NATIONAL INSURANCE COMPANY LTD Vs. HARDEEP PAL SINGH

JUDGEMENT

(1.) National Insurance Company Ltd., Petitioner herein which was the opposite party before the District Forum has filed this revision petition against the order and judgment dated 11.4.2007 passed by the State Consumer Disputes Redressal Commission, Punjab (in short, 'the State Commission') in appeal No. 41/02 whereby the State Commission upholding the order of the District Forum has directed the petitioner to pay the insured declared value of vehicle, i.e., Rs. 3,87,828 to the complainant with interest @ 6% p.a. from four months after the date of lodging of the claim till realization. Rs. 2,000 were awarded as costs.

(2.) District Forum allowed the complaint and directed the petitioner to pay the Insured Declared Value of the Vehicle, i.e. Rs. 3,87,828 to the Respondent along with interest @ 6% p.a. from four months after the date of lodging of the claim till realization. Rs. 2,000 were awarded as costs.

(3.) Petitioner being aggrieved, filed the appeal before the State Commission. During the pendency of the appeal before the State Commission, an Interim Application was filed to bring on record the Motor and General Finance Ltd. which had financed the vehicle to the tune of Rs. 3,75,000 which was to be re-paid in 24 equated monthly instalments. Admittedly, there was a default in payment of instalments by the Complainant. Matter was referred to the Arbitrator where an agreement (Annexure A-1) was entered into between the parties under which the complainant agreed to substitute the Motor and General Finance Ltd. in his place and authorized them to receive the amount awarded by the District Forum. The Application was allowed by the State Commission and the Motor and General Finance Ltd was impleaded as Respondent No. 2 in the appeal.