M.V. ACT = Respondents 1 to 5 herein filed O.P.No.129 of 2001 before the Motor Accidents Claims Tribunal-cum-District Judge, Rajahmundry, claiming a sum of Rs.20,00,000/- as compensation on account of death of Sri T. Adireddy, the husband of the first respondent, father of respondents 2 and 3 and son of respondents 4 and 5. It was pleaded that the deceased was cultivating an extent of Acs.40.00 of land and was running two petrol bunks including Service Stations at Anaparthi and Rajahmundry. Their further plea was that he was doing business in finance and running a dairy farm. = The plea of respondents 1 to 3 and 5 itself was that the income of the deceased was Rs.15,000/- per month. Notwithstanding the fact that the oral evidence did not support this, the deduction of the personal expenditure of the deceased ought to have been effected from this. Since there are five dependents for the deceased, the deduction can be 1/4th. However, the Tribunal has straightaway adopted the figure Rs.15,000/- by making a baseless observation that 1/3rd is deducted from it. If 1/4th is deducted from Rs.15,000/-, it would be Rs.11,250/- per month. The annual loss of income would be Rs.1,35,000/-. If it is multiplied with ‘13’, the loss of contribution to the family will be Rs,17,55,000/-. Hence, the compensation is reduced to Rs.17,55,000/-. To this amount, a sum of Rs.20,000/- needs to be added towards loss of consortium and Rs.5,000/- towards funeral expenses. Then, it comes to Rs.17,80,000/-. Out of this, a sum of Rs.2,00,000/- is awarded to the fifth respondent and Rs.20,000/- representing consortium is awarded to the first respondent. The remaining amount shall be divided equally among respondents 1 to 3. In the recent past, the Hon’ble Supreme Court held that the rate of interest is 7% per annum. We accordingly direct reduction of interest from 9% per annum to 7% per annum. The appeal is partly allowed to the extent indicated above. There shall be no order as to costs. The Miscellaneous Petitions filed in this appeal shall stand disposed of.
M.V. ACT = Respondents 1 to 5 herein filed O.P.No.129 of 2001 before the Motor Accidents Claims Tribunal-cum-District Judge, Rajahmundry, claiming a sum of Rs.20,00,000/- as compensation on account of death of Sri T. Adireddy, the husband of the first respondent, father of respondents 2 and 3 and son of respondents 4 and 5. It was pleaded that the deceased was cultivating an extent of Acs.40.00 of land and was running two petrol bunks including Service Stations at Anaparthi and Rajahmundry. Their further plea was that he was doing business in finance and running a dairy farm. = The plea of respondents 1 to 3 and 5 itself was that the income of the deceased was Rs.15,000/- per month. Notwithstanding the fact that the oral evidence did not support this, the deduction of the personal expenditure of the deceased ought to have been effected from this. Since there are five dependents for the deceased, the deduction can be 1/4th. However, the Tribunal has straightaway adopted the figure Rs.15,000/- by making a baseless observation that 1/3rd is deducted from it. If 1/4th is deducted from Rs.15,000/-, it would be Rs.11,250/- per month. The annual loss of income would be Rs.1,35,000/-. If it is multiplied with ‘13’, the loss of contribution to the family will be Rs,17,55,000/-. Hence, the compensation is reduced to Rs.17,55,000/-. To this amount, a sum of Rs.20,000/- needs to be added towards loss of consortium and Rs.5,000/- towards funeral expenses. Then, it comes to Rs.17,80,000/-. Out of this, a sum of Rs.2,00,000/- is awarded to the fifth respondent and Rs.20,000/- representing consortium is awarded to the first respondent. The remaining amount shall be divided equally among respondents 1 to 3. In the recent past, the Hon’ble Supreme Court held that the rate of interest is 7% per annum. We accordingly direct reduction of interest from 9% per annum to 7% per annum. The appeal is partly allowed to the extent indicated above. There shall be no order as to costs. The Miscellaneous Petitions filed in this appeal shall stand disposed of.