BALWANT SINGH Vs. NATIONAL INSURANCE COMPANY LTD.

JUDGEMENT

(1.) Leave granted.

(2.) This appeal arises from a judgment of the National Consumer Disputes Redressal Commission "NCDRC" dated 11 March 2014 dismissing a revision petition filed by the appellant. The NCDRC upheld the view of the District Consumer Disputes Redressal Forum, Jalandhar "District Forum" and of the State Consumer Disputes Redressal Commission, Chandigarh "SCDRC" that the insurer was not liable on a claim preferred under a policy of insurance for the loss of a vehicle occasioned by theft.

(3.) The third respondent entered into a Hire Purchase Agreement with ICICI Bank, "Bank", the second respondent through its Branch at Jalandhar in respect of a vehicle. Pursuant to the agreement, the third respondent paid a few instalments but then committed a default upon which possession of the vehicle was taken by the Bank. The vehicle was put up for auction on 31 March 2006 and was purchased by the appellant for a consideration of Rs 2,42,000. Besides the payment of an amount of Rs 5,000 as earnest money, the appellant paid the balance by a cheque dated 31 March 2006 drawn on the State Bank of Bikaner & Jaipur. Possession of the vehicle was handed over to the appellant on 7 April 2006 after the cheque was encashed together with a certificate of possession of the vehicle. The Bank issued a letter dated 19 April 2006 to the first respondent, which had insured the vehicle, for the cancellation of the entry of hypothecation from the registration certificate of the vehicle. On 22 May 2006, the appellant got the vehicle insured by the first respondent in the amount of Rs 3,28,100 against payment of a premium in the amount of Rs 6,999. An insurance policy was issued by the first respondent. The name of the insured was reflected as the third respondent but significantly the address section in the policy document contained the name of the appellant together with its business address.