring to that record.

The record is in the possession of the police. What kind of verification he made from the same is not evident. He has not brought the original

record while making a statement to the effect that at no point of time, their office issued licence in the name of Gurmeet Singh. The other side had a

right to cross-examine the witness with reference to the record and in the absence of the record, no reliance can be placed on the statement of the

witness. In these circumstances, learned Tribunal has rightly rejected the evidence of respondent-appellant.

Section 157(2) of the Act lays down the duty of the transferee to apply within 14 days from the date of transfer in the prescribed form to the

insurer for making necessary changes in regard to the fact of transfer in the certificate of insurance and the policy described in the certificate in his

favour. It also lays down the duty of insurer to make the necessary changes in the certificate. However, there is no penal provision in this section

under which on a transferee failing to comply with the same, he would be saddled with some penalty which in this case would be exoneration of the

insurer from its liability to indemnify the owner. Learned counsel for the appellant could not bring to my notice any decided case on the point to

support his submission. In these circumstances, I do not find any merit in the submissions made by learned counsel for the appellant. The appeal is,

therefore, without merit and is dismissed in limine.