UNION OF INDIA Vs. UNITED INDIA INSURANCE COMPANY LIMITED

JUDGEMENT

(1.) Leave granted in the SLPs.

(2.) Several important issues - whether omission to perform public law statutory duties can or cannot give rise to action at private law (Point 4) and liability of public bodies in tort while performing inherently dangerous operations (Point 3) etc. arise for consideration in this batch of cases.

(3.) This is a batch of appeals preferred by the Union of India represented by the General Manager, Southern Railway. The accident occured on 9-5-1979 at an unmanned level crossing at Akaparamba (near Kalady) in Kerala when a hired passenger-bus was hit by the Jayanthi Janatha Express at about 3 P.M., and 40 passengers in the bus and the driver thereof were killed while some other passengers sustained injuries. Two judgments of the Motor Accidents Claims Tribunal, Ernakulam in regard to the same accident are under appeal before us. In one batch of cases filed by dependents of deceased and injured persons, the Motor Accidents Claims Tribunal, Ernakulam by Judgment dated 28-2-1986 held that the driver of the bus was negligent and passed awards against the onwer of the bus and the insurance Company but dismissed the claim against the Railway on the ground that there was no negligence on the part of the driver of the railway-engine concerned or on part of the Railway Administration. The liability of the Insurance Company was restricted to a maximum of Rs. 5000/- per passenger as per the statutory provisions then in force. On appeals by the Insurance Company, cross-objections were preferred by claimants (in some cases). The appeals and cross-objections filed were partly allowed by the High Court, making the Railways also liable. In two other cases which were decided in an earlier judgment dated 27-9-1984, the same Tribunal at Ernakulam had held the Railways Administration also liable on account of its negligence in regard to the same accident. However, in both judgments, it was held that under Sections 110(1) and 110B of the Motor Vehicles Act, 1939 an award could be passed against the railway also which view was accepted by the High Court. Against all these judgments, the Union of India has preferred these Civil Appeals. Stay of operation of the judgments was refused by this Court, pending these appeals.