High Court of KeralaDivision BenchAppeal allowed; enhanced compensation awarded; ...

A.K. Krishnan v. P.J. Jose and Others

Case / Petition Number:MACA.No.1344 of 2009
Neutral Citation:/

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • T.R. Ramachandran Nair
  • P.V. Asha
Judgment Date
2015-04-09
Court Decision / Holding
The appeal is allowed. The compensation is recalculated to Rs.5,68,650 with interest at 9% per annum from the date of petition to realization. The insurer is directed to deposit the enhanced amount, less any already deposited, before the Tribunal within three months. The appellant must pay court fee on the enhanced amount. Costs of the appeal are borne by the parties.
Final Disposition
Appeal allowed; enhanced compensation awarded; deposit within three months; costs in appeal.

Parties to the Case

Appellants / Petitioners

  • A.K. Krishnan

Respondents

  • P.J. Jose
  • Paul
  • National Insurance Co. Ltd.

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri E.C. Poulose

Counsels for Respondents

  • • SMT. SARAH SALVY

Case Synopsis & Summary

This is a Motor Accident Claims Appeal arising from a MACT award in OPMV 470/1999, decided by the Motor Accidents Claims Tribunal, Ernakulam. The appellant, A.K. Krishnan, sustained severe injuries in a road traffic accident on 8.10.1998 when a jeep (KL-7R-77) struck his scooter (KL-7T 5068), resulting in the amputation of his left lower limb. He was employed at TELK, Angamaly, and incurred substantial medical treatment costs, with certificates Ext.A5, Ext.A6 and Ext.A7 documenting the treatment at Little Flower Hospital, Medical Trust Hospital, and St. James’ Hospital. The Tribunal awarded Rs.1,69,050 with 7% interest against a claim of Rs.5 lakhs, after considering heads such as medical expenses, loss of leave, transport, clothing, nourishment, nursing assistance, and the impairment of earning capacity. The appellant challenged the adequacy of compensation for permanent disability, pain and suffering, and loss of amenities of life, urging adoption of the multiplier method (as guided by Sarla Verma v. Delhi Transport Corporation) and a higher percentage of disability (the Medical Board certifies 40%, though the Tribunal used 30%). The High Court recalculated, increasing pain and suffering and loss of amenities, and fixed permanent disability at Rs.3,97,800, producing a total of Rs.5,68,650 with 9% interest, to be deposited within three months. The appeal was allowed with costs to be borne by the parties, and the insurer was directed to deposit the enhanced amount.

Provisions of Law Cited

Workmen's Compensation Act (Schedule injury)

Legal Doctrines & Maxims

  • Multiplier method for calculating compensation in permanent disability
  • Loss of earning power doctrine
  • Principle of enhancing compensation for permanent disability where amputation occurs

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant argued that permanent disability from below-knee amputation warrants substantial compensation beyond the Tribunal’s award. Relying on the 40% disability certificate and the Supreme Court’s multiplier approach (as later refined by Sarla Verma v. Delhi Transport Corporation), the counsel urged enhanced damages for permanent disability (approximately Rs.3,97,800), greater pain and suffering (Rs.40,000), and increased loss of amenities (Rs.40,000) in light of hardship and loss of life pleasures. The salary proof (Ext.X3) and the 13-year multiplier were referenced to justify the higher figure.

Contentions of Respondents

The insurer argued there was no loss of earning power; permanent disability could be awarded along with pain and suffering, but in the absence of earning power loss, the award should be conservative. While acknowledging amputation, the defense contested the degree of disability and emphasized reliance on the Medical Board’s finding (30% as adopted by the Tribunal) and the application of multiplier method per Sarla Verma only to determine the proper compensation, with emphasis on not overcompensating without convincing disability evidence.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Sarla Verma v. Delhi Transport Corporation2010 (2) KLT 802 - SCPositiveThe court relies on Sarla Verma (and subsequent Apex Court decisions) to justify the multiplier method for calculating compensation in permanent disability and applies this framework in fixing enhanced compensation.

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Extracted Judgment Text

Exact text extracted from official judgment records.

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT: THE HONOURABLE MR.JUSTICE T.R.RAMACHANDRAN NAIR & THE HONOURABLE SMT. JUSTICE P.V.ASHA THURSDAY, THE 9TH DAY OF APRIL 2015/19TH CHAITHRA, 1937 MACA.No. 1344 of 2009 ( ) -------------------------- AGAINST THE AWARD IN OPMV 470/1999 of M.A.C.T.,PERUMBAVOOR DATED 27-09-2005 APPELLANT(S)/PETITIONER: ---------------------------------------------- A.K.KRISHNAN, S/O.KUTTY, ANCHIL HOUSE, ANGAMALY.P.O., ANGAMALY VILLAGE. BY ADV. SRI.E.C.POULOSE RESPONDENT(S): ---------------------------- 1. P.J.JOSE, M/S.ACTUAL CONSTRUCTION, XXXI/1530 JANATHA ROAD, PALLURUTHY, COCHIN-682007. (deleted) 2. PAUL, S/O. JOSEPH, PARAMUTHUSSERY HOUSE, EDAPPILLY SOUTH, PADIVATTOM P.O. 3. NATIONAL INSURANCE CO. LTD., PEUR BRANCH OFFICE, ERNAKULAM MAIN ROAD MUNICIPAL SHOPPING COMPLEX, PIN-683513. (R1 DELETED FROM THE PARTY ARRAY AS PER ORDER IN IA 170/2015 DT.20.1.2015) R,R3 BY ADV. SMT.SARAH SALVY THIS MOTOR ACCIDENT CLAIMS APPEAL HAVING COME UP FOR ADMISSION ON 09-04-2015, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: ## **T.R. RAMACHANDRAN NAIR & P.V. ASHA, JJ.** **- - - - - - - - - - - - - - - - - - - - - - - - -** ## **M.A.C.A.No.1344 of 2009** **- - - - - - - - - - - - - - - - - - - - - - - - - Dated this the 9[th] day of April, 2015** ## **JUDGMENT** ## **Ramachandran Nair, J.** The injured claimant is the appellant. The claim petition was filed for grant of compensation consequent on the amputation of his leg in an accident. The Tribunal granted a total compensation of Rs.1,69,050/- with interest at 7% per annum against a total claim of Rs.5 Lakhs. The accident occurred on 8.10.1998 while the appellant was riding his scooter bearing Reg. No.KL-7T 5068. He was working in TELK, Angamaly. The offending vehicle is a jeep with Reg. No.KL-7R-77 which was coming from the opposite direction and it hit against the scooter. The Tribunal, after an assessment of the evidence, found that the driver of the offending vehicle was negligent. The details of the injuries and the treatment are given in paragraph 9 of the award. 2. We extract hereinbelow the following details from the award MACA 1344/2009 2 in paragraph 9 which supports his case of undertaking various treatment procedures: “9.............He had produced Ext.A5 wound certificate which shows that he was admitted in the Little Flower Hospital, Angamaly on 8.10.1998 at 12 noon with fracture tibia left, fracture left clavicle, lacerated injury posterior aspect of occipital area. Ext.A6 is another wound certificate issued by Medical Trust Hospital, Ernakulam. As per this certificate the petitioner was admitted on 15.10.1998 at 9.30 p.m. He was referred to Nephrologist and Orthopaedic surgeon of Medical Trust Hospital. (The patient developed renal failure and jaundice (Ref. letter + complaint of jaundice + renal failure + hypovolemia), left lower limb in external fixator with foot included 5 x 4 cm muscle deep wound over the mid 3rd of leg laterally with skin loss 15 x 5 x 5 cm wound posteriorly exposing bone and necroed muscle. Toe movements positive. Contamination positive. X-ray showed that comminuted segmental fracture tibia with external fixator. He was admitted in the department of Nephrology and acute renal failure treated. Emergency wound debridement was done under G.A. muscle necrosis seen. Wound debridement repeated under G.A. on 17.10.1998 and 19.10.1998. Anterior part of muscle also necrosed on 20.10.1998. Below knee amputation was done and skin left open under G.A. done on 21.10.1998 and MACA 1344/2009 3 22.10.1998. On 12.11.1998 and 17.11.1998 skin grafting done by plastic surgery. Ext.A7 is the treatment certificate issued by St. James' Hospital, Chalakudy. As per this certificate he was admitted in the hospital on 9.10.1998 and discharged on 15.10.1998." 3. It is seen that the appellant had incurred Rs.76,524/- as treatment expenses. This was given by the company in which the appellant was working, but later they recovered an amount of Rs.65,650/-, as he was eligible for two months wages for medical expenses for the accident. Therefore, the Tribunal has granted the said amount of Rs.65,650/- towards medical expenses. Towards loss of leave the Tribunal granted a sum of Rs.10,000/-. Rs.2,000/- has been granted towards transportation charges. For damage to clothing an amount of Rs.200/- and for extra nourishment a sum of Rs.1,000/- have been granted. As far as nursing assistant is concerned, an amount of Rs.2,000/- also has been granted. The retirement age of the appellant is 58. He was aged 40 at the time of accident. Therefore, the multiplier will be 13. The Tribunal assessed his right to get compensation for disability from the age of retirement alone by fixing a notional income MACA 1344/2009 4 at Rs.1,500/-, which according to the learned counsel for the appellant, is not justified. Rs. 43,200/- has been quantified as disability compensation. 4. Learned counsel for the insurance company submitted that there is no loss of earning power for the appellant. In a case of permanent disability there can be awarded compensation for permanent disability as well as loss of earning power but in the absence of loss of earning power, compensation can be granted for permanent disability along with compensation for pain and suffering and loss of amenities and enjoyment in life. Herein, learned counsel for the appellant pleads for awarding more amount towards permanent disability and support is sought from the certificate issued by the Medical Board wherein the disability is calculated as 40%. There is no dispute that the leg was amputated. This will cause much hardship and difficulty to the appellant. Of course, that has not affected his earning power, but in the light of the decision of the Apex Court in **Sarla Verma v. Delhi Transport Corporation** (2010 (2) KLT 802 - SC) followed by later decisions of the Apex Court, the multiplier method can be adopted for MACA 1344/2009 5 calculating compensation for permanent disability. Ext.X3 is the certificate produced to show the salary of the appellant which will prove the monthly salary as Rs.8,560/-. Even though learned counsel for the insurance company submitted that no doctors have been examined to prove the percentage of disability, for below knee amputation 30% disability has been adopted, which is not a wrong assessment. Apart from the same, regarding amputation there is no dispute also. It was held by the Tribunal that since he has lost his lower limb, it will come within the schedule injury under the Workmen's Compensation Act. Therefore, compensation for permanent disability can be calculated as Rs.3,97,800/- (8500 x 12 x 13 x 30/100). Towards compensation for pain and suffering, what is granted is only Rs.20,000/- and towards compensation for loss of amenities, an amount of Rs.15,000/- alone has been granted. Since the appellant has suffered serious injuries and was under treatment for a long time, we fix an amount of Rs.40,000/- as compensation for pain and suffering. An equal amount is granted towards compensation for loss of amenities also since he will have to forego all the physical activities in life MACA 1344/2009 6 because of the amputation. The same will result in loss of pleasures in life also. The amputation has resulted in dis- figuration also for which the Tribunal has already awarded an amount of Rs.10,000/-. Accordingly, the total compensation is recalculated as under: |**_Head of claim_**|**_Amount awarded by_**<br>**_the Tribunal_**|**_Modified award_**<br>**_passed by this Court_**| |---|---|---| |Loss of earnings|10000|10000| |Transport to hospital|2000|2000| |Damage to clothing|200|200| |Extra nourishment|1000|1000| |Nursingassistance|2000|2000| |Medical expenses|65650|65650| |Pain and suffering|20000|40000| |Loss of amenities|15000|40000| |Permanent disability|43200|397800| |Disfiguration|10000|10000| |Total||568650| (Rupees five lakhs sixty-eight thousand six hundred and fifty only) The enhanced amount of compensation will carry interest at 9% per annum from the date of petition till realisation and the insurance company is directed to deposit the entire amount of compensation less the amount already deposited, if any, before the Tribunal within a period of three months. The appellant will pay court fee for the entire amount awarded which will be recovered by the Tribunal from the MACA 1344/2009 7 amount deposited by the insurance company. The appeal is allowed as above. The parties will suffer their costs in the appeal. **(T.R. RAMACHANDRAN NAIR, JUDGE.)** **(P.V. ASHA, JUDGE.)** **kav/**