ORIENTAL INSURANCE CO. LTD. vs. BIRMA DEVI & ORS.

Case Type: Misc Application

Date of Judgment: 12-05-2011

Preview image for ORIENTAL INSURANCE CO. LTD.  vs.  BIRMA DEVI & ORS.

Full Judgment Text

$~27
* IN THE HIGH COURT OF DELHI AT NEW DELHI

th
Date of decision: 5 December, 2011
+ MAC APP. 209/2010

ORIENTAL INSURANCE CO. LTD. ..... Appellant
Through: Mr. L. K. Tyagi, Adv.

Versus

BIRMA DEVI & ORS. ..... Respondents
Through: Mr. Mohinder Malhotra, Adv. for R-1.

CORAM:
HON'BLE MR. JUSTICE G.P.MITTAL

J U D G M E N T

G. P. MITTAL, J. (ORAL)


1. The Appellant Insurance Co. impugns the award dated
`
15.01.2010 whereby a total compensation of 4,82,070/- was
awarded in respect of death of Ms. Sushma, who was an
unmarried girl aged 23 years.
2. The Tribunal took the deceased’s income to be ` 4,470/- added
50% towards future prospects deducted 50% towards personal
living expenses and applied the multiplier of ‘9’ to arrive at
dependency of ` 3,60,070/-.
3. The only ground of challenge is that a sum of ` 1,00,000/-
awarded by the Tribunal towards love and affection was on
MAC APP 209/2010 Page 1 of 2


higher side. In Sarla Verma v. DTC , (2009) 6 SCC 121, it was
held that a nominal sum of ` 5,000/- to ` 10,000/- may be
awarded towards loss of estate, ` 5,000/- to ` 10,000/- towards
loss of consortium apart from funeral expenses. The award of
compensation of ` 1,00,000/- towards love and affection was on
the higher side. It needs to be reduced to ` 25,000/-. Overall
compensation works out to be ` 4,07,070/-. After deducting the
amount of ` 50,000/-, if paid towards interim compensation, the
balance amount shall be payable to Respondent No.1. 50% of
award amount was released to Respondent No.1 in terms of
order dated 22.11.2010. Rest of the awarded amount shall be
held in FDR for a period of 3 years in UCO Bank, Delhi High
Court Branch. The excess amount shall be refunded to the
Appellant Oriental Insurance Co. Ltd. along with statutory
deposit, if any.
4. The appeal is allowed in above terms.


(G.P. MITTAL)
JUDGE
DECEMBER 5, 2011
hs
MAC APP 209/2010 Page 2 of 2