The Hindu : Tamil Nadu / Chennai News : Accident victim’s family allowed to tap 50% of compensation

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Monday, Mar 31, 2008
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Tamil Nadu

Tamil Nadu - Chennai

Accident victim’s family allowed to tap 50% of compensation

K.T. Sangameswaran

CHENNAI: The Madras High Court has permitted the family of a person who died in a road accident caused by a stolen vehicle, to withdraw 50 per cent of the award deposited by the New India Assurance Company Limited.

In his order on a petition filed by the victim’s wife and family, Justice S. Tamilvanan said the petitioners had lost the breadwinner. In the light of the Supreme Court’s decisions and considering the facts and circumstances, the liability of the insurance company could not be questioned at this stage. If there was any breach of contract by the vehicle owner, the company could proceed against him to recover the amount after making payment to the dependants of the deceased.

As for the quantum of compensation, the judge said the company could advance arguments based on the evidence available on record.

A. Ramachandran, 27, of Villivakkam, died in an accident when he was walking down MTH Road, Villivakkam, in July 2001. The Motor Accidents Claims Tribunal awarded a compensation of Rs.4.94 lakh to his family.

The insurance company went on appeal against the judgment, arguing that the tribunal ought to have exonerated it of liability, as the insured motorcycle was stolen in June 2001. The person who committed the theft had changed the number plate. The accident occurred while a person without a valid licence was driving the two-wheeler.

R. Chinnammal, wife of the deceased, her two minor children and her parents-in-law moved the High Court, seeking permission to withdraw 50 per cent of the award amount deposited. She submitted that her husband was the bread-winner of the family and she found it tough to maintain her aged parents-in-law and minor children.

Mr. Justice Tamilvanan permitted Mrs. Chinnammal and her parents-in-law to withdraw 50 per cent of their share with a proportionate interest.

He also permitted Mrs. Chinnammal, the guardian of two children, to withdraw the interest once in three months for the upkeep of the children.

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