Authority: Supreme Court Special Lok Adalat

Order Date: 22-08-2026

Case Overview

  • Petitioners: Kela & Ors (represented by Ms. Anjana Chandrashekar, AOR).
  • Respondents: United India Insurance Company Limited & others (represented by Mr. Ganesh Kumar R., AOR).
  • The Special Leave Petition (C) No. 8335 of 2026 originated from a claim petition filed under Section 166 of the Motor Vehicles Act, 1988.
  • The High Court, on appeal under Section 173 of the Act, had awarded compensation of Rs. 14,04,000 (fourteen lakh and four thousand) to the petitioners (digitally signed by Jatinder Kaur on 2026.09.07 17:42:18 IST, signature not verified).
  • The parties subsequently agreed to settle the dispute on the condition that United India Insurance Company Limited would pay Rs. 5,00,000 (five lakh) to the petitioners.
  • The settlement amount is to be deposited within 60 days from the date of disposal of the petition; failure to do so will attract interest at the rate of 7% per annum.
  • The payment must be deposited with the relevant Motor Accidents Claims Tribunal, which will release the funds to the petitioners in accordance with law upon receipt of the petitioners' bank account particulars for electronic transfer.

Final Outcome

  • The Special Leave Petition is disposed of on the agreed terms.
  • United India Insurance Company Limited is ordered to deposit Rs. 5,00,000 with the Motor Accidents Claims Tribunal within 60 days of the award.
  • The Tribunal shall release the amount to the petitioners after they provide their bank account details.
  • Interest at 7% per annum will accrue on any delayed payment beyond the 60‑day period.

Topics: Legal Settlement, Insurance Compensation