SANGAT SINGH CHAUHAN Vs. STATE BANK OF INDIA

JUDGEMENT

(1.) The complainant has prayed that no interest be charged on the outstanding loan amount with effect from 27.7.1992 and Rs.10,000/- for expenses incurred at heavy rate of interest on loan raised for repair of the vehicle. This relief is claimed against opposite party No.1, State Bank of India. Against opposite party No.2, The New India Assurance Company Ltd. , a relief of damage of Rs.1,33,330.50 and Rs.17,500/- has been claimed along with interest at the bank rate from 11.9.1992. He has also claimed damages on account of inconvenience, harassment and cost of litigation. The facts of the case, in brief, are as under :

(2.) The complainant is owner of Truck No. UGA-9371. It was financed by opposite party No.1, State Bank of India. This truck was comprehensively insured with opposite party No.2, The New India Assurance Company Ltd. Initial insurance was done in the year 1985 and there was no claim under this policy till June, 1992. Thereafter it was renewed from 30 June, 1992 to29 June, 1993 and a cover note was issued. The complete policy of the insurance was not sent to the complainant but only certificate of insurance was provided. The said truck met with an accident on 26 July, 1992. As a result of this, the truck had fallen on the houses of three villagers damaging their houses. The persons concerned had to be pacified by paying them Rs.17,500/-, otherwise those villagers would have caused total loss to the truck. The complainant is entitled to recover this amount from the Insurance Company.

(3.) Of this incident, First Information Report was lodged and opposite party No.2, Insurance Company, was intimated in writing on 27.7.1992. Insurance Company arranged for the Spot Survey of the accidented truck and the damage to the truck was noted as well as damage to the houses of other persons. By letter dated 10th August, 1992 the claimant requested for the final settlement of the claim. Thereafter a final survey was done by Sri B. B. Garg. The Surveyor wrote a letter dated 31.8.1992 asking for certain documents required by him. These were supplied to him for which he did not issue any receipt. The Surveyor started harassing the complainant by calling him several times for illegal bargaining for himself and the officers of the Insurance Company. The complainant refused and resisted all such attempts. When the claim was not settled in due time, the claimant raised loans on exorbitant rates of interest and got the truck repaired. Even letters and reminders issued by the complainant to the Insurance Company was not acknowledged. Thereafter a registered letter was sent to the opposite party by the complainant, copies of which have been filed as Annexures 13 and 14. The estimate of damages amounting to Rs.1,33,330.50. was submitted to the Insurance Company along with demand of a sum of Rs.17,500/- which was paid to the third parties for minimising the loss. All the documents required by the Surveyor were also delivered. Opposite party No.1 started troubling the complainant for payment of the loan which he could not do on account of accident of the truck Thereafter, on 13 February, 1993 the complainant received a letter dated 1.2.1993 from the Insurance Company informing the complainant that the claim has been settled at Rs.42,883.11, a copy of which is enclosed as Annexure 16. This letter does not give the details as to how this amount has been arrived at. The claimant want that the claim should be settled on the basis of repairs made by the complainant.