National Insurance Co. Ltd vs Deepa Devi & Ors

The Supreme Court addressed the liability for compensation under the Motor Vehicles Act, 1988, in the context of a vehicle requisitioned by the State for election duty. The Court held that the owner of the vehicle, the State Government, and the Insurance Company are jointly and severally liable to pay compensation to the victim's heirs under Section 166 of the 1988 Act. The judgment of the High Court was upheld, clarifying that the registered owner remains liable even if the vehicle is in the possession of a third party during its use for official purposes.