ALLAUDDIN S/O HUSENSAB SHAIKH vs SHRI.ABDUL RAHIM S/O SHIVAPPA

- 1 -
HC-KAR
NC: 2026:KHC-D:17506
MFA No. 100577 of 2020


CNR: KAHC020048122020



IN THE HIGH COURT OF KARNATAKA AT DHARWAD


TH
DATED THIS THE 27 DAY OF OCTOBER, 2026


BEFORE

THE HON'BLE MRS JUSTICE USHARANI

MISCELLANEOUS FIRST APPEAL NO. 100577 OF 2020

(MV-I)

BETWEEN:

ALLAUDDIN S/O HUSENSAB SHAIKH
AGE: 47 YEARS, OCC: HAMAL, (NOW NIL),
R/O: BANAVASI, TQ: SIRSI,
DIST: KARWAR-581318.
…APPELLANT





(BY SRI. HARISH S MAIGUR, ADVOCATE)

AND:

1. SRI. ABDUL RAHIM S/O SHIVAPPA
AGE: 44 YEARS, OCC: BUSINESS,
R/O: DASANAKOPPA CROSS,
BANAVASI, TQ: SIRSI-581318,
DIST KARWAR (U.K)

2. THE DIVISIONAL MANAGER
UNITED INDIA INSURANCE CO. LTD.,
MODI COMPLEX, HOSPET ROAD,
SIRSI-581402, TQ: SIRSI,
DIST: KARWAR (U.K.)
…RESPONDENTS




Digitally
signed by
YASHAVANT
NARAYANKAR
Date:
2026.10.30
12:01:11
+0530
YASHAVANT
NARAYANKAR

(NOTICE TO R1 IS DISPENSED WITH;
SRI. N.R. KUPPELUR, ADV. FOR R2)

THIS MFA IS FILED UNDER SECTION 173(1) OF MOTOR
VEHICLES ACT, PRAYING TO ENHANCE THE COMPENSATION BY

- 2 -
HC-KAR
NC: 2026:KHC-D:17506
MFA No. 100577 of 2020


CNR: KAHC020048122020


MODIFYING THE JUDGMENT AND AWARD PASSED IN M.V.C.
NO. 537/2018 ON THE FILE OF THE SENIOR CIVIL JUDGE AND
ADDL. M.A.C.T., SIRSI, DATED 05.11.2019 BY ALLOWING THIS
APPEAL WITH COST, IN THE INTEREST OF JUSTICE AND
EQUITY.
THIS APPEAL, COMING ON FOR ADMISSION, THIS DAY,
JUDGMENT WAS DELIVERED THEREIN AS UNDER:
CORAM: HON'BLE MRS JUSTICE USHARANI

ORAL JUDGMENT
1. This appeal is filed by the claimant under Section
173(1) of the Motor Vehicles Act, 1988 (for short, ‘the MV Act’),
seeking enhancement of compensation awarded by the Senior
Civil Judge and Additional Motor Accident Claims Tribunal, Sirsi
(hereinafter referred to as ‘the Tribunal’, for short), in MVC
No.537/2018, vide judgment and award dated 05.11.2019.
2. The occurrence of accident and the liability fixed on
the insurance company are not in dispute.
3. The Tribunal, on appreciation of the oral and
documentary evidence, has recorded a finding that the accident
has occurred due to rash and negligent driving of the driver of
the offending lorry bearing registration No.KA-22/B-9733 and
that the appellant has sustained injuries in the said accident.

- 3 -
HC-KAR
NC: 2026:KHC-D:17506
MFA No. 100577 of 2020


CNR: KAHC020048122020


Thereafter, Tribunal has proceeded to award compensation
under the following heads:
Sl. Amount awarded by
Heads of compensation
No. Tribunal
1. Pain and suffering ₹40,000/-
2. Medical expenses ₹48,500/-
3. Food, nourishment charges ₹ 5,000/-
4. Transportation charges ₹ 5,000/-
5. Laid up charges ₹48,000/-
Loss of future earning capacity on
6. ₹62,400/-
account of permanent disability
₹40,000/-
7. Loss of amenities

8. Future Expenses ₹20,000/-

₹2,68,900/-
Total
4. Learned counsel for the appellant submits that the
appellant was working as a hamal and was earning Rs.700/-
per day which comes to Rs.21,000/- per month, but the
Tribunal has taken his income as Rs.8,000/- per month, which
is on a lower side. It is further contended that the Tribunal has
awarded lesser compensation under the head of ‘loss of future
earning capacity on account of permanent disability’. Though
the appellant has suffered fracture of left femur, the Tribunal
instead of considering the disability at 12% to the whole body,
has considered it as 5% disability to the whole body. On these

- 4 -
HC-KAR
NC: 2026:KHC-D:17506
MFA No. 100577 of 2020


CNR: KAHC020048122020


grounds, appellant sought for modification of the award passed
by the Tribunal and enhancement of compensation.
5. Per contra
, learned counsel for the respondent No.2
argued that the Tribunal has properly assessed and fixed the
compensation under various heads, hence interfering with the
judgment is not required. The counsel further submits that in
the absence of any proof, the Tribunal is justified in assessing
disability at 5% to the whole body.
6. Heard the learned counsel for the parties and
perused the records.
7. At the outset, it is important to note here that
admittedly the claimant was working as hamal, but there is no
evidence with regard to his income. Hence, taking into
consideration the fact that the accident has occurred on
24.09.2018, the income is fixed by this Court at Rs.11,750/-
per month as per the notional income chart issued by the
Karnataka State Legal Services Authority. Since appellant is
aged 46 years, as per guidelines in National Insurance Co.

- 5 -
HC-KAR
NC: 2026:KHC-D:17506
MFA No. 100577 of 2020


CNR: KAHC020048122020


1
Ltd. v. Pranay Sethi & ors multiplier of 13 is applied. It is
also important to note here that admittedly the claimant has
suffered fracture of left femur and when his nature of work is
considered, it becomes evident that injuries suffered by him will
definitely cause grave impediment. Therefore, considering the
available materials on record, and also the consent given by
both the learned counsels to fix the disability at 12%, I deem it
appropriate to consider the disability suffered by the claimant
at 12% instead of 5% to the whole body. Therefore, the award
passed by the Tribunal has to be modified to that extent, which
comes to ₹2,19,960/- (₹11,750 × 12 × 13 × 12/100).
Sl.
Heads of compensation Amount
No.
1. Pain and suffering ₹40,000/-
2. Medical expenses ₹48,500/-
3. Food, nourishment charges ₹ 5,000/-
4. Transportation charges ₹ 5,000/-
5. Laid up charges ₹48,000/-
Loss of future earning capacity on account of
6. ₹2,19,960/-
permanent disability
₹40,000/-
7. Loss of amenities

8. Future Expenses ₹20,000/-

₹4,26,460/-
Total


1
(2017) 16 SCC 680.

- 6 -
HC-KAR
NC: 2026:KHC-D:17506
MFA No. 100577 of 2020


CNR: KAHC020048122020


9. In view of the above discussion, compensation
awarded by the Tribunal at ₹2,68,900/- is reassessed and it is
held that the appellant is entitled to a total compensation of
₹4,26,460/-.
10. With regard to interest fixed at 6%, on the award
amount, it is relevant to refer the case of Puttamma and
2
others Vs. K.L. Narayana Reddy and Another wherein the
Hon'ble Supreme Court has held that relevant factors such as
inflation, changes in the economy and the policy being adopted
by the Reserve Bank of India are required to be considered
while awarding interest. Further, a Co-ordinate Bench of this
3
Court in United India Insurance Company V/s Malyadari
has opined that awarding interest at the rate of 9% per annum
is more appropriate in cases involving death and serious
injuries. Accordingly, the enhanced compensation shall also
carry interest at the rate of 9% per annum from the date of
petition till realization.

2
(2013)15 SCC 45
3
MFA 3895/2018

- 7 -
HC-KAR
NC: 2026:KHC-D:17506
MFA No. 100577 of 2020


CNR: KAHC020048122020


11. Accordingly, this Court proceeds to pass the
following:
ORDER
i. The appeal is allowed in part .
ii. The judgment and award dated 05.11.2019 in MVC
No.537/2018 passed by the Senior Civil Judge and
Additional Motor Accident Claims Tribunal, Sirsi is
modified.
iii. The appellant is entitled to a total compensation of
₹4,26,460/- as against ₹2,68,900/- awarded by the
Tribunal.
iv. The enhanced compensation shall carry interest at
the rate of 9% per annum from the date of petition
till realization.
v. The respondent shall deposit the enhanced
compensation, together with accrued interest, before
the Tribunal within a period of eight weeks from the
date of receipt of a certified copy of this judgment.
vi. The Registry shall transmit the Trial Court records
forthwith.

Sd/-
(USHARANI)
JUDGE

KGK /CT:CNB
LIST NO.: 1 SL NO.: 9