NEW INDIA ASSURANCE CO.LTD. vs BISMILLAH BAI

The Supreme Court upheld the High Court's decision modifying the Motor Accident Claims Tribunal's judgment, which had exonerated the Insurance Company from liability under Section 166 and Section 140 of the Motor Vehicles Act. The Court established that the Insurance Company failed to present evidence in rebuttal and thus could not avoid liability for compensation to the claimants. The outcome was that the Insurance Company was held liable to pay Rs.3,12,000/- with interest to the claimants for the death of Israel in the motor vehicle accident.