ORIENTAL INSURANCE CO LTD Vs. JAI PUNEET WIRES

JUDGEMENT

(1.) This revision petition arises out of the order of the State Consumer Disputes Redressal Commission, Rajasthan, whereby the State Commission upheld the order of the District Forum. The facts in brief which lead the complainant to approach the District Forum are as under :

(2.) The complainant, M/s. Jai Puneet Wires, a factory which carries on business of receiving goods from the factories and draws copper wire and return the same to the factories from whom it received goods for drawing. The complainant got his factory insured for Rs. 6,50,000/- including machinery for a sum of Rs. 2,50,000/- and stock in process, semi-finished goods and stock of raw material and finished goods amounting to Rs. 4 lakhs. This insurance was against burglary and theft also.

(3.) On the midnight 9/10.2.1995 a theft took place wherein the complainant not only lost the copper wire belonging to him but also the copper belong to different customers. This fact was reported to the police and also to the Insurance Company, who on being informed, appointed a Surveyor. The Insurance Company assessed the loss at Rs. 5,756/-. Feeling not satisfied with the amount assessed and offered by the Insurance Company, the complainant approached the District Forum by way of a complaint. The contention of the Insurance Company before the District Forum was that the copper wire weighing 977.400 kgs. which was received for processing from Ujala Cables and the copper wire weighing 977.900 kgs. which was received for processing from Madhu Glass Chemicals, Alwar, did not belong to the complainant and hence, the Insurance Company rejected the claim on the ground that the policy did not cover the stocks that were not owned by the complainant. The District Forum, upon hearing both sides, on the point whether the stocks received for processing from other factories is covered under the insurance policy of the complainant or not, held as under :