Judgment:
S.K. Keshote, J.
1. Heard learned counsel for the parties.
2. Petitioners Nos. 1 and 2 are the heirs and legal representatives of one Chandubhai Chaturbhai. Petitioners Nos. 3 to 5 are the heirs and legal representatives of one Shankerbhai Naranbhai. In a vehicular accident which has taken place on January, 28, 1976, both Chandubhai Chaturbhai, and Shankerbhai Naranbhai died. Petitioners Nos. 1 and 2 made an application being Motor Accidents Claim Application No. 190 of 1976, before the Motor Accidents Claims Tribunal for award of compensation from the drivers of the two vehicles, the owners of the two vehicles and the insurers of the two vehicles. Similar application, being M. A.C. Application No. 287 of 1976, was made by petitioners Nos. 3 to 5. The Tribunal, vide its judgment and award dated September 26, 1976, partly allowed both the applications and awarded to petitioners Nos. 1 and 2 a sum of Rs. 16,500 with running interest at the rate of 6 per cent. per annum from the date of application till realisation and proportionate costs. An amount of Rs. 21,000 has been awarded by the Tribunal to petitioners Nos. 3 to 5 with running interest at the rate of 6 per cent. per annum from the date of application till realisation, and proportionate costs. Inter se liability of the owners and the insurers of the two vehicles was apportioned equally.
3. As usual the insurance companies as well as owners have not paid the amount of compensation awarded by the Tribunal in favour of the petitioners. The petitioners filed execution applications before the Tribunal for recovery of the amounts awarded to them. United India General Insurance Company, the insurer of one of the vehicles, deposited a sum of Rs. 9,902.26 pursuant to the award of M.A.C.A. No. 190 of 1976 and Rs. 12,534.46 pursuant to the award in M.A.C.A. No. 286 of 1976. These amounts were deposited by the company considering its liability to the extent of half of the amount awarded. Respondents Nos. 1 and 2 have deposited the amount of their liability on April 29, 1979, in pursuance of the judgment and award in both the aforesaid M.A.C. As. with the Collector, Delhi. The petitioners could not get that amount and as such they approached the legal aid committee of this court for necessary action against the respondents. The Secretary, Legal Aid Committee, made correspondence with the respondent-company. From the correspondence made between the secretary, legal aid committee and the respondent-company it transpires that the amount has been deposited with the Collector, Delhi, in April, 1979, but the Collector, Delhi, has not remitted that amount to the concerned Motor Accidents Claims Tribunal in Gujarat. Hence, this petition with the prayer for direction to the respondents to deposit the amount awarded in favour of the petitioner by the Motor Accidents Claims Tribunal, Nadiad, in M. A. C. Case No. 190 of 1976 and M.A.C. Case No. 287 of 1976 decided on October 25, 1977, the Collector, Delhi, has also been impleaded as party to this petition.
4. On February 21, 1984, this court passed the following order :
'Rule, returnable on March 12, 1984. Interim direction to respondent No. 3 to remit to this High Court the amounts of the awards made at once if they are lying with him and if he fails therein, suitable proceedings will be initiated against him.'
5. Counsel for the petitioners admits that this order was not sent or made available or known to the Collector, Delhi. The Collector, Delhi, has been served with notice of this special civil application, but nobody has put in appearance on behalf of the said party. Here is a case where the respondents have not taken care to see that the poor claimants get the amount of compensation awarded in their favour by the Motor Accidents Claims Tribunal, Nadiad, in the two claim applications. This amount has to be deposited by the respondents with the Tribunal, but instead of depositing the same with the Tribunal the same appears to have been deposited in the office of the Collector, New Delhi. Merely because the vehicle in question was insured in Delhi, I fail to see any justification in the action of the respondents to deposit the amount of compensation awarded in favour of the petitioners in the office of the Collector, New Delhi.
6. The petitioners filed this Special Civil Application on January 27, 1984. Even after receipt of notice of this special civil application the respondents have not taken care to make payment of the amount of compensation awarded by the Tribunal to the petitioners. Even if the amount has been deposited, the respondents should have paid the amount of compensation to the petitioners and should have taken steps to get the amount withdrawn from the office of the Collector, New Delhi. On the contrary, they expect the petitioners, who are poor persons residing in interior villages of Kheda District to go to New Delhi, and take necessary action for withdrawal of the amount. That expectation of the respondents is wholly arbitrary unjust and against the comprehension of persons of ordinary prudence. Under the Motor Vehicles Act, 1939, insurance of the vehicle is compulsory. It is the statutory liability of the truck owner to have insured the truck, and in case of any accident to ensure immediate payment of the amount of compensation realisable from the insurance company. It is the statutory duty of the insurance company to pay the amounts to the claimants as per the award made by the Tribunal. This statutory obligation has been frustrated by none other than the insurance company. The Collector was directed to remit the amount deposited by the insurance company to this court. But the insurance company has not taken care to get the order served upon the Collector, New Delhi. The resultant position is that though the award has been passed in the year 1977, for all these years the poor petitioners could not get the amount of compensation from the respondents. Not only this, these poor persons have been deprived of the use of the amount of compensation. Counsel for respondents Nos. 1 and 2 contended that the amount has been deposited by the insurance company in the month of April, 1984, and as such there is no liability whatsoever of the insurance company to make any payment of interest on the said amount. I fail to see any justification in this contention of counsel for the insurance company. The amount has been deposited with an authority which has no concern whatsoever with the matter. It is understandable that if the amount is deposited with the Motor Accidents Claims Tribunal concerned, then there may not be any liability of the insurance company to pay interest for the period after the date of deposit of the aforesaid amount. But it is a case where the amount has been deposited by the insurance company, for reasons best known to them, with the Collector, New Delhi, who has nothing to do with the matter. It is also expected of the petitioners to go to Delhi, for receiving the amount from the Collector, Delhi. As per the award, the amount is to be deposited with the Tribunal at Nadiad. It is a case where the poor petitioners have been deprived of the amount of compensation for all these years without there being any fault on their part. The action of the respondent insurance company of depositing the amount of compensation in the office of the Collector, New Delhi, is wholly unjust and arbitrary.
7. In the result, this writ petition succeeds. Respondents Nos. 1 and 2 are directed to pay to petitioners Nos. 1 and 2 Rs. 9,902.26 and Rs. 12,534.46 to respondents Nos. 3 to 5 within a period of one month from today. Respondents Nos. 1 and 2 are further directed to pay interest. on the aforesaid amount at the rate of 12 per cent. per annum from January 27, 1984, the date on which this writ petition was filed by the petitioners, till the date of payment. The amount of interest shall also be paid by respondents Nos. 1 and 2 together with the amount of compensation as aforesaid. Respondents Nos. 1 and 2 are free to withdraw the amount deposited by them in the office of the Collector, New Delhi. Respondents Nos. 1 and 2 are directed to pay Rs. 1,000 (rupees one thousand) by way of costs of this petition. However, this amount has to be deposited by respondents Nos. 1 and 2 in the office of the Legal Aid and Advice Board, High Court of Gujarat, Ahmedabad, as consented by counsel for the petitioners, within a period of one month from today. It shall be open to the Secretary, Legal Aid and Advice Board, Gujarat State, to take appropriate action for recovery of the amount in case the same is not deposited by the respondents as directed above. Copy of this judgment and order shall be sent to the Secretary, Legal Aid and Advice Board, Gujarat State, High Court of Gujarat, Ahmedabad. Rule made absolute in the aforesaid terms.