NEW INDIA ASSURANCE COMPANY LIMITED Vs. DEEPAK PANDA

JUDGEMENT

(1.) The sole opposite-party, the Branch Manager, New India Assurance Company Ltd. in C.D. Case No. 191 of 2000, has filed this appeal challenging the orders dated 27.9.2001 of the District Forum, Khurda at Bhubaneswar directing him to pay Rs. 3,28,756 for loss of finished product with 18% interest per annum with effect from 8.6.2000 till the date of payment to the complainant.

(2.) Admitted facts in brief is that the complainant, who is respondent here, is the Managing Director of Plastotech Pvt. Ltd., a registered polythene manufacturing unit situated at Bhagabanpur, Patrapada, Bhubaneswar. It has obtained financial assistance from Union Bank of India, Chandrasekharpur Branch, Bhubaneswar. The complainant/respondent entered into Fire Policy 'C' in respect to the building, machinery, accessories, stocks and stocks in process, electrical fittings for a sum of Rs. 32,75,000 on payment of premium of Rs. 16,055 with the opposite party /appellant for the period from 28.1.1999 to 27.1.2000 under policy No. 1155010402455. There was super cyclone on 28.10.1999 and 30.10.1999, when the said policy was valid.

(3.) The case of the respondent in brief is that due to super cyclone, storm and heavy rain during said period, there was damage of the building, machineries, stocks, finished products, etc. Respondent submitted on 14.12.1999 fire insurance claim of Rs. 15,14,442 before the appellant who deputed a surveyor/loss assessor to enquire. The surveyor assessed the loss of finished products of 4200 kg. at Rs. 3,28,754.77 which were blown away by the cyclone and assessed the total loss at Rs. 7,89,722. The appellant also prepared note-sheet for settlement of claim at this amount. Therefore, the respondent and his financier Bank signed in the loss vouchers on 6.6.2000 and submitted to the appellant. But appellant settled the claim amount of Rs. 4,59,000 on 8.6.2000 only in his favour which is much less than the loss assessed by the surveyor. Being dissatisfied with this, the respondent filed C.D. Case No. 193 of 2000 to direct appellant to pay the balance amount of Rs. 3,28,756 with interest @ 24% per annum from 8.6.2000 till date of payment.