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High Court of Gujarat

MAHEBUB KASAMBHAI BOGHAversusGUJARAT STATE ROAD TRANSPORT CORPORATION

Disposal
44-PARTLY ALLOWED @ FH

Holding

The appeal is partly allowed and the compensation award is enhanced to Rs.62,70,669, with the respondent required to pay the additional amount, interest, and costs.

Summary

The appellant Mahebub Kasambhai Bogha was injured when a Gujarat State Road Transport Corporation bus ran over his legs on 24 January 2022, resulting in permanent disability. He filed a motor accident claim petition and the Motor Accident Claims Tribunal (Aux.) awarded him Rs.25,00,000, calculating future loss of income based on a reduced annual income of Rs.3,88,053. The appellant appealed under Section 173 of the Motor Vehicles Act, 1988, contending that the Tribunal erred in assessing his income, ignored prospective earnings, and failed to award compensation commensurate with his entitlement. The High Court, relying on Supreme Court precedents, recomputed the appellant’s annual income as Rs.4,41,380, increased the multiplier for future loss, and raised the awards for pain, shock, and actual loss of income, arriving at a total compensation of Rs.62,70,669. Consequently, the Court partially allowed the appeal, directing the respondent to pay an additional Rs.37,70,669 with interest and costs.

Issues considered

  • Whether the Tribunal erred in assessing the appellant's annual income for future loss of earnings.
  • Whether the Tribunal should have considered prospective income and applied the appropriate multiplier.
  • Whether compensation can be enhanced beyond the amount claimed by the petitioner.
  • Whether the Tribunal complied with the principles laid down in Supreme Court judgments on motor accident compensation.

Legislation cited

Subjects

motor accidentcompensationfuture loss of incomemultiplierSection 173Motor Vehicles Actpersonal injurydisabilityassessment of income

Judgment

     C/FA/3220/2025                                  JUDGMENT DATED: 09/01/2026




             IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                      R/FIRST APPEAL NO. 3220 of 2025


FOR APPROVAL AND SIGNATURE:


HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

==========================================================

             Approved for Reporting                 Yes           No

==========================================================
                   MAHEBUB KASAMBHAI BOGHA
                                Versus
           GUJARAT STATE ROAD TRANSPORT CORPORATION
==========================================================
Appearance:
NISHIT A BHALODI(9597) for the Appellant(s) No. 1
MR HS MUNSHAW(495) for the Defendant(s) No. 1
==========================================================
  CORAM:HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

                               Date : 09/01/2026

                               ORAL JUDGMENT

1)     Feeling aggrieved and dissatis4ed with the judgment and award
        dated 26.03.2025 passed by learned Motor Accident Claims Tribunal
        (Aux.), Rajkot, (hereinafter referred to as "the Tribunal" for short), in
        Motor Accident Claim Petition No.577/2022, the appellant – injured-
        original claimant preferred present appeal under Section 173 of the
        Motor Vehicles Act, 1988 (hereinafter referred to as "the Act" for
        short).

2)     Heard Mr. N. A. Bhalodi, learned Advocate for the appellant – original
        Claimant and Mr.H.S.Munshaw, learned Advocate for the respondent
        – GSRTC. Perused the original record and proceedings.




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     C/FA/3220/2025                                      JUDGMENT DATED: 09/01/2026




3)     It is the case of the appellant that on 24.01.2022 at around 01:15,
        while the appellant was waiting for his bus, at that time ST Bus
        bearing No.GJ-18-Z-6511 came in rash and negligent manner and
        both legs of the appellant were crushed by run over them. As a result,
        the appellant sustained serious injuries and got permanent disability.
        Therefore,    the   appellant   has       4led   MAC     Petitions    seeking
        compensation. After appreciating the evidence produced on record
        the learned Tribunal was pleased to partly allowed the claim petition
        and awarded compensation of Rs.25,00,000/-.

4)     Learned counsel for the appellant has submitted that, the Tribunal
        has committed error in reducing annual income of the appellant to
        Rs.3,88,053/- considering the average past 3 years income tax returns
        as the appellant was serving as a driver and earning Rs.40,000/- p.m.
        Therefore, the Tribunal ought to have considered Rs.4,41,380/- p.a.
        Further the Tribunal has not considered future prospective income of
        the appellant. Hence, he has requested to enhance the compensation
        amount in the appeal.

5)     Learned Advocate Mr. Bhatt for Mr. Munshaw, for the GSRTC has
        opposed the appeal on the ground that after the accident, income
        gradually decreased and no actual loss of income was considered.
        Therefore, the compensation awarded by the Tribunal is just, legal
        and proper and no interference is required to call for. With these
        submissions he has requested to dismissed the appeal.

6)     As the appeal is 4led on limited grounds the same is required to be
        decided in narrow compass.

7)     Considering the law laid down by the Hon’ble Supreme Court in the
        case of Govind Yadav Vs. National Insurance Co. Ltd., reported in



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C/FA/3220/2025                                JUDGMENT DATED: 09/01/2026




   2012(1) TAC 1 (SC), that if no proof of income is produced on the
   record then Tribunal has to consider prevalent minimum wages in
   absence of ample evidence of monthly income of the applicant. In the
   present case, the accident occurred in the year 2022 and the
   appellant has produced his last three years income tax returns which
   reveals that for the F.A 2021-22, his income was Rs.4,41,380/-. Hence,
   the income of the injured is reassessed as Rs.4,41,380 p.a. Further,
   the Tribunal has considered disability of the injured as 50% and
   multiplier of 15 were considered by the learned Tribunal as per the
   judgment of the Apex Court in the case of Sarla Verma (Smt) & Ors.
   Vs. Delhi Transport Corporation & Anr. [2009 (6) SCC 121] which are
   just and proper. However, the Tribunal has considered multiplier of
   15 without considering future prospect and awarded Rs.3,88,053/-
   under the head of future loss of income, which is required to be
   enhanced by 40%. Therefore, 40% of Rs.4,41,380/- is equal to
   Rs.1,76,552/-, which comes to total Rs.6,17,932/- p.a. Now total
   income under the head of future loss of income is required to be
   considered as Rs.6,17,932/- p.a. x 50% x 15 / 100 = Rs.46,34,490/-.
   The Tribunal has awarded Rs.29,10,390/- towards future loss of
   income, however, this Court is of the view that the appellant is
   entitled to get additional amount of Rs.17,24,100/- under the head
   of future loss of income.
           Further, the learned Tribunal has awarded Rs.25,000/- under
  the head of pain, shock and suJering, which is reassessed to
  Rs.50,000/- and Rs.25000/- under the head of special diet, attendant
  and transportation which is just and proper. However, as discussed
  above, the actual loss of income is required to be reassessed as
  Rs.2,15,690/- for six months. Therefore, the appellant is entitled for
  additional amount of Rs.21,664/- under the head of actual loss of
  income.


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     C/FA/3220/2025                                       JUDGMENT DATED: 09/01/2026




8)     As discussed above, the appellant is entitled to get compensation
        computed as under:


                  Heads             Awarded by        Reassessed by this Court
                                      Tribunal
             Future loss of        Rs.29,10,390/-              Rs.46,34,490/-
                 income
             Actual loss of        Rs.1,94,026/-               Rs.2,15,690/-
                 income
           Medical Expenses        Rs.13,45,489/-              Rs.13,45,489/-
            Pain, shock and         Rs.25,000/-                 Rs.50,000/-
               suJerings
              Special diet,         Rs.25,000/-                  Rs.25,000/-
            attendant and
            transportation
          Total compensation       Rs.44,99,905/-              Rs.62,70,669/-


     9) It is pertinent to note that the Tribunal has calculated total

       compensation of Rs.44,99,905/-, meaning thereby, the claimant is
       entitled to get Rs.44,99,905/- against the injuries sustained in
       vehicular      accident.   However,     as   the     claimant     had    prayed
       Rs.25,00,000/- in his claim petition, the Tribunal has adopted mypick
       view and awarded only Rs.25,00,000/- towards compensation. This
       Court is of considered view that, the Tribunal has committed error in
       not awarding compensation as per entitlement of the claimant. In
       view of the decision of        Nagappa Vs Gurudayal Singh and
       others, reported in (2003) 2 Supreme Court Cases 274,
       there is no bar to award just compensation as sought for. It is
       duty of the Tribunal to award just and fair compensation to the
       claimant and in the matter of compensation of actual due and is
       to be awarded, despite the claimant claimed lesser value, the
       Tribunal has awarded lesser amount of Rs.25 lacs, which is
       required to be enhanced.



                                     Page 4 of 5
      C/FA/3220/2025                                                     JUDGMENT DATED: 09/01/2026




10)      In view of above, as the Tribunal has awarded total compensation of
         Rs.25,00,000/-, however, as discussed above, the appellant would be
         entitled       to     get      additional        amount         of     Rs.37,70,669/-            with
         proportionate costs and interest as awarded by the learned Tribunal.

11)      Hence, present appeal is partly allowed. The judgment and award
         dated 26.03.2025 passed by learned Motor Accident Claims Tribunal
         (Aux.), Rajkot, in Motor Accident Claim Petition No.577/2022 stands
         modi4ed to the aforesaid extent. Rest of the judgment and award
         remains unaltered. The respondent – GSRTC shall deposit said
         additional amount of Rs.37,70,669/- in MAC Petition No.577 of 2022
         and along with interest as awarded by the Tribunal, before the
         Tribunal within a period of four weeks from the date of receipt of
         this order. Record and proceedings be remitted back to the
         concerned Tribunal forthwith.

12)      The learned Tribunal is directed to recover or deduct the de4cit court
         fees on enhanced amount and thereafter disburse the amount
         accordingly. Award to be drawn accordingly.




                                                                         (HASMUKH D. SUTHAR,J)
SUCHIT



Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: PATEL SUCHIT JAYESHBHAI(HC01083), Private Secretary, at High Court of Gujarat on 12/01/2026 15:37:15




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