NATIONAL INSURANCE COMPANY LIMITED Vs. SHAH CLOTH HOUSE

JUDGEMENT

(1.) This is an appeal against the judgment and order dated 24.11.2000 passed by District Consumer Forum, Kanpur Dehat in Complaint Case No.970/1999. The facts of the case in brief are that the complainant carries on business of cloth in Shop No.746, Kartar Singh Market, Harjender Nagar, Kanpur. The complainant had got an insurance done of the shop for the period 20.11.1992 to 19.11.1993. During the riot which took place in December, 1992 the shop of the complainant was looted and destroyed by the rioters on 10.12.1992 and the damage was caused to the complainant to the tune of Rs.2,74,750/-. The riot took place due to the demolition of the structure of Babri Masjid on 6.12.1992. The complainant informed the Insurance Company and also lodged F. I. R. A Surveyor was appointed by the Insurance Company who after investigation submitted the report. The State Government in view of the situation granted Rs.5,000/- as compensation to the complainant. Inspite of the several reminders the Insurance Company has not finalised the claim. The complainant has, therefore, filed this complaint praying Rs.2,74,750/- as damages along with interest and Rs.1,50,000/- on account of mental torture.

(2.) The opposite party National Insurance Company has alleged in the written argument that no riot took place. Only the glow sign which was fixed outside the shop were damaged. The shutter of the shop was not broken. The Surveyor of the Insurance Company surveyed the shop and came to the conclusion that no damage has been caused to the complainant. It is further alleged that FIR was not lodged immediately but it was lodged after seven days of the incident. The amount of compensation awarded by the State Government will not have effect on the case of the complainant before the District Forum. It is also alleged that the complaint is barred by agreement of arbitration.

(3.) The parties led evidence before the District Forum who after considering the facts of the case came to the conclusion that there was deficiency in service on behalf of National Insurance Company and decreed a claim of Rs.2,69,750/- along with interest @ 12% p. a. w. e. f.24.10.1994 till the date of payment. Rs.500/- was also granted as cost.