Uttar Pradesh State Road Transport Corporation v. Bhanmati @ Bhanumati

1. The present appeal under Section 173 of the Motor Vehicles Act preferred by the owner of the offending bus, involved in the accident leading to the demise of Shri Surya Narayan, assails the award dated 14.07.2016 passed by the learned MACT in MAC No.118/2016 insofar as it relates to the quantum of compensation.

2. Vide the impugned award, the learned Tribunal has awarded compensation of Rs.10,61,916/- with interest @ 9% per annum. The said compensation has been granted under the following heads:- S.NO. On account of Amounts 1 Loss of dependency Rs. 4,61,916.00

3. As the parties are ad idem that deceased Shri Surya Narayan lost his life in the fateful accident on 26.05.2014 in which the vehicle owned by the appellant was involved, reference to the details of the accident and the cause of his death are not deemed necessary for adjudication of the issues involved in the present appeal.

4. In support of the appeal, learned counsel for the appellant submits that while awarding compensation towards the “loss of dependency”, the learned Tribunal has erroneously taken into account the minimum wages of an unskilled worker as applicable in the NCR of Delhi without appreciating the fact that at the time of the accident, the deceased was earning his livelihood from agricultural work in Village-Aalapur, Uttar Pradesh. He submits that a categoric statement to this effect was made by the respondent no.1/claimant, who is the widow of the deceased. He, therefore, contends that in the light of this categoric admission by the respondent no.1, only the minimum wages of an un-skilled worker as applicable in the State of Uttar Pradesh could have been taken into account for computing the compensation under the head of “loss of dependency”.

5. He next submits that, in view of the decision of the Apex Court in National Insurance Co. Ltd. vs Pranay Sethi And Others[(2017) 16 SCC 680], once compensation was awarded under the head “loss of consortium”, no amount could have been awarded under the head of “loss of love and affection”. Furthermore, the learned Tribunal has also erred in granting a sum of Rs.50,000/- towards funeral expenses of the deceased, as against the sum of Rs.15,000/-, awardable under the said head.

6. On the other hand, learned counsel for the respondent no.1 supports the impugned award by contending that from the statement of Shri Shiv Kumar, the land lord of the rented premises where the deceased was residing with his family members, it was evident that the deceased was residing in Delhi at the time of the accident. After some arguments, he concedes that the respondent no.1 had in her cross examination, categorically admitted that her deceased husband was carrying out agricultural work in Village Aalapur, Uttar Pradesh. He also fairly does not dispute that no amount could have been awarded under the head of “loss of love and affection” in view of the Apex Court’s decision in Pranay Sethi (Supra), relied upon by the appellant. He, however, submits that while granting compensation for the “loss of consortium”, the learned tribunal has failed to appreciate that besides his widow, the deceased also left behind two un-married daughters, who have also been deprived of the company of their deceased father. He, therefore, prays that the compensation awarded towards “loss of consortium” be suitably enhanced. He, however, does not deny that the amount granted towards funeral expenses by the Tribunal, is on the higher side.

7. Having considered the submissions of the learned counsel for the parties and perused the record, I am of the view that in the light of the categoric admission by the respondent no.1/wife of the deceased before the Tribunal that her late husband was carrying out agricultural work in Village Aalapur, Uttar Pradesh, the learned Tribunal ought not to have applied the minimum wages of an unskilled worker as applicable in NCR of Delhi. Once it was evident that the deceased was working in Uttar Pradesh, it is only the minimum wages of an un-skilled worker as applicable in the State of Uttar Pradesh which ought to have been applied while computing the income of the deceased. The award of compensation under this head, therefore, needs to be modified by taking into account the minimum wages of Rs.6362.27/- as applicable to an un-skilled worker in Uttar Pradesh. As the learned Tribunal has deducted 50% of his income towards his personal expenses, which finding has not been assailed before this court, the amount awarded under the head “loss of dependency” will accordingly be now computed by taking 50% of Rs 6362.27 as his contribution towards his family. The said amount will therefore now stand reduced to Rs.3,43,564.2/- [Rs.3181.15 x 9 x 12].

8. Now coming to the grant of compensation under the head “loss of love and affection”. In the light of the fair stand taken by the respondent and the Apex Court’s judgement in Pranay Sethi (Supra), I am of the view that no compensation could have been granted under this head and accordingly the compensation of Rs 1,50,000/- granted towards “loss of love and affection” is set aside. I, however, find merit in the respondents’ plea that once the deceased left behind two unmarried daughters, the amount awarded towards “loss of consortium” deserves to be enhanced. The same is, accordingly, enhanced to Rs.2,50,000/-. Similarly, the amount awarded towards funeral expenses, not being in consonance with the decision of the Apex Court’s in Pranay Sethi And Others(supra) is reduced to Rs.15,000/-.

9. The impugned award will accordingly stand modified in the following terms:- On account of Amounts awarded by Tribunal Modified amount by this Court Loss of dependency Rs. 4,61,916.00 Rs.3,43,564.2/- [ 3,181.15 x 9 x 12] (decrease of Rs. 1,18,355) Loss of Love and affection Rs. 1,50,000.00 Rs.0.00/- (decrease by Rs. 1,50,000.00 ) Loss of Consortium Rs. 1,50,000.00 Rs.2,50,000/- (increase of Rs.1,00,000/-) Loss of Estate Rs.50,000.00/- Rs.50,000.00/- Funeral Expenses Rs. 50,000.00 Rs.15,000.00/- (decrease by Rs.35,000/-) Marriage Expenses for unmarried daughters of deceased(Petitioner no. 4 & 5) Rs. 2,00,000.00 Rs. 2,00,000.00 Total Rs. 10,61,916.00/- Rs. 8,58,564.2/-

10. The appeal is, accordingly, allowed by directing that the respondent no.1 will be entitled to receive a total compensation of Rs.8,58,564.2/- with interest @ 9% per annum in terms of the impugned award. Since the appellant has already deposited the awarded amount with this Court, the Registry is directed to forthwith release a sum of Rs. Rs.8,58,564.2/-, along with interest @ 9% per annum, in favour of the respondent no.1 and refund the balance amount to the appellant.

11. The appeal stands disposed of in the aforesaid terms.

REKHA PALLI, J JANUARY 17, 2023