NEW INDIA ASSURANCE COMPANY Vs. MOHD. AKRAM BHAT

JUDGEMENT

(1.) New India Assurance Company (hereinafter referred to as the company) (although the same ought to have been New India Assurance Company Limited) is in appeal against order Annexure-A dated 23.12.2013 passed in consumer complaint No. 33/2011 in case titled as Mohammad Akram Bhat Vs. Divisional Manager and others whereby complaint filed by the respondent was allowed and a sum of Rs. 2.85 Lacs along with Rs. 7000.00 as litigation charges, total Rs. 2.92 Lacs was awarded, to be paid by the appellant to the respondent or to be deposited in the State Commission within 6 weeks from the date of order. Although the appeal is liable to be dismissed on the ground of not having been instituted by the correct party, however, ignoring technicality, we proceed to examine the case on merit.

(2.) Learned counsel contended that the award was passed behind the back of the appellant company and that although the presence of counsel was marked in the order but a perusal of the order revealed that none was present on behalf of the appellant company when the matter was heard by the State Commission. Secondly, the State Commission had misconstrued the survey report as there was absolutely no material available with the State Commission on the basis of which the report submitted by the surveyor could be discarded. The State Commission also failed to take into account the consent letter which formed part of the record. Thirdly, the nature of damage as evident from the photographs appended with the appeal revealed that there was no question of award of compensation by treating the building liable to reconstruction. Lastly, the award by the State Commission based on the assumption that the building in question had to be reconstructed was not supported by any material available on record.

(3.) Respondent had insured his 2 storeyed residential house building (A Class Construction) under the FIRE AND SPECIAL PERILS POLICY under Insurance Policy No. 1135120393407 for a sum of Rs. 10 lakhs for a period of one year i.e. from 24th of Aug. 2010 to 23rd of Aug. 2011 and was issued insurance policy, Annexure-A attached with the complaint. On account of damage to the insured building in an earthquake, the respondent submitted a claim to the appellant along with all relevant record including certificate Annexure-C attached with the complaint as issued by the Assistant Executive Engineer, Srinagar Municipal Corporation to the effect that the residential house of the respondent was unfit for residential purposes and required complete reconstruction while copy of loss to the building estimated at Rs. 14.97 lakhs was attached along with the complaint as Annexure-B.