DIVISIONAL OFFICE, vs MAILARI S/O MALLAPPA SIDDAKKANAVAR,
- Court
- Karnataka High Court
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HC-KAR
NC: 2026:KHC-D:16454
MFA No. 100508 of 2017
CNR: KAHC020058042017
IN THE HIGH COURT OF KARNATAKA AT DHARWAD
TH
DATED THIS THE 5 DAY OF OCTOBER, 2026
BEFORE
THE HON'BLE MRS JUSTICE USHARANI
MISCELLANEOUS FIRST APPEAL NO. 100508 OF 2017 (MV-I)
BETWEEN:
DIVISIONAL OFFICE,
NEW INDIA ASSURANCE CO. LTD.,
DHARWAD, C/O: 672000 SAVITRI SADAN,
OPPOSITE KITTAL COLLEGE,
P.B. ROAD, DHARWAD, KARNATAKA,
REPRESENTED THROUGH ITS
REGIONAL OFFICE,
NEW INDIA ASSURANCE CO. LTD.,
ND
2 FLOOR, KALBURGI-BHADRAPUR INFINITY,
PINTO ROAD, HUBBALLI-20,
REPRESENTED BY ITS DULY
CONSTITUTED ATTORNEY …APPELLANT
(BY SRI. SHARNAPPA S KOLIWAD, ADVOCATE)
AND:
1. MAILARI,
S/O MALLAPPA SIDDAKKANAVAR,
AGE: 39 YEARS,OCC: MASON,
R/O: UGARAGOL, TQ: SAUNDATTI,
DIST: BELAGAVI.
2. ASMATHKHAN,
S/O ZAFARKHAN PATHAN,
AGE: 61 YEARS, OCC: BUSINESS,
R/O: SAUNDAGAR GALLI,
LINE BAZAR, DIST DHARWAD. …RESPONDENTS
(COURT NOTICE TO R1 IS SERVED – UNREPRESENTED)
(R2 - SERVED)
Digitally
signed by
YASHAVANT
NARAYANKAR
Date:
2026.10.13
10:55:23
+0530
YASHAVANT
NARAYANKAR
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HC-KAR
NC: 2026:KHC-D:16454
MFA No. 100508 of 2017
CNR: KAHC020058042017
THIS MFA IS FILED UNDER SECTION 173(1) OF MOTOR
VEHICLES ACT, 1988, AGAINST THE JUDGMENT AND AWARD
DATED 27.08.2016 PASSED IN MVC NO.2303/2014 ON THE
FILE OF THE SENIOR CIVIL JUDGE AND MEMBER, ADDITIONAL
MOTOR ACCIDENT CLAIMS TRIBUNAL, SAUNDATTI, AWARDING
COMPENSATION OF RS.3,17,700/- WITH INTEREST AT 9% P.A.
FROM THE DATE OF PETITION TILL ITS REALISATION.
THIS APPEAL, COMING ON FOR FINAL HEARING, THIS
DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
CORAM: HON'BLE MRS JUSTICE USHARANI
ORAL JUDGMENT
The insurer viz., New India Assurance Company Ltd., is in
appeal against the judgment and award dated 27.08.2016
passed in M.V.C. No.2303/2014 by the Senior Civil Judge and
Additional Motor Accident Claims Tribunal, Saundatti (for short,
‘the Tribunal’) challenging liability saddled, quantum of
compensation and rate of interest awarded.
2. Brief facts of the case are that the respondent No.1
herein filed claim petition under Section 166 of the Motor
Vehicles Act, 1988 (hereinafter referred to as ‘MV Act’, for
short) claiming compensation for grievous injuries sustained by
him in a motor vehicle accident that occurred on 20.04.2014 at
about 11.00 P.M. involving motorcycle bearing registration
No.KA-24/H-6533 and a truck bearing registration No.KA-25/D-
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HC-KAR
NC: 2026:KHC-D:16454
MFA No. 100508 of 2017
CNR: KAHC020058042017
5055. It was stated by the respondent No.1 i.e., claimant
therein that while he was travelling as a pillion rider on the
motor cycle, the truck came in a rash and negligent manner
and dashed against the motor cycle. As a result of the said
accident, respondent No.1 and another pillion rider have
sustained grievous injuries, and the rider died on spot.
3. On issuance of notice by the Tribunal, respondent
No.2 i.e., owner of the offending vehicle remained absent and
he was placed ex parte . The appellant-insurer appeared before
the Tribunal and filed objection statement denying averments in
the claim petition. Further, it was contended that the driver of
the truck had no valid driving licence as on the date of the
accident. The deceased was riding the motorcycle and two more
persons including the respondent No.1-claimant were travelling
as pillion riders, due to which the rider lost control over the
motorcycle and the accident in question took place.
4. Before the Tribunal, Respondent No.1 examined
himself as PW-1 and the treated doctor as PW-2, and has got
marked Exs.P1 to P35. The appellant-insurer did not lead any
oral evidence but has got marked the insurance policy as Ex.R1.
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MFA No. 100508 of 2017
CNR: KAHC020058042017
The Tribunal, on appreciation of the materials on record,
awarded a total compensation of Rs.3,17,700/- on the following
heads:
Amount
Rs.
Sl.
No.
Component/Head
1. Pain and sufferings 80,000-00
2. Medical expenses 14,281-15
3. Attendant charges nursing, extra
nourishment charges and conveyance
chares
24,000-00
4. Loss of future earning 1,13,400-00
5. Loss of income during treatment period 36,000-00
6. Loss of amenities 50,000-00
Total
Rounded off
3,17,681-15
3,17,700-00
The Tribunal saddled the liability to pay the compensation on
the insurer, and directed the insurer to pay the compensation of
Rs.3,17,700/- along with interest at the rate of 9% per annum
from the date of petition till realization within a period of 30
days from the date of the award. Being aggrieved by the
judgment and award of the Tribunal, the insurer has filed this
appeal .
5. Since Sri Subhash B. Sankad, learned counsel who
was earlier representing respondent No.1, was appointed as
Judicial Officer, court notice was issued to respondent No.1 on
24.06.2026. Pursuant to this, a report is placed on record which
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MFA No. 100508 of 2017
CNR: KAHC020058042017
indicates that the court notice issued to respondent No.1 was
served personally but respondent No.1 has neither appeared
nor is represented by a counsel.
6. Sri. Sharanappa S. Koliwad, learned counsel
appearing for the appellant-insurer contended that the Tribunal
erred in saddling the entire liability to pay the compensation on
the insurer as there was violation of Section 128 of the MV Act.
He submits that Section 128 of the MV Act deals with safety
measures for drivers and pillion riders. In the instant case,
three persons were travelling on a motor cycle and the rider of
the motor cycle lost control over the motorcycle, thereby he
contributed to the cause of the accident. Therefore, he prays
that some portion of negligence be attributed on the part of the
rider of the motorcycle.
Learned counsel for the appellant has also contended that
notional income determined by the Tribunal at Rs.9,000/- per
month is on the higher side because as per the notional income
chart issued by the Karnataka State Legal Services Authority,
the notional income fixed for the year 2014 is Rs.7,500/- per
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MFA No. 100508 of 2017
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month. Therefore, the income of the claimant be taken as
Rs.7,500/- per month and the compensation towards ‘loss of
future earnings’ and ‘loss of income during treatment period’ be
re-determined. He also submits that the compensation awarded
under the other heads i.e., ‘loss of amenities’, ‘pain and
suffering’, ‘attendant charges, conveyance and nourishment’
are on the higher side and the same requires to be reduced.
Learned counsel further contended that the Tribunal
committed a grave error in awarding 9% interest while the
bank interest rate as on date is not more than 6%.
7. The only point that arise for consideration in this
case is
(i) Whether the impugned judgment and award of
the Tribunal requires to be interfered with?
8. The accident in question took place on 20.04.2014
involving motorcycle bearing registration No.KA-24/H-6533 and
a truck bearing registration No.KA-25/D-5055 and as a result
grievous injuries were suffered by the respondent no. 1-
claimant. The said facts are not in dispute in this appeal.
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MFA No. 100508 of 2017
CNR: KAHC020058042017
9. At the outset, it is important to refer to the
judgment of the Hon’ble Apex Court in the case of Mohammed
Siddique and Another v. National Insurance Company Ltd. and
1
Others . The Hon’ble Apex Court considering the fact that the
deceased was riding a motor cycle along with the driver and
another held that the same may not by itself, without anything
more, make him guilty of contributory negligence. At the most,
it would be in violation of Section 128 of the M.V. Act and would
attract penal action. In order to prove contributory negligence,
one has to prove casual connection between violation and the
accident. In other words, if it is proved that if not for the
violation, the accident could have been averted or impact could
have been minimized, then it would be a case of contributory
negligence.
10. In the instant case, it is important to note that it is
not the case of the appellant-insurer that the accident itself
occurred as a result of three persons riding on a motor cycle.
Therefore, in the absence of any evidence to show that the
wrongful act on part of the victim contributing to the cause of
1
(2020) 3 SCC 57
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MFA No. 100508 of 2017
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the accident or to the nature of the injuries sustained, the rider
of the motor cycle cannot be held guilty of contributory
negligence.
11. The notional income chart issued by the Karnataka
State Legal Services Authority prescribes notional income of
Rs.7,500/- per month for the year 2014, i.e., the year when the
accident occurred in this case. The Tribunal has assessed the
income of the respondent no. 1-claimant at Rs.9,000/- per
month, which is more than what is prescribed in the said chart.
12. Having regard to the injuries suffered by the
respondent No.1 and considering the doctor’s evidence, the
Tribunal has rightly assessed the whole body disability at 7%.
The multiplier ‘15’ was rightly applied by the Tribunal, having
regard to the age of respondent No.1 is 36 years. Hence, it is
not interfered with.
13. In the light of the above, the respondent No.1 is
entitled to a sum of Rs.94,500/- under the head ‘loss of future
earnings’.
Rs.7,500 x 12 x 15 x 7% = Rs.94,500/-
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MFA No. 100508 of 2017
CNR: KAHC020058042017
14. Further, a sum of Rs.30,000/- (Rs.7,500 x 4) is
awarded towards ‘loss of income during the laid up period’
which is taken as four months. Insofar as the compensation
awarded by the Tribunal under other heads i.e., ‘pain and
sufferings’, ‘medical expenses’, ‘loss of amenities’ and
‘attendant charges, nursing, extra nourishment charges and
conveyance charges, the same is just and proper and requires
no interference.
15. Thus, the respondent No.1-claimant would be
entitled to modified compensation as under:
Amount
Rs.
Sl.
No.
Component/Head
1. Pain and sufferings 80,000-00
2. Medical expenses 14,281-15
3. Attendant charges nursing, extra
nourishment charges and conveyance
chares
24,000-00
4. Loss of future earning 94,500-00
5. Loss of income during laid up period 30,000-00
6. Loss of amenities 50,000-00
Total
Rounded off
2,92,781-15
2,92,800-00
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MFA No. 100508 of 2017
CNR: KAHC020058042017
16. In Puttamma and others Vs. K.L. Narayana
2
Reddy and Another it was held that relevant factors like
inflation, change in economy, policy being adopted by Reserve
Bank of India will have to be considered while awarding
interest. Further a co-ordinate bench in United India Insurance
3
Company vs. Malyadari held that awarding interest at the rate
of 9% is more appropriate in a case of death and serious
injuries. Hence, this Court finds no reason to interfere with the
impugned judgment awarding interest payable on compensation
at the rate of 9% per annum.
17. In view of the above, the following:
ORDER
(i) The appeal is allowed in part.
(ii) The judgment and award, dated 27.08.2016,
passed in MVC No.2303/2014 by the Senior
Civil Judge and Additional Motor Accident
Claims Tribunal, Saundatti, Belagavi, is
modified. The Respondent No.1-claimant is
entitled to compensation of Rs.2,92,800/-
instead of Rs.3,17,700/- awarded by the
2
(2013)15 SCC 45
3
MFA No.3895/2018 dated 01.06.2026
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Tribunal. The compensation now assessed shall
carry interest at the rate of 9% per annum
from the date of claim petition till realization.
(iii) The appellant-Insurance Company shall deposit
the enhanced compensation amount with
accrued interest before the Tribunal within six
weeks from the date of receipt of certified copy
of this judgment.
(iv) The apportionment and disbursement of
compensation shall be made in terms of the
award of the Tribunal.
(v) Draw modified award accordingly.
The amount in deposit before this Court and the
records of the Tribunal be transmitted to Tribunal
forthwith.
Sd/-
(USHARANI)
JUDGE
KMS
List No.: 1 Sl No.: 30