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The Oriental Fire & General Insurance Co. Ltd. v. Sm. Rambha Barrick & Anr.

Calcutta High Court
Apr 3, 1989
Smart Summary (Beta)

Summary of Opinion: Appeal against Motor Accident Claims Tribunal Order No. 62 dated 30.9.74 (M.A.C. No. 233 of 1969)

Factual and Procedural Background

This appeal challenges an award of compensation made by the Motor Accident Claims Tribunal in M.A.C. No. 233 of 1969 by Order No. 62 dated 30.9.74. The Tribunal had held that the death of Bhramar Barrick resulted from rash and negligent driving of a private car and found Sm. Rambha Barrick to be the real widow of the deceased. The Tribunal awarded compensation of Rs. 22,400 and directed that the sum be realised from the insurer (opposite party No. 2). The insurer (opposite party No. 2) appealed to this Court.

The claimant's case was that on 2 August 1969 at 7:30 a.m. her husband, Bhramar Barrick, was knocked down by a private car (No. WBG 5354) at the junction of Darga Road and C.I.T. Road (P.S. Beniapukur), and the deceased subsequently died on 5.8.69 at Chittaranjan Hospital. Both the owner and the insurer filed written statements denying the claimant's allegations. The insurer specifically denied that the applicant was the married wife and legal representative of the deceased and alleged that one Sm. Bakul Barrick was the deceased's actual legally married wife.

Four witnesses were examined for the claimant (including the claimant), and the driver (Delhi Bahadur) was the sole witness for the owner. The Tribunal accepted claimant's entitlement as the widow based on the evidence and the failure of the insurer and owner to effectively rebut claimant's identity while she was on the witness box, and disbelieved the driver.

Legal Issues Presented

  1. Whether the insurer (opposite party No. 2) could raise on appeal the various factual and identity-related challenges to the claimant's entitlement, or whether the scope of its appeal was restricted by Section 96(2) of the Motor Vehicles Act.
  2. Whether Section 110-C(2A) of the Motor Vehicles Act applied so as to enlarge the scope of the insurer's appeal in this case (i.e., whether the criteria of Section 110-C(2A) were fulfilled).
  3. Whether the Tribunal erred in its appraisal of evidence and in accepting the claimant as the lawful widow of the deceased given alleged gaps: lack of post mortem report, discrepancies as to age, differing addresses, missing documentary/postal proof, and non-production of certain witnesses.
  4. Whether the Tribunal satisfied itself, independently, about the identity and eligibility of the claimant before directing payment of compensation.

Arguments of the Parties

Appellant's (Insurer's) Arguments — as presented by Mr. Majumder

  • The appellant did not dispute the quantum of the award but challenged the Tribunal's appraisal of evidence and factual findings.
  • Specific factual and evidentiary objections pressed on appeal included:
    • The applicant was not the widow and not the legal representative of the deceased.
    • The identity of the deceased was not established.
    • No post-mortem report was produced from the hospital.
    • There was a discrepancy as to the age of the deceased between the applicant's statement and the Death Certificate.
    • The address of the deceased differed from that stated by the applicant.
    • No postal receipts or envelopes were produced to show that the applicant received monies sent by the deceased.
    • Ramchandra Barrick, who allegedly informed the applicant of the death by letter, was not produced; the letter was said to be misplaced.
    • Other witnesses (Prahlad Barrick and Gobardhan Shaw) who allegedly carried money to the applicant were not produced.
  • The appellant contended there was hardly any material before the Tribunal to satisfy itself that the claimant was the real wife of the deceased and that independent evidence establishing the claimant's identity was absent (including concerns about thumb impressions and the agent who submitted documents).
  • In reply, Mr. Majumder also contended that the insurer's right to defend arises independently (referred to as "Section HOB" in the record) and, read with Rules 224 and 225 of the Motor Accidents Claims Tribunal Rules (West Bengal), the insurer has a broad statutory right of defence not limited by Section 96(2) of the Act.

Respondent's (Claimant's) Arguments — as presented by Mr. Das

  • There was no reason for the Tribunal to disbelieve the claimant's evidence or that of Dilip Das, and nothing was shown to substantiate the insurer's defence or to controvert claimant's evidence.
  • The insurer's ambit of defence is circumscribed by Section 96(2) of the Motor Vehicles Act and not beyond it; the insurer is not the aggrieved party — the owner is — and the owner had contested the matter by filing a written statement and did not appeal.
  • Section 110-C(2A) provides a special type of defence to the insurer only where there is apprehension of collusion between the claimant and the owner or when the owner does not contest; that special defence was not available in this case because the owner contested.
  • The insurer cannot take up every defence available to it; its defence is limited by the statutory scheme. Mr. Das relied on several authorities to support this position (citations in the record: (1978) A.C.J 252 (paras 13-15); (1982) A.C.J 372; (1983) A.C.J (Ker) 29; (1984) A.C.J (Pun & Hary) 369).

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
(1978) A.C.J 252 (paras 13 to 15) Authority cited by claimant's counsel to support limitation on the insurer's scope of defence/appeal. Cited by the claimant in submissions; relied upon in argument to demonstrate that insurer's defence is statutorily circumscribed. The Court accepted the claimant's statutory argument as part of its reasoning that the insurer's appeal could not be entertained beyond Section 96(2).
(1982) A.C.J 372 Authority cited in support of the proposition that the insurer's defence/appeal is limited by statute. Referenced in claimant's submissions; formed part of the body of authorities relied upon to support the Court's view that the appeal was restricted by Section 96(2).
(1983) A.C.J (Ker) 29 Authority cited for the same principle limiting insurer's defences/appeals. Used in submissions for the claimant; the Court's conclusion on the restricted scope of the insurer's appeal aligns with the principle advanced through such authorities.
(1984) A.C.J (Pun & Hary) 369 Authority cited to reinforce the claim that insurer's defences are limited. Included among the authorities relied on in the claimant's submissions; the Court treated the statutory limitation argument as decisive in dismissing the appeal.

Court's Reasoning and Analysis

The Court first set out the rival submissions. The appellant pressed factual and identity-related objections and also, in reply, contended for a broad statutory right of defence for the insurer (referred to in the record as arising under "Section HOB" together with Rules 224 and 225 of the Motor Accidents Claims Tribunal Rules (West Bengal)). The claimant submitted that the insurer's defence and appeal were limited by Section 96(2) of the Motor Vehicles Act and that Section 110-C(2A) was not attracted because the owner had contested and there was no established collusion.

On consideration, the Court held that the insurer's points on appeal could not be entertained because of the specific statutory restrictions imposed by Section 96(2) of the Motor Vehicles Act. The Court also found that the criteria necessary to enlarge the scope of the insurer's appeal under Section 110-C(2A) were not fulfilled in this case; consequently the scope of appeal remained limited.

Given those statutory limits, the Court concluded that the Tribunal's findings — including its acceptance of the claimant as the widow based on the evidence and the insurer's failure to effectively challenge identity while the claimant was on the witness box — must remain undisturbed. The Court therefore dismissed the appeal.

The Court added an important cautionary analysis directed to Tribunals: while the Tribunal accepted the claimant's entitlement on the basis of the failure of the insurer and owner to effectively challenge the claimant's identity, the Tribunal's duty is broader. Before directing payment it must satisfy itself about the claimant's identity and eligibility and, where necessary, invoke procedural powers (the Court specifically referenced Rules 222, 228 and 230 of the Bengal M.V. Rules). The Court emphasised that procedural formalities (e.g., proper identification of a claimant's thumb impression, verifying the authority of an agent, and proof that the named person is the actual victim) should be scrupulously observed so that awards reach genuine and deserving claimants.

Holding and Implications

Holding: The appeal is dismissed with costs.

Implications and immediate effects:

  • The Tribunal's award of Rs. 22,400 in favour of Sm. Rambha Barrick stands and the direction to realise the sum from the insurer (opposite party No. 2) remains operative.
  • The insurer's grounds of appeal, including challenges to the claimant's identity and other factual objections, were not entertained because the insurer's right of appeal was constrained by Section 96(2) of the Motor Vehicles Act and because the prerequisites of Section 110-C(2A) were not satisfied.
  • The Court underscored procedural safeguards for Tribunals: before ordering payment, Tribunals should independently satisfy themselves as to identity and entitlement and may, where necessary, make use of the powers under Rules 222, 228 and 230 of the Bengal M.V. Rules to ensure awards reach genuine claimants. This is an admonition to tribunals rather than a reworking of the particular award in this case.

Appeal dismissed.
A.R
Show all summary ...

S.K Mookherjee and Satyabrata Mitra, JJ.:— This appeal is directed against Order No. 62, dated 30.9.74 passed by the learned member, Motor Accident Claims Tribunal, in M.A.C No. 233 of 1969. By the said Order the learned Member held that the death of the deceased Bhramar Barrick was caused by the rash and negligent driving of the offending vehicle and the applicant Sm. Rambha Barrick was the real widow of the deceased Bhramar Barrick and awarded her compensation to the tune of Rs. 22,400 against the opposite parties. The learned Member further directed that the said sum of Rs. 22,400 be realised from the opposite party No. 2, i.e, the Insurance Company. The Insurance Company, being the opposite party No. 2, has preferred this appeal before this Court.

2. The case of the applicant was that on 2nd August, 1969 at 7.30 a.m her husband Bhramar Barrick was knocked down by a private car No. WBG 5354 at the junction of Darga Road and C.I.T Road under the Police Station Beniapukur and consequently he died on 5.8.69 at the Chittaranjan Hospital.

3. Both the owner of the offending car and the insurer thereof filed written statements denying the allegations of the claimant.

4. In the written statements filed by the opposite party No. 2, i.e, the Insurer, there was specific denial in paragraph 4 thereof, that the applicant was the married wife and legal representative of the deceased. It was further denied that her two minor sons were the sons and legal representatives of the deceased and that the applicant was their mother. In answer to columns 18, 19 and 20 of the claim-petition which contained the particulars of Sm. Rambha Barrick, a case was made out in paragraph 16 of the written statement of the opposite party No. 2, that one Sm. Bakul Barrick was the actual legally married wife of the deceased and that she had been living with the deceased for the last 15 years or more at No. 6-F, South Sealdah Road, Calcutta-700 010 and accordingly, the allegations made in columns Nos. 18, 19 and 20 of the claim petition were not admitted by the opposite party No. 2. The opposite party No. 1 in his written statement did not make out any specific case of the nature as made out by the opposite party No. 2 except alleging, in general terms, that the application was not maintainable in law.

5. After issues were raised and settled, four witnesses were examined on behalf of the applicant/respondent including herself, viz., applicant herself, one Dilip Das of M/s. Roy & Bagchi, Chartered Accountants, of No. 5/2, Hastings Street, Calcutta, who were employers of the deceased and two local men, viz., Amar Mukherjee and Saibal Gupta who were alleged to be eye witnesses to the accident. On behalf of the opposite party No. 1 the driver Delhi Bahadur was only examined.

6. On the appraisal of the evidence tendered, learned Member came to the finding that the applicant was the married wife of the deceased as it was not suggested by the opposite parties to the applicant, while she was on the Box, that she was not the married wife of the deceased. The learned Member further found that her relationship with the deceased was not at all challenged by the opposite parties. The learned Member further recorded that the opposite party No. 2 took time to produce one Sm. Bakul Barrick, who was alleged to be the real wife of the deceased, but none of that name was produced and examined by the opposite parties. From the evidence adduced the learned Member came to the conclusion that as the identity of the claimant was not challenged, while she was on the box, it must have to be held that the said point that she was an imposter was not pursued by the opposite parties and was abandoned. The learned Member concluded that “had there been an iota of truth” in that point, the opposite party No. 2 would have left no stone unturned and no cutlet uncooked in establishing the same.” Thus it appears that while coming to his conclusions the learned Member found no reason to disbelieve the evidence of the applicant, the said Dilip Das of M/s. Roy & Bagchi and the two local witnesses. But he disbelieved the driver, the only witness produced on the side of the opposite party No. 1.

7. At the hearing of the appeal, the learned Advocate of the appellant Mr. Majumder, at the outset, took a very fair stand that he was not disputing the quantum of the award but he challenged, on very strong grounds, the manner in which the learned Member had appraised the evidence in the teeth of a definite case made out by the Insurer in its written statement. Mr. Majumder had pressed hard the following points and submitted that the learned Member while coming to his finding failed to take into consideration the facts and the materials on record:

(1) The applicant was not widow and the legal representative of the deceased;

(2) The identity of the deceased was not established;

(3) Post Mortem report was not produced from the Hospital;

(4) There was discrepancy as to the age of the deceased as will appear from the statement of the applicant and the Death-Certificate;

(5) The address of the deceased was different from what was stated by the applicant;

(6) No letter or any postal acknowledgement or any postal envelope was produced by the applicant to show that she received the moneys sent to her by her deceased husband;

(7) Ramchandra Barrick who informed the applicant of the death of the deceased by letter was not produced, and that the letter was alleged to have been misplaced;

(8) Prahlad Barrick and Gobardhan Shaw who were alleged to have carried money to the applicant were not produced as witnesses.

8. Mr. Majumder challenged that there was hardly any material before the Tribunal for its satisfaction in coming to its conclusion that the applicant was the real wife/widow of the deceased.

9. Mr. Majumder submitted that the materials on record would go to show that neither the identity of the deceased was established nor was the relationship of the deceased with the applicant proved. Mr. Majumder further submitted that the learned Member of the Tribunal, while relying on the evidences so far adduced on behalf of the applicant, should have satisfied himself whether the right person was claiming the compensation for the death of the deceased. It was not merely the fact of non-production of evidence on behalf of the opposite parties but what mattered for was the optimum satisfaction of the learned Tribunal, in coming to a finding that the right person applied for receiving the compensation, and the grounds and the reasoning for coming to such a conclusion were based on facts not proved beyond doubt. In support of his aforesaid submissions, Mr. Majumder referred to different portions of the records of the Tribunal, wherefrom it appears that the Vakalatnama given by the claimant as also the claim petition bore her thumb impressions without proper identification of the same to be the thumb impressions of the claimant; it further appears that one Nirode Baran Saha delivered the same to Shri Dipak Kumar Mukherjee, advocate, as an authorised agent of the claimant. It was also pointed out by Mr. Majumder that there was no independent evidence on record establishing the identity of the claimant as the widow of the deceased Bhramar Barrick.

10. The learned Advocate for the claimant Mr. Das submitted that there was no reason for the Tribunal to disbelieve the evidence of the applicant and that of Dilip Das, when nothing was shown either to substantiate the defence of the Insurer or to controvert the evidence on the prosecution side. Mr. Das further submitted that it was not open to the Insurer to take up the defence of the nature it had taken. The ambit of defence by the Insurer has been circumscribed by Section 96(2) of the Motor Vehicles Act and not beyond that. Moreover, Insurance Company is not the aggrieved party. Aggrieved party is the owner, the opposite party No. 1, who has not preferred any appeal. It was further submitted that the nature of defence spoken of in Section 110-C(2A) is a special type of defence available to the Insurer only when there is apprehension of collusion between the claimant and the owner or when the owner does not contest. When the owner contested in this case, the Insurer cannot take up any defence other than those provided under Section 96(2) of the Act. Simply because the form of application and certain rules of the Motor Vehicles Rules direct notice to be given to the Insurance Company. Insurance Company will not be entitled to take any defence it likes. He submitted that Insurer cannot be allowed to take up all the defences available to it. The nature of the defence available in Section 110-C(2A) of the Act which apply to the special type of case cannot be available to the Insurer in the instant case when the owner had contested. Mr. Das relied on several authorities on this point, viz., (1978) A.CJ 252 (paras 13 to 15); (1982) A.C.J 372; (1983) A.C.J (Ker) 29; (1984) A.C.J (Pun & Hary) 369.

11. Mr. Majumder on behalf of the appellant in his reply submitted that Insurer's right to defend arises independently of Section 96(2) of the Act. Under Section HOB read with Rules 224 and 225 of the Motor Accidents Claims Tribunal Rules (West Bengal), the Insurer has the statutory right of defence of a general nature unlimited by any fetters of the nature as was provided for under Section 96(2) of the Act. The scope of the right of defence available to the Insurer under Section HOB read with the said Rules is of widest amplitude.

12. Upon consideration of the respective submissions, we are of the view that the points now sought to be raised on behalf of the appellant by Mr. Majumder cannot be entertained in view of the specific statutory restrictions on the scope of an appeal at the instance of the Insurer imposed by Section 96(2) of the Motor Vehicles Act. Due to non-fulfilment of the criteria of Section 110-C(2A) of the said Act in the instant case such scope of Appeal has not become enlarged also. The findings of the Tribunal and the award based thereon must, therefore, remain untouched and the appeal must, accordingly, fail. We dismiss the appeal with costs.

13. Before parting with the Appeal finally, from the materials we have come across in the present case, we deem it necessary to emphasise certain principles governing the duty of the Tribunal to pay just compensation to the genuine and deserving claimant. As already noted by us earlier, the Tribunal, in the instant case, accepted the claimant's entitlement as the widow of the victim on the basis of the failure of the Insurer and the insured to effectively challenge such identity but the duty of the Tribunal does not end there. The scope of the proceeding before the Tribunal is much wider than that of Appeal at the instance of the insurer It cannot be gainsaid also that very seldom an owner taken up an appeal. Before directing payment of compensation to a claimant, the Tribunal must satisfy itself on its own about the identity of the claimant and his/her eligibility. If necessary, the Tribunal should invoke the powers conferred on it by Rules 222, 228 and 230 of the Bengal M.V Rules. Its anxiety to serve the cause of distressed humanity must not be allowed to outweigh its duty to ensure that the money awarded reaches genuine and deserving claimant. To achieve this, procedural formalities, such as, proper identification of the thumb impression of a claimant, extent of authority of the claimants agent and validity of the authorisation in favour of the latter, proof of the fact that the victim named is the actual or real victim of the alleged accident, though apparently of technical nature, must be scrupulously observed.

Appeal dismissed.
A.R