The state-run Karnataka State Road Transport Corporation (KSRTC) will finally get Rs 50,000 as compensation with 6% interest for a bus damaged in a road accident about 11 years ago.
The high court modified the Rs 67,117 compensation with interest awarded by additional city civil judge and motor accident claims tribunal (MACT), Dakshina Kannada, on June 10, 2014.
The accident had occurred on March 26, 2008, when the bus was plying on its scheduled route from Puttur to Bengaluru. When the bus reached Planters Coffee Curing on Belur Road, a speeding Mahindra goods vehicle coming from the opposite direction collided with it.
The KSRTC had sought Rs 7,36,647 as compensation in its claim petition before MACT, Dakshina Kannada.
The corporation had contended that the bus had suffered damages and was grounded for 59 days at their regional workshop in Mangaluru from March 26 to May 23, 2008 and there was a revenue loss of Rs 12,089 per day during that period.
Due to the accident, the front bumper, grill and passenger footboard of the bus were damaged, while the front windscreen and a ventilator glass on the left side were broken and they spent Rs 23,396 for repair work.
However, the MACT, after going through the evidence, concluded that the maximum time required for repair in these kind of damages was one week. It also arrived at a sum of Rs 87,442 after deducting 50% towards maintenance charges and fixed the revenue loss at Rs 43,721.
The tribunal then directed Bajaj Alliance General Insurance Company Ltd to pay Rs 67,117 with 6% interest as compensation to the KSRTC.
The insurance firm challenged this award before the high court, claiming the time required for repair and replacing broken glass was hardly one hour and the claim of 59 days of revenue loss was without basis.
The company said the compensation awarded is excessive and there was no satisfactory evidence to establish the cost incurred on repair and revenue loss.
Justice Mohammed Nawaz concurred with the contention of the insurance firm that the loss of revenue assessed by the tribunal was on the higher side and ordered Rs 50,000 as compensation with 5% interest within four weeks.