Full Judgment
S.R. Nayak, C.J.
1. In a death case, in a claim application filed by the parents and unmarried sister of the deceased, the Tribunal has awarded a sum of Rs. 1,92,000 under the head of loss of dependency and Rs. 2,000 towards funeral expenses. Thus, a total sum of Rs. 1,94,000 with interest at the rate of 9 per cent has been awarded to claimants. The claimants not being satisfied with the quantum of compensation awarded by the M.A.C.T. have preferred this appeal.
2. We have heard learned Counsel for the parties. It was contended by learned Counsel for the appellants-claimants that the M.A.C.T. ought not to have deducted 2/3rd income of the deceased towards his personal expenses. It was also contended that the deceased was doing milk vending business and he had owned 8-10 buffaloes and he was earning average income of Rs. 200 per day and Rs. 6,000 per month. It was also contended that M.A.C.T. is not justified in not awarding any compensation under the heads of loss to estate and loss of filial love.
3. On the other hand, learned standing counsel for the insurance company would support the impugned award and contend that what is awarded is just and reasonable compensation and it does not warrant for any interference.
4. Having heard the learned Counsel for the parties, a short question that arises for decision is whether the compensation awarded by the M.A.C.T., in the facts and circumstances of the case and evidence on record, could be regarded as just and reasonable compensation within the contemplation of the Motor Vehicles Act, 1988 (for short 'the Act') or if not, what could be just and reasonable compensation.
5. Deceased has left behind him both the parents and unmarried sister. It has come in the evidence that claimants were dependent on the income of the deceased. Normal rule in such case is to deduct not more than 50 per cent towards personal expenses of the deceased though in certain cases the court would be justified in deducting only 1/3rd. But in this case without any justifiable reason the Claims Tribunal has deducted 2/3rd of the income of the deceased towards his personal expenses. However, we have no good reason to take the income of the deceased at the rate of more than Rs. 3,000 per month although PW 2 in his evidence has stated that the deceased was daily selling 20-25 litres of milk. From that isolated statement we could not jump to a conclusion that the deceased was earning daily income of Rs. 200. The Claims Tribunal is also not justified in not awarding any compensation towards loss to estate and loss of filial love which are permissible heads to award compensation.
6. In the result and for the foregoing reasons, we award total compensation of Rs. 3,30,000 under the following heads:
(i) Loss of dependency Rs. 2,88,000(ii) Funeral expenses Rs. 2,000(iii) Loss to estate Rs. 20,000(iv) Loss of filial love Rs. 20,000----------------Total Rs. 3,30,000----------------
with interest at the rate of 9 per cent per annum from the date of claim petition till payment. The insurance company shall deposit the balance compensation before the M.A.C.T. within 6 weeks from today. The M.A.C.T. is directed to deposit a sum of Rs. 1,30,000 in any nationalised bank or postal savings account, whichever earns more interest initially for a period of three years and the balance of the compensation shall be paid to the claimants. There is no order as to costs.
7. The appeal is allowed to the extent indicated above.