Court directs U.P.S.R.T.C. to pay Rs. 16,04,092 to the family of the deceased with 7% interest
In a significant judgment, the Allahabad High Court has enhanced the compensation amount awarded to the family of Ankit, a 22-year-old who tragically died in a road accident involving a bus operated by the Uttar Pradesh State Road Transport Corporation (U.P.S.R.T.C.). The court increased the compensation to Rs. 16,04,092, along with an interest rate of 7% per annum from the date of filing the claim petition until the actual payment is made.
Justice Sandeep Jain presided over the appeal, which was filed by the deceased's family against the initial compensation of Rs. 2,60,000 awarded by the Motor Accident Claims Tribunal, Bulandshahr. The Tribunal had based its decision on the notional income of the deceased, assessing it at Rs. 15,000 per annum, which the High Court found grossly inadequate.
The court observed that in the absence of documentary evidence regarding the deceased's income, the compensation should be calculated based on the minimum wages for unskilled workers in Uttar Pradesh at the time of the accident, which was Rs. 6,362 per month. The High Court applied a multiplier of 18, considering the deceased's age, and included additional compensation for future prospects at 50% of the income, as per statutory rules and precedents.
Moreover, the court awarded additional compensation under non-pecuniary heads, including Rs. 40,000 per dependent for loss of consortium, increased by 10% every three years, and amounts for loss of estate and funeral expenses, in line with the Supreme Court's guidelines.
The judgment mandates U.P.S.R.T.C. to deposit the enhanced compensation within two months, allowing the tribunal to allocate the amount proportionally among the claimants based on their age and dependency.
Bottom Line:
Motor Vehicles Act - Enhancement of compensation awarded to dependents of a deceased in a road accident case - Assessment of income of the deceased in absence of documentary proof to be based on minimum wages of an unskilled worker prevailing at the time of the accident - Future prospects and appropriate multiplier to be considered in accordance with statutory rules and precedents.
Statutory provision(s): Motor Vehicles Act, 1988, Section 173
Smt. Kashmiri v. U.P.S.R.T.C., (Allahabad) : Law Finder Doc id # 2840293
