The Supreme Court has asked the Union government to consider withdrawing the exemption from insurance to 1.5 lakh buses owned by state road transport corporations (SRTCs), steeped in heavy losses, as it found victims and injured in accidents involving these buses are made to wait for years to get compensation from government-run corporations.
This was one of the major issues before a bench of Justices Sanjay K Kaul and Justice Hrishikesh Roy, which for the last six months is engaged in streamlining the process for speedy disbursal of compensation to victims or injured by the Motor Accident Claims Tribunal (MACTs). The bench has entrusted additional solicitor general Jayant Sud with the task of analysing the difficulties, devising innovative solutions in coordination/consultation with the states and appraising the court for issuance of directions for all-India implementation.
During a hearing on the issue recently, Justice Kaul-led bench said, “The vehicles of the State Transport Corporations are not insured because of exemption provided and, as a result thereof, compensation is not paid for long period of time as most of these corporations are running in losses”.
