M. R. Krishna Murthi vs New India Assurance Co. Ltd - Important Supreme Court Judgment 2019

M. R. Krishna Murthi vs New India Assurance Co. Ltd - Important Supreme Court Judgment 2019


On 5th March, 2019, in the case of M. R. Krishna Murthi v. New India Assurance Co. Ltd. & Others [Civil Appeal No. 2476-77 of 2019], the Supreme Court impressed “upon the Government to also consider the feasibility of enacting Indian Mediation Act to take care of various aspects of mediation in general.” The Supreme Court observed that the Government may examine the feasibility of setting up Motor Accidents Mediation Authority (MAMA) “by making necessary amendments in the Motor Vehicles Act” and “in the interregnum”, directed NALSA “to set up Motor Accident Mediation Cell which can function independently under the aegis of NALSA or can be handed over” to Mediation and Conciliation Project Committee (MCPC).


Further, the Supreme Court reiterated “the directions contained in order dated November 6, 2017 in Jai Prakash case for implementation of the latest Modified Claims Tribunal Agreed Procedure” and for ensuring such implementation, directed NALSA “to take up the same in coordination and cooperation with various High Courts.” It was directed that Motor Accident Claims Annuity Deposit Scheme (MACAD) Scheme “shall be implemented by all Claim Tribunals on All India basis” and that “21 Banks, Members of Indian Banks Assocation, who had taken decision to implement MACAD Scheme would do the same on All India basis.”


The Supreme Court impressed “upon the Government to look into the feasibility of framing necessary schemes and for the availability of annuity certificates” and likewise, it was directed “that there should be programmes from time to time, in all State Judicial Academies”, to sensitize “the Presiding Officers of the Claims Tribunals, Senior Police Officers of the State Police as well as Insurance Company for the implementation of the said Procedure.”

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