Judgment:
Hemant Gupta, J.
1. The challenge in the present appeal is to the award rendered by the learned Motor Accident Claims Tribunal on 17.11.1984, whereby a sum of Rs. 40,000/- was awarded as compensation to the claimant payable by the present appellants being owner and the driver of the offending vehicle.
2. As per the claimant, on 11.9.1982 he met with an accident. He was riding scooter No. HRT 6130 when a blue colour tractor driven by Hans Raj struck against this scooter. Richhpal Singh, appellant No. 2 was sitting on the mud guard of the said tractor. In the said accident, the claimant received injuries on his head, right arm, right leg and left foot. There was 40% of the deformity on his right hand on the junction of elbow.
3. To prove that the accident has taken place on account of negligent driving of the tractor, the claimant appeared as PW4 and also examined Gulshan PW 5 and Amarnath PW6. After considering the statements of the aforesaid witnesses, the learned Tribunal found that the accident had taken place on account of negligent driving of the tractor by Hans Raj. It was also found that Hans Raj, who was driving the tractor at the time of accident was not holding any driving licence. Therefore, the Insurance Company was absolved of the liability to make the payment of compensation.
4. The Hon'ble Supreme Court in New India Assurance Co. Shimla v. Kamla and Ors. : [2001]2SCR797 has held that when a valid insurance policy has been issued in respect of a vehicle, the burden is on the insurer to pay to third parties whether or not there has been any breach or violation of the policy conditions. But the amount so paid by the insurer to third parties can be allowed to be recovered from the insured if as per the policy conditions, the insurer had no liability to pay such sum to the insured. The said view was reiterated by the Hon'ble Supreme Court in National Insurance Company Ltd. v. Swaran Singh and Ors. : AIR2004SC1531 , wherein it was held that the liability of the Insurance Company is to satisfy the decree at the first instance and to recover the awarded amount from the owner and the driver thereof.
5. In view of the above principles of law, the Insurance Company is liable to make the payment of the amount of compensation to the claimant as the vehicle was insured in terms of Insurance Policy Exhibit R.1. Since the driver has admitted that he was not holding a valid driving licence, the Insurance Company is at liberty to recover the amount of compensation from the owner and driver as the case may be. Thus, the award of the learned Tribunal stands modified to the above extent. However, if the appellants have paid the entire amount of compensation, the same shall be a due satisfaction of the Award and the above modification in the award will not be applicable.
6. The present appeal is allowed in the above terms.