As per case facts, the 2nd respondent, APSRTC, challenged a Motor Accident Claims Tribunal (MACT) award concerning the death of an individual in an accident involving an RTC bus. The ...
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Date of reserved for orders : 10.04.2026
Date of pronouncement : 01.07.2026
Date of uploading : 01.07.2026
APHC010655122015
IN THE HIGH COURT OF ANDHRA PRADESH
AT AMARAVATI
(Special Original Jurisdiction)
[3520]
WEDNESDAY, THE 1
st
DAY OF JULY 2026
PRESENT
THE HONOURABLE SRI JUSTICE A. HARI HARANADHA SARMA
MOTOR ACCIDENT CIVIL MISCELLANEOUS APPEAL NO: 1276/2015
Between:
1. THE A.P.S.R.T.C., REP BYITS THE VICE CHAIRMAN AND MANGAGING
DIRECTOR, MUSHEERABAD, HYD.
...APPELLANT
AND
1. MEKALA RUKMINI DEVI 5 OTHERS, W/O LATE NAGESWARA RAO,
HINDU, OCC :- HOUSEWIFE, R/O THANA CHINTHALA (V),
POTHAVARAM POST, DARSI MANDAL, PRAKASAM DIST.
2. MEKALA PRASANNA KUMAR, S/O LATE NAGESWARA RAO, HINDU,
OCC :- HOUSEWIFE, R/O THANA CHINTHALA (V) , POTHAVARAM
POST, DARSI MANDAL, PRAKASAM DIST.
3. MEKALA NAGALAKSHMI, D/O LATE NAGESWARA RAO, HINDU, OCC :-
STUDENT, R/O THANA CHINTHALA (V), POTHAVARAM POST, DARSI
MANDAL, PRAKASAM DIST. (PETITIONER 2 AND 3 BEING MINORS
REP BY THEIR MOTHER AND GUARDIAN AND GURARDIAN THE 1ST
PETITIONER HEREIN)
2
4. MEKALA AUDINARAYANA, S/O LATE GURAVAIAH, HINDU, OCC :-
STUDENT, R/O THANA CHINTHALA (V), POTHAVARAM POST, DARSI
MANDAL, PRAKASAM DIST.
5. MEKALA RAMANAMMA, W/O AUDINARAYANA, HINDU, OCC :-
STUDENT, R/O THANA CHINTHALA (V), POTHAVARAM POST, DARSI
MANDAL, PRAKASAM DIST.
6. KATTA POTHURAJU, S/O VEERAIAH, DRIVER OF RTC BUS, R/O
NUTHALAPADU (V),PARCHUR MANDAL, PRAKASAM DIST.
...RESPONDENT(S):
Appeal filed under Order 41 of CPC before the High CourtStay all further
proceedings in M.V.O.P.No.10 of 2012 dt.18.10.2012 on the file of the Court of
the Motor Accident Claims Tribunal, Ongole, before the III Addl Dist Judge's
Court, Ongloe and pass.
Counsel for the Appellant:
1. ARAVALA RAMA RAO(SC FOR APSRTC KKAC)
Counsel for the Respondent(S):
1. P DURGA PRASAD
The Court made the following:
3
THE HONOURABLE SRI JUSTICE A. HARI HARANADHA SARMA
M.A.C.M.A. No. 1276 of 2015
JUDGMENT:
Introductory:
The 2
nd
respondent - APSRTC in MVOP No. 10 of 2012 on the file of the
III Additional District Judge’s Court- Motor Accident Claims Tribunal, Ongole [for
short ‘the learned MACT’], filed the present appeal questioning the award and
decree dated 18.10.2012 passed therein, disputing the liability imposed and the
quantum of compensation awarded at Rs.4,77,500/- .
2. The 6
th
respondent herein is the first respondent and driver of the RTC
bus bearing No. AP 11 Z 4365 [for short ‘the offending vehicle”] and respondents
Nos.1 to 5 herein are the claimants before the learned MACT.
3. For the sake of convenience, the parties will be hereinafter referred to as
the claimants/petitioners and the respondents, with reference to their status
before the learned MACT.
Case of the claimants:
4. [i] One Mekala Nageswara Rao, [hereinafter referred as the deceased],
is the husband of petitioner No. 1, father of petitioners No.2 and 3 and son of the
petitioners 4 and 5. He owned land in an extent of Ac.13.00 of land, cultivating
4
the same together with the land in an extent 5 acres taken on lease and earning
Rs.30,000/- per month by raising all types of crops. He was aged about 44
years.
[ii] On the fateful day i.e. on 27.12.2011 at about 03.30 p.m. when the
deceased was travelling on his motorcycle near Market Yard of Kurichedu, within
the limits of Darsi Police Station, the driver of the offending vehicle drove the
same in a rash and negligent manner and dashed the motorcycle causing the
accident, whereby the deceased fell down and sustained injuries and lost his
breath on the way to the hospital.
[iii] A case in Crime No.167 of 2011 was registered for the offences
under Section 304A IPC and 134 r/w 187 of M.V. Act, in Darsi Police Station
against the driver of the offending vehicle – 1
st
respondent.
[iv] The petitioner was a sole breadwinner of his entire family. The
petitioners/claimants are dependents on his income. Since the driver of the
offending vehicle was negligent and responsible for the accident, the 2
nd
respondent being employer of the 1
st
respondent and owner of the offending
vehicle, liable to pay compensation just and reasonable compensation.
5. The 1
st
respondent remained ex-parte.
5
Case of the 2
nd
respondent- APSRTC/appellant:-
6. [i] Driver of the offending vehicle is not negligent.
[ii] Rider of the motorcycle was negligent as he was carrying gas
cylinder and gas stove on his bike, having lost control on the motorcycle, met
with an accident. Therefore, there was no negligence on the part of the 1
st
respondent and liability on the second respondent.
[iii] The claimant shall prove the accident, negligence, death of the
deceased due to accident; age, occupation and income of the deceased, the
dependency of the claimants, justification for the compensation claimed.
[iv] In any event, the quantum of compensation claimed is excessive
and the 2
nd
respondent- APSRTC is not liable to pay any compensation.
Evidence before the Learned MACT:-
On behalf of the petitioners/claimants:
7. [i] 1
st
petitioner/claimant was examined as PW1, driver of the offending
vehicle was examined as RW1.
[ii] Claimants relied on Exs.A1 to A5 i.e., Ex.A1- FIR, Ex.A2- inquest
report, Ex.A3 - post mortem report certificate, Ex.A4- Motor Vehicles Inspector
Report, Ex.-A5 charge sheet. Claim is laid under Section 163-A of Motor Vehicles
Act.
6
Findings of the learned MACT:-
8. [i] Documentary evidence covered by Exs.A1 to A5, evidence of PW.1
and admission of RW.1 as to filing of charge sheet are sufficient to believe the
negligence of the driver of the offending vehicle. Since there is involvement of
the offending vehicle and negligence of the driver of the offending vehicle, the
claimants are entitled for compensation and respondents are liable.
[ii] For want of proper proof etc., the income of the deceased can be
taken notionally at Rs.3,900/- per month and 1/3
rd
of the same shall be deducted
towards his personal expenses, 2/3
rd
of the income comes to Rs.31,200/- per
annum.
[iii] By the application of multiplier ‘15’ provided for the age group
between 41 to 45, the loss of dependency comes to Rs.4,68,000/- and claimants
are entitled for Rs.2,000/- towards funeral expenditure, Rs.2,500/- towards loss
of estate and first claimant is entitled Rs.5,000/- towards loss of consortium.
Arguments in the appeal:-
For the Appellant/APSRTC :-
9. [i] Negligence of the rider of the motor vehicle is ignored.
[ii] There is no basis in adopting the income at ₹3,900 per month.
Compensation awarded is excessive.
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For the Claimants/ respondents:-
10. [i] Learned MACT failed to award the compensation under all the
heads in tune with the directions of the Hon'ble Supreme Court.
[ii] Involvement of the offending vehicle alone is sufficient as the claim
is laid under Section 163-A of Motor Vehicles Act.
11. Perused the material on record.
12. Thoughtful consideration is given to the arguments advanced by both
sides.
13. The points that arise for determination in these appeals are:
1. Whether the compensation awarded and the liability fixed under the
impugned award and decree dated 18.10.2012 passed by the learned
MACT in MVOP.No.10 of 2012 are sustainable in law and on facts? Or
require any interference? If so, on what grounds and to which extent?
2. What is the result of the appeal?
Point No.1:
Negligence:-
14. Claim is made under Section 163-A of M.V. Act. It is settled law that
negligence need not even be pleaded when the claim is made under Section
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163-A of M.V. Act. It is sufficient if the involvement of the offending vehicle is
shown. RW.1 admitted about the criminal case against him.
15. (i). As per Section 176 of the Motor Vehicles Act, the State
Governments are entitled to make rules for the purpose of carrying effect to the
provisions of the Motor Vehicles Act.
(ii). In relation to claims before the learned MACT, Rule 455 to Rule 476
of the A.P. Motor Vehicles Rules, 1989, vide Chapter No.XI provides
comprehensive guidance. As per Rule 476 of the A.P. Motor Vehicles Rules,
1989, the claims Tribunal shall proceed to award the claim basing on the
registration certificate of the vehicle, Insurance Policy, copy of FIR and Post-
mortem certificate etc.
Precedential Guidance:
16. The Hon’ble Apex Court in Bimla Devi and others Vs. Himachal Road
Transport Corporation
1
, in para 15 observed as follows:
“15. In a situation of this nature, the Tribunal has rightly taken a holistic
view of the matter. It was necessary to be borne in mind that strict proof of an
accident caused by a particular bus in a particular manner may not be
possible to be done by the claimants. The claimants were merely to establish
their case on the touchstone of preponderance of probability. The standard
of proof beyond reasonable doubt could not have been applied. For the said
1
2009 (13) SCC 530
9
purpose, the High Court should have taken into consideration the respective
stories set forth by both the parties..”
Reasoning and Findings:
17. In the light of the statutory and precedential guidance, since the claim is
laid under Section 163-A of M.V. Act, proof of accident is sufficient and there is
no necessity to establish the negligence. In the present case, both occurrence of
the accident and involvement of offending vehicle are shown. Hence, the
objection as to absence of negligence on the part of the driver of the offending
vehicle i.e., the 1
st
respondent as well as the negligence on the part of the motor
cyclist, is liable to be rejected in the factual context of the case. Therefore,
findings of the learned MACT do not warrant any interference, either on the
aspect of liability of the respondents or entitlement of the claimants.
Quantum of compensation:
Precedential guidance:
18. (i). For having uniformity of practice and consistency in awarding just
compensation, the Hon’ble Apex Court provided guidelines as to adoption of
multiplier depending on the age of the deceased in Sarla Verma (Smt.) and Ors.
vs. Delhi Transport Corporation and Anr.
2
and also the method of calculation
2
2009 (6) SCC 121
10
as to ascertaining multiplicand, applying multiplier and calculating the
compensation vide paragraph Nos.18 and 19 of the Judgment.
(ii). Further, the Hon’ble Apex Court in National Insurance Company
Ltd. vs. Pranay Sethi and Others
3
case directed for adding future prospects at
50% in respect of permanent employment where the deceased is below 40
years, 30% where deceased is between 40-50 years and 15% where the
deceased is between 50-60 years. Further, in respect of self-employed etc.,
recommended addition of income at 40% for the deceased below 40 years, at
25% where the deceased is between 40-50 years and at 10% where the
deceased is between 50-60 years. Further, awarding compensation under
conventional heads like loss of estate, loss of consortium and funeral expenditure
at Rs.15,000/-, Rs.40,000/- and Rs.15,000/- respectively is also provided in the
same Judgment.
(iii). Further in Magma General Insurance Company Ltd. vs. Nanu
Ram and Others
4
, the Hon’ble Apex Court observed that the compensation
under the head of loss of consortium can be awarded not only to the spouse but
also to the children and parents of the deceased under the heads of parental
consortium and filial consortium.
3
2017(16) SCC 680
4
(2018) 18 SCC 130
11
Just Compensation:
19. In Rajesh and others vs. Rajbir Singh and others
5
, the Hon’ble Supreme
Court in para Nos.10 and 11 made relevant observations, they are as follows:
“10. Whether the Tribunal is competent to award compensation in excess of
what is claimed in the application under Section 166 of the Motor Vehicles Act,
1988, is another issue arising for consideration in this case. At para 10
of Nagappa case [Nagappa v. Gurudayal Singh, (2003) 2 SCC 274 : 2003
SCC (Cri) 523 : AIR 2003 SC 674] , it was held as follows: (SCC p. 280)
“10. Thereafter, Section 168 empowers the Claims Tribunal to ‘make an
award determining the amount of compensation which appears to it to be just’.
Therefore, the only requirement for determining the compensation is that it
must be ‘just’. There is no other limitation or restriction on its power for
awarding just compensation.”
The principle was followed in the later decisions in Oriental Insurance Co.
Ltd. v. Mohd. Nasir [(2009) 6 SCC 280 : (2009) 2 SCC (Civ) 877 : (2009) 2
SCC (Cri) 987] and in Ningamma v. United India Insurance Co. Ltd. [(2009) 13
SCC 710 : (2009) 5 SCC (Civ) 241 : (2010) 1 SCC (Cri) 1213]
11. Underlying principle discussed in the above decisions is with regard
to the duty of the court to fix a just compensation and it has now become
settled law that the court should not succumb to niceties or technicalities, in
such matters. Attempt of the court should be to equate, as far as possible, the
misery on account of the accident with the compensation so that the
injured/the dependants should not face the vagaries of life on account of the
discontinuance of the income earned by the victim.”
Analysis, reasoning and Finding:-
20. (i). Although it was pleaded that the deceased owned agricultural land
and taken certain land on lease, considering the absence of proper material in
5
(2013) 9 SCC 54
12
support thereof, the learned MACT adopted a guesswork and assessed the
income of the deceased at Rs.3,900/- per month. There is no basis for such
assessment. Even if the income is taken at Rs.3,000/- per month, for the age
group around ‘40’, adding around 30% is permissible towards future prospects.
Therefore, income taken can be considered as proper and inclusive of future
prospects. Multiplier adopted is also proper. Hence, the same require no
interference. However, with regard to awarding compensation under conventional
heads - loss of estate, funeral expenditure etc., the guidance of the Supreme
Court, which is law of land mandates awarding of Rs.15,000/- each in terms of
the ratio laid down in Sarla Verma's case and Pranay Sethi's case.
[ii] Further in terms of the directives of the Supreme Court in Magma
General Insurance Company Ltd., the compensation under the heads of
parental, spousal, and filial consortium @Rs.40,000/- can be awarded to each of
the claimants. Wife is entitled for spousal consortium, children are entitled for
parental consortium and parents are entitled for filial consortium. Therefore all
the claimants together entitled for just compensation under the said heads.
Therefore, the compensation awarded need addition under these heads.
[iv] Awarding compensation under the heads of conventional heads at
higher rates than what prescribed under Section 163 A is permissible in view of
the observations of the Hon'ble Supreme Court made in Smt.Sarla Verma and
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Other’s case, wherein it is observed that the scales are fixed at decades back
and revisit is necessary.
21. In view of the reasons and the evidence referred above, the entitlement of
the claimants for reasonable compensation in comparison to the compensation
awarded by the learned MACT is found as follows:
Head Compensation
awarded by the
learned MACT
Fixed by this
Court
(i) Loss of dependency Rs.4,68,000/- Rs.4,68,000/-
(ii) Loss of estate Rs.2,500/- Rs.15,000/-
(iii) Loss of Consortium Rs.5,000/-
[for 1
st
claimant only]
Rs.2,00,000/-
[@Rs.40,000/- for each claimant]
(iv) Funeral expenses Rs.2,000/- Rs.15,000/-
Total compensation awarded Rs.4,77,500/- Rs.6,98,000/-
Interest (per annum) 9% 6%
Granting of more compensation than what claimed, if the claimants are
otherwise entitled:-
22. The legal position with regard to awarding more compensation than what
claimed has been considered and settled by the Hon’ble Supreme Court holding
that there is no bar for awarding more compensation than what is claimed. For
the said preposition of law, this Court finds it proper to refer the following
observations of the Hon’ble Supreme Court made in:
14
(1) Nagappa Vs. Gurudayal Singh and Others
6
, at para 21 of the
judgment.
(2) Kajal Vs. Jagadish Chand and Ors.
7
at para 33 of the judgment.
(3) Ramla and Others Vs. National Insurance Company Limited and
Others
8
at para 5 of the judgment.
Enhancement of compensation in the absence of appeal by the claimants:
23. (i). Whether the compensation can be enhanced in the absence of an
appeal or cross appeal by the claimant. The legal position as to powers of the
Appellate Court particularly while dealing with an appeal in terms of Section 173
of the Motor Vehicles Act, 1988, where the award passed by the learned MACT
under challenge at the instance of the Insurance Company (Respondents) and
bar or prohibition if any to enhance the quantum of compensation and awarding
just and reasonable compensation, even in the absence of any appeal or cross
objections was considered by the Division Bench of this Court in a case between
National Insurance Company Limited vs. E. Suseelamma and others
9
in
M.A.C.M.A. No.945 of 2013, while answering point No.3 framed therein vide,
para 50 of the judgment.
6
(2003) 2 SCC 274
7
2020 (04) SCC 413
8
(2019) 2 SCC 192
9
2023 SCC Online AP 1725
15
(ii). Observations made by the Division Bench of this Court in National
Insurance Company Limited vs. E. Suseelamma and others (12 supra) case
are in compliance with the observations of Hon’ble Apex Court in Surekha and
Others vs. Santosh and Others
10
.
(iii). In Surekha and Others vs. Santosh and Others (13 supra) case, in
Civil Appeal No.476 of 2020 vide judgment dated 21.01.2020, three judges of the
Hon’ble Supreme Court observed that “it is well stated that in the matter of
Insurance claim compensation in reference to the motor accident, the Court
should not take hyper technical approach and ensure that just compensation is
awarded to the affected person or the claimants”. While addressing a case where
the High Court has declined to grant enhancement on the ground that the
claimants fail to file cross appeal above observations are made.
24. For the reasons aforesaid and in view of the discussion made above, the
point No.1 is answered concluding that the claimants/petitioners are entitled for
compensation of Rs.6,98,000/- with interest at the rate of 6% per annum from
the date of petition till the date of realization and the order and decree
18.10.2012 passed by the learned MACT in M.V.O.P.No.10 of 2012 require
modification accordingly. Point No.1 is answered accordingly.
10
(2021) 16 SCC 467
16
Point No.2 :
25. In the result, the appeal is dismissed as follows:-
(i) the compensation awarded by the learned MACT in M.V.O.P.No.10 of
2012 at Rs.4,77,500/- with interest at the rate of 9% per annum is
modified and enhanced to Rs.6,98,000/- with interest at the rate of
6% per annum from the date of petition till the date of realization.
(ii) Apportionment:
a. Respondent No.1-wife is entitled for Rs.2,00,000/-
b. Respondent Nos.2 and 3, children are entitled for Rs.1,60,000/-
each.
c. Respondent No.4-fahter is entitled for Rs.78,000/-
d. Respondent No.5/mother is entitled for Rs.1,00,000/-
(iii) Time for payment /deposit of balance amount is two (02) months.
a) If the claimants/petitioners furnish the bank account number
within (15) days from today, the respondents shall deposit the
amount directly into the bank account of the claimants/petitioners
and file the necessary proof before the learned MACT.
b) If the claimants fail to comply with clause (iii)(a) above, the 2
nd
respondent shall deposit the amount before the learned MACT
and the claimants are entitled to withdraw the amount at once on
deposit.
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[iv] There shall be no order as to costs, in the appeals.
[v]. As a sequel, miscellaneous petitions, if any, pending in the appeal
shall stand closed.
√
____________________________
A. HARI HARANADHA SARMA, J
Date: 01.07.2026
Pnr
Whether the order is:
Speaking √ Non-Speaking -
Reportable - Non-reportable √
18
4
HON’BLE SRI JUSTICE A. HARI HARANADHA SARMA
M.A.C.M.A.No.1276 of 2015
Dated 01.07.2026
Pnr
In a significant ruling on **Motor Accident Claims in Andhra Pradesh**, the High Court of Andhra Pradesh at Amaravati delivered a comprehensive judgment in **M.A.C.M.A. No. 1276 of 2015**, further clarifying principles of *Compensation Enhancement Rulings* under the Motor Vehicles Act. This pivotal decision, now available on CaseOn, outlines the High Court’s approach to evaluating claims under Section 163-A, emphasizing the paramount goal of securing \'just compensation\' for victims and their dependents. Presided over by the Honourable Sri Justice A. Hari Haranadha Sarma, this case underscores the judiciary\'s commitment to ensuring equitable relief in personal injury and death claims arising from motor vehicle accidents, providing valuable insight for legal practitioners and claimants alike.
\n\nThe core of the claimants\' case rested on Section 163-A of the Motor Vehicles Act, which allows for compensation claims without the need to prove the driver\'s negligence. This provision simplifies the process for victims, requiring only the involvement of the offending vehicle in the accident. The High Court affirmed that in such claims, the rigorous standard of proving negligence \'beyond reasonable doubt\' is replaced by a \'preponderance of probability,\' echoing precedents like *Bimla Devi and others Vs. Himachal Road Transport Corporation*.
\n\nTo ensure uniformity and fairness, the High Court relied heavily on landmark Supreme Court judgments for calculating compensation:
\nThe High Court underscored its inherent power to award \'just compensation,\' even if it exceeds the amount originally claimed, and even in the absence of a cross-appeal by the claimants. This principle, settled by cases like *Nagappa Vs. Gurudayal Singh and Others* and *Surekha and Others vs. Santosh and Others*, highlights the judiciary\'s responsibility to prevent technicalities from hindering fair justice in motor accident cases.
\n\nThe appellant, APSRTC, argued that the driver was not negligent and that the motorcyclist (deceased) was at fault. However, given that the claim was made under Section 163-A, the High Court found that the involvement of the offending vehicle was sufficiently proven through documentary evidence (FIR, inquest report, post-mortem report, MVI report, charge sheet) and witness testimonies. The court firmly rejected the appellant\'s objections regarding negligence, affirming the MACT\'s finding of liability.
\n\nThe MACT had initially awarded Rs. 4,77,500/- with 9% interest, assessing the deceased\'s notional income at Rs. 3,900/- per month and applying a multiplier of 15. The High Court, while largely agreeing with the income and multiplier (which implicitly included a 30% addition for future prospects for an individual around 40 years of age with notional income), meticulously revisited the conventional heads of compensation:
\nThe High Court\'s detailed re-evaluation resulted in a total enhanced compensation of Rs. 6,98,000/-. For legal professionals navigating complex judgments like this, CaseOn.in 2-minute audio briefs provide a critical advantage, offering concise, actionable summaries that distill key holdings and reasoning, making it easier to analyze specific rulings and stay updated efficiently.
\n\nThe High Court reiterated the principle that tribunals and appellate courts are empowered to award \'just compensation,\' even if it means exceeding the amount initially claimed. This reflects a humanistic approach, prioritizing the well-being of accident victims and their dependents over procedural technicalities. The court\'s decision to enhance compensation, despite the absence of a cross-appeal from the claimants, further solidified this stance, ensuring that the claimants receive fair and adequate relief.
\n\nThe High Court dismissed the appeal filed by APSRTC, upholding the liability findings of the Motor Accident Claims Tribunal. Crucially, it modified and enhanced the compensation amount from the MACT\'s award of Rs. 4,77,500/- to Rs. 6,98,000/-. The interest rate was also adjusted from 9% to 6% per annum, calculated from the date of the petition until realization. The enhanced amount was apportioned among the claimants as follows:
\nThe respondents were directed to deposit the balance amount within two months.
\n\nThis judgment is an essential read for lawyers, legal scholars, and students specializing in motor accident claims. It reinforces several critical aspects of compensation law:
\nThis ruling serves as a robust precedent, guiding future motor accident claim adjudications in Andhra Pradesh and ensuring that victims receive fair and comprehensive compensation in line with the latest judicial pronouncements.
\n\nAll information provided in this blog post is for informational purposes only and does not constitute legal advice. While efforts have been made to ensure accuracy, readers are encouraged to consult with a qualified legal professional for advice pertaining to their specific circumstances.
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