NASIBUN NISHA Vs. AXIS BANK

JUDGEMENT

(1.) Heard Mr. Gyan Prakash Shukla, learned counsel for the petitioner and Mr. Ashok Kumar Verma along with Mr. Anmol Varma, learned counsel for respondent No.3.

(2.) The petitioner seeks to challenge the order dtd. 16/12/2021 passed by the Max Life Insurance Company i.e. respondent No.2 herein stating that the husband of the petitioner namely, Late Mohd. Farukh Ansari has purchased one Tractor bearing registration number CG29-AD-3266, which was financed by respondent No.1 while sanctioning an amount of Rs.4,93,464.00. The said Tractor was insured by respondent No.2. An agreement was entered into between the parties, according to which in case of death of borrower, the balance amount was required to be adjusted from the Max Life Insurance Company Limited i.e. respondent No.2. As the husband of the petitioner opted for premium 'waiver benefits'. During pendamic Covid-19, the husband of the petitioner expires as such, the information regarding the same was given to the concerned Bank. After the death of borrower, instead of realizing an adjusting loan amount from Insurance Company, the Bank initiated action for recovery of rest of the loan amount. The petitioner approached before the authorities with a request tha due to death of her husband and as per agreement, the loan amoutn is required to be paid by the Insurance Company, however, the claim as made by the petitioner has been rejected. Now, the respondents are initiating arbitration proceedings and are further not clearing the death claim policy in respect of husband of the petitioner, who died in Covid-19 and in spite of knowing all these things, the arbitration proceeding is being initiated against the petitioner, whereas, according to agreement entered into between the parties, the rest of the loan amount would have been adjusted and claimed through the insurer i.e. respondent No.2.

(3.) The petitioner has sought for following relief(s) :-