Rajwati @Rajjo & Ors. Vs United India Insurance Company Ltd. & Ors. (Supreme Court of India)
Conclusion: The Hon’ble Supreme Court held that that strict rules of evidence as applicable in a criminal trial, are not applicable in motor accident compensation cases. In other words, the standard of proof to be borne in mind must be of preponderance of probability and not the strict standard of proof beyond all reasonable doubt which is followed in criminal cases.
Facts: In present facts of the case, two appeals were directed against the final orders dated 29.04.2019 passed by the High Court of Judicature for Rajasthan, Jaipur Bench (hereinafter referred to as ‘High Court’) in two Miscellaneous Appeals filed by Respondent No. 1 herein, seeking to set aside the judgment and award dated 26.10.2018 passed by the Motor Accident Claim Tribunal/Additional District and Sessions Judge, Kaman, District Bharatpur (hereinafter referred to as ‘Learned Tribunal’). Both these appeals arise out of the same accident. Hence, they have been clubbed together and are being decided by this common judgment. In both the matters, the High Court allowed the appeal of Respondent No.1 herein and modified the award passed by the Learned Tribunal, and reduced the compensation awarded to the Claimants/Appellants.
The Appellants are the heirs and dependents of the deceased, who died on 29.10.2013 as a result of a motor accident. The deceased was working as a driver. On 29.10.2013, at around about 8:00 PM, the deceased along with his co-worker Kanti Lal was riding a motorcycle while returning home from work, when he was hit from behind by a truck being driven by Respondent No. 3 in a rash and negligent manner. The deceased and his co-worker were severely injured and died on the spot. The Appellants filed a claim petition under Section 166 of the Motor Vehicles Act, 1988 before the Learned Tribunal, seeking compensation amounting to Rs.91,46,000/- along with interest. Vide Judgment and Award dated 26.10.2018, the Learned Tribunal awarded a compensation of Rs.19,64,218.75/- along with interest @ 7% per annum from the date of filing of the claim petition till the realization of the decretal amount. The deceased’s age at the time of the accident was 41 years, and the same was ascertained by the Learned Tribunal on the basis of his driving license (Exhibit-A1) which recorded his date of birth as 25.08.1972. Exhibit-19 (Salary Certificate) and Exhibit-20 (Pay Slip) were produced. On the basis of pay slip, the Learned Tribunal assessed the income of the deceased at Rs.11,225/- per month. To this, 25% was added towards future prospects bringing his monthly income to Rs.14,031.25/-. The Learned Tribunal added a multiplier of 15, thereby calculating the compensation to be Rs.25,25,635/-(Rs.14,031.25 x 12 x 15). After deducting 1/4th of the total income towards personal expenses (amounting to Rs.6,31,406.25/-), the Learned Tribunal arrived at a compensation of Rs.18,94,218.75/-. Further, the Learned Tribunal awarded Rs.40,000 towards loss of consortium, Rs.15,000/- towards loss of estate, and Rs.15,000/- towards funeral expenses.
Being aggrieved, Respondent No. 1 filed an appeal before the High Court. Vide judgment and final order dated 29.04.2019, the High Court held that the Learned Tribunal erred in relying on the salary certificate (Exhibit-19) and pay slip (Exhibit-20) to ascertain the income of the deceased at Rs.11,225/-per month, as the person who issued the said documents was not examined before the Learned Tribunal. Accordingly, the High Court assessed the income at Rs. 4,836/- per month in view of the minimum wages fixed by the State at the relevant time. Therefore, a total compensation of Rs.8,16,670/- (Rs.6,09,336/- + Rs.1,52,334/- + Rs.40,000/- + Rs.15,000/-) was awarded by the High Court. The remaining terms and conditions of the original award passed by the Learned Tribunal were affirmed.
The Hon’ble Supreme Court observed that strict rules of evidence as applicable in a criminal trial, are not applicable in motor accident compensation cases, i.e., to say, “the standard of proof to be borne in mind must be of preponderance of probability and not the strict standard of proof beyond all reasonable doubt which is followed in criminal cases”.
Therefore, view taken by the High Court while rejecting the salary certificate (Exhibit 19) and pay slip (Exhibit 20) of the deceased merely on the ground that the person issuing the two aforementioned documents was not examined before the Learned Tribunal cannot be sustained. The said documents are conclusive proof of the income of the deceased and were also corroborated by the statements of the deceased’s wife (Appellant No. 1 herein) and his co-workers. As such, it was held that the High Court was not justified in assessing the income of the deceased at Rs.4,836/- per month on the basis of minimum wages fixed by the State at the relevant time. Resultantly, the findings of the Learned Tribunal so far as they relate to assessing the deceased’s income at Rs.11,225/- per month on the basis of aforementioned two documents. Annual income of the deceased, therefore, amounts to, Rs.11,225/- x 12 = Rs.1,34,700/- were affirmed.
Hence, the total compensation payable to the Appellants was fixed at Rs. 20,98,655/-a long with the rate of interest payable on the total compensation awarded is liable to be calculated at 9% per annum, from the date of filing of the claim petition before the Learned Tribunal till the date of realisation. Accordingly, appeal was allowed and on similar basis Civil Appeal No. 8180 of 2022 was also decided in favour of the another appellant.
FULL TEXT OF THE SUPREME COURT JUDGMENT/ORDER
These two appeals are directed against the final orders dated 29.04.2019 passed by the High Court of Judicature for Rajasthan, Jaipur Bench (hereinafter referred to as ‘High Court’) in two Miscellaneous Appeals (being S.B.Misc. Appeal No. 441/2019 and S.B. Misc. Appeal No. 561/2019) filed by Respondent No. 1 herein, seeking to set aside the judgment and award dated 26.10.2018 passed by the Motor Accident Claim Tribunal/Additional District and Sessions Judge, Kaman, District Bharatpur (hereinafter referred to as ‘Learned Tribunal’) in Misc. Civil (M.A.C.) No. 18/2016 (13/2014) and Misc. Civil (M.A.C.) No. 14/2014. Both these appeals arise out of the same accident. Hence, they have been clubbed together and are being decided by this common judgment.
2. In both the matters, the High Court allowed the appeal of Respondent No.1 herein and modified the award passed by the Learned Tribunal, and reduced the compensation awarded to the Claimants/Appellants.
CIVIL APPEAL No. 8179 OF 2022
3. The Appellants are the heirs and dependents of Ghasita Ram (hereinafter referred to as ‘deceased’), who died on 29.10.2013 as a result of a motor accident. The deceased was working as a driver in PNC Infratech Ltd. On 29.10.2013, at around about 8:00 PM, the deceased (along with his co-worker Kanti Lal) was riding a motorcycle while returning home from work, when he was hit from behind by a truck being driven by Respondent No. 3 in a rash and negligent manner. The deceased and his co-worker were severely injured and died on the spot. The deceased has left behind five dependents who are the Appellants before this Court.
4. The Appellants filed a claim petition [being Misc. Civil (M.A.C.) No. 18/2016 (13/2014)] under Section 166 of the Motor Vehicles Act, 1988 before the Learned Tribunal, seeking compensation amounting to Rs.91,46,000/- along with interest. Vide Judgment and Award dated 26.10.2018, the Learned Tribunal awarded a compensation of Rs.19,64,218.75/- along with interest @ 7% per annum from the date of filing of the claim petition till the realization of the decretal amount.
5. The Learned Tribunal held that the deceased died as a result of the injuries suffered in the accident caused due to rash and negligent driving of Respondent No. 3 herein. The deceased’s age at the time of the accident was 41 years, and the same was ascertained by the Learned Tribunal on the basis of his driving license (Exhibit-A1) which recorded his date of birth as 25.08.1972. Exhibit-19 (Salary Certificate) and Exhibit-20 (Pay Slip) were produced. On the basis of pay slip, the Learned Tribunal assessed the income of the deceased at Rs.11,225/- per month. To this, 25% was added towards future prospects bringing his monthly income to Rs.14,031.25/-. The Learned Tribunal added a multiplier of 15, thereby calculating the compensation to be Rs.25,25,635/-(Rs.14,031.25 x 12 x 15). After deducting 1/4th of the total income towards personal expenses (amounting to Rs.6,31,406.25/-), the Learned Tribunal arrived at a compensation of Rs.18,94,218.75/-. Further, the Learned Tribunal awarded Rs.40,000 towards loss of consortium, Rs.15,000/- towards loss of estate, and Rs.15,000/- towards funeral expenses.
6. Thus, the compensation awarded by the Learned Tribunal to the Appellants under various heads was as under:
