UNITED INDIA INSURANCE COMPANY LIMITED Vs. UJWALA STORES

JUDGEMENT

(1.) THE Appellant -United India Insurance Co. Ltd. is aggrieved by the order dated 9.4.2007 passed by Consumer Disputes Redressal Forum (District Forum), North Goa in Complaint No. 95/2002 whereby it was directed to pay the Respondent a sum of Rs. 2,50,000 along with interest 10% p. a. thereon from 14.6.2001 till date of final payment.

(2.) THE Appellants are the Original Opposite Parties and the Respondent is the Original Complainant. For convenience, the parties shall be referred as arrayed in the District Forum. Case of the complainant

(3.) IN a nutshell, it is the Complainant's case that he is the proprietor of a grocery shop "Ujwala Stores" in Bicholim Municipal Market Complex. He had taken insurance policy cover for his goods underwritten by the Opposite Parties for the period 22.9.1999 to 21.9.2000. This was done at the instance of Bank of India which had extended cash credit facility to the tune of Rs. 2,00,000 against stocks. The insurance cover was for Rs. 2,50,000 because the stock in the shop at any time of the year stood at more than Rs. 3,00,000 On the night of 11th and 12th June, 2000, the low lying areas of Bicholim got flooded due to heavy rains. The heavy rains continued till 12th June, 2000 evening and the flood water reached peak height of 1.60 metres. The Complainant who resides at Mayem village about seven kilometres away could not reach the site to save his goods and prevent damage due to the flood waters. More than 90% of the goods were destroyed since most of the grocery items were of perishable nature and were kept on the floor. Some of the items like sugar, jaggery and edible oils had disappeared having dissolved in the water. Besides the flood waters had stagnated for more than 15 hours. The Complainant assessed the damage at Rs.3,51,500.