NEW INDIA ASSURANCE COMPANY LIMITED Vs. APEX INDUSTRIES

JUDGEMENT

(1.) -these are cross appeals filed against one and the same order dated 4.12.2003 passed by District Consumer Disputes Redressal Forum-II, U. T. , Chandigarh (for short hereinafter referred to as the District Forum) in Complaint Case No.130 of 2001, M/s. Apex Industries through Sh. R. M. Gupta, proprietor, 254, Industrial Area, Phase I, Chandigarh V/s. The New India Assurance Company Limited, through its Divisional Manager, SCO No.36-37, Sector 17-A, Chandigarh.

(2.) The complainant-M/s. Apex Industries took a fire policy of insurance from the New India Assurance Company Limited (for short hereinafter referred to as the Assurance Company), Sector 17-A, Chandigarh, which is dated 19.1.1984 for a sum of Rs.2 lacs covering the risk for the period from 19.1.1984 to 19.1.1985. The policy of insurance was regarding the stock of all kinds of folding beds with cotton Niwar belonging to the insured M/s. Apex Industries lying and/or stored and/or kept at 254, Industrial Area, Chandigarh where the said industry is located. There was an incident of fire in the premises of the complainant M/s Apex Industries on 6.4.1984. The complainant informed the Assurance Company telephonically as well as through a written communication sent on 7.4.1984 under certificate of posting, which was followed by reminders sent on 2.7.1984, 23.8.1984, 15.11.1984, 26.11.1984, 1.2.1985, 25.11.1985 and lastly on 11.12.1985. A copy of police report (Annexure C-10) was submitted by the complainant to the Assurance Company along with their letter Annexure C-9. The Assurance Company did not settle their claim. A legal notice was served through the Counsel on 11.8.1986. Yet another legal notice dated 18.11.1986 was sent under registered post. The Assurance Company vide their reply dated 10.12.1986 (Annexure C-11) asked the complainant to furnish full details, which was submitted by their letter dated 14.2.1987 (Annexure C-14 ). The vouchers of the purchase bills relating to the loss of goods, which had been duly communicated to O. P. (Annexures C-15 to C-17) dated 30.3.1984 were also annexed. Again the Assurance Company did not take any action in the matter. The complainant had to send reminders on 25.2.1987, 8.2.1988 and 22.9.1988 (Annexures C-18 to C-20 ). The Assurance Company vide their letter dated 18.11.1988 (Annexure C-21) communicated to the complainant that the claim had been filed as 'no Claim'.

(3.) The complainant had filed a previous Complaint No.942/91/f/98 in the year 1991 in the District Forum-I, U. T. , Chandigarh claiming Rs.47,000/- as compensation for the loss suffered in the incident of fire. The O. P. contested the case. The complaint was disposed of by the District Forum-I, U. T. , Chandigarh vide order 30.11.1999 (Annexure C-29) holding that the complainant had furnished wrong policy number and did not furnish full particulars, which was the cause of treating the claim as 'no Claim'. The District Forum issued direction to the Assurance Company to adjudicate/settle the claim of the complainant by giving reasonable opportunity of producing documents whatever are sought or whatever are available and the claim be settled by passing a reasoned order expeditiously and preferably within a period of four months of furnishing documents by the complainant, if so liked to furnish the same. The complainant received the certified copy of the order from the District Forum on 22.4.2000 and in compliance of the directions, a letter dated 25.4.2000 (Annexure C-30) was sent to the Assurance Company enclosed therewith all necessary documents and the complainant approached the O. P. vide communications (Annexures C-31 and C-32) but to no avail. The Assurance Company by their letter dated 4.10.2001 (Annexure C-33) repudiated the claim of the complainant, which has been described to be unfair, unjust and arbitrary. The acts of omission and commission on the part of the Assurance Company amounted to deficiency in service resulting in the filing of the present complaint claiming a sum of Rs.47,000/- as compensation for deficiency in service and unfair trade practice by quashing letter dated 4.10.2001 and claiming compensation to the tune of Rs.50,000/- for harassment and victimization of the complainant.