ORIENTAL INSURANCE CO LTD Vs. SHAM LAL MATOO

JUDGEMENT

(1.) This appeal is directed against the judgment/order of the State Consumer Protection Commission (for brief "the Commission") allowing the respondent's complaint and directing the appellant to pay him Rs. 2,87,775 with 12% interest.

(2.) The respondent had lodged a complaint with the Commission claiming that he owned a residential house in Degam Nagbal, Tehsil Shopian which he had insured with the Appellant Company on 25th March, 1997 under an insurance policy which was valid till 24th May, 1998. He was a migrant and while he was in Jammu he learnt about this house having been destroyed in fire. So he, accordingly, lodged a claim before the Appellant Company which was not settled for one reason or the other and also on the objection that the house in question was jointly owned by him and his brother, Omkar Nath. His further case in the complaint was that his brother had died on 16th March, 1993 and he had taken his daughter in adoption. Moreover, he had taken the insurance policy much after in 1997 and that there was no claim from any legal heir of his brother as he had not left behind one.

(3.) This complaint was resisted by the Appellant Company on several grounds and, primarily, on the plea that the respondent had failed to disclose the material fact of half of the house being owned by his brother. Omkar Nath, while taking the insurance policy. Therefore, it was to be deemed that he had insured only half of the building and not the full and that he would be entitled only to half of the loss assessed.