SUPREME COURT OF INDIA

Before:- A.P. Misra and D.P. Mohapatra, JJ.

SLP (C) No. 6653 of 1999, From the Judgment and Order dated 26-11-1998 in LPA No. 10 of 1997 of the High Court of J&K at Jammu. D/d. 13.4.2000.

Oriental Insurance Co. Ltd. J&K - Petitioner

Versus

Narinder Kaur and others - Respondents

For the Petitioner :- Jitendra Sharma, Senior Advocate (P.N. Jha and Ms. Minakshi Vij, Advocates with him).

For the Respondent :- S.K. Bhattacharya and Ms. Suman Bala Rastogi, Advocates.

Motor Vehicles Act, 1988, Section 147 - Insurer's liability to indemnify the insured owner - Insurance Company, agreeing to pay the claimants Rs. 45,000 as an ex gratia payment in addition to the liability of Rs. 5000 - View taken by the High Court not be sustainable in view of Supreme Court's order in 1987(4) SCC 284 - Not necessary to change award made by High Court - Award for rest of the amount and interest, held, executable against the respondents who have not appealed.

[Para 1]

Cases Referred :-

M.K. Kunhimohammed v. P.A. Ahmedkutty, (1987) 4 SCC 284 .

ORDER

A.P. Misra, J. - The impugned decision prima facie runs counter to the view recorded by this Court in M.K. Kunhimohammed v. P.A. Ahmedkutty, (1987) 4 SCC 284 . However, on our persuasion the learned counsel for the Insurance Company has agreed to make an ex gratia payment of Rs 45,000 in addition to the liability of Rs. 5000 i.e. in all Rs. 50,000, to the claimants. Therefore, while stating that the view taken by the High Court may not be sustainable in view of this Courts order in the aforesaid case, it is not necessary for us to change the award of Rs 50,000 made by the High Court against the Insurance Company. This amount will be in full and final satisfaction of the claim against the Insurance Company. The claimants will, however, be entitled to execute the award for the rest of the amount and interest against the other respondents, who have not appealed. The money has already been deposited by the Insurance Company.

2. The special leave petition stands disposed of accordingly.

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