M L DHAWAN Vs. NATIONAL INSURANCE CO LTD

JUDGEMENT

(1.) Briefly the facts are that the complainant obtained 'money in transit insurance' from the opposite party for the period from 6.4.1989 to 5.4.1990. The cover note covered the risk of money in transit from various offices/dealers in U. P. and Delhi to their office at Delhi/sahibabad and/or residence of the manager/ proprietor and the bank.

(2.) Mr. Shree Ram Gupta was working as a sales representative of the complainant and was under his supervision and control. The Complainant used to give to him a list of customers and the amount due from each of them and instructed him to visit the customers, collect the amount due from them and also book orders. He used to deliver the amounts so collected to the complainant.

(3.) On 5th November, 1989 Mr. Gupta-was returning from Barut and Shamli to Delhi via Muzaffarpur with an amount of Rs.2,57,000/-. In the way he was attacked by the dacoits, who killed him and took away the money. The complainant lodged a claim with the respondent, however, after a lapse of about two and half years they rejected the claim vide latter dated 13.5.1992 on the ground that Mr. Gupta was not authorized employee of the complainant and thus the policy did not cover his risk. The complainant has filed the present Complaint for the recovery of Rs.2,57,000/- on account of loss and Rs.1,27,215/- on account of the interest @ 18% per annum from 6.11.1989, the date of loss, to 10.8.1992, the date of filing the complaint.