DEVJIBHAI HIRJIBHAI SHIYAL (DECD. THRO LEGAL HEIRS) vs. DUDABHAI JIVABHAI SINGRAKHIA

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FA/1503/2005HC GujaratGJHC24002211200502 September 2014Bench: HONOURABLE THE CHIEF JUSTICE MR. BHASKAR BHATTACHARYA3 pages
AI SummaryDismissed

What did the High Court hold?

The High Court held that the claimants failed to prove the victim's annual income was Rs. 10 to 12 Lac. The Tribunal's finding that the income-tax return was filed after the victim's death and the admission by the victim's son that the deceased had no motor vehicle or bank balance were crucial. The Court agreed with the Tribunal's assessment that the victim's monthly income was Rs. 3000/-. Applying a multiplier of 7 to the victim's age of 58 years, the Tribunal arrived at Rs. 2,53,000/-. An additional Rs. 20,000/- for loss of consortium and Rs. 3,000/- for miscellaneous expenses were awarded, totaling Rs. 2,75,000/-. The Court found no substance in the appeal, upholding the Tribunal's award. The ratio decidendi is that claims of high income must be substantiated with credible evidence, and the absence of assets or bank balance, coupled with late filing of tax returns, weakens such claims.

What were the facts?

This is a First Appeal filed by the claimants (legal heirs of the deceased victim) under Section 173 of the Motor Vehicles Act, 1988. The appeal challenges an award dated October 5, 2004, passed by the Motor Accidents Claims Tribunal (MACT), Porbandar. The MACT had partly allowed the claim petition (MAC Petition No. 52 of 1996) filed under Section 166 of the Act, awarding Rs. 2,75,000/- with 9% interest. The claimants had sought Rs. 18.00 Lac as compensation, alleging the victim's yearly income was Rs. 10-12 Lac due to his involvement in the shipping trade. The incident occurred on February 1, 1996, when the victim, traveling on a bicycle, was hit by an auto-rickshaw, leading to his death.

What were the issues?

1. Whether the claimants have successfully proven that the victim's annual income was between Rs. 10 to 12 Lac, as alleged, thereby entitling them to higher compensation under Section 166 of the Motor Vehicles Act? Assessee's Contention: The claimants argued that the victim's yearly income was Rs. 10 to 12 Lac, attributing this to his involvement in the shipping trade. They relied on an income-tax return filed by the heirs after the victim's death. Revenue's Contention: The revenue (implicitly, the respondents in the appeal, though the judgment refers to the Tribunal's findings) did not present arguments but the Tribunal's findings indicate a dispute regarding the claimed income. The Tribunal noted that the income-tax return was filed long after the victim's death and that the victim's son admitted the victim did not own a motor car or scooter and had no bank balance at the time of death.

Which sections of the Income-tax Act were involved?

Section 173,Section 166

AI-generated summary — verify with the full judgment below

C/FA/1503/2005 JUDGMENT IN THE HIGH COURT OF GUJARAT AT AHMEDABAD FIRST APPEAL NO. 1503 of 2005

FOR APPROVAL AND SIGNATURE:

HONOURABLE THE CHIEF JUSTICE MR. BHASKAR BHATTACHARYA

================================================================ 1 Whether Reporters of Local Papers may be allowed to see the judgment ? 2 To be referred to the Reporter or not ? 3 Whether their Lordships wish to see the fair copy of the judgment ? 4 Whether this case involves a substantial question of law as to the interpretation of the Constitution of India, 1950 or any order made thereunder ? 5 Whether it is to be circulated to the civil judge ? ================================================================ DEVJIBHAI HIRJIBHAI SHIYAL (DECD. THRO LEGAL HEIRS)....Appellant(s) Versus DUDABHAI JIVABHAI SINGRAKHIA & 2....Defendant(s) ================================================================ Appearance: MR DAVE FOR MR YOGESH S LAKHANI, ADVOCATE for the Appellant(s) No. 1 - 1.2.2 , 1.3 - 1.4 MR MAULIK J SHELAT, ADVOCATE for the Defendant(s) No. 3 RULE SERVED for the Defendant(s) No. 1 - 2 ================================================================ CORAM: HONOURABLE THE CHIEF JUSTICE MR. BHASKAR BHATTACHARYA

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C/FA/1503/2005 JUDGMENT Date : 02/09/2014

ORAL JUDGMENT This appeal under section 173 of the Motor Vehicles Act is at the instance of the claimants in a proceeding under section 166 of the Act and is directed against an award dated 5th October 2004, passed by the learned M.A.C.Tribunal [Special] Porbandar in M.A.C. Petition No. 52 of 1996, thereby partly allowing the application under section 166 of the Act by awarding a sum of Rs. 2,75,000/- with interest at the rate of 9% per annum from the date of filing of the application till realization of the amount. It appears from the record that on 1st February 1996, while the victim was travelling on his bicycle, the same was hit by an auto rickshaw coming from the opposite direction, as a result, the victim was seriously injured and succumbed to the injuries. In the claim application, the claimants prayed for compensation of Rs. 18.00 Lac on the allegation that the yearly income of the victim was Rs. 10 to 12 Lac as he was in the trade of shipping. The learned Tribunal below, on consideration of the materials on record, came to a conclusion that the claimants failed to prove that the income of the victim was Rs. 10 to 12 Lac per annum and the income-tax return that was filed was submitted long after the death of the victim on behalf of the heirs of the victim. It further appears from the record that at the time of the deposition, the son of the victim admitted that his father did not own either any motor car or even a scooter. He further admitted that at the time of death, the victim had no bank balance in his account. Page 2 of 3

C/FA/1503/2005 JUDGMENT On consideration of the aforesaid materials, the learned Tribunal below disbelieved the case of the claimants about the income of the victim and was of the view that the monthly income of the victim was Rs. 3000/- a month and the victim being aged 58 years at the time of death, the Tribunal applied the multiplier of 7 to arrive at the figure of Rs. 2,53,000/-. In addition to that, a sum of Rs. 20,000/- was awarded under the head of loss of consortium and further sum of Rs. 3,000/- towards transportation of dead body and miscellaneous expenses was awarded. After hearing the learned advocate for the appellants and after going through the materials on record, I am of the view that the learned Tribunal below, in the facts of the present case, rightly held that the claimants failed to prove that the victim was the owner of a ship when it appears from his bank balance that there was nothing and that he did not own even either a motor car or a scooter and was simply travelling on bicycle. I, thus, find that there is no substance in the appeal and consequently the same is dismissed. (BHASKAR BHATTACHARYA, CJ.) pirzada Page 3 of 3

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