NEW INDIA ASSURANCE COMPANY LIMITED vs SUNIL KUMAR PASRICHA

THIS is an appeal against the judgment and order dated 26.3.2002 passed by District Consumer Forum -I, Agra in Complaint Case No. 125 of 2001. Briefly stated the facts of the case are that the complainant is owner of TaTA SuMO which was insured with New India Assruance Company Ltd. for the period 11.6.1998 to 10.6.1999. The vehicle was insured for Rs. 3,92,000/-. The said vehicle was stolen on 3.6.1999 in the night. F.I.R. was lodged at Police Station Rakabganj, Agra. Insurance Company was informed. Claim was put up with the Insurance Company alongwith necessary papers. The complainant has also submitted copy of FIR and quotation for TATA SUMO for Rs. 4,13,435/- to the Insurance Company. Final report was accepted by the Court a copy of which was handed over to Development Officer on 15.1.2001. Even after completing the formalities the opposite party did not settle the claim. The complainant has prayed for Rs. 3,75,000/- the cost of stolen vehicle with 18% interest and Rs. 60,000/- as compensation.

THE opposite party did not file the written version inspite of service of notice. THE District Consumer Forum after considering the facts of the case came to the conclusion that there was deficiency on the part of opposite party and directed to pay Rs. 3,75,000/- to the complainant alongwith interest @ 12% from 4.10.1999 and also awarded Rs. 5,000/- towards compensation. It was further ordered that if the compliance of the order is not made within 45 days then interest will run @ 15% p.a. Aggrieved against this judgment and order the opposite parties have come in appeal.

We have gone through the judgment and other papers. We do not find any infirmity in the judgment. The learned Counsel for the appellant also could not point out any infirmity in the judgment.

THE learned Counsel for the appellant has argued that the rate of interest i.e. 15% p.a. is on higher side. In this case interest was allowed @ 12% p.a. and it was directed that if the compliance of the order is not made within 45 days then interest will run @ 15% p.a. However, the compliance of the order was not made within 45 days hence interest is payable @ 15% p.a. The learned Counsel for the appellant has further argued that the compensation of Rs. 5,000/- is on higher side. We find that amount of Rs. 5,000/- as compensation is higher and is liable to be reduced to Rs. 2,000/-.

THE learned Counsel for the appellants has further stated that letter of subrogation, indemnity bond, registration certificate, power of attorney and duplicate key be submitted to the Insurance Company by complainant before payment. THE complainant will submit all these documents and duplicate key before payment. THE appeal is liable to be allowed partly. ORDER THE apeal is partly allowed to the extent that amount of Rs. 5,000/- awarded by District Forum as compensation is reduced to Rs. 2,000/-. With this modification the rest of the judgment and order passed by District Forum are confirmed. Payment shall be made to the complainant by Insurance Company on surrender of letter of subrogation, indemnity bond, registration certificate, power of attorney and duplicate key. Let compliance of the order be made within a period of two months from the date of this order. Let copy as per rules be made available to the parties. Appeal partly allowed.