Kin seek Rs 25 lakh for accident death, SC awards them Rs 50 lakh

| TNN | Dec 4, 2018, 02:42 IST

Highlights

  • The accident took place on May 10, 2008, in Vadakara, resulting in death of a Keralite working in the Gulf
  • His 22-year-old widow and two children, along with his 90-year-old father, moved the MACT, Vadakara, seeking Rs 25 lakh in compensation
NEW DELHI: After a Keralite working in the Gulf died in an accident in 2008, his family had moved the Motor Accident Claims Tribunal seeking Rs 25 lakh as compensation the case reached finality after 10 years in the Supreme Court, which awarded them Rs 50 lakh, including interest.

“Though the claimants sought a total compensation of Rs 25 lakh in their petition before MACT, we feel that the compensation which the claimants are entitled to is higher than the same. There is no restriction that the court cannot award compensation exceeding the claimed amount, since the foundation of the tribunal or court under Section 168 of Motor Vehicles Act, 1988, is to award ‘just compensation’,” a bench of Justices N V Ramana and Mohan M Shantanagoudar said.

The accident took place on May 10, 2008, in Vadakara, resulting in death of Ismail, who was working with Al-Rawabi Food Centre in Doha with a salary of 2,500 Qatari riyals (Rs 30,000) per month. His 22-year-old widow and two children, along with his 90-year-old father, moved the MACT, Vadakara, seeking Rs 25 lakh in compensation.

The tribunal assessed the monthly income at Rs 12,000 for the purpose of commuting compensation and deducted 50% towards the deceased person’s personal expenses to award Rs 11.83 lakh with an interest of Rs 7.5% per annum. The Kerala HC enhanced the compensation to Rs 21.50 lakh after taking into account the salary certificate issued by the Doha-based firm, which was duly certified by the Indian embassy.


On a petition filed by family members in the SC seeking enhancement of compensation, the bench of Justices Ramana and Shantanagoudar said, “Though we find that overall compensation awarded by the HC is just and reasonable in respect of all heads except under the head of loss of dependency, in our considered opinion, the HC has faulted in deducting two-thirds of the total income towards personal expenses of the deceased, while quantifying the compensation.


“Taking into consideration the high cost of living in Doha as well as the fact that the deceased was having a wife, two minor children and an aged father as dependants and as there is no other earning member in the family of the deceased, in the facts and circumstances of the case, a deduction of 40% of the salary for personal expenses would be appropriate for the purpose of quantifying compensation.”


It said the claimants were entitled to a compensation of Rs 28 lakh with interest at 8% from 2008. Simple interest of 8% for 10 years on a sum of Rs 28 lakh would be Rs 22.40 lakh and the total compensation would be over Rs 50 lakh.


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