NATIONAL INSURANCE COMPANY LIMITED Vs. SHIVA ENTERPRISES

JUDGEMENT

(1.) THE respondents were running the business of manufacturing and selling shawls. They got the insurance policy from the appellants for the period from 10.8.1999 to 9.8.2000 for all kinds of stocks lying at their shop and for cash, etc. against any loss/burglary, etc. Unfortunately in the night intervening 23/24.11.1999 a theft took place in the shop of the respondents and they suffered a loss to the tune of Rs. 3,39,175. The matter was reported to the police for which FIR No. 152 dated 26.11.1999 for offences punishable under Sections 457/380, IPC was registered at PS -Kotwali, Amritsar. Information was also given to the appellants vide letter dated 24.11.1999. The insurance claim was lodged but the claim was not settled by the appellants. Alleging deficiency in service on the part of the appellants, the respondents filed the complaint in the learned District Consumer Disputes Redressal Forum, Amritsar (in short "District Forum") for the recovery of Rs. 3,39,175 with compensation, interest and costs.

(2.) THE appellants filed the written statement. It was admitted that the respondents had taken the fire insurance policy from the appellants for the period from 10.8.1999 to 9.8.2000 for all kinds of stocks lying at their shop and the insurance was against any loss, theft or burglary, etc. It was also not denied that as per the information received from the respondents a theft had taken place in their shop in the night intervening 23/24.11.1999. However, the liability of the appellants is limited to the terms and conditions of the insurance policy. M/s. Bharat Mago and Co., Jalandhar were appointed as the Surveyors. Since the respondents have committed violation of condition No. 7 of the insurance policy, therefore, they are not entitled to any insurance claim.

(3.) IT was further pleaded that no details of alleged stolen items have been given in the FIR. The lists of the stolen goods have been manipulated and fabricated later on. The investigation was conducted by M/s. Secret Bureau of Investigation who also submitted their report. According to this report, occurrence could not have taken place as alleged by the respondents. As far as the loss of cash is concerned, it was not covered by the insurance policy.