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New India Assurance Co. Ltd. vs Sunita Gill And Ors. on 29 January, 2018

i. Whether approved for
reporting in Press/Media : Yes/No/Optional
ii. Whether to be reported in
Digest/Journal : Yes/No

1. By virtue of this common order I am deciding three appeals i.e. two appeals
filed by Insurance Company for setting aside the award and one has been
filed by claimants- Pinki Khokhar and another, for enhancement of

2. In the memo of appeal (CIMA No.57/2010) Appellant-Insurance Company
has stated that the respondents Nos. 1 to 3 filed a claim petition under
Section 166 of M.V. Act before the M.A.C.T., Jammu for grant of
compensation on account of the death of Shri Akash Gill who had died in a
road traffic accident on 27.05.2005 at Sidhra Highway due to rash and
negligent driving of the truck bearing registration No. JKS-9461. It is
further stated that the respondent Nos. 4 and 5 being the owner and driver of
the offending vehicle were also impleaded as respondents in the claim
petition filed by respondents Nos. 1 to 3 before M.A.C.T., Jammu along

CIMA No.57/2010 c/w CIMA Nos.72/2010 & 96/2010 Page 1 of 13
with the appellant company being the insurer of the offending vehicle. The
appellant company after its service filed objections to the claim petition by
taking various defences available to it and denied its liability to pay any
compensation to the claimants in the case. One of the specific pleas raised
by the appellant company in its objection was that the driver Satnam Singh
was not holding a valid and effective driving license at the time of accident
and therefore, the appellant company had no liability to pay any
compensation. It is further stated that the respondents No. 4 and 5 i.e. the
owner and driver of the offending vehicle despite service did not chose to
appear and contest the claim petition. Accordingly, the appellant company
filed an appeal under Section 170 of M.V. Act seeking permission to defend
the claim petition on the defences available to owner/driver as well and the
said application was allowed by the Tribunal. Leanred M.A.C.T., Jammu
vide its composite judgment dated 02.09.2009 rejected the defences raised
by the appellant company and passed an award of Rs.11,92,300/- along with
interest @ 7.5% per annum from the date of filing of the claim petition in
favour of the respondent Nos.1 to 3 and against the appellant company with
liberty to recover the same from the owner of the offending vehicle. It is
further stated that the Appellant Company being aggrieved of the
judgment/award impugned challenges its legality, validity and correctness
on the following amongst other grounds:-

Source: IK

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New India Assurance Co. Ltd. vs Sunita Gill And Ors. on 29 January, 2018


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