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National Insurance Co

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Sec.163 – A , sec. 140 of M.V. Act – due to conflicte judgment over scope of sec. 163 -A in United India Insurance Company Ltd. v. Shila Datta and others [(2011) 10 SCC 509], and National Insurance Co. Ltd. v. Nicolletta Rohtagi [(2002) 7 SCC 456]. , it was referred to larger bench = United India Insurance Company Ltd. … Appellant Versus Sunil Kumar & Anr. … Respondents – Reported in http://judis.nic.in/supremecourt/filename=40914

Sec.163 – A , sec. 140 of M.V. Act – due to conflicte judgment over scope of sec. 163 -A in United India Insurance Company Ltd. v. Shila Datta  and  others  [(2011)  10 SCC 509],  and National Insurance Co. Ltd. v. Nicolletta Rohtagi  [(2002)  7  SCC  456]. , it was referred to larger bench   =    We are, therefore, of the … Continue reading

(1) If an Insurance Company can prove that it does not have any liability to pay any amount in law to the claimants under the Motor Vehicles Act or any other enactment, can the Court yet compel it to pay the amount in question giving it liberty to later on recover the same from the owner of the vehicle. (2) Can such a direction be given under Article 142 of the Constitution, and what is the scope of Article 142? Does Article 142 permit the Court to create a liability where there is none?” = The pendency of consideration of the above questions by a larger Bench does not mean that the course that was followed in Baljit Kaur5 and Challa Bharathamma6 should not be followed, more so in a peculiar fact situation of this case. In the present case, the accident occurred in 1993. At that time, claimant was 28 years’ old. He is now about 48 years. The claimant was a driver on heavy vehicle and due to the accident he has been rendered permanently disabled. He has not been able to get compensation so far due to stay order passed by this Court. He cannot be compelled to struggle further for recovery of the amount. The insurance company has already deposited the entire awarded amount pursuant to the order of this Court passed on 01.08.2011 and the said amount has been invested in a fixed deposit account. Having regard to these peculiar facts of the case in hand, we are satisfied that the claimant (Respondent No. 1) may be allowed to withdraw the amount deposited by the insurance company before this Court along-with accrued interest. The insurance company (appellant) thereafter may recover the amount so paid from the owner (Respondent No. 2 herein). The recovery of the amount by the insurance company from the owner shall be made by following the procedure as laid down by this Court in the case of Challa Bharathamma6 . 26. Appeal is allowed and disposed of as above with no order as to costs.

REPORTABLE IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL NO. 5 OF 2013 (Arising out of SLP(C) No. 20127 of 2011) Manager, National Insurance Co. Ltd. …… Appellant Vs. Saju P. Paul and Another ……Respondents JUDGMENT R.M. LODHA, J. Leave granted. 2. The appellant, insurance company, is in appeal by special leave … Continue reading

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