{"id":258822,"date":"2021-12-21T17:00:26","date_gmt":"2021-12-21T11:30:26","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=258822"},"modified":"2021-12-24T09:52:25","modified_gmt":"2021-12-24T04:22:25","slug":"sc-looks-to-curb-the-menace-of-fake-compensation-claims-under-motor-vehicles-act-impleads-ministry-of-transport","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2021\/12\/21\/sc-looks-to-curb-the-menace-of-fake-compensation-claims-under-motor-vehicles-act-impleads-ministry-of-transport\/","title":{"rendered":"SC looks to curb the menace of fake Compensation Claims under Motor Vehicles Act; impleads Ministry of Transport"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>Supreme Court<\/strong>: After it was brought to the Court\u2019s notice that several fake claim petitions were being filed for getting compensation under the Motor Vehicles Act as well as under the Workmen Compensation Act, the bench of MR Shah and Sanjiv Khanna, JJ has issues notice to the Ministry of Transport, Government of India seeking its response and suggestions on how to curb the menace of filing false\/fake claim petitions.<\/p>\n<p style=\"text-align: justify;\">The Special Investigating Team (SIT) has filed a Status Report with respect to complaints filed\/enquiry completed, the names of the accused, where the criminal complaints are filed and in which criminal cases the charge sheets have been filed. The Status Report shows that total 1376 cases of suspicious claims from various Districts in the State of U.P. have been received so far by the SIT.<\/p>\n<h4 style=\"text-align: justify;\"><span style=\"color: #008000;\"><strong>Some of the issues Highlighted in the Status report<\/strong><\/span><\/h4>\n<ul style=\"text-align: justify;\">\n<li>Out of total 1376 cases of suspicious claims received by the SIT since 2015, after completing enquiry of 247 cases of suspicious claims till date, total 198 accused persons have been prima facie found guilty of cognizable offence and accordingly total 92 criminal cases have been registered in various districts. Further, against some of the accused persons, more than criminal cases have been registered. Enquiry of remaining cases of suspicious claims is underway.<\/li>\n<li>Out of total criminal cases registered so far, investigation of 36 criminal cases have been completed and charge sheets against accused persons have been filed in 32 criminal cases 2 and final reports in 4 criminal cases have been forwarded to the concerned Criminal Court.<\/li>\n<li>total 92 criminal cases in various Districts have been registered till date, of which, 28 advocates have been named as accused persons in 55 cases. Charge sheets against 11 advocates in 25 cases have been forwarded to the concerned trial Court till date.<\/li>\n<li>Headquarter of the SIT is situated in Lucknow. Officers\/employees have to go in the districts of the entire State and sometimes have to go in other States outside the State of Uttar Pradesh for conducting enquiry\/investigation proceedings as and when so warranted.<\/li>\n<li>Due to the outbreak of Covid-19, there was a lockdown and termination of transportation services in the State and even some of the officers\/employees have been got infected, enquiry\/investigation process was adversely affected. It is stated that on getting the situation normal after completion of lockdown of Corona period, full attempts are being made to start this enquiry\/investigation process speedily.<\/li>\n<li>As the respective insurance companies are not ready to being complainants in the FIR, the investigating officer of the SIT has to become the complainant and therefore also it takes some time. Investigating officer is also present in the Court.<\/li>\n<\/ul>\n<h4 style=\"text-align: justify;\"><span style=\"color: #008000;\"><strong>Modus operandi in instituting the fake compensation petitions<\/strong><\/span><\/h4>\n<ol>\n<li style=\"text-align: justify;\">Non-road accident injury-death converted into road accident claims;<\/li>\n<li>fraudulent implantation of vehicle;<\/li>\n<li style=\"text-align: justify;\">false implantation of driver;<\/li>\n<li>claimant implantation;<\/li>\n<li>multiple claims at various for a at different territorial locations for compensation out of injury\/death caused arising out of the same accident. Often the claim applications are filed both before various MACT Tribunals as well as the authorities under the Employees Compensation Act, 1923;<\/li>\n<li>fake\/fabricated insurance policies; and<\/li>\n<li style=\"text-align: justify;\">fake\/fabricated income documents\/medical documents for exaggerated compensation<\/li>\n<\/ol>\n<h4 style=\"text-align: justify;\"><span style=\"color: #008000;\"><strong>Direction<\/strong><\/span><\/h4>\n<p style=\"text-align: justify;\">The Court was hence of the opinion that before any further directions are issued, it was necessary to seek the response from the Ministry of Transport, Government of India to have their suggestions for remedial and preventive measures for curbing the menace of filing of false\/fraud claim petitions.<\/p>\n<p style=\"text-align: justify;\">The Court, hence, directed the Registry to implead the Ministry of Transport, Government of India as a party-respondent and issue notice. K.M. Nataraj, Additional Solicitor General of India has been requested to appear on behalf of the Ministry of Transport, Government of India and to assist the Court and to come out with suggestions how to curb the menace of filing false\/fake claim petitions, after which the Court will issue directions to be applied pan India.<\/p>\n<p style=\"text-align: justify;\">[Safiq Ahmed v. ICICI Lombard General Insurance Co. Ltd., <a href=\"http:\/\/www.scconline.com\/DocumentLink\/w9zhNbfK\"><b>2021 SCC OnLine SC 1259<\/b><\/a>, order dated 16.12.2021]<\/p>\n<hr \/>\n<p style=\"text-align: justify;\">For Insurance Companies: Senior Advocate Atul Nanda and Advocate Vishnu Mehra<\/p>\n<p style=\"text-align: justify;\">\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court: After it was brought to the Court\u2019s notice that several fake claim petitions were being filed for getting compensation under <\/p>\n","protected":false},"author":121,"featured_media":243203,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,9],"tags":[48110,48111,45150,33155],"class_list":["post-258822","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-supremecourt","tag-fake-claims","tag-ministry-of-transport","tag-motor-vehicle-accident-claim","tag-motor-vehicle-act"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.4 (Yoast SEO v26.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>SC looks to curb the menace of fake Compensation Claims under Motor Vehicles Act; 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Read SC&#8217;s suggestion to Ministry of Law and Justice","author":"Prachi Bhardwaj","date":"December 9, 2021","format":false,"excerpt":"Supreme Court: With an aim to curtail the pendency before the High Courts and for speedy disposal of the appeals concerning payment of compensation to the victims of road accident, the bench of SA Nazeer* and Krishna Murari, JJ has asked the Department of Justice, Ministry of Law and Justice\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-3-3.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-3-3.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-3-3.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-3-3.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/02\/sc-3-3.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":200168,"url":"https:\/\/www.scconline.com\/blog\/post\/2018\/08\/16\/fake-driving-licence-per-se-does-not-absolve-insurer-of-liability-to-pay-compensation-sc\/","url_meta":{"origin":258822,"position":1},"title":"Fake driving licence, per se, does not absolve insurer of liability to pay compensation: SC  \u00a0","author":"Bhumika Indulia","date":"August 16, 2018","format":false,"excerpt":"Supreme Court: A.M. Khanwilkar, J. delivered the judgment for CJ Dipak Misra and himself whereby the matter concerning the liability of the insurer to pay compensation in a motor accident claim was remanded back to the Allahabad High Court. 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The Cholamandalam MS General Insurance Company Limited is\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":208065,"url":"https:\/\/www.scconline.com\/blog\/post\/2019\/01\/14\/ph-hc-appeal-against-compensation-under-mv-act-dismissed-as-insurer-fails-to-show-drivers-license-was-invalid\/","url_meta":{"origin":258822,"position":3},"title":"P&#038;H HC | Appeal against compensation under MV Act dismissed as insurer fails to show driver&#8217;s license was invalid \u00a0","author":"Bhumika Indulia","date":"January 14, 2019","format":false,"excerpt":"Punjab and Haryana High Court: This appeal was filed before a Single Judge Bench of Lisa Gill, J., by the Insurance Company challenging its liability to pay compensation to the claimants which was awarded by the Motor Accident Claims Tribunal. Facts of the case were that the claim petition was\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":272546,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/08\/29\/tort-feasor-claim-compensation-madras-high-court-legal-research-legal-news\/","url_meta":{"origin":258822,"position":4},"title":"Duty of the claimants to prove negligence under S.166 of the Motor Vehicles Act; Madras High Court set aside the award","author":"Editor","date":"August 29, 2022","format":false,"excerpt":"Madras High Court: In an appeal filed against the ruling of the Motor Accident Claims Tribunal, granting compensation to the three deceased persons travelling on a single motorcycle and one of the claimant being the rider of the only vehicle involved in the accident; R. Tharani, J. has held that\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Madras High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Madras-HC.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Madras-HC.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Madras-HC.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Madras-HC.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/02\/Madras-HC.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":201884,"url":"https:\/\/www.scconline.com\/blog\/post\/2018\/09\/17\/possession-of-two-driving-licence-where-one-found-fake-cannot-render-the-second-license-invalid-under-the-motor-vehicles-act-1988\/","url_meta":{"origin":258822,"position":5},"title":"Possession of two driving licence where one found fake cannot render the second license invalid under the Motor Vehicles Act, 1988\u00a0","author":"Bhumika Indulia","date":"September 17, 2018","format":false,"excerpt":"Punjab and Haryana High Court: An appeal was allowed by a Single Judge Bench comprising of Harinder Singh Sidhu, J., filed against an award of Motor Accidents Claims Tribunal, where appellants were made jointly and severally liable to pay compensation instead of Insurance Company. The facts of the case are\u2026","rel":"","context":"In &quot;Case Briefs&quot;","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/258822","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/121"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=258822"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/258822\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/243203"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=258822"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=258822"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=258822"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}