ORIENTAL INSURANCE CO LTD Vs. PREM PARKASH MEHRA

JUDGEMENT

(1.) Shri Prem Prakash Mehra, Proprietor of M/s. Prem Prakash Mehra Jewellers, is carrying on business for about fifteen years and has an insurance policy against loss issued by Oriental Insurance Co. Ltd., Amritsar known as "Jewellers Block Insurance Policy. On the 5th July, 1993, Rajesh Mehra, son of Prem Mehra and Manager of the business carrying gold ornaments weighing 1657.500 grams in VIP suitcase boarded a train for going to Gaya on business. At about 6.00a.m. when he reached the Railway Station, he was allotted seat number 67 in the Chair Car, Compartment No. C2 of the train. He placed his suitcase on the seat and went to say good -bye to his father who had come to see him off. When he came back, he found his suitcase was missing. He immediately stopped the train but failed to locate the suitcase. He lodged an FIR with police at about 8.30 a.m. Later on he informed the Insurance Company about his loss. The Insurance Cover was to the extent of Rs. 10 lakhs. The claim on account of loss of ornaments was limited to Rs. 6,87,862/ -. The total claim came to Rs. 7.56.648/ -.

(2.) THE Insurance Company declined to pay the claim lodged by the Jeweller on the following grounds

(3.) MOREOVER , it was pointed out that the stock register of the petitioner showed the petitioner's holding of gold ornaments on the relevant dates as under: