MACA/1212/2024 of DIVISIONAL MANAGER, RELIANCE GENERAL INSURANCE COMPANY LTD., BBSR Vs ALICIUS ASHIS BARWA on 2 September 2026

ORDER

02.09.2026 Order No.

09.

1. This matter is taken up through Hybrid Mode.

2. Heard Sri G.P.Dutta, learned counsel for the Appellant- Insurance Company as well as learned counsel for the Claimant- Respondent No.1 and learned counsel for the owner-Respondent No.2. Perused the Appeal memo as well as the grounds taken therein.

3. By filing the present appeal under Section 173 of the MV Act, the Appellant-Insurance Company seeks to challenge the judgment dated 19.08.2023 passed in MAC Case No.1164/102 of 2019-2022 by the learned Additional District Judge-cum-3rd

MACT, Bargarh whereby the Claimant-Respondent No.1 has been awarded compensation to the tune of Rs.70,91,994/- along with interest @ 6% from the date of filing of the claim application with a further award of penal interest @ 7%. Being aggrieved by the quantum of compensation awarded by the learned tribunal, the Appellant-Insurance Company has approached this Court by filing the present appeal.

4. On 02.09.2019, at about 5:30 PM, while the injured, namely, Alicius Ashis Barwa was proceeding from Karlakhaman to Mahatab road in his motor cycle bearing registration No.OR- 05AD-9241. On the way, near the water purifier for plantation of L & T Company, Kansbahal, a car bearing registration No.OD-14R- 1028 coming from north to south colony dashed from the front side of the motorcycle, as a result, which the Claimant sustained grievous injuries and was shifted to I.G.H., Rourkela for his treatment. Thereafter, he was shifted to Aswini Hospital, Cuttack and was undergoing treatment there.

5. Learned counsel for the Appellant-Insurance Company, at the outset, contended that the insurer seeks to challenge the impugned award on ground Nos.4, 5 & 6 as indicated in the appeal memo. On perusal of the aforesaid grounds, it appears that at ground No.4 the Appellant-Insurance Company has questioned the Tribunal’s assessment of conveyance expenses at Rs.48,56,000/- towards. Such assessment has been questioned in view of the cross- examination of the claimant who has clearly admitted that he has not filed any document to show that he had hired a private vehicle to go to office and was paying Rs.500/- to the driver. In such view of the matter, learned counsel for the Appellant-Insurance

Company questioned the assessment of the compensation paid towards conveyance expenses. Similarly, at ground No.5, the Appellant-Insurance Company has questioned the Tribunal’s decision to award Rs.33,60,000/- towards replacement of artificial leg, since the claimant has clearly admitted in his cross- examination that there is a provision for reimbursement of medical bills, but he had not applied for the same till the date of his examination. Moreover, learned counsel for the Appellant- Insurance Company also stated that the claimant has admittedly not filed any doctor’s certificate showing that he needs replacement of his leg once every two years.

6. So far as ground No.6 is concerned, the Appellant-Insurance Company has arraigned the Tribunal’s decision to award Rs.12,96,000/- towards future medical expenses on the basis of the fact that the Claimant has neither made any pleading in that regard nor adduced any evidence before the Tribunal in the aforesaid context. In such view of the matter, learned counsel for the Appellant-Insurance Company contended that the Tribunal has committed a gross error of law as well as fact in awarding the amount on while passing the impugned judgment.

7. Learned counsel for the claimant-Respondent No.1, on the other hand, whole-heartedly supported the judgment of the learned the Tribunal at Annexure-1. While supporting the judgment of the Tribunal, learned counsel for the claimant-Respondent No.1 submitted before this Court that the Tribunal has not committed any illegality in awarding a sum of Rs.70,91,994/- in favour of the claimant-Respondent No.1. It was also contended that such award is based on evidence on record. In such view of the matter, learned counsel for the claimant-Respondent No.1 submitted before this Court that the impugned award of the learned Tribunal does not call for any interference by this Court at this stage.

8. Having regard to the submissions made by learned counsels appearing for the parties, on a careful analysis of the rival contention, further taking note of the materials on record as well as on a close scrutiny of the impugned judgment at Annexure-1, this Court found that the assessment of compensation by the Tribunal is on the higher side. However, it cannot be denied that the claimant met with an accident and that the injuries sustained by the claimant are a direct outcome of such accident, and that the claimant- Respondent No.1 has sustained 75% permanent disability, which has resulted amputation of the right leg of the claimant. Therefore, there is no doubt that the claimant has sustained 100% functional disability. As such, no fault can be found with the finding arrived at by the tribunal in that regard. With regard to the quantum of compensation, this Court, on a careful examination of the materials on record, found that the such dispute can be settled amicably in the spirit of Lok Adalat. Accordingly, the counsels appearing for both sides requested to settle the matter amicably.

9. Learned counsel for the claimant-Respondent No.1 contended that in the event the claimant is awarded a sum of Rs.62,50,000/- along with interest @ 6%, he will have no objection and that the same will also satisfy the claim of the claimant- Respondent No.1.

10. Learned counsel appearing for the Appellant-Insurance Company, on the other hand, kept it to the discretion of this Court, submitted before this Court that in the facts and circumstances of the present case any amount awarded by this Court would be acceptable to the Appellant-Insurance Company.

11. Considering the submissions made by learned counsels appearing for the respective parties, on a careful examination of the factual scenario, and further keeping in view the fact that the claimant-Respondent No.1 has sustained 100% functional disability, which is a direct outcome of aforesaid accident, this Court is of the view that awarding of a total compensation of Rs.62,50,000/- would be just, fair and proper in the facts and circumstances of the present case. The same is also acceptable to both sides. Accordingly, the award in at Annexure-1 is modified to the extent that the total claim amount shall stand reduced to Rs.62,50,000/- along with interest @ 6% from the date of filing of the claim application till realization of the awarded amount. Accordingly, the Appellant-Insurance Company is directed to deposit the entire awarded amount before the learned Tribunal within a period of 8 weeks, if the same has not been deposited in the meantime. Moreover, this Court waives the penal interest @ additional 1% as has been awarded by the learned Tribunal.

12. Additionally, subject to Appellant-Insurance Company depositing the abovenoted modified awarded amount, the same shall be disbursed in terms of the judgment of the Tribunal at Annexure-1. Further, it is directed that as stated by learned counsel appearing for the Appellant-Insurance Company, the bank account of the Appellant-Insurance Company has been attached in the execution proceeding, the learned Executing Court shall pass necessary consequential orders for lifting of such attachment order which shall be subject to the Appellant-Insurance Company depositing the awarded amount of Rs.62,50,000/- along with interest, as directed hereinabove, within a period of one week from the date of lifting of such attachment order. On production of a copy of the acknowledgment indicating deposit of the money before the learned Tribunal, the Registry shall do well release the statutory deposit along with accrued interest in favour of the Appellant- Insurance Company.

13. With the aforesaid modification, the Appeal stands disposed of. .

( A.K. Mohapatra )

Judge

Anil

Digitally Signed Signed by: ANIL KUMAR SAHOO Reason: Authentication Location: High Court of Orissa Date: 07-Sep-2026 13:22:59 Signature Not Verified