Motor vehicle release barred where no third-party insurance existed on accident date; later cover does not cure the defect.

Rule 6 of the Odisha Motor Vehicles (Accidents Claims Tribunal) Rules, 2018 bars release of a motor vehicle involved in an accident causing death, bodily injury, or property damage where no third-party risk insurance existed in the name of the registered owner on the date of the accident, unless sufficient security is furnished to meet possible compensation. A later insurance cover does not cure the absence of cover at the time of the accident. On those facts, refusal to release the vehicle under Section 457 CrPC was legally justified.

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Issues: Whether a motor vehicle involved in an accident causing injury to a third party, and not covered by third party risk insurance on the date of the accident, can be released in proceedings under Section 457 of the Code of Criminal Procedure, 1973.

Analysis: Rule 6 of the Odisha Motor Vehicles (Accidents Clams Tribunal) Rules, 2018 prohibits release of a motor vehicle involved in an accident resulting in death, bodily injury, or damage to property when the vehicle is not covered by a policy of insurance against third party risks taken in the name of the registered owner on the date of accident, unless sufficient security is furnished to satisfy compensation that may be awarded in the claim case. The vehicle in question had no such insurance cover on the date of the accident. A subsequent insurance cover does not cure the defect or justify release. In these circumstances, refusal to release the vehicle under Section 457 of the Code of Criminal Procedure, 1973 does not suffer from illegality or infirmity.

Conclusion: Release of the vehicle was not permissible, and the refusal to release it was in law.

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