RANCHI, India, June 18 -- Jharkhand High Court issued the following order on May 15:

1. Heard the learned counsel for the parties.

2. The learned counsel for the appellant states that the appellant has already deposited the awarded amount before the Tribunal and, therefore, the appeal could now be disposed of.

3. Upon perusal of the award, it is observed that compensation of only Rs. 40,000/- has been awarded under the head of "loss of consortium." In fact, in view of the law laid down in Magma General Insurance Co. Ltd. v. Nanu Ram, reported in (2018) 18 SCC 130, the amount of Rs. 40,000/- should have been awarded to each of the three claimants.

4. This means that the compensation amount must be enhanced by Rs. 80,000/- to ensure that the total award qualifies as "just compensation."

5. Accordingly, the appeal is disposed of by enhancing the compensation amount by a further Rs. 80,000/-, along with interest at the rate of 7.5% per annum from the date of the claim petition (01.06.2019) until the realization of the said amount.

6. The appellant shall deposit the enhanced compensation, along with interest, before the Tribunal within one month from today, after providing due intimation to the ld. counsel for the claimants.

7. The Tribunal is directed to disburse the amount already deposited, together with any interest accrued thereon, as well as the amount now directed to be deposited, to the claimants via electronic bank transfer. The claimants shall provide their identity and bank details to enable the Tribunal to effect the transfer. Under no circumstances shall the amounts be disbursed other than through established banking channels.

8. The ld. counsel for the appellant submitted that the statutory deposit of Rs. 25,000/- may be remitted to the Tribunal, and that the appellant shall pay the balance amount after adjusting the said deposit.

9. This submission is fair and proper. Accordingly, the Registry is directed to transmit the statutory deposit of Rs. 25,000/-, together with any interest accrued thereon, to the Motor Accident Claims Tribunal (MACT), Ranchi, as expeditiously as possible and, in any event, within 15 days from today.

10.The appeal is disposed of in the above terms, without any order for costs.

Disclaimer: Curated by HT Syndication.