'Very Disturbing….': SC Deplores Non-Payment Of Compensation To Road Mishap Victims, Issues Directions

New Delhi: The Supreme Court on Tuesday said it is very disturbing that road accident victims were deprived of compensation despite orders of the Motor Accident Claims Tribunal, and it is necessary to find a solution.

A bench comprising Justices Abhay S Oka and Ujjal Bhuyan issued a slew of directions. The top court's order came on a suo motu petition over large sums of money lying deposited in the MACT and labour courts.

The bench said while filing claim petitions under the Motor Vehicles Act, 1988, names and addresses of the injured or the owners of the damaged property; their Aadhaar and PAN details and email id, should be submitted.

"If the aforesaid details are not furnished, the registration of the application should not be refused on that ground, but MAC tribunals at the time of issuing notice may direct the applicant(s) to furnish the information and make the issue of the notice subject to making compliance," it said.

The top court said while passing an interim or final order of grant of compensation, the bench said, the tribunals shall call upon the person or persons held entitled to receive compensation, to produce their bank account details along with either a certificate of the banker giving all details of the bank account of the person or persons entitled to receive the compensation including IFS Code, or a copy of a cancelled cheque of the bank account.

The bench said the claimants would have to produce the documents within a specified reasonable time. "A further direction shall be issued to the persons entitled to receive compensation to keep on updating information regarding the bank accounts, email id, in case there is any change," said the bench.

The bench said in the event a consent award or consent order is made, the tribunals may direct the deposit of the compensation amount ordered to be released to the claimants directly to the bank accounts of the persons held entitled to receive compensation.

"However, the consent terms must contain all relevant account details of the persons entitled to compensation in accordance with clause (c) above. The account details can also be incorporated in the order passed for the disbursement of the amount on the basis of a compromise between the parties. In case of compromise before the Lok Adalats, the MAC Tribunal, on the basis of the settlement, shall pass a consequential order in the above terms," said the bench.

The bench said it is the duty of tribunal judges to verify from the certificate issued by the banker and ascertain whether those entitled to receive compensation were genuine bank account holders.

"The MACTs, while passing orders of withdrawal/disbursement, shall, in the ordinary course, pass an order of transfer of the requisite amounts directly to the bank account of the person/s entitled to receive compensation as per the account details furnished," it said.

The bench said if there is a long gap between the date of furnishing the account details and the date of filing application for withdrawal of the amount, the tribunal will be well advised to get fresh account details of the claimants.

"The issue arising in this suo motu petition is of great concern. The amounts represent the compensation granted to claimants in the claims filed under the 1988 and 1923 Acts. Though the claimants are held entitled to these amounts, they have not withdrawn the same. The fact that so many successful claimants have been deprived of compensation is very disturbing. It is necessary to find a solution," said the bench.

The apex court directed creating a dashboard which will have information on the deposited amount of compensation granted under 1988 or 1923 Acts, which will be regularly uploaded with details.

"The state governments shall provide assistance to the legal services authorities of the local police officers/revenue officers of the district and taluka to trace the claimants who are held entitled to receive compensation," the bench said.

The bench said the state authorities will monitor compliance with the issued directions and report compliance within four months from today.