Authority: High Court of Chhattisgarh at Bilaspur

Order Date: 04.08.2026

Case Overview

  • Appellants: Smt. Rajni Bai (widow of Late Lokesh Kumar Tandan), Ku. Madhulika (minor daughter, legal guardian mother), Taran Bai (widow of Late Suklal Tandan), Khemendra Tandan (minor son, legal guardian mother). All residents of Bilaigarh, Balodabazar, Chhattisgarh.
  • Respondents: 1) Upesh Jha (resident of Housing Board, Bhilai, Durg), 2) Arihant Transport Agency (represented by Jaswant Singh, owner of vehicle No. M.H.-19-Z-3285), 3) H.D.F.C. Irgo General Insurance Company Ltd. (insurer of the same vehicle).
  • Proceeding: Appeal under Section 173 of the Motor Vehicles Act, 1988 challenging the award dated 11.01.2024 passed by the 9th Additional Motor Accident Claims Tribunal, Raipur (Claim Case No.219/2015). The Tribunal had awarded Rs 9,87,464 as compensation for the death of Lokesh Kumar Tandan (aged about 20) in a road accident on 19.10.2014.
  • Contentions: Appellants argued the Tribunal undervalued the deceased’s monthly income; respondents argued the award was proper.

Court’s Reasoning & Computation

  • The Court observed that the Tribunal used a monthly income of Rs 3,432, whereas the Chhattisgarh Minimum Wages Notification stipulates Rs 5,517. Hence, the income figure required correction.
  • Applying the Supreme Court precedents (National Insurance Co. Ltd. v. Pranay Sethi, Sarla Verma v. Delhi Transport Corp., Magma General Insurance Co. Ltd. v. Nanu Ram), the Court computed compensation as follows:

1. Revised Monthly Income: Rs 5,517.

2. Annual Income: Rs 5,517 × 12 = Rs 66,204.

3. Add 40% for future prospects: 40% of Rs 66,204 = Rs 26,481.6; total = Rs 92,685.6.

4. Deduction of 1/4 for personal expenses: 1/4 of Rs 92,685.6 = Rs 23,171.4; net = Rs 69,514.2 (rounded to Rs 69,514).

5. Multiplier (18 years for future loss): Rs 69,514 × 18 = Rs 1,251,252.

6. Other heads (conventional and other): Rs 2,09,000 (as per Tribunal’s schedule).

7. Total Revised Compensation: Rs 1,251,252 + Rs 2,09,000 = Rs 14,60,252.

  • The Court therefore enhanced the original award of Rs 9,87,464 to Rs 14,60,252.

Final Outcome

  • The appellants are entitled to an additional amount of Rs 4,72,788 (Rs 14,60,252 – Rs 9,87,464).
  • The additional amount shall attract interest at 6% per annum from the date of filing the claim before the Claims Tribunal until actual realization.
  • All other conditions of the original award, including the order of pay and recover, remain unchanged.
  • The Registry is directed to communicate the enhanced amount to the claimants in Hindi (Devanagari) with the assistance of paralegal workers, coordinated by the Secretary, Legal Aid of the relevant area.

Topics: Compensation, Motor Accident Claims