Madras HC Issues Guidelines For Settlement Of Just Accident Compensation Under MV Act [Read Order]

The guidelines were issued by a Bench compromising Justice SM Subramaniam in an appeal pertaining to false claim.

The insurance company had approached the High Court against an order of the Claims Tribunal granting compensation to the Respondent-victim, stating that the very factum regarding the accident was not even established beyond any pale of doubt.

It was submitted that the respondent's vehicle in question was not involved in the accident. The claimant had not given Registration number of the vehicle in question alleged to have been involved, while taking treatment. And he had given a wrong Registration number of his vehicle, while lodging the belated FIR

Taking into account the entire facts and circumstances of the case, the Bench noted that the facts in a Claims Petition must be "unambiguous".

It stressed,

"Even in case, there is a loss of memory or the claimant due to the injury, unable to provide the correct vehicle number, at least the Police Investigation should reveal the accident occurring time and the place specified as in the Claim Petition. If the charge sheet of the Police is not corroborating with the facts stated in the Claim Petition, then the Tribunal ought not to have considered the Claim Petition at all."

In view thereof, the following guidelines were issued for efficient and effective process to settle the compensation to the Accident Victims:

• The 3 rd respondent / Director General of Police, is directed to issue orders to all the Subordinate Police authorities, so as to ensure that on receipt of information regarding any accident, jurisdictional Police shall register the FIR immediately and upload the same on the Crime and Criminal Tracking Network and Systems (CCTNS) Website without any further delay.
• The 3 rd respondent / Director General of Police is directed to issue orders, conduct investigation of the accident without any undue delay and further, all other documents contemplated under the Detailed Accident Report (DAR) as per DGP Circular dated 02.01.2017 are uploaded periodically during the investigation. The investigation is to be completed and the Final Report is directed to be uploaded within a period of 90 days from date of accident.
• The documents are directed to be uploaded after verification for authenticity with the concerned Departments / Insurance Companies.
• The 3 rd respondent / Director General of Police is directed to ensure the Name, Address, Mobile number of the Victim (in injury cases) or of Spouse/Children (in case of fatal accidents) are uploaded in the website clearly. Aadhaar particulars of Victim/Spouse/Children are also to be uploaded to enable identification of the claimants and avoid multiple claim proceedings.
• The 3 rd respondent / Director General of Police is directed to suitably modify/alter, so as to send E-mail notifications to specified Email ID of the respective Motor Accident Claims Tribunals and Insurance companies concerned across the State of Tamil Nadu in respect of the FIR and the other documents uploaded by the Police authorities in order to serve the objective of Section 158(6) of the Motor Vehicles Act.
• Prompt implementation of the D.G.P. Circular and the directions of this Court is to be reviewed once in a month by the Inspector General of Police concerned and lapses, dereliction of duty by any authority are to be viewed seriously and Disciplinary Proceedings are to be initiated against the erring officials.
• The 3 rd respondent / Director General of Police is directed, in case, where any vehicle involved in accident does not have insurance, the Investigating Police Officer shall not release and shall impound the vehicle.
• The 5 th respondent / The Director of Medical and Rural Health Services is directed to maintain Accident Registers in all the Government Hospitals across the State for Road Traffic Accidents in a specific colour with continuous running numbers and upload the accident particulars in the Medical Department official website. The uploading of the information is directed to be made within a period of seven days from the date of receipt of information regarding the accident.
• The 5 th respondent / The Director of Medical and Rural Health Services is directed to ensure Blood Tests are conducted in required Road Traffic Accident Cases under Sections 185 and 204 of the Motor Vehicles Act, 1988.
• Necessary directions are to be issued to all the Government Hospitals across the State of Tamil Nadu.
• The 5 th respondent / The Director of Medical and Rural Health Services is directed to ensure that the competent Medical Board examine the referred accident victims and issue 'Disability Certificate' within a period of thirty (30) days from the date of such reference.
• The Motor Accident Claims Tribunals across the State of Tamil Nadu are directed to follow up the cases uploaded by the Police authorities in Crime and Criminal Tracking Network and Systems (CCTNS) by downloading the FIR along with the relevant documents. Thereafter, the FIR shall be numbered under Section 166(4) of the Motor Vehicles Act, 1988, within a period of fifteen (15) days from the date of intimation and the CCTNS website is to be followed up for downloading the complete set of documents from the concerned Police authorities. The Police authorities are already directed to complete the investigation and submit the final report within a period of 90 days from the date of accident.
• The Motor Accident Claims Tribunals across the State of Tamil Nadu are directed to issue notice to the victims and the concerned Insurance companies/Transport Corporations/Owners as the case may be, within a period of fifteen (15) days from the date of numbering the FIR and take initiative / consider settlement of claims to the victims on the specified date recording the Aadhaar number of the Claimant, so as to enable verification of proceedings at the later date.
• If the parties had reached a settlement, then the Motor Accident Claims Tribunal shall record the same, pass award in terms of the settlement and direct payment of the agreed compensation as per the prevailing procedures followed by the Tribunal in passing awards.
• If no settlement is concluded on the notified date or any further adjourned date, within a specified time by the Tribunal on account of any specific dispute with regard to liability, then the Pre-Litigation file may be closed by the Tribunal.
• If the Victim/Claimants desire to conduct the PreLitigation proceeding before any other Motor Accident Claims Tribunal (having jurisdiction under Section 166 of the Motor Vehicles Act) those claimants may be permitted to inform the Tribunal about their willingness in the form of an affidavit/letter and on receipt of the same, the Tribunal is directed to transfer the Pre-Litigation proceedings to the Tribunals opted by the Victim/Claimants.
• If there is no settlement arrived between the parties in the Pre-Litigation proceedings, the Claimant shall have the right to pursue a claim under Sections 166 or 163-A of the Motor Vehicles Act.
• With reference to the Pre-Litigation settlement, the Motor Accident Claims Tribunal may take a decision and refer the proceedings to the Legal Services Authority for dealing with the same and in case, there is a settlement, the proceedings can be reported back to the Tribunal for passing award or in case, no settlement, for closing the Pre-Litigation Proceedings. In this regard, the Legal Services Authorities have been provided access to DAR Online and thus involve in the scheme of relief to victims.
• The Motor Accident Claims Tribunals are directed to readily use the informations and documents uploaded in the Detailed Accident Report (DAR) in all pending trials to avoid delay in disposal of the claim cases.
• The Motor Accident Claims Tribunals having special and direct access to the documents through Detailed Accident Report (DAR), is directed to use the same, if there is no dispute regarding the documents uploaded by the Police authorities. Those documents shall be relied upon for the purpose of disposal of the Claim Petition as the entire procedure require to be summary in nature. The online documents being authenticated with water mark, would satisfy Section 65(B) of the Evidence Act mandate and may be marked as Exhibits. Thus, Trial can be shortened to avoid delay and prejudice to claimants.
• The Motor Accident Claims Tribunals are directed to ensure with reference to Pay and Recover rule, that the victims do not suffer lengthy trials and erring owners/drivers do not escape liability, despite flouting the statutory provisions in use of motor vehicles.

It has been clarified that these directions shall not be construed as any bar against the formulation of any mechanism for settlement of Pre-Litigation or the use of DAR Online.

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