FIR Delay Immaterial and Notional Income Enhanced Based on Occupations Proved Through Unrebutted Testimony in Motor Accident Claim

On November 7, 2014, the victim, Asta Mandal, was struck from behind by a Pick-up Van (WB-29X/0172) while walking along NH-6 near Kolaghat.

He succumbed to his injuries at the District Hospital.

The claimants (widow, children, and mother) filed a claim under Section 166 of the Motor Vehicles Act, 1988.

The Trial Court (ADJ, 1st Court, Tamluk) awarded Rs. 7,42,000/- with 6% interest, directing the insurer to pay and recover from the owner.

The Insurance Company appealed on grounds of delayed FIR, disputed mechanical involvement, and incorrect deduction for personal expenses.

The claimants filed a cross-objection seeking enhancement of income.

1. Whether the delay in lodging the FIR and the alleged non-involvement of the vehicle vitiated the claim.

2. Whether the Trial Court correctly assessed the victim's monthly income and the appropriate deduction for personal expenses.

Section 166 of the Motor Vehicles Act, 1988, concerning compensation for motor accidents.

FIR delay is not fatal in motor accident claims, as family members prioritize medical treatment over police reports.

Principles of "just compensation," including additions for future prospects (25% for age 43) and standard deductions for personal expenses based on the number of dependents (1/3rd applied here).

Reference to Deep Shikha v. National Insurance Co. Ltd. and Sanju Bai Prajapati v. New India Assurance Co. Ltd. regarding evidence and income assessment.

The Court rejected the insurer’s plea regarding the FIR delay, noting that in Indian society, families naturally rush to the hospital first, especially in fatal cases.

The involvement of the vehicle was established through the credible testimony of P.W. 2 (an eyewitness and charge-sheet witness) and the fact that the driver was facing criminal charges for the accident.

The Court found the Trial Court’s assessment of Rs. 4,000/- p.m. too low for a fish vendor; it increased the notional income to Rs. 7,000/- p.m.

The court calculated the total dependency by adding 25% for future prospects (Rs. 84,000 + 21,000 = Rs. 1,05,000), deducting 1/3rd for personal expenses (leaving Rs. 70,000), and applying a multiplier of 14 (totaling Rs. 9,80,000).

Adding Rs. 70,000 for conventional heads, the total was rounded to a "just" amount of Rs. 10,50,000.

The compensation was enhanced from Rs. 7,42,000 to Rs. 10,50,000 with 6% interest per annum from the date of filing.

The Insurance Company was directed to deposit the balance amount with the Registrar General of the High Court within 8 weeks, with specific directions for the protection of the minors' shares in nationalized banks, while the "pay and recover" direction against the owner remained intact.