AIR 2000 KARNATAKA 187 ::(2000) ILR (Kant) 1098 ::2000 (3) Civ LJ 379 ::2000 (1) KantLJ 603 ::2001 (1) ACJ 113 ::(2000) 2 TAC 78

Karnataka High Court

Hon'ble Judge(s): G. C. Bharuka, Mohd. Anwar , JJ

Motor Vehicles Act (59 of 1988) , S.171— Award of interest - Rate - Composite rate of interest at rate of 6% p.a. on quantified amount should be awarded unless specific reasons exist to award higher rate. Awarding of composite rate of interest at the rate of 6% p.a. on the amount awarded should be found reasonable unless the special facts and circumstances of the case warrants granting of any other rate may be higher or lower. Any deviation for granting interest at the rate different than 6% p.a. should be supported by appropriate reasons to be spelled out by the Tribunal in its judgment. Further, while determining the rate of interest and the period for which the same is sought to be granted, the Tribunal should give due consideration to the fact as to whether the claim proceedings have sought to be lingered either by the Claimant or the owner or his insurer, so that it may act as deterrant against the erring party and compensatory for the other.