PARAM INDUSTRIES LTD Vs. ORIENTAL INSURANCE COMPANY LTD

JUDGEMENT

(1.) THIS order shall govern the disposal of Complaint Cases No. 34/2001 andNo. 35/2001 as both cases are similar in every respect. The facts have, however, been taken from Complaint Case No. 35/2001 for convenience, unless otherwise stated.

(2.) BY these complaints the complainants allege that the Insurance Company has wrongly repudiated the claim arising under the Open Marine Policy FOB. Learned Counsel submits that the repudiation has been made on the footing that the De Oiled Cakes covered under the insurance policy had been sold by the complainant and alienated in favour of Ruchi Soya Industries Ltd. Learned Counsel submits that in case of Open Marine FOB policy the goods are covered till the dock of the ship by which it is being transported and since here the articles were damaged at Beri Bandar, Jamnagar by torrential rains, the marine coverage continued while this damage was caused. As regards Ruchi Soya Products, the Insurance Company maintains that there cannot be coverage beyond the railway station where the goods were unloaded. We may record that goods were taken from Manglia to Jamnagar by rail and to the anchorage by barges. Since the goods were damaged in transit the opposite party - Insurance Company was liable to pay for the damage.

(3.) IN view of the repudiation letter and the complaint filed by the complainant, the only question that needs determination is as to whether by changing the name of the company and by selling the De Oiled Cake to the Ruchi Industries, the insurance coverage is not available on account of the change of name.