CHEMCROWN INDIA LIMITED Vs. NEW INDIA ASSURANCE COMPANY

JUDGEMENT

(1.) The Complainant M/s. Chemcrown India Ltd. , took an Open Marine Insurance Policy bearing No.216105005696 from the respondent issued at Calcutta on 26.9.89. The Insurance Policy was for carrying goods from one place to another place in India and the Policy was from 26.9.89 to 25.9.90. The amount of the claim was for Rs.6,15,688/- with interest of Rs.355/- per day as additional loss to the Company. On 10.4.90 at about 10:30 a. m. at Ajantanagar Crossing Kanpur U. P. The Carrier namely M/s. East India Transport Agency, 65, Ohatu Mukta Appan Street, Madras met with an accident while carrying the consignment from the Madras Factory of the Insured. An FIR was lodged on the date of accident and a case was registered under Sees.147,332, 253,356 and 435 of the Indian Penal Code. The truck was put on fire by a violent mob at Ajantanagar, Kanpur. Several witnesses were examined. The Fire Brigade People at Kanpur was also examined at witnesses. The loss in question is covered under the Marine Open Policy. The details of the policy is as follows : the Consignment was Chemicals packed in Polythene bags. Risk : All risk in transit on rail and road. Insurance period : 26.9.89 to 25.9.90. The loss incurred on 10.4.90 falls within the period of Insurance.

(2.) One Ms. Renu Srivastava, C/o. S. C. Srivastava was returning from her college after attending her class 12 examination along with her brother Mr. Arun Srivastava in his Scooter. On their way while they were near State Bank of India, a truck came from back side in a high speed hit the scooter from the back and Ms. Renu Srivastava died on the spot in the accident. Her brother with serious injuries was admitted in the hospital where one of his leg were amputed and the scooter was badly damaged. The truck driver sped away with the truck in great speed and even the truck number could not be taken. In the meantime a crowd mostly of young students gathered there. Unfortunately at that time 2 passenger buses and this truck in which the consignment was loaded and going from Madras in the Kanpur-Lucknow route arrived at the accident spot. The crowd gathered at the accident place turned violent and started throwing stones and put fire on the truck. On the advice of the elders in the crowd they did not put fire on the Passenger buses. In no time the fire spread and the drums of chemicals blasted like bombs. In the meantime the local administrative authorities arrived on the spot and they called the Fire Brigade, who after struggling for more than one hour, arrested the fire. An F. I. R. was lodged by the driver himself and another by the East India Transport Agency. The insured also lodged an FIR. A Survey was conducted and the assessment of loss given by the Surveyor is Rs.5,67,920/-

(3.) On 23.5.90 the insured wrote a letter to the Senior Divisional Manager of the Insurance Co. regarding his claim. On 10.9.90 after a long gap the Divisional Manager informed the complainant that the Bank Guarantee facility provided to the Open Marine Policy has lapsed because of the delay in deposit of the premium in the Bank Guarantee account. The matter has been referred to the higher authorities and there has not been any specific advice from the higher authorities, and hence the matter has been kept pending.