RIDHI GUPTA Vs. NATIONAL INSURANCE CO. LTD.

JUDGEMENT

(1.) THE impugned order dated 13.6.2005 is an ex parte order whereby the complaint of the appellant seeking indemnification of the loss of cash of Rs. 40,000 against Shopkeeper's Policy was dismissed on the premise that the loss was not as per terms of the policy that the cash should be in hand whereas the cash that was lost was in the car. Feeling aggrieved the appellant has preferred this appeal.

(2.) RELEVANT facts, in brief, are that the appellant obtained a Shopkeeper's Policy from the respondent. The policy was effective from 17.6.2000 to 16.6.2001. The policy covered money transit risk upto Rs. 50,000. Unfortunately the appellant suffered a cash loss of Rs. 40,000 while in transit. The Manager of the appellant was going to bank to deposit Rs. 40,000 but on way he stopped at a place to collect some more money. While he was away from the vehicle for about 5 minutes, somebody stole the cash from the car. Police report was lodged vide FIR No. 73/01. The appellant lodged the claim for the loss to the respondent but it repudiated the claim on the interpretation of wrong clauses. The appellant prayed for directions to respondent to pay a sum of Rs. 40,000 with interest, cost and compensation.

(3.) THE repudiation vide letter dated 27.5.2001 shows that the loss was not covered under the Clauses a, b, c of Section III of the Money Insurance under Shopkeeper Policy. The repudiation letter reads as under: DOXV/NKM/2003 27th May, 2003 M/s. Sansel, 485, FIR, Patparganj, Delhi -110092. Dear Sirs, Re: Cash Loss Claim. We refer to your complaint to our Regional Office and accordingly we were advised to review your claim of Cash Loss. We would like to mention here that our office issued the Shopkeeper Policy including the Money Insurance. As per the Section III covering Money Insurance under Shopkeeper Policy it is provided that: The Company will indemnify the insured in respect of - (a) Loss of accident or misfortune whilst the insured's money is in his hands or in the hands of his employees in transit between any two places within a radius of fifteen miles from the insured premises. (b) Loss of damage to money and/or valuables by burglary and/or house -breaking whilst contained in safe burglar resisting or otherwise steel cupboards/cash box and/or such other places under lock and key. (c) Loss of money whilst lying in the casher's till and/or counter in the insured's premises during business hours consequent on or following assault and/or violence against the insured or any employee of the insured or any threat thereof by burglary and/or house -breaking provided always that such money are in the custody of a responsible employee entrusted with the work of handling cash. In view of the above your claim does not fall under the purview of the Policy as the loss of cash has been reported from the abandoned car in which the cash was left. For your reference we are also enclosing the copy of the policy's terms and conditions for your reference. Thanking you, Sd/ - (N.K. Malhotra) Divisional Manager Encl: as above.