MIRTUNAJAY KUMARSINGH Vs. ORIENTAL INSURANCE CO LTD

JUDGEMENT

(1.) THIS letters patent appeal by the owner is directed against the order of the learned Single Judge dated 29.8.2000 in Misc. Appeal No. 234 of 1999 directing him to pay no fault interim compensation of Rs. 50,000/ - with 12% interest to the claimants in terms of section 140 of the Motor Vehicles Act, 1988. The said order was passed in view of the decision of this Court in the case of National Insurance Company Ltd. vs. Smt. Neela Singh, 1999 (3) PLJR 489. The said decision since impliedly stands over -ruled by a Division Bench of this Court in Kanhai Rai & ors. vs. Dharampal & ors., 2001 (3) PLJR 103, wherein after consideration of various decisions of the Courts including the Apex Court, this Court has held that it is the insurance company which is liable to pay no fault interim compensation in respect of vehicles which are insured with it under the said Act. In view of the abovesaid decision of this Court, counsel for the Insurance Company fairly accepts that the company is liable to pay the amount.

(2.) ACCORDINGLY , the impugned order dated 29.8.2000 in Misc. Appeal No. 234 of 1999 is set aside. The respondent -Insurance Company is directed to pay sum of Rs. 50,000/ - minus the amount already paid, if any with 12% interest to the claimant forthwith, not later than four weeks from today.

(3.) THIS appeal is accordingly allowed.