IN THE HIGH COURT OF ORISSA AT CUTTACK  AHO No.01 of 1999  

The Divisional Manager, New India  Assurance Co. Ltd., Bhubaneswar  

…. Appellant 

Order No. 

Mr. B. K. Mohanty, Advocate 

 -versus 

Sauri Das and others …. Respondents None 

CORAM:  

THE CHIEF JUSTICE  

 JUSTICE R. K. PATTANAIK  

ORDER 

21.03.2022  

03. 1. This appeal by the New India Assurance Company Limited is 

directed against the judgment dated 11th December, 1998 passed by  

the learned Single Judge dismissing Miscellaneous Appeal No.459 of 1995 filed by the Appellant.  

 2. By the impugned judgment, learned Single Judge upheld the 

Award dated 5th August, 1995 passed by the Motor Accident  Claims Tribunal, Bhubaneswar (MACT) in MACT Case No.2456  of 1992 awarding a sum of Rs.3 lakhs to the Claimants Respondents 1, 2 and 3.  

 3. At the relevant time when the aforementioned claim was filed,  Respondent Nos.1 and 2 were the parents of the deceased Narayan  Das and Respondent No.3 was his minor dependant sister. The  deceased died in a fatal road accident when a Tractor along with a  Trolley came from the rear and dashed against the cycle on which 

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the deceased was being taken by his associate at around 8.30 AM  on 19th November, 1992. The rider of the cycle also received some  injuries. At the time of his death, the deceased was 25 year-old. His  monthly income from the coconut business was Rs.2,000/- of  which he was contributing Rs.1,500/- towards the maintenance of  his dependent parents and unmarried sister. The claim petition was  filed claiming Rs.4,70,000/- as compensation.  

 4. The MACT found that the accident had occurred due to the rash  and negligent driving of the Tractor driver. The monthly earning of the deceased and his contribution to the family were all proved  before the MACT. Applying the multiplier in the 2nd Schedule to  

the Motor Vehicles Act, 1988 (MV Act), the MACT awarded Rs.3  lakhs as compensation. 

 5. Before the learned Single Judge, the present Appellant i.e. the  

Insurance Company tried to argue that since the accident occurred  

in 1992, whereas the Schedule in terms of Section 163-A of the MV Act was introduced in 1994. Therefore, the multiplier set out in the Schedule will not be applicable. However, following the  

decision of the Supreme Court of India in Shankarayya v. United  India Insurance Co. Ltd. (1998) 3 SCC 140, the learned Single  Judge held that the Insurance Company could not raise any  challenge to the quantum awarded or on the question of negligence  of the driver of the Tractor and Trolley. In any event, neither on the  question of negligence nor as regards the quantum of  compensation, the learned Single Judge found any ground to  interfere. 

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6. In the present appeal, it is again sought to be contended that  because of the accident took place in 19th November 1992, the  Schedule to the MV Act will not apply. By the time the MACT  decided the case, the Schedule had already come into play. The MV  Act being a statute intended to benefit accident victims, the  Schedule thereto ought to be applied in pending cases of accident  victims even if the accident occurred at a time when the Schedule  was not in force. Consequently, this Court finds no merit in the  contention regarding applicability of the Schedule to the MV Act. 

 7. For the death of a 25 year-old person, compensation of Rs.3  

lakhs, particularly when the negligence of the driver of the accident  

causing vehicle is proved, can hardly be said to be excessive. There  

are no grounds whatsoever made out for interference with the impugned judgment of the learned Single Judge.  

 8. The appeal is accordingly dismissed.  

 (Dr. S. Muralidhar)   Chief Justice    

 (R. K. Pattanaik)   Judge  

M. Panda 

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