State Consumer Disputes Redressal Commission
Mohan Lal Gupta vs Life Insurance Corpn. Of India on 26 April, 2007
IN THE STATE COMMISSION : DELHI IN THE STATE COMMISSION : DELHI (Constituted under Section 9 clause (b)of the Consumer Protection Act, 1986 ) Date of Decision: 26-04-2007 Appeal No. A-303/2004 (Arising from the order dated 03-03-2004, passed by the District Forum(New Delhi), K.G. Marg, New Delhi in Complaint Case No.OC/834/1999) Shri Mohan Lal Gupta, Appellant S/o Late shri Shiv Sahai, In person. R/o E-134, Kamla Nagar, Delhi-110007. Versus 1. Life Insurance Corpn. Of India, Respondent No.1 Through its Chairman, Yog Chama Building, Jeewan Beema Marg, Mumbai-400001. 2. Life Insurance Corpn. Of India, Respondent No.2 Branch 11-J, Jeevan Parkash Building, 25, Kasturba Gandhi Marg, New Delhi-110001. 3. Life Insurance Corpn. Of India, Respondent No.3 Division Office II, (Branch 11), Post Box NO. 9252, Jeevan Pragati, Plot No. 6, District Centre, Laxmi Nagar, Delhi-92. CORAM : Justice J.D. Kapoor- President Mr. Rumnita Mittal- Member
1. Whether reporters of local newspapers be allowed to see the judgment?
2. To be referred to the Reporter or not?
JUSTICE J.D. KAPOOR, PRESIDENT (ORAL) Appellant obtained a policy from the respondent on 28th October, 2004 for a sum of rs. 25,000/-. The due date of maturity was 28th October, 2004. He assigned the policy in favour of Vijaya Bank after obtaining permission. On 03-01-1992 the policy was re-assigned by Vijaya Bank as the bank dues were totally cleared by the appellant and endorsement to this effect was made by the Bank. So much so the Bank even wrote letter to the respondent to cancel the assignment on the said policy and reassigned the same in favour of the appellant. He enquired about the non-receipt of the insurance policy there was no response from the respondent.
Lastly appellant wrote letter dated 29-03-1996 requesting the respondent for revival of the policy on payment of premium upto date but the respondent found that as per rules the policy cannot be revived after lapse of 5 years. Feeling aggrieved the appellant filed the instant complaint before the District Forum.
2. Vide impugned order dated 3rd March 2004 the complaint was dismissed with the observation that the rules do not provide for revival of the policy after the lapse of five years in spite of the fact that the appellant was willing to pay the payment of premiums as per demand of the respondent.
3. Perusal of the impugned order shows that District Forum has not at all taken into consideration the negligence and deficiency in service on the part of the respondent in as much as when the appellant himself or through Vijaya Bank was making the payment of premium regularly to Unit 114 Chandni Chowk Branch there was no occasion to treat the policy having been lapsed due to non-payment of premium due on 28-10-1989 which was revived by the appellant by submitting revival requirements and outstanding premiums on 19-09-1990.
4. It appears that there was confusion in as much as service branch whether it was unit No. 114 or Branch 11-Jin. It was for the respondent to see as to which was the relevant branch responsible for showing payment of premium made by the insured against premium without charging any interest.
5. In the result, we allow the appeal, set aside the impugned order and direct the respondent to revive the policy against payment of premium which were due without charging any interest etc. The appellant shall be entitled for all the benefits accured from the policy. We further award Rs. 10,000/- as compensation for the mental agony and harassment suffered by the appellant.
6. Appeal is disposed of in aforesaid terms.
7. F.D.R./Bank Guarantee, if any, furnished by the appellant be returned forthwith after completion of due formalities.
8. A copy of this order as per the statutory requirements, be forwarded to the parties free of charge and also to the concerned District Forum and thereafter the file be consigned to Record Room.
9. Announced on the 25th April, 2007.
(Justice J.D. Kapoor) President (Rumnita Mittal) Member jj