Skip to content
Order
  • Library
  • Features
  • About
  • Blog
  • Contact
Get started
Book a Demo

Order

At Order.law, we’re building India’s leading AI-powered legal research platform.Designed for solo lawyers, law firms, and corporate legal teams, Order helps you find relevant case law, analyze judgments, and draft with confidence faster and smarter.

Product

  • Features
  • Blog

Company

  • About
  • Contact

Legal

  • Privacy
  • Terms

Library

  • Acts
  • Judgments
© 2025 Order. All rights reserved.
  1. Home/
  2. Library/
  3. High Court Of Chhattisgarh/
  4. 2024/
  5. September

United India Insurance Company Limited vs. Smt. Radha Bai and Others

Decided on 30 September 2024• Citation: MAC/1125/2016• High Court of Chhattisgarh
Download PDF

Read Judgment


                                            1 / 16                                  
                                     Digitally signed                               
                                     by BHOLA                                       
                                     NATH KHATAI                                    
                                     Date:                                          
                                     2024.09.30                                     
                                     15:16:57 +0530                                 
                                                           2024:CGHC:38487          
                                                                  NAFR              
                      HIGH  COURT  OF  CHHATTISGARH     AT BILASPUR                 
                                    MAC  No. 981 of 2016                            
                                   Reserved on 25.09.2024                           
                                   Delivered on 30.09.2024                          
                  1. Smt. Radha Bai W/o Late Bhakt Prahalad, Aged About 27 Years    
                    R/o Village Ghutku, Nayapara, Police Station Gariyaband, District
                    Raipur, Chhattisgarh                                            
                  2. Ku. Devhuti D/o Late Bhakt Prahalad, Aged About 10 Years,      
                    Minor (Wrongly Stated As 1 And 2 In The  Impugned Award)        
                    Represented Through Mother Smt. Radha  Bai W/o Late Bhakt       
                    Prahalad, R/o  Village Ghutku,  Nayapara,  Police Station       
                    Gariyaband, Tahsil Gariyaband, District Raipur, Chhattisgarh    
                  3. Ku. Tijeshwari D/o Late Bhakt Prahalad, Aged About 8 Years     
                    Minor (Wrongly Stated As 1 And 2 In The  Impugned Award)        
                    Represented Through Mother Smt. Radha Bai, W/o Late Bhakt       
                    Prahlad, R/o   Village Ghutku,  Nayapara,  Police Station       
                    Gariyaband, Tahsil Gariyaband, District Raipur, Chhattisgarh    
                  4. Sunder Dhruv S/o Late Keju Ram Dhruv, Aged About 53 Years      
                    R/o Chunkara, Tahsil, Post & District Durg, Chhattisgarh        
                                                              ---- Appellants       
                                           versus                                   
                  1. Laxmikant Sahu S/o Shivkumar Sahu, Occupation Driver, R/o      
                    Village Aasra,   Police  Station Rajim,   District Raipur,      
                    Chhattisgarh.....Driver                                         
                  2. Mohammad  Asraf S/o Abdul Sattar, Aged About 55 Years R/o      
                    Ricemill, Opposite Petrol Pump, Gariyaband, Tahsil And District 
                    Gariyaband, Chhattisgarh......Owner                             

                                            2 / 16                                  
                  3. Manager, United India General Insurance Company Limited,       
                    Krishna Complex, 2nd Floor, Kutchery Chowk, Raipur, Tahsil And  
                    District Raipur, Chhattisgarh...Insurer Of Vehicle No. C G 04 D 
                    9013                                                            
                                                            ---- Respondents        
                                    MAC  No. 982 of 2016                            
                    Smt. Radha Bai W/o Late Bhakt Prahalad, Aged About 27 Years     
                    R/o- Village- Ghutku, Nayapara, Police Station- Gariyaband,     
                    Tahsil- Gariyaband, District- Raipur, Chhattisgarh              
                                                                ----Appellant       
                                          Versus                                    
                  1. Laxmikant Sahu S/o Shivkumar Sahu, Occupation- Driver, R/o-    
                    Village- Aasra,  Police Station- Rajim,  District- Raipur,      
                    Chhattisgarh,......Driver                                       
                  2. Mohammad  Asraf S/o Abdul Sattar, Aged About 55 Years R/o-     
                    Ricemill, Opposite Petrol Pump, Gariyaband, Tahsil And District-
                    Gariyaband, Chhattisgarh.......Owner                            
                  3. Manager, United India General Insurance Company Limited,       
                    Krishna Complex, 2nd Floor, Kutchery Chowk, Raipur, Tahsil And  
                    District- Raipur, Chhattisgarh .....… Insurer Of Vehicle No. Cg-04-
                    D / 9013                                                        
                                                           ---- Respondents         
               For Appellant/Claimants   : Mr. Siddharth Rathod, Advocate           
               For Respondent No.1/Driver : Mr. Rajesh Kumar Tiwari, Advocate       
               For Respondent No.2/Owner : Mr. Raj Kumar Pali, Advocate             
               For Respondent no.3/Insurer : Mr. Dashrath Gupta, Advocate           
                                    MAC  No. 1125 of 2016                           
                    United India Insurance Company Limited Through Its Divisional   
                    Manager, Divisional Office-Krishna Complex, 2nd Floor, Kutchery 
                    Chowk, Raipur, District- Raipur, Chhattisgarh                   
                                                                ----Appellant       

                                            3 / 16                                  
                                          Versus                                    
                  1. Smt. Radha Bai Wd/o Bhakt Prahlad, Aged About 27 Years R/o-    
                    Village- Ghutku, Nayapara, P.S.- Gariyaband, Tahsil- Gariyaband,
                    District- Gariyaband, Chhattisgarh                              
                  2. Ku. Devhuti D/o Late Bhakt Prahlad, Aged About 10 Years Minor  
                    Through Mother Smt. Radha Bai Respondent No.1, R/o- Village-    
                    Ghutku, Nayapara, P.S.- Gariyaband, Tahsil- Gariyaband, District-
                    Gariyaband, Chhattisgarh                                        
                  3. Ku. Tijeshwari D/o Late Bhakt Prahlad, Aged About 8 Years Minor
                    Through Mother Smt. Radha Bai Respondent No.1, R/o- Village-    
                    Ghutku, Nayapara, P.S.- Gariyaband, Tahsil- Gariyaband, District-
                    Gariyaband, Chhattisgarh                                        
                  4. Sundar Dhruv S/o Late Keju Ram Dhruv, Aged About 53 Years      
                    R/o- Chunkara, Tahsil, P.O. And District- Durg, Chhattisgarh    
                  5. Laxmikant Sahu S/o Shivkumar Sahu, Occupation- Driver, R/o-    
                    Village- Aasara, P.S.- Rajim, District- Gariyaband, Chhattisgarh
                  6. Mohammad  Asaraf S/o Abdul Sattar, Aged About 55 Years R/o-    
                    Rice  Mill, In Front Of Petrol Pump,  Gariyaband,  Tahsil-      
                    Gariayaband, District- Gariyaband, Chhattisgarh                 
                                                            ---- Respondents        
                                    MAC  No. 1126 of 2016                           
                    United India Insurance Company Limited Through Its Divisional   
                    Manager, Divisional Office- Krishna Complex, 2nd Floor, Kutchery
                    Chowk, Raipur, District- Raipur, Chhattisgarh                   
                                                                ----Appellant       
                                          Versus                                    
                  1. Smt. Radha Bai Wd/o  Bhakt Prahlad, Aged About 27 Years        
                    Village- Ghutku, Nayapara, P.S.- Gariyaband, Tahsil- Gariyaband,
                    District- Gariyaband, Chhattisgarh                              
                  2. Laxmikant Sahu S/o Shivkumar Sahu, Occupation- Driver, R/o-    
                    Village- Aasara, P.S.- Rajim, District- Gariyaband, Chhattisgarh
                  3. Mohammad  Asaraf S/o Abdul Sattar, Aged About 55 Years R/o-    
                    Rice  Mill, In Front Of Petrol Pump,  Gariyaband,  Tahsil-      

                                            4 / 16                                  
                    Gariayaband, District- Gariyaband, Chhattisgarh                 
                                                            ---- Respondents        
               For Appellant/Insurer   : Mr. Dashrath Gupta, Advocate               
               For Respondent/claimants : Mr. Siddharth Rathod, Advocate            
               For Respondent/Driver    Mr. Rajesh Kumar Tiwari, Advocate           
               For Respondent/Owner    : Mr. Raj Kumar Pali, Advocate               
                         ( Hon'ble Shr i Justice Sanjay Kumar Jaiswal, J .)         
                                      C A V O R D E R                               
               1. Since these  four appeals have  arisen out of award  dated        
                   30.04.2016 passed  by 5th Additional Motor Accident Claims       
                   Tribunal, Raipur, Chhattisgarh in Claim Case Nos. 50/2013 &      
                   51/2013, they are being disposed of by this common order.        
               2. MAC   Nos.981/2016 &  982/2016  have been  preferred by the       
                   claimants for enhancement of compensation awarded in Claim       
                   Case Nos. 50/2013 & 51/2013 respectively. MAC Nos.1125/2016 &    
                   1126/2016 have been preferred by the Insurance Company against   
                   the award  passed  in Claim Case   Nos.50/2013 &  51/2013        
                   respectively praying for exonerating from the liability of payment of
                   compensation.                                                    
               3.  The facts necessary for disposal of these four appeals, in short, are
                   that on 01.11.2010 at about 1:10 p.m., deceased Bhakt Prahlad    
                   was  coming  towards Gariaband  with his  daughter Kumari        
                   Dileshwari sitting in front of the bicycle and his wife Smt. Radha Bai
                   sitting behind in the bicycle. It is alleged that respondent Laxmikant
                   Sahu driving the offending vehicle i.e. truck bearing registration
                   No.CG 04 D  9013 in a rash and negligent manner hit them very    
                   hard, as a result of which, Bhakt Prahlad and his daughter Kumari
                   Dileshwari died on the spot and his wife Smt. Radha Bai fell away
                   due to the jolt. Upon report being made in this regard, crime was
                   registered against driver Laxmikant Sahu at PS Gariyaband,       

                                            5 / 16                                  
                   District Raipur.                                                 
               4.  In Claim Case No.50/2013, it was claimed that at the time of     
                   accident, deceased Bhakt Prahalad was aged about 32 years and    
                   was working as a mason. Apart from this, he used to work in Tendu
                   leaf godown and earn Rs.250 per day. Due to the casual death of  
                   Bhakt Prahalad, there is an irreparable loss to the claimants who
                   are the wife, children & father of the deceased. Therefore, the  
                   claimants preferred an application before the Tribunal claiming total
                   compensation of Rs.22,25,000/-.                                  
               5.  Learned Tribunal, after considering the evidence and documents   
                   brought on record, assessed the income of the deceased  at       
                   Rs.3,000 per month i.e. Rs.36,000 per annum. 50% of the income   
                   i.e. Rs.18,000 was added for future prospects and after adding, the
                   amount became Rs.54,000. Since there were 4 claimants, 1/4th of  
                   the income was  deducted  towards personal expenses. After       
                   deduction, the amount comes to Rs.40,500/-. Considering the age  
                   of deceased Bhakt Prahlad, multiplier of 16 was applied and the  
                   total loss of dependency worked out to Rs.6,48,000/-. In addition,
                   Rs.90,000/- has been awarded under other heads. Accordingly, the 
                   Claims Tribunal has awarded total compensation of Rs.7,38,000/-  
                   in favour of claimants with interest @ 6% per annum, from the date
                   of application till its realization. Hence, MAC No.981/2016 is for
                   enhancement.                                                     
               6.  In Claim Case No.51/2013, it was claimed that at the time of     
                   accident deceased Kumari Dileshwari was aged about 7 years.      
                   Due  to the casual death of Kumari  Dileshwari, there is an      
                   irreparable loss to the claimant who is the mother of the deceased.
                   Therefore, the claimant preferred an application before the Tribunal
                   claiming total compensation of Rs.6,25,000/-.                    
               7.  Learned Tribunal, after considering the evidence and documents   
                   brought on record, held the age of the deceased at the time of the

                                            6 / 16                                  
                   accident to be 4 years. The Tribunal has assessed an estimated   
                   income of the deceased to be Rs.30,000 per annum. Considering    
                   the age of the parents of the deceased, multiplier of 16 was applied
                   and the total compensation worked  out to Rs.4,80,000/-. In      
                   addition, Rs.30,000/- has been awarded under  other heads.       
                   Accordingly, the Claims Tribunal has awarded total compensation  
                   of Rs.5,10,000/- in favour of claimant with interest @ 6% per    
                   annum, from the date of application till its realization. Hence, MAC
                   No.981/2016 is for enhancement.                                  
               8.  The Tribunal has concluded in issue No.2 that the driver of the  
                   offending vehicle Laxmikant Sahu had a valid and effective driving
                   licence. On consideration of the evidence, it was found that in the
                   seizure memo of the criminal case, driver's licence No. L/4860/R is
                   stated to have been seized, which was in the name of Laxmikant   
                   Sahu. Its photocopy was enclosed in the record. For evaluation of
                   the validity, the register of the above mentioned licences was called
                   for by the appellant insurance company  from the  Regional       
                   Transport Office, Raipur, which was produced by R. K. Khalkho    
                   (Assistant Grade III), according to which, it was found that the 
                   driving licence at the above mentioned number was not issued in  
                   the name of Laxmikant Sahu, but was issued in the name of some   
                   other L. A. Ansari. The Tribunal has also found that the insurance
                   company  has not produced  any evidence  to prove that the       
                   registered owner of the vehicle has intentionally violated the   
                   conditions of the insurance policy. The Tribunal held that before
                   getting the driving licence verified from the Regional Transport 
                   Office, it could not have been known that the said driving licence
                   was fake. Therefore, the negligence of the registered owner was  
                   not considered and the insurance conditions were also not found to
                   have been violated. This conclusion of the Tribunal has been     
                   challenged by the appellant insurance company in their appeals.  

                                            7 / 16                                  
                                MAC  Nos. 1125/2016 & 1126/2016                     
               9.  The Insurance Company has filed both these appeals challenging   
                   firstly the liability part and secondly the quantum part of the  
                   impugned awards.                                                 
               10. So far as the liability is concerned, learned counsel for the    
                   appellant insurance company argues that first of all the registered
                   owner of the vehicle should establish that he has got the vehicle
                   driven by a driver having a valid driving licence. Only after this is
                   established, the burden of proof will be upon the insurance      
                   company  that the insurance conditions have been violated in     
                   driving the vehicle. In support of his argument, the insurance   
                   company placed reliance on the judgment of the Hon’ble Supreme   
                   Court in the case of Pappu and Others Vs. Vinod Kumar Lamba      
                   and Another reported in 2018 (3) SCC. 208. In the said case, the 
                   Apex Court has expressed its concept in paragraphs-12 & 13 in    
                   respect of the burden of proof regarding a valid license, which is as
                   follows:                                                         
                           “12. This Court in the case of National Insurance Co.    
                           Ltd. Vs. Swaran Singh and Ors., (2004) 3 SCC 297,        
                           has noticed the defences available to the Insurance      
                           Company  under  Section 149(2)(a)(ii) of the Motor       
                           Vehicles Act, 1988. The Insurance Company is entitled    
                           to take a defence that the offending vehicle was driven  
                           by an unauthorised person or the person driving the      
                           vehicle did not have a valid driving licence. The onus   
                           would shift on the Insurance Company only after the      
                           owner of the offending vehicle pleads and proves the     
                           basic facts within his knowledge that the driver of the  
                           offending vehicle was authorised by him to drive the     
                           vehicle and was having a valid driving licence at the    
                           relevant time.                                           
                           13. In the present case, the respondent No.1 owner of    
                           the offending vehicle merely raised a vague plea in the  
                           Written Statement that the offending vehicle DIL-5955    
                           was being driven by a person having valid driving        
                           licence. He did not disclose the name of the driver and  
                           his other details. Besides, the respondent No.1 did not  
                           enter the witness box or examine any witness in          
                           support of this plea. The respondent No.2 Insurance      

                                            8 / 16                                  
                           Company  in the Written Statement has plainly refuted    
                           that plea and also asserted that the offending vehicle   
                           was not driven by an authorised person and having        
                           valid driving licence. The respondent No.1 owner of      
                           the offending vehicle did not produce any evidence       
                           except a driving licence of one Joginder Singh, without  
                           any specific stand taken in the pleadings or in the      
                           evidence that the same Joginder Singh was, in fact,      
                           authorised to drive the vehicle in question at the       
                           relevant time. Only then would onus shift, requiring the 
                           respondent No.2 Insurance Company to rebut such          
                           evidence  and  to  produce  other  evidence  to          
                           substantiate its defence. Merely producing a valid       
                           insurance certificate in respect of the offending Truck  
                           was not enough for the respondent No.1 to make the       
                           Insurance Company  liable to discharge his liability     
                           arising from rash and negligent driving by the driver of 
                           his vehicle. The Insurance Company can be fastened       
                           with the liability on the basis of a valid insurance policy
                           only after the basic facts are pleaded and established   
                           by the owner of the offending vehicle - that the vehicle 
                           was not only duly insured but also that it was driven by 
                           an authorised person having a valid driving licence.     
                           Without disclosing the name of the driver in the Written 
                           Statement or producing any evidence to substantiate      
                           the fact that the copy of the driving licence produced in
                           support was of a person who, in fact, was authorised     
                           to drive the offending vehicle at the relevant time, the 
                           owner of the vehicle cannot be said to have extricated   
                           himself from his liability. The Insurance Company        
                           would become liable only after such foundational facts   
                           are pleaded and proved by the owner of the offending     
                           vehicle.”                                                
               11. On the other hand, learned counsel for the owner of the vehicle has
                   argued that if the driver's license does not appear to be illegal or
                   forged at first sight, the vehicle owner cannot be held guilty of
                   negligence. In this case also, the driver's license which is said to
                   have been seized in the criminal case was in the name of driver  
                   Laxmikant, therefore, the registered owner of the vehicle cannot be
                   held guilty of negligence. Hence, the insurance company will be  
                   responsible. He placed reliance on the decision of the Division  
                   Bench of this Court in the matter of National Insurance Company  
                   Limited and others Vs. Lebho Mahanand and  others, 2010 (1)      
                   ACCD, 190 (CG). In the said judgment, the Division Bench of this 

                                            9 / 16                                  
                   Court has determined the burden of proof in relation to driving a
                   vehicle under a valid driving license or violation of insurance  
                   conditions in clause 12 as follows.                              
                           “12. In the present cases, the Insurance Company, by     
                           way of evidence of N.A.W. 1, has brought on record       
                           that the licence said to be held by the driver of the    
                           Truck was a fake licence as on their enquiry it was      
                           found that the said licence was never issued from the    
                           concerned licensing authority, Kanpur (U.P.). We have    
                           seen the photocopy of the licence has been shown to      
                           be issued in Form-6 under the concerned Rule 16(1).      
                           It also bears the photograph of the driver at the        
                           appropriate place and illegible signatures with dates    
                           shown  to the that of the licensing authority. This      
                           licence was shown to be issued for driving light motor   
                           vehicle, medium goods  vehicle and heavy goods           
                           vehicle and it was further shown to be lastly renewed    
                           upto 16th November, 1994. Even assuming that it was      
                           a fake licence, but the insurance company did not        
                           discharge its burden by proving that the insured was     
                           guilty of negligence and  he failed to exercise          
                           reasonable care in the matter of fulfilling the conditions
                           of the policy regarding use of vehicle by duly licensed  
                           driver. We presume that the said licence must have       
                           been produced before the owner and by exercising         
                           reasonable care, the owner must have handed over         
                           the vehicle to the driver taking into consideration that 
                           he was having a valid driving licence. If the alleged    
                           licence would not have been in statutory proforma or it  
                           would be showing some irregularity on the face of it, or 
                           there would have been some indication of the fake        
                           character of the licence in its appearance which a       
                           normal man must notice after seeing the licence in first 
                           sight or by applying his common sense  with due          
                           diligence, then only it would be said that the insured   
                           was guilty of negligence and he failed to exercise       
                           reasonable care in the matter of fulfilling the condition
                           of the policy regarding use of vehicle by a duly         
                           licensed driver. But nothing as above could be brought   
                           on  record. Even  the witness of  the Insurance          
                           Company  A. Kujur (N.A.W. 1) categorically admitted      
                           vide Para 4 of his evidence (on a question by the        
                           Presiding Officer of the Tribunal) that "before receiving
                           the letters Ext. D-2 & Ext. D-3, which relate to the     
                           verification regarding validity of the driving licence, it
                           was not possible to say that the licence was a fake      
                           driving licence". This shows that even the Insurance     
                           people could not say that it was a fake licence on the   

                                           10 / 16                                  
                           face of it. It is for all these reasons, the Tribunal held
                           that the Insurance Company   was  liable to pay          
                           compensation in the matters and the same cannot be       
                           exonerated. In the facts, and circumstances of the       
                           case, we do not find any fault in such approach of the   
                           Tribunal. The arguments advanced by the learned          
                           Counsel  for the  appellants/Insurance Company,          
                           therefore, cannot be sustained."                         
               12. Learned counsel for the claimants submits that the finding of the
                   Tribunal regarding liability is proper and does not require any  
                   interference. However, learned counsel for the claimants prays for
                   issuance of an order of “pay and recover” in case breach of      
                   insurance conditions is found by this Court.                     
               13. Heard learned counsel for the parties and perused the record.    
               14. If we consider the case in hand in the light of the arguments of the
                   parties and the judgments cited, it is clear that a joint written
                   statement had been submitted by the driver and the registered    
                   owner of the offending vehicle. There is no clear mention in the 
                   said written statement as to whether that driver had a valid driving
                   license or not. In the written statement, the defence taken is   
                   basically that no accident took place with the offending vehicle, and
                   they have been implicated in a false case. No evidence was       
                   presented on behalf of the driver or the registered owner. The   
                   claimant party submitted the certified copy of the documents of the
                   criminal case, in which it was found from the seizure Exhibit P-7
                   that the duplicate driving license of the driver was seized. When the
                   validity of that license was investigated by the insurance company,
                   it was found that the said license number was not issued in the  
                   name of driver Laxmikant from the Regional Transport Office, but 
                   was issued in the name of someone else. Thus, the license was    
                   found to be a fake license.                                      
               15. The registered owner of the vehicle has neither made  any        
                   statement as to who was the driver at the time of the accident nor
                   has made any clear statement that the driver had a valid license at

                                           11 / 16                                  
                   the time of the accident. The driver of the offending vehicle    
                   Laxmikant and the registered owner Mohammed Ashraf have not      
                   even come in the witness box and they have not established that  
                   while hiring the driver to drive the offending vehicle, the owner of
                   the vehicle had taken care to ensure that the driver was a valid 
                   license holder.                                                  
               16. Thus, in the absence of the statement or evidence of the vehicle 
                   owner, it has not been proved that the owner had taken sufficient
                   care and appointed Laxmikant as the driver after finding him to be a
                   valid driving license holder. In this situation, the registered owner
                   would not get the benefit of the judgment relied upon by him in the
                   case of Lebho Mahanand (supra).                                  
               17. In the light of the concept expressed by the Hon'ble Apex Court in
                   the case of Pappu (supra), it is found that the registered owner of
                   the offending vehicle had not taken adequate care at the time of 
                   appointing the driver to ensure that the driver was a valid license
                   holder. Therefore, the registered owner is found to have been    
                   negligent in appointing the driver of the offending vehicle. Thus, it is
                   proved that the insurance conditions have been violated as the   
                   license of the driver has been found to be fake.                 
               18. Therefore, the argument of the insurance company regarding       
                   breach of insurance conditions is found to be acceptable. The    
                   conclusion of the Tribunal that the breach of insurance conditions
                   has not been proved is not sustainable. Hence, the insurance     
                   company is exonerated from its liability after finding the violation of
                   insurance conditions.                                            
               19. As regards quantum part, in a motor accident claim case, what is 
                   important is that the compensation to be  awarded  by the        
                   Courts/Tribunals should be just and proper compensation in the   
                   facts and circumstances of the case. It should neither be a meager
                   amount of compensation, nor a Bonanza.                           

                                           12 / 16                                  
               20. Now this Court shall examine as to whether the compensation      
                   awarded by the Tribunal in MAC Nos.981/2016 & 982/2016 is just   
                   and proper in the given facts and circumstances of the case.     
                                       MAC  No.981 of 2016                          
               21. Learned counsel for the claimants submits that the income of     
                   deceased Bhakt Prahlad assessed by the Tribunal is on the lower  
                   side and the same needs to be enhanced. He next submits that     
                   the amount awarded under other heads is also on the lower side   
                   and needs to be enhanced suitably.                               
               22. On the other hand, learned counsel for the Insurance Company     
                   submits that the Tribunal has added 50% of the income towards    
                   future prospects whereas it should be 40% and based on which the 
                   calculation made by the Tribunal is excessive which needs to be  
                   reduced.                                                         
               23. Learned Tribunal has assessed the income of deceased Bhakt       
                   Prahladat at Rs.3,000/- per month as no documentary evidence     
                   regarding income of the deceased has been brought on record.     
                   The accident occurred on 01.11.2010 and as per the notification by
                   Labour Department, the minimum wages  of even an  unskilled      
                   labour at that point of time was Rs.3926. Hence, the income of the
                   deceased is assessed at Rs.3926 per month as minimum wages at    
                   that time instead of Rs.3000 as held by the Tribunal. Accordingly,
                   the annual income comes to Rs.47112. The Tribunal has added      
                   50% of the income towards future prospects whereas in the light of
                   the judgment of Hon’ble Supreme Court in the case of National    
                   Insurance Company  Ltd., Vs. Pranay Sethi and Others, (2017)     
                   16 SCC  680, the future prospects would be 40% of the income     
                   instead of 50% as wrongly held by the Tribunal. After adding 40% 
                   of the income for future prospects i.e. Rs.18844.8, the amount   
                   comes to Rs.65956.8. The deceased was aged about 32 years and    

                                           13 / 16                                  
                   there are 4 claimants who are the wife, children and father of the
                   deceased, so deduction towards personal expenses would be 1/4th  
                   of the income as rightly held by the Tribunal. After deduction of
                   personal expenses, the amount comes to Rs.49467.6. In view of    
                   judgment of the Hon’ble Supreme Court in the case of Sarla Verma 
                   (Smt.) and others vs. Delhi Transport Corporation and another    
                   reported in (2009) 6 SCC 121 and National Insurance Company      
                   Ltd., Vs. Pranay Sethi and Others, (2017) 16 SCC 680 and also    
                   considering the age of the deceased, the multiplier would be 16 as
                   rightly held by the Tribunal. After applying the said multiplier, the
                   total loss of dependency works out to Rs.791481.6 (49467.6 x 16) 
                   in round figure Rs.7,91,482/-. The claimants are also entitled for
                   Rs.15,000/- towards loss of estate and Rs.15,000/- for funeral   
                   expenses. As per 'Magma General Insurance Co. Ltd. Vs. Nanu,     
                   reported in AIR Online 2018 SC 189, the claimants are further    
                   entitled for Rs.40,000/- each totalling Rs.1,60,000/- towards loss of
                   spousal consortium and love and  affection. Accordingly, the     
                   claimants would become entitled for total compensation in the    
                   following manner:-                                               
                                       Heads              Calculation               
                     Compensation towards dependency            7,91,482            
                     For loss of estate                           15,000            
                     For consortium, love and affection to      1,60,000            
                     the claimants @ Rs. 40,000/- each                              
                     Funeral Expenses                             15,000            
                    Total compensation                       Rs.9,81,482            
               24. Thus, the total compensation is recomputed as Rs.9,81,482/- from 
                   which after deduction of Rs.7,38,000/- as awarded by the Tribunal,
                   the enhanced compensation would be Rs.2,43,482/-.                
               25. Accordingly, MAC No.981/2016 preferred by the claimants is partly
                   allowed. As a consequence, MAC No.1125/2016 preferred by the     
                   Insurance Company also stands partly allowed. The claimants      

                                           14 / 16                                  
                   shall be entitled for the enhanced amount of Rs.2,43,482/- in    
                   addition to what is already awarded by the Claims Tribunal. The  
                   enhanced amount will carry interest @ 6% per annum from the      
                   date of enhancement of the award till its realization.           
                                       MAC  No.982 of 2016                          
               26. Learned counsel for the claimants submits that the compensation  
                   awarded by the Tribunal in Claim Case No.51/2013 is on the lower 
                   side and needs to be enhanced. He relies upon a judgment of the  
                   Co-ordinate Bench of this High Court in the case of Om Prakash   
                   Vs. Shilchand Pradhan & others passed in MAC No.767/2017 on      
                   10.01.2024.                                                      
               27. Insurance Company  has filed MAC  No.1126/2016 against the       
                   award passed  in Claim Case No.51/2013 contending that the       
                   Tribunal has awarded excessive compensation in respect of death  
                   of a 4 year old minor child which needs to be reduced suitably.  
               28. In the case of Puttamma and Others Vs. K. L. Narayana Reddy      
                   and Another reported in (2013) 15 SCC 45, in respect of the      
                   demise of children up to age of 5 years, a fixed compensation of 
                   Rs.1,00,000 has been determined. In the matter of National       
                   Insurance Company  Ltd., Vs. Pranay Sethi and Others, reported   
                   in (2017) 16 SCC 680, Hon’ble the Supreme Court has laid down    
                   the reasonable figures on conventional heads, namely, loss of    
                   estate, loss of consortium and funeral expenses at Rs. 15,000/-, 
                   Rs. 40,000/- and Rs. 15,000/- respectively. In view of the same, 
                   considering the facts of the case and also the age of the deceased
                   who was about 4 years old at the time of accident, it would be   
                   appropriate to award an amount of Rs.2,50,000/- as compensation  
                   in favour of the claimant instead of Rs.5,10,000 as awarded by the
                   Tribunal. The judgment relied upon by the claimant in the case of
                   Om Prakash (supra), on the ground of difference in facts, would not
                   be applicable in the present case.                               

                                           15 / 16                                  
               29. Accordingly, MAC No.982/2016  preferred by the claimant is       
                   dismissed. As a consequence, MAC  No.1126/2016 preferred by      
                   the Insurance Company stands allowed. The claimant Smt. Radha    
                   Bai in Claim  Case  No.51/2013  shall now  be  entitled for      
                   compensation of Rs.2,50,000/- instead of Rs.5,10,000 as awarded  
                   by the Tribunal.                                                 
               30. So far as the prayer for issuing an order of “pay and recover” is
                   concerned, in the present case, admittedly, the offending vehicle
                   was insured with United India General Insurance Company Limited  
                   but due to breach of policy conditions, the insurance company has
                   been exonerated. However, considering the principles laid down by
                   the Hon’ble Supreme Court in the case of Amrit Paul Singh &      
                   another. Vs. Tata AIG General Insurance Company Limited &        
                   others reported in (2018) 7 SCC 558  ordering the insurance      
                   company to pay first and then recover and also taking note of the
                   facts and circumstances of the present case, particularly the fact
                   that at the time of accident the vehicle was insured with insurance
                   company, it is directed that the insurance company shall first pay
                   the amount of compensation awarded to the appellant/claimants in 
                   both the claim cases and then jointly or severally recover the same
                   from the driver and the registered owner of the offending vehicle.
               31. In the result, MAC Nos.981/2016 preferred by the claimants is    
                   partly allowed to the extent indicated herein-above whereas MAC  
                   No.982/2016 preferred by the Claimant stands dismissed (the      
                   compensation awarded by the Tribunal has been reduced from       
                   Rs.5,10,000 to Rs.2,50,000). MAC   Nos.1125/2016  &  MAC         
                   No.1126/2016 filed by the Insurance Company accordingly stand    
                   disposed of in the aforesaid terms.                              
               32. The Registry is directed to communicate the claimants in writing 
                   “the enhanced amount” in the appeal as against the award made    

                                           16 / 16                                  
                   by the Claims Tribunal. The said communication be made in Hindi  
                   (Deonagri) language and the help of paralegal workers may be     
                   availed with a co-ordination of Secretary, Legal Aid of the      
                   concerned area wherein the claimants reside.                     
                                                           Sd/-                     
                                                  (Sanjay Kumar Jaiswal)            
                                                          Judge                     
               Khatai