Smt. Chiriki Demudamma & Another vs Mr Rongali Demudu Naidu Another on 28 July, 2026

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    Andhra Pradesh High Court – Amravati

    Smt. Chiriki Demudamma & Another vs Mr Rongali Demudu Naidu Another on 28 July, 2026

                                               1
    
    Date of reserved for orders :08.05.2026
    Date of pronouncement       :28.07.2026
    Date of uploading            :28.07.2026
    APHC010077122014
                       IN THE HIGH COURT OF ANDHRA PRADESH
                                     AT AMARAVATI                          [3520]
                              (Special Original Jurisdiction)
    
                       TUESDAY, THE 28th DAY OF JULY 2026
    
                                        PRESENT
    
        THE HONOURABLE SRI JUSTICE A. HARI HARANADHA SARMA
    
      MOTOR ACCIDENT CIVIL MISCELLANEOUS APPEAL NO: 912/2014
    
    Between:
    
       1. SMT. CHIRIKI DEMUDAMMA & ANOTHER, W/O DEMUDU, R/O
          KOTHAPENTA (V) DEVARPALLI (M) VISAKHAPATNAM DISTRICT.
    
       2. SMT. CHIRIKI DEMUDU, S/O NARAYANAPPA, HINDU R/O
          KOTHAPENTA (V) DEVARPALLI (M) VISAKHAPATNAM DISTRICT.
    
                                                               ...APPELLANT(S)
    
                                           AND
    
       1. MR RONGALI DEMUDU NAIDU     ANOTHER, S/O VENKATA
          SWAMY, OWNER OF THE MOTOR CYCLE BEARING NO. AP 31
          AM 3931 R/O RONGALINAIDUPALEM (V) K. KOTAPADU (M)
          VISAKHAPATNAM
    
       2. IFCOTOKIO GENERAL INSURANCE COMPANY LIMITED, REPTD.
          BY ITS MANAGER, 4TH FLOOR, LOHIYA TOWERS, D.NO. 49-9/1-
          12, OPP. NIRMALA CONVENT, VIJAYAWADA
    
                                                            ...RESPONDENT(S):
    
         Appeal filed under Order 41 of CPC before the High Court
    
    IA NO: 1 OF 2012(MACMAMP 5018 OF 2012
    
         Petition under Section 151 CPC praying that in the circumstances
    stated in the affidavit filed in support of the petition, the High Court may be
                                       2
    
    pleased to condone the delay of 99 days in presentation in MACMASR NO.
    of 2012 dt. on the file of this Hon'ble Court and pass
    
    Counsel for the Appellant(S):
    
      1. JAYANTI S C SEKHAR
    
    Counsel for the Respondent(S):
    
      1. GUDI SRINIVASU
    
      2. .
    
    The Court made the following:
                                           3
    
     THE HONOURABLE SRI JUSTICE A. HARI HARANADHA SARMA
                           M.A.C.M.A.No.912 of 2014
    JUDGMENT:

    Introductory:

    1. One Chiriki Venkata Rao (hereinafter referred to as “the deceased”)

    died in a road traffic accident that occurred on 10.02.2009 at about 08:40

    p.m. near 12th K.M. stone, Dupputhuru Village, Rambilli Mandal,

    Visakhapatnam District, within the limits of Rambilli Police Station. His

    parents filed M.O.P.No.442 of 2010 and disputing the order and decree

    dated 30.11.2011 passed by the learned IX Additional District Judge-cum-

    Motor Accident Claims Tribunal (Fast Track Court), Visakhapatnam (for

    SPONSORED

    short “the learned MACT”), awarding compensation of Rs.2,13,500/- as

    against the claim made for Rs.5,00,000/-, contending that the same is

    inadequate and that the claimants are entitled for more amount, the present

    appeal is filed.

    2. Respondent No.1 is the owner of the Motorcycle bearing No.AP 31

    AM 3931 (hereinafter referred to as “the offending vehicle”). Respondent

    No.2 is the Insurance Company with which the offending vehicle was

    insured.

    3. Respondent No.1 remained ex parte before the learned MACT.

    4. For the sake of convenience, the parties will be hereinafter referred to

    as the petitioners/claimants and the respondents, as and how they are

    arrayed before the learned MACT.

    4

    Case of the claimants:

    5(i). They are dependents on the deceased and the deceased was aged

    about „24‟ years, working in Venkateswara Finance Company and earning

    Rs.6,000/- per month. Respondent No.1 was riding the motor vehicle on

    which the deceased was travelling.

    (ii). Due to the rash and negligent driving of respondent No.1, both of

    them fell down at the accident spot and the deceased sustained head

    injuries. Both were shifted to Apex Hospital, Visakhapatnam, but while

    undergoing treatment, the deceased succumbed to the injuries on

    17.02.2009.

    (iii). The claimants incurred medical expenditure of Rs.1,00,000/- for

    treatment.

    (iv). Negligence of the respondent No.1 is the cause for accident.

    (v). Respondent No.2, being the Insurance Company with which the

    offending vehicle was insured, is liable to pay the just and reasonable

    compensation.

    Case of respondent No.2:

    6. The claimants shall prove the pleaded accident, negligence of

    respondent No.1, age, occupation and income of the deceased and death of

    the deceased due to the accident. The premium for policy was paid by way

    of cheque and the cheque was dishonored. Therefore, respondent No.2 is

    not liable. However, the deceased himself was negligent in hurriedly getting
    5

    down from the vehicle and suffered the accident and death. Therefore,

    respondent No.2 is not liable to pay any compensation.

    7(i). During trial, on behalf of the claimants, claimant No.1 was examined

    as P.W.1, one K. Nagendra Babu was examined as P.W.2 to show that the

    deceased was treated at Apex Hospital and one Ch. Govinda Rao was

    examined as P.W.3 to show that the income of the deceased at Rs.6,000/-

    per month.

    (ii). Further, claimants relied on Ex.A1-attested copy of F.I.R, Ex.A2-

    attested copy of Post Mortem Report, Ex.A3-attested copy of MVI report,

    Ex.A4-attested copy of Charge Sheet, Ex.A5-Photostat copy of the policy,

    Ex.A6-Original Medical Bills for Rs.43,500/-, Ex.A7-Receipts issued by

    APEX Hospital, Ex.A8-Receipt issued by Steel City CT Scan Pvt. Ltd.,

    Ex.A9-Salary Certificate of the deceased issued by Sri Venkateswara Chits

    and Finance and Ex.X1-case sheet issued by APEX Hospital.

    (iii). No evidence is adduced on behalf of the respondents.

    Findings of the learned MACT:

    8. The deceased was admittedly a pillion driver. The vehicle was driving

    by respondent No.1 at the relevant time. Ex.A3-MVI Report shows that the

    accident is not due to mechanical defect. Charge sheet was laid against

    respondent No.1 vide Ex.A4.

    9. Respondent No.1 is not examined to disown the negligence and to

    prove the specific stand of respondent No.2 that the deceased himself was

    negligent. Therefore, the negligence of respondent No.1 is acceptable. The
    6

    ages of the petitioners are 45 and 55 and their average age is 50 years.

    Therefore, the multiplier applicable to the age group of 50 years can be

    taken. The deceased was earning Rs.6,000/- per month as per Ex.A9-

    Salary Certificate. The claimants are entitled for the amount covered under

    Ex.A6, i.e. Rs.43,500/-.

    10. The multiplier applicable to the age group of „50‟ years, viz. 9 can be

    applied and the income of the deceased can be taken at Rs.3,000/- per

    month and his contribution, being unmarried, to the petitioners can be taken

    at Rs.18,000/- per annum. When the same is multiplied by the multiplier, the

    loss of dependency comes to Rs.1,62,000/-. Towards funeral expenditure,

    the claimants are entitled for Rs.8,000/-. In all, the entitlement of the

    claimants is Rs.2,13,500/-.

    Arguments in the appeal:

    For the appellants / claimants:

    11(i). Taking the multiplier with reference to the age of the dependents /

    claimants is not correct.

    (ii). When the income was shown at Rs.6,000/-, accepting the income at

    Rs.3,000/- and deducting 50% without adding future prospects is not correct.

    (iii). The compensation awarded under conventional heads is not in tune

    with the settled law and practice.

    For the respondent Insurance Company:

    12(i). Negligence is not proved properly and the contributory negligence of

    the deceased in the occurrence of the accident should have been taken.
    7

    (ii). Taking the income at Rs.3,000/- per month by the learned MACT is

    proper and the acceptance of the income of the deceased by the learned

    MACT need not be interfered with.

    13. Heard both sides extensively. Perused the record. Thoughtful

    consideration is given to the arguments advanced by both sides.

    Scope of appeal:

    14(i). The appeal is by the claimants.

    (ii). Liability and entitlement of the claimants, are deemed to have been

    attained finality and beyond the scope of appeal, as the Insurance Company

    did not choose to prefer any appeal.

    15. The points that arise for determination in this appeal are:

    1) Whether the compensation of Rs.2,13,500/- awarded by the learned

    MACT is just and adequate or requires enhancement? If so, to what

    tune?

    2) What is the result of the appeal?

    Point No.1:

    Precedential guidance:

    16(i). For having uniformity of practice and consistency in awarding just

    compensation, the Hon‟ble Apex Court provided guidelines as to adoption of

    multiplier depending on the age of the deceased in Sarla Verma (Smt.) and

    Ors. Vs. Delhi Transport Corporation and Anr.1 and also the method of

    1
    2009 (6) SCC 121
    8

    calculation as to ascertaining multiplicand, applying multiplier and calculating

    the compensation vide paragraph Nos.18 and 19 of the Judgment.

    (ii). Further the Hon‟ble Apex Court in National Insurance Company Ltd.

    v. Pranay Sethi and Others2 case directed for adding future prospects at

    50% in respect of permanent employment where the deceased is below 40

    years, 30% where deceased is between 40-50 years and 15% where the

    deceased is between 50-60 years. Further, in respect of self employed etc.,

    recommended addition of income at 40% for the deceased below 40 years,

    at 25% where the deceased is between 40-50 years and at 10% where the

    deceased is between 50-60 years. Further, awarding compensation under

    conventional heads like loss of estate, loss of consortium and funeral

    expenditure at Rs.15,000/-, Rs.40,000/- and Rs.15,000/- respectively is also

    provided in the same Judgment.

    (iii). Further in Magma General Insurance Company Ltd. v. Nanu Ram

    and Others3, the Hon‟ble Apex Court observed that the compensation under

    the head of loss of consortium can be awarded not only to the spouse but

    also to the children and parents of the deceased under the heads of parental

    consortium and filial consortium.

    2
    2017(16) SCC 680
    3
    (2018) 18 SCC 130
    9

    Just Compensation:

    17. In Rajesh and others vs. Rajbir Singh and others4, the Hon‟ble

    Supreme Court in para Nos.10 and 11 made relevant observations, they are

    as follows:

    10. Whether the Tribunal is competent to award compensation in
    excess of what is claimed in the application under Section 166 of
    the Motor Vehicles Act, 1988, is another issue arising for
    consideration in this case. At para 10 of Nagappa
    case [Nagappa v. Gurudayal Singh, (2003) 2 SCC 274 : 2003 SCC
    (Cri) 523 : AIR 2003 SC 674] , it was held as follows: (SCC p. 280)
    “10. Thereafter, Section 168 empowers the Claims Tribunal to
    „make an award determining the amount of compensation which
    appears to it to be just‟. Therefore, the only requirement for
    determining the compensation is that it must be „just‟. There is no
    other limitation or restriction on its power for awarding just
    compensation.”

    The principle was followed in the later decisions in Oriental
    Insurance Co. Ltd. v. Mohd. Nasir
    [(2009) 6 SCC 280 : (2009) 2
    SCC (Civ) 877 : (2009) 2 SCC (Cri) 987] and
    in Ningamma v. United India Insurance Co. Ltd. [(2009) 13 SCC
    710 : (2009) 5 SCC (Civ) 241 : (2010) 1 SCC (Cri) 1213]

    11. Underlying principle discussed in the above decisions is with
    regard to the duty of the court to fix a just compensation and it has
    now become settled law that the court should not succumb to
    niceties or technicalities, in such matters. Attempt of the court
    should be to equate, as far as possible, the misery on account of
    the accident with the compensation so that the injured/the
    dependants should not face the vagaries of life on account of the
    discontinuance of the income earned by the victim.

    4
    (2013) 9 SCC 54
    10

    Analysis:

    18. As per the settled practice and law and the guidance of the Hon‟ble

    Apex Court, the multiplier applicable to the age of the deceased shall be

    taken into consideration. The deceased was aged about „24‟ years. The

    multiplier applicable to the age group „24‟ years is „18‟. The income of the

    deceased, as per Ex.A9 is Rs.6,000/- per month. P.W.3 deposed supporting

    the document Ex.A9. Therefore, the income mentioned under Ex.A9 can be

    accepted. The same can be adopted with an addition of 30% towards future

    prospects. Then, the income of the deceased can be accepted at Rs.7,800/-

    per month and Rs.93,600/- per annum. Since the deceased was unmarried,

    if 50% of the income is deducted towards the personal expenditure of the

    deceased, the contribution to the claimants would be Rs.46,800/- per annum

    and the same can be considered as multiplicand. When the multiplier „18‟ is

    applied, the entitlement of claimants for compensation under the head of

    loss of dependency is Rs.8,42,400/-. Towards medical expenditure, the

    claimants are entitled for Rs.50,000/- in view of Ex.A6 and X-ray vouchers

    etc. Towards funeral expenditure and loss of estate, the claimants are

    entitled for Rs.15,000/- under each head.

    19. Further, the claimants are entitled for loss of consortium at

    Rs.40,000/- each under the head of filial consortium.

    20. In view of the reasons and evidence referred above, the entitlement of

    the claimants for reasonable compensation in comparison to the

    compensation awarded by the learned MACT is found as follows:
    11

                         Head             Compensation                  Fixed by this
                                          awarded          by           Court
                                          the learned MACT
      (i)    Loss of dependency                     Rs.1,62,000/-            Rs.8,42,400/-
     (ii)    Medical expenditure                       Rs.43,500/-             Rs.50,000/-
     (iii)   Loss of estate                        -Nil-                       Rs.15,000/-
     (iv)    Loss of Consortium                    -Nil-                       Rs.80,000/-
                                                                              @ Rs.40,000/- to
                                                                               each claimant
    
     (v)     Funeral expenses                              Rs.8,000/-          Rs.15,000/-
             Total compensation awarded            Rs.2,13,500/-           Rs.10,02,400/-
             Interest (per annum)                          7.5%                        6%
                                                                           In view of long
                                                                        lapse of time and
                                                                          considering the
                                                                                 facts and
                                                                        circumstances of
                                                                                  the case
    
    
    

    21. For the reasons aforesaid and in view of the discussion made above,

    the point framed is answered concluding that the claimants are entitled for

    compensation of Rs.10,02,400/- with interest at the rate of 6% per annum

    from the date of petition till the date of realization and the order and decree

    dated 30.11.2011 passed by the learned MACT in M.O.P.No.442 of 2010

    require modification accordingly.

    Granting of more compensation than what claimed, if the claimants

    are otherwise entitled:-

    22. The legal position with regard to awarding more compensation than

    what claimed has been considered and settled by the Hon‟ble Supreme

    Court holding that there is no bar for awarding more compensation than

    what is claimed. For the said preposition of law, this Court finds it proper to

    refer the following observations of the Hon‟ble Supreme Court made in:
    12

    (1) Nagappa Vs. Gurudayal Singh and Others5, at para 21 of the

    judgment, that –

    “..there is no restriction that the Tribunal/Court cannot award
    compensation amount exceeding the claimed amount. The function of
    the Tribunal/Court is to award “just” compensation, which is reasonable
    on the basis of evidence produced on record.”

    (2) Kajal Vs. Jagadish Chand and Ors.6 at para 33 of the judgment,

    as follows:-

    “33. We are aware that the amount awarded by us is more than the
    amount claimed. However, it is well settled law that in the motor accident
    claim petitions, the Court must award the just compensation and, in
    case, the just compensation is more than the amount claimed, that must
    be awarded especially where the claimant is a minor.”

    (3) Ramla and Others Vs. National Insurance Company Limited and

    Others7 at para 5 of the judgment, as follows:-

    “5. Though the claimants had claimed a total compensation of Rs
    25,00,000 in their claim petition filed before the Tribunal, we feel that the
    compensation which the claimants are entitled to is higher than the
    same as mentioned supra. There is no restriction that the Court cannot
    award compensation exceeding the claimed amount, since the function
    of the Tribunal or Court under Section 168 of the Motor Vehicles Act,
    1988 is to award “just compensation”. The Motor Vehicles Act is a
    beneficial and welfare legislation. A “just compensation” is one which is
    reasonable on the basis of evidence produced on record. It cannot be
    said to have become time-barred. Further, there is no need for a new
    cause of action to claim an enhanced amount. The courts are duty-
    bound to award just compensation.”

    5

    (2003) 2 SCC 274
    6
    2020 (04) SCC 413
    7
    (2019) 2 SCC 192
    13

    Point No.2:

    23. In the result, the appeal is allowed as follows:

    (i) Compensation awarded by the learned MACT in M.O.P.No.442

    of 2010 at Rs.2,13,500/- with interest at the rate of 7.5% per

    annum is modified and enhanced to Rs.10,02,400/- with interest

    at the rate of 6% per annum from the date of petition till the date

    of realization.

    (ii) Claimants are liable to pay the Court fee for the enhanced part of

    the compensation, before the learned MACT.

    (iii) Apportionment:

    (a) Claimant No.1 / mother of the deceased is entitled to

    Rs.6,02,400/- with proportionate interest and costs.

    (b) Claimant No.2 / father of the deceased is entitled to

    Rs.4,00,000/- with proportionate interest.

    (iv) Respondent Nos.1 and 2 before the learned MACT are jointly and

    severally liable to pay the compensation. However, respondent

    No.2 / Insurance Company is liable in view of the insurance

    policy.

    (v) Time for payment /deposit of balance amount is two months.

    (a) If the claimants furnish the bank account number within 15

    days from today, the respondents shall deposit the amount

    directly into the bank account of the claimants and file the

    necessary proof before the learned MACT.

    14

    (b) If the claimants fail to comply v(a) above, the respondent No.2

    / Insurance Company shall deposit the amount before the

    learned MACT and the claimants are entitled to withdraw the

    amount at once on deposit.

    (vi) There shall be no order as to costs, in the appeal.

    24. As a sequel, miscellaneous petitions, if any, pending in the appeal

    shall stand closed.

    ____________________________
    A. HARI HARANADHA SARMA, J
    Date:28.07.2026
    Knr

    Whether the order is:

      Speaking              Reasoned          ✓
    
      Reportable            Non-reportable ✓
                                 15
    
    
    
    

    HON’BLE SRI JUSTICE A. HARI HARANADHA SARMA

    M.A.C.M.A No.912 of 2014
    28th July, 2026

    Knr



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