LAWS(MPH)-1996-2-24

JAGANOO Vs. CHHOTE

Decided On February 22, 1996
JAGANOO Appellant
V/S
CHHOTE Respondents

JUDGEMENT

(1.) THIS appeal has been filed by the appellants, owners of the vehicle, against award given by the Motor Accidents Claims Tribunal, Shivpuri, dated 7. 2. 1995 in Claim Case No. 16 of 1992, whereby the learned Tribunal has awarded a sum of Rs. 54,000/- as compensation with costs and interest at the rate of 12 per cent per annum. During the pendency of this appeal, a compromise has been arrived at between the claimants and the appellants and in that the appellants have deposited a sum of Rs. 25,000/- and Rs. 4,000/- in addition to a sum of Rs. 25,000/- deposited by the insurance company towards no fault liability. Thus, total amount of Rs. 54,000/- has already been deposited towards the satisfaction of the award. Therefore, it is submitted that the whole amount of compensation has been paid by the appellants. A condition is also stipulated that in case the interim amount of compensation deposited by the insurance company is to be refunded, the same shall also be borne by the appellants. Since part of the amount of compensation has already been satisfied by entering into compromise by the appellants and the claimants, the main appeal filed by the appellants stands dismissed.

(2.) IN the cross-objection also finding has been challenged by the insurance company and it is said that an amount of Rs. 25,000/- has been deposited by the insurance company towards 'no fault liability'. It is prayed that the said amount should be refunded to the insurance company as the Tribunal has discharged the insurance company of its liability. This contention of the learned Counsel appears to be justified. When the Tribunal has found that the insurance company is not liable to compensate the insured, the amount deposited by the company towards no fault liability has to be refunded by virtue of provisions under Section 149 (4) of the Motor Vehicles Act, 1988. No order has been passed by the Tribunal in this regard. The cross-objection filed by the insurance company, therefore, succeeds. Insurance company is entitled to recover the amount of compensation paid by it towards no fault liability from the appellants as it has not been held liable by the Tribunal.

(3.) AS a result, the main appeal is dismissed and cross-objection is allowed. There shall be no order as to costs.