Authority: High Court of Jharkhand at Ranchi

Order Date: 17 July 2026

Case Overview

  • Parties: Appellants – Smt. Amita Devi (widow of Late Malchand Murmu), Aashish Murmu (son), Smt. Charki Devi (wife of Late Surju Murmu) and others; Respondents – Dilip Kumar Samanta, Rahul Samanta, Sudeshna Samanta, Prakash Rana (son of Late K. Rana, driver of T.D.V. Bus No. JH 11 A 2955), and The New India Assurance Company Limited (insurer of the bus).
  • The appeals (M.A. No. 143 of 2013 and M.A. No. 110 of 2013) challenge the judgment and award dated 5 April 2013 passed by the Motor Vehicle Accident Claims Tribunal, Giridih, in MV Claim Case No. 26 of 2010.
  • M.A. 143/2013 seeks enhancement of compensation for the death of Malchand Murmu; M.A. 110/2013 is filed by the vehicle owner contesting the Tribunal’s “pay and recovery” direction.
  • Evidence established that the deceased and other passengers were travelling on the rooftop of the bus on the express instruction of the driver, and that the bus was being driven rashly and negligently.
  • Counsel argued that Section 123(2) of the Motor Vehicles Act, 1988, which prohibits travelling on the roof, should preclude compensation, but the Court found no nexus between the statutory breach and the accident.
  • The Court examined the deceased’s income: the Tribunal had assessed a monthly wage of Rs. 4,800 (Rs. 57,600 per annum) based on the Minimum Wage Notification. The Court held that a 40% addition for future prospects (Rs. 23,040) was required, raising the annual income for dependency calculation to Rs. 80,640.
  • After deducting one‑third for personal expenses, the net annual income for dependency was set at Rs. 53,520.
  • Using a multiplier of 18 (deceased aged 22), dependency compensation was calculated as Rs. 9,63,360.
  • Additional awards: consortium Rs. 40,000 to each of the three claimants (total Rs. 1,20,000), funeral expenses Rs. 15,000, and loss of estate Rs. 15,000.
  • Total enhanced compensation amounted to Rs. 11,13,360, with interest at 9% as awarded by the Tribunal.

Final Outcome

  • Appeal M.A. 110/2013 is dismissed; the Tribunal’s “pay and recovery” order stands.
  • Appeal M.A. 143/2013 is partly allowed: compensation is increased from Rs. 6,41,200 to Rs. 11,13,360 as detailed above.
  • The New India Assurance Company Limited, having already paid the original award, must pay the balance amount together with 9% interest within six weeks of the order, after giving notice to the claimants’ counsel.
  • Payment must be deposited directly into the claimant’s bank account; no other transfer method is permitted.

Topics: Compensation, Motor Accident Claim