NATIONAL INSURANCE CO LTD vs VIKAS POLY PACK

-HEARD on the application of condonation of 11 days delay. Application is allowed for the reasons mentioned in the application and 11 days delay is condoned.

WE have also heard the learned Counsel for the petitioner on merits and gone through the record. It is submitted that there was little justification to ignore the report of surveyor and final settlement.

It may be mentioned that the Fire Officer assessed the loss at Rs. 5,50,000, and the Surveyor M. P. Hansaria assessed the loss at Rs. 5,83,000. However, Second Surveyor Mr. Jain was appointed, who assessed the loss by not accepting certain bills but he also assessed the loss of Rs. 4,02,306. But the petitioner paid only Rs. 2,24,836 towards full and final settlement. The phrase about payment "in full and final settlement of claim" was added later on in the receipt is the finding of the District Forum as well as the State Commission. This payment in full and final settlement of the claim was objected to by the complainant/respondent immediately. Besides, there was no justification to appoint any second Surveyor/investigator in violation of terms of Sub-sections (2) and (3) of Section 64 UM of the Insurance Act. They read as under: "2. No claim in respect of a loss which has occurred in India and requiring to be paid or settled in India equal to or exceeding twenty thousand rupees in value on any policy of insurance, arising or intimated to an insurer at any time after the expiry of a period of one year from the commencement of the Insurance (Amendment) Act, 1968, shall, unless otherwise directed by the (Authority), be admitted for payment or settled by the insurer unless he has obtained a report, on the loss that has occurred, from a person who holds a licence issued under this section to act as a Surveyor or Loss Assessor (hereafter referred to as approved Surveyor or Loss Assessor): provided that nothing in this sub-section shall be deemed to take away or abridge the right of the insurer to pay or settle any claim at any amount different from the amount assessed by the approved Surveyor or Loss Assessor.

The (Authority) may, at any time, in respect of any claim of the nature referred to in Sub-section (2), call for an independent report from any other approved Surveyor or Loss Assessor specified by (it) and such Surveyor or Loss Assessor shall furnish such report to the (Authority) or if no time limit has been specified by (it) within a reasonable time and the cost of, or incidental to such report shall be borne by the insurer. "

CONSIDERING aforesaid discrepancies in appointment of Second Surveyor, and circumstances of the case, we feel that the State Commission had passed an equitable order by reducing the amount of the disputed duplicate bills and the bills which could not find any support, from the amount of compensation assessed by Shri M. P. Hansaria, the first Surveyor. In such circumstances, we do not find any reason to take any view different from view taken by the State Commission. The revision petition is dismissed, accordingly. Revision Petition dismissed.