NATIONAL INSURANCE CO LTD Vs. HARPAL SINGH

JUDGEMENT

(1.) The dispute involved in this case falls in narrow compass i.e., whether the driver of the insured vehicle at the time of an accident on 26.10.1996 did have an effective driving licence. Mr. Harpal Singh obtained a comprehensive insurance policy for his truck No. PB-03 C-5405 from National Insurance Company for the period from 26.9.1996 to 25.9.1997. The truck was involved in an accident with jeep on 26.10.1996 and was damaged. The complainant filed a claim with the Insurance Company for Rs. 76,080. The Insurance Company repudiated the claim on 29.7.1997 stating that the driving licence of Mr. Bikkar Singh, driver at the time of the accident was found to be fake. Aggrieved by the decision of Insurance Company, the complainant filed complaint before the District Forum claiming Rs. 76,080 as damages to the truck, Rs. 1 lac as compensation and Rs. 4,000 as costs. The District Forum holding the driving licence to be fake, dismissed the complaint. Dissatisfied by the order of District Forum. Bathinda, Mr. Harpal Singh filed appeal before the Punjab State Disputes Redressal Commission. The State Commission held that driving licence was validly renewed and was in force at the time of the accident and the repudiation by the Insurance Company was thus invalid. Accordingly, complaint was allowed with direction to the Insurance Company to pay a sum of Rs. 76,000 with 12% interest per annum thereon w.e.f. 3.2.1997 till payment along with Rs. 2,000 as costs of litigation. Aggrieved by the order of the State Commission dated 5.5.1999, the Insurance Company has come up in revision.

(2.) In this case the original driving licence was issued in the year 1999 which was held as fake by the District Forum as there was no licence issued in the name of Mr. Bikkar Singh. The driving licence of Mr. Bikkar Singh shows that it was validly renewed for the period 1992-95 and further for the period 1995-98 by the D.T.O., Bathinda. The accident had taken place on 26.10.1996. In United India Insurance Co. Ltd. v. Lehru & Ors., I (2003) ACC 611 (SC)=II (2003) SLT 516=(2003) 3 SCC 338, the Apex Court held that :

(3.) In R.P. No.2166/2003 - Harbhajan Lal v. National Insurance Company Ltd. this commission held that: