State of Punjab and ors. Vs. Sanghu Singh and ors. - Court Judgment

Excerpt:
- motor vehicles act (59 of 1988)section 168: [dr.arijit pasayat & asok kumar ganguly,jj] compensation - multiplier method held, it involves ascertainment of loss of dependency or multiplicand. choice of multiplier is determined by age of deceased and by calculation as to what capital sum would yield the multiplicand by way of annual interest. section 168: [dr.arijit pasayat & asok kumar ganguly,jj] compensation determination - deceased riding scooter died in accident with bus - he was aged 43 years and earning rs. 12000/-p.m. as contractor applying multiplier of 10 and making 1/3rd deduction claimants would be entitled to compensation of rs.2,40,000/- with interest @ 6% p.a. section 168 :[dr.arijit pasayat & asok kumar ganguly,jj] compensation multiplier method held, the multiplier method involves the ascertainment of the loss of dependency or the multiplicand having regard to the circumstances of the case and capitalising the multiplicand by an appropriate multiplier. the choice of the multiplier is determined by the age of the deceased (or that of the claimants whichever is higher) and by the calculation as to what capital sum, if invested at a rate of interest appropriate to a stable economy, would yield the multiplicand by way of annual interest. in ascertaining this, regard should also be had to the fact that ultimately the capital sum should also be consumed up over the period for which the dependency is expected to last. deceased aged 43 years at time of accident and was hawker. multiplier of 10 and rate of interest @ 6% p.a. would be appropriate and not multiplier of 15 and interest rate @ 9% p.a. fixed by high court. compensation was determined at rs.2,00,000/- with interest at 6% p.a. order1. this appeal is directed against the judgment dated 11.12.1996 of the division bench of the high court of punjab & haryana issuing directions to the appellant in the following terms:in the above circumstances, we direct the respondents to re-compute the pensionary benefits due to the petitioners after reckoning the services rendered by them in the schools run by the local bodies prior to 1.10.1957. arrears of pension and gratuity as may be found due, should be paid to the petitioners within six months from the date of receipt of copy of this judgment. writ petition is allowed in the above terms. 2. the state of punjab, aggrieved by the aforesaid direction, has filed the present appeal by special leave. at the time of issuing of notice in this case on 1.12.1997, this court had directed that the notice going to the respondents shall state that the matter will be disposed of at the slp stage in the light of the judgment of this court in state of punjab and ors. v. dev dutt kaushal and ors. : air1996sc85 . we are informed that this judgment has been followed in a subsequent judgment of this court in state of punjab and ors. v. harnam singh and ors. : [1997]1scr377 .3. the respondents have been served but they have not put in any counter affidavit. the case has also been called out several times today, but no counsel has appeared to defend the case on their behalf.4. we have gone through the impugned order and find that the case is covered in favour of the state of punjab by the aforesaid judgments.5. we, accordingly, allow this appeal, set aside the impugned order of the high court and dismiss the writ petition. we, however, clarify that if the arrears as calculated and the pensionary and other benefits have already been paid to the respondents in the meanwhile, no recovery shall be effected from them. there will be no order as to costs.

Judgment:
ORDER

1. This appeal is directed against the judgment dated 11.12.1996 of the Division Bench of the High Court of Punjab & Haryana issuing directions to the appellant in the following terms:

In the above circumstances, we direct the respondents to re-compute the pensionary benefits due to the petitioners after reckoning the services rendered by them in the schools run by the Local Bodies prior to 1.10.1957. Arrears of pension and gratuity as may be found due, should be paid to the petitioners within six months from the date of receipt of copy of this judgment. Writ petition is allowed in the above terms.

2. The State of Punjab, aggrieved by the aforesaid direction, has filed the present appeal by special leave. At the time of issuing of notice in this case on 1.12.1997, this Court had directed that the notice going to the respondents shall state that the matter will be disposed of at the SLP stage in the light of the judgment of this Court in State of Punjab and Ors. v. Dev Dutt Kaushal and Ors. : AIR1996SC85 . We are informed that this judgment has been followed in a subsequent judgment of this Court in State of Punjab and Ors. v. Harnam Singh and Ors. : [1997]1SCR377 .

3. The respondents have been served but they have not put in any counter affidavit. The case has also been called out several times today, but no counsel has appeared to defend the case on their behalf.

4. We have gone through the impugned order and find that the case is covered in favour of the State of Punjab by the aforesaid judgments.

5. We, accordingly, allow this appeal, set aside the impugned order of the High Court and dismiss the writ petition. We, however, clarify that if the arrears as calculated and the pensionary and other benefits have already been paid to the respondents in the meanwhile, no recovery shall be effected from them. There will be no order as to costs.