The Supreme Court has highlighted the need for “secured and foolproof” method of distribution of motor accident compensation to victims and their families.
A Bench of Justices S.A. Bobde, Deepak Gupta and Vineet Saran recently asked the Union of India, represented by Additional Solicitor General Pinky Anand, the apex court’s amicus curiae, advocate Gaurav Agarwal, and other stakeholders “to submit a scheme for a faithful distribution of the amount, which may be paid over to the victims of hit-and-run motor accident cases.” The court recently adjourned the PIL petition filed by S. Rajasekharan to April 2, 2019 for the purpose.
The court’s order came on the basis of submissions made by Mr. Agarwal that a “large sum to the tune of ₹90 crore is lying with the General Insurance Council (GIC) for disbursement to the victims of hit-and-run cases.”
Depreciation in value
Mr. Agarwal also drew the court’s attention to the fact that the depreciation in the value of currency has left the current amount of compensation of ₹25,000 to be largely inadequate for the purpose of accident victims.
The amicus urged the court for the need to enhance the compensation amount to ₹2 lakh in case of death and ₹50,000 in case of grievous injuries.
Ms. Anand said the Motor Vehicles (Amendment) Bill, 2017 for enhancement of compensation to this extent had been passed in the Lok Sabha but was still pending before the Rajya Sabha.
“In any case, we find that it is necessary to find out a secured and foolproof method of distribution of this compensation that may be paid to the victims of hit-and-run motor accident cases,” Justice Bobde recorded in the short order on the hearing.
