Grant of interest under Section 171 of the Motor Vehicles Act, 1988 is discretionary.
As per the Multiplier Method, for deciding compensation, the maximum multiplier is fixed at 18 (as per Second Schedule of the MV Act).
Under Section 161(3), in cases in respect of the death of any person resulting from a hit-and-run motor accident, a fixed sum of Rs. 25,000/- is to be paid as compensation and in case of grievous hurt, the amount fixed is Rs.12,500/-.
Section 163A provides for fixed amount of general damage in case of death such as Rs. 2,000/- for funeral expenses.
Frauds in TP claims: Whilst it is not denied that Motor accident Third party settlements are a social obligation, it must also be ensured that individuals / claimants do not take undue advantage of the provisions of the law to enhance personal wealth.
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