Iffco Tokio General Insurance Co. Ltd vs Mohd. Irshad & Ors on 18 May, 2026

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    Delhi High Court – Orders

    Iffco Tokio General Insurance Co. Ltd vs Mohd. Irshad & Ors on 18 May, 2026

                              $~5
                              *         IN THE HIGH COURT OF DELHI AT NEW DELHI
                              +         MAC.APP. 855/2013
                                        IFFCO TOKIO GENERAL INSURANCE CO. LTD                                                  .....Appellant
                                                                      Through:            Mr. Yuvraj Sharma, Advocate for Mr.
                                                                                          Pankaj Seth, Advocate.
    
                                                                      versus
    
                                        MOHD. IRSHAD & ORS                                                 .....Respondents
                                                     Through:                             Mr. Sanjay Baniwal, Ms. Manisha,
                                                                                          Mr. R.K. Seewal, Advocates for
                                                                                          Respondent no.3.
                                        CORAM:
                                        HON'BLE MR. JUSTICE ANISH DAYAL
                                                                      ORDER
    

    % 18.05.2026

    1. This appeal has been filed by the Insurance Company for assailing the
    award dated 17th August 2013 passed by the Motor Accident Claims Tribunal,
    Central, Tis Hazari Courts, Delhi (‘MACT’) awarding compensation of
    Rs.1,38,237/- along with 9% interest.

    SPONSORED

    2. The singular ground of appeal by the Insurance Company is that there
    was lack of endorsement on the driver’s license for driving a commercial
    vehicle. The accident took place on 03rd August 2012, where the claimant was
    travelling on foot near Sadar Police Station, Delhi, when he was hit by the
    D-van bearing registration no. DL-1LJ-2145, causing grievous injuries.

    3. The Insurance Company took up the issue that the said vehicle was a
    Light Goods Vehicle, but the license was only valid for Light Motor Vehicle
    (‘LMV’) and there was no endorsement for a commercial vehicle.

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 20/05/2026 at 21:18:13

    4. This issue may no longer be res integra, considering the decisions of
    the Supreme Court in Mukund Dewangan v Oriental Insurance Co. Ltd,
    2017 14 SCC 663, which was upheld in the judgment of Bajaj Alliance
    General Insurance Company Ltd. vs Rambha Devi and Ors.
    (2023) 4 SCC

    723.

    5. The issue arose in Mukund Dewangan (supra), whether a driver who
    has a license to drive LMV, needs to obtain additional endorsement to drive a
    ‘transport vehicle’ under amended Section 10(2)(e). The Supreme Court
    reached a conclusion that the definition of light motor vehicle as in Section 2
    (21)
    MV Act, would include a transport vehicle if it is within the weight
    prescribed in Section 2 (21) read with Sections 2 (15) and Section 2 (48) of
    the MV Act. Such transport vehicles were not excluded from the definition of
    light motor vehicles by virtue of the Amendment Act 54 of 1994.
    Relevant
    paragraphs of the Mukund Dewangan (supra):

    “60. Thus, we answer the questions which are referred
    to us thus:

    60.1. “Light motor vehicle” as defined in Section
    2(21)
    of the Act would include a transport vehicle
    as per the weight prescribed in Section 2(21) read
    with Sections 2(15) and 2(48). Such transport
    vehicles are not excluded from the definition of the
    light motor vehicle by virtue of Amendment Act 54
    of 1994.

    60.2. A transport vehicle and omnibus, the gross
    vehicle weight of either of which does not exceed
    7500 kg would be a light motor vehicle and also
    motor car or tractor or a roadroller, “unladen
    weight” of which does not exceed 7500 kg and
    holder of a driving licence to drive class of “light
    motor vehicle” as provided in Section 10(2)(d) is
    competent to drive a transport vehicle or omnibus,

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 20/05/2026 at 21:18:13
    the gross vehicle weight of which does not exceed
    7500 kg or a motor car or tractor or roadroller, the
    “unladen weight” of which does not exceed 7500
    kg. That is to say, no separate endorsement on the
    licence is required to drive a transport vehicle of
    light motor vehicle class as enumerated above. A
    licence issued under Section 10(2)(d) continues to
    be valid after Amendment Act 54 of 1994 and
    28-3-2001 in the form.

    60.3. The effect of the amendment made by virtue of
    Act 54 of 1994 w.e.f. 14-11-1994 while substituting
    clauses (e) to (h) of Section 10(2) which contained
    “medium goods vehicle” in Section 10(2)(e),
    “medium passenger motor vehicle” in Section
    10(2)(f)
    , “heavy goods vehicle” in Section 10(2)(g)
    and “heavy passenger motor vehicle” in Section
    10(2)(h)
    with expression “transport vehicle” as
    substituted in Section 10(2)(e) related only to the
    aforesaid substituted classes only. It does not
    exclude transport vehicle, from the purview of
    Section 10(2)(d) and Section 2(41) of the Act i.e.
    light motor vehicle.

    60.4. The effect of amendment of Form 4 by
    insertion of “transport vehicle” is related only to
    the categories which were substituted in the year
    1994 and the procedure to obtain driving licence for
    transport vehicle of class of “light motor vehicle”

    continues to be the same as it was and has not been
    changed and there is no requirement to obtain
    separate endorsement to drive transport vehicle,
    and if a driver is holding licence to drive light motor
    vehicle, he can drive transport vehicle of such class
    without any endorsement to that effect.”

    (emphasis supplied)

    6. Since there were differing views of various benches on this issue, a
    reference was made by a three Judge Bench of the Supreme Court in Rambha

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 20/05/2026 at 21:18:13
    Devi (supra), to a Constitutional Bench on whether a person holding a driving
    license in respect of LMV could on the strength of same license be entitled to
    drive a transport vehicle of LMV class having unladen weight not exceeding
    7500 kgs.
    Accordingly, the Supreme Court deliberated upon the issue and
    upheld the judgment in Mukund Dewangan (supra) and held as under:

    “181. Our conclusions following the above
    discussion are as under:

    181.1. A driver holding a licence for light motor
    vehicle (LMV) class, under Section 10(2)(d) for
    vehicles with a gross vehicle weight under 7500 kg,
    is permitted to operate a “transport vehicle”

    without needing additional authorisation under
    Section 10(2)(e) of the MV Act specifically for the
    “transport vehicle” class. For licensing purposes,
    LMVs and transport vehicles are not entirely
    separate classes. An overlap exists between the two.
    The special eligibility requirements will however
    continue to apply for, inter alia, e-carts,
    e-rickshaws, and vehicles carrying hazardous
    goods.

    181.2. The second part of Section 3(1), which
    emphasises the necessity of a specific requirement
    to drive a “transport vehicle”, does not supersede
    the definition of LMV provided in Section 2(21) of
    the MV Act.

    181.3. The additional eligibility criteria specified in
    the MV Act and the MV Rules generally for driving
    “transport vehicles” would apply only to those
    intending to operate vehicles with gross vehicle
    weight exceeding 7500 kg i.e. “medium goods
    vehicle”, “medium passenger vehicle”, “heavy
    goods vehicle” and “heavy passenger vehicle”.
    181.4. The decision in Mukund Dewangan
    (2017) [Mukund Dewangan v. Oriental Insurance
    Co. Ltd.
    , (2017) 14 SCC 663] is upheld but for
    reasons as explained by us in this judgment. In the

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 20/05/2026 at 21:18:13
    absence of any obtrusive omission, the decision is
    not per incuriam, even if certain provisions of the
    MV Act and the MV Rules were not considered in
    the said judgment.”

    (emphasis supplied)

    7. This issue has been considered by this Court in MAC.APP.144/2017
    titled as “The Oriental Insurance Co. Ltd. v. Ram Charan & Ors.”

    8. Considering the decisions of the Supreme Court, the appeal cannot be
    sustained and, therefore, is dismissed.

    9. By order dated 20th September 2013, compensation was deposited
    before the MACT. Now, since the appeal stands dismissed, the total
    compensation be released to the claimants, if not already released, by the
    MACT in accordance with the directions of the MACT in the impugned
    award.

    10. Statutory deposit, if any, be refunded to appellant.

    11. Pending applications, if any, are rendered infructuous.

    12. Order be uploaded on the website of this Court.

    ANISH DAYAL, J
    MAY 18, 2026/ak/bp

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 20/05/2026 at 21:18:13



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