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U.P. STATE ROAD TRANSPORT CORPORATION versus COMPOTAR

Citation: [2008] 4 S.C.R. 620 · Decided: 10-03-2008 · Supreme Court of India · Bench: ARIJIT PASAYAT · Disposal: Disposed off

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Judgment (excerpt)

I J 
[2008] 4 S.C.R. 620 
A 
U.P. STATE ROAD TRANSPORT CORPORATION 
*-
V. 
COM POT AR 
(Civil Appeal No.1868 of 2008) 
B 
MARCH 10, 2008 
[DR. ARIJIT PASAYAT AND P. SATHASIVAM, JJ.] 
Motor Vehicles Act, 1988: 
Accident - Claims Tribunal awarded compensation - On 
c appeal, High Court directed Appellant-State Road Transport 
Corporation to deposit the entire amount awarded by Tribunal 
, - The Court directed that the amount be invested and paid to 
claimant-Respondent No. 1 in accordance with directions of 
the Tribunal - Challenge to - Held: Order of High Court was 
D practically unreasoned -- No reason had been indicated as 
~ 
to why the amount was to be paid to the claimant on deposit -
Direction to High Court to re-consider the matter 
~ 
The Motor Accident Claims Tribunal awarded 
E compensation of Rs.8 lakhs alongwith interest at the rate 
of 6% from the date of filing of the claim petition till the 
date of actual payment. On appeal, High Court directed 
the Appellant-State Road Transport Corporation to deposit 
the entire amount awarded by the Claims Tribunal. The 
Court directed that the amount be invested and paid to 
., 
F the claimant-Respondent No.1 in accordance with the 
.. 
directions of the Tribunal. 
In appeal to this Court, the contention of the 
Appellant is that the claim lodged by Respondent No.1 
G was frivolous and false and that while admitting the 
appeal, the High Court should not have directed deposit 
of the entire amount and should not have permitted the 
claimant-Respondent No.1 to be paid the amount of 
deposit. 
H 
1320 
.. 
l' 
U.P. STATE ROAD TRANSPORT CORPORATION v. 
621 
COMP.OTAR [DR. ARIJIT PASAYAT, J.] 
Disposing of the appeal, the Court 
A 
HELD: The order of the High Court is practically 
unreasoned and no reason has been indicated as to 
why the High Court felt that the amount was to be p&ld 
to the claimant on deposit. Therefore, the High Court is 
directed to re consider the matter and pass fresh ordor. 8 
[Para 5] [622-B, C] 
CIVILAPPELLATE JURISDICTION : Civil Appeal No. 1868 
of 2008 
From the final Order dated 19/4/2007 of the High Court of C 
Judicature atAllahabad in F.A.F.O. No. 1092/2007 
Tania Singh and Rameshwar Prasad Goyal for the 
Appellant. 
The Judgment of the Court was delivered by 
DR. ARIJIT PASAYAT, J. 1. Leave granted. 
D 
2. Challenge in this appeal is to the order passed by a 
Division Bench of the Allahabad High Court directing the 
appellant to deposit the entire amount awarded by the Motor E 
Accident Claims Tribunal/Special Judge, Mathura in MACC No. 
431 of2005. It was directed that the amount was to be invested 
and paid to the claimant-respondent No.1 in accordance with 
the directions of the Tribunal. 
3. Learned counsel for the appellant submitted that a F 
detailed, frivolous and false claim was lodged. It was submitted 
that a bare look at the factual scenario would go to show that 
the claim has no foundation. The accident purportedly took place 
on 24.12.2000, the FIR was lodged on 31.5.2001 and in 
December, 2005 a Claim Petition claiming compensation under G 
provisions of Motor Vehicles Act, 1988 (in short the 'Act') was 
filed. 
4 
Overlooking these facts, Tribunal awarded 
'lmpensation of Rs.8, 11,351 /- alongwith interest at the rate of H 
622 
SUPREME COURT REPORTS 
[2008) 4 S.C.R. 
A 6% from the date of filing of the claim petition till the date of 
actual payment. While admitting the appeal the High Court, 
according to the appellant should not have directed deposit of 
the entire amount and should not have permitted the claimant to 
be paid the amount of deposit. 
8 
5. Notice has not yet been issued in this matter but we feel 
that the impugned order of the High Court is practically 
unreasoned and no reason has been indicated as to why the 
High Court felt that the amount was to be paid to the claimant 
on deposit. Therefore, we direct the High Court to re consider 
C the matter and pass fresh order. 
D 
6. We have passed this order to avoid unnecessary delay 
and inconvenience to the parties. 
7. The appeal is accordingly disposed of. 
8.8.8. 
Appeal disposed of. 
•