Enhanced compensation for hit and run motor accidents must be processed under the Scheme of 2022.

In brief

The question

1. Whether the claimants are entitled to enhanced compensation under the "Compensation to Victims of Hit and Run Motor Accidents Scheme, 2022" despite the accident occurring prior to the scheme’s notification

The court held

The High Court set aside the impugned award and disposed of the appeal, granting the claimants liberty to apply before the Claims Enquiry Officer/SDO (Revenue), Kanker, under the 2022 Scheme

It also directed

The Court directed the SDO and the Claims Settlement Commissioner (Collector) to conclude the enquiry and ensure the payment of enhanced compensation within 60 days of application

The Court further directed the Amicus Curiae to inform the concerned authorities to prioritize the case given the eight-year delay

01Facts

The appellants (claimants) are legal heirs of Devesh Kudshyam, who died in a "hit and run" motor accident on 05.10.2017

¶ 4

The Additional Motor Accident Claims Tribunal, Bhanupratappur, awarded the claimants ₹50,000/- as compensation along with interest in Claims Case No. 14 of 2018

¶ 1

The appellants filed this appeal under Section 173 of the Motor Vehicles Act, 1988, seeking an enhancement of the compensation amount

¶ 1

the parties acknowledged that the matter falls under the specific category of a hit and run case

¶ 2

02Issues

i.1. Whether the claimants are entitled to enhanced compensation under the "Compensation to Victims of Hit and Run Motor Accidents Scheme, 2022" despite the accident occurring prior to the scheme’s notification

¶ 2 & 4

ii.2. Whether the High Court can direct the statutory authorities to process the claim in a time-bound manner to mitigate the delay of eight years

¶ 4-5

03Law Applied

The court applied Section 161 of the Motor Vehicles Act, 1988 (as amended by the Motor Vehicles (Amendment) Act, 2019), which enhanced compensation for hit and run victims

p. 3

It primarily relied on the "Compensation to Victims of Hit and Run Motor Accidents Scheme, 2022," which superseded the Solatium Scheme, 1989, and established a compensation of ₹2,00,000 for death and ₹50,000 for grievous hurt

pp. 2-3

The court also noted the procedural framework for claim settlement involving the Claims Enquiry Officer (Sub-Divisional Officer), the Claims Settlement Commissioner (District Magistrate), and the General Insurance (GI) Council

pp. 3-6

Provisions in the judgment · 1 · Linked ones open on LawLens

Motor Vehicles Act, 1988 Section 173

04Reasoning

The court observed that the claimants had been litigating for eight years following the 2017 accident

¶ 4

Recognizing the case as a "hit and run," the court integrated the 2022 Scheme's enhanced compensation provisions into the present appeal. It determined that the appropriate remedy was not a standard enhancement by the Tribunal, but a transition to the statutory scheme which provides a fixed sum of ₹2,00,000 for death

¶ 2

The court analyzed the procedural requirements of the Scheme, noting that the Claims Enquiry Officer must decide within one month and the transfer of funds must happen within 15 days thereafter

p. 3

To ensure justice for the long-suffering claimants, the court exercised its jurisdiction to set aside the lower tribunal's award and directed the Revenue authorities (SDO and Collector) to process the application specifically under the 2022 Scheme’s timeline

¶ 4

05Holding

The High Court set aside the impugned award and disposed of the appeal, granting the claimants liberty to apply before the Claims Enquiry Officer/SDO (Revenue), Kanker, under the 2022 Scheme

¶ 4

The Court directed the SDO and the Claims Settlement Commissioner (Collector) to conclude the enquiry and ensure the payment of enhanced compensation within 60 days of application

¶ 4

The Court further directed the Amicus Curiae to inform the concerned authorities to prioritize the case given the eight-year delay

¶ 5

LawLens.Chhattisgarh High Court

Original Court PDF