Oriental Insurance Co. Ltd. vs MATBAR SINGH

THIS is an appeal against the judgment and order dated 24.5.1997 passed by the District Forum, Pauri, Garhwal allowing a compensation of Rs. 30,500/- (Rupees thirty thousand five hundred only) to the complainant.

THE brief facts of the case are that the shop of the complainant was insured. During the insurance period there was a theft in the shop of the value of Rs. 45,000/- (Rupees forty-five thousand only). The theft, insurance and everything is admitted. It is alleged that the complainant has agreed for a sum of Rs. 7,568/- (Rupees seven thousand five hundred sixty-eight only). He has given a discharge voucher duly signed but he did not accept the cheque. It was alleged in this appeal by the appellant that since there was an agreement between the parties to accept a sum of Rs. 7,568/- (Rupees seven thousand five hundred sixty-eight only), therefore the complainant was not entitled for more amount than this.

We have heard the learned counsels for the parties and gone through the rcords. The goods said to be of the value of Rs. 45,000/- (Rupees forty-five thousand only). It is said that the complainant has given a discharge voucher. We have seen the alleged discharge voucher. It is said to have been signed blank. Even the cheque No., etc. was not given in the subrogation letter subsequently the cheque was issued but the complainant did not accept this cheque and immediately returned it. The case of the complainant appears to be true because even the bank has immediately written to the Insurance Company that this cheque is highly inadequate and the complainant did not accept it. There was no question of acceptance of the cheque in full and final settlement.

THE complainant has given the subrogation letter but he did not accept any amount in full and final settlement, therefore, it cannot be said that the complainant had agreed to take this nominal amount only, to satisfy his claim. He has alleged his theft of the value of Rs. 45,000/- (Rupees forty-five thousand only). THE Surveyor has also found it according to the list given by the complainant of the value of Rs. 24,222.11 (Rupees twenty-four thousand two hundred twenty-two and eleven paise only). THE complainant was not a fool to have accepted only such a nominal amount. He was also not in any haste and hurry of satisfying debt of the bank because the papers show that he was regularly paying the debt of the bank. The learned Counsel for the Insurance Company referred the ruling reported in II (1999) CPJ 10 (SC)=VI (1999) SLT 590=AIR 1999 Supreme Court 3027, United India Insurance Co. Ltd. v. Ajmer Singh Cotton and General Mills and Others. In this ruling the discharge vouchers were admittedly executed voluntarily but in this case it is specific case that the complainant did not execute any discharge voucher. He had given only his signature on blank paper, therefore, this ruling shall not apply to the facts of the present case. Similar is the position with the other rulings as well referred by the Counsel of the Insurance Company. In this case the complainant under the discharge voucher has accepted no amount and he immediately returned the cheque and made the protest.

LOOKING to the assessment of the loss and the other circumstances the award of full insured amount appears to be on the excessive side. The assessor has the loss according to the own list given by the complainant of a sum of Rs. 24,222.11 (Rupees twenty-four thousand two hundred twenty-two and eleven paise only). The complainant is not entitled to any amount more than this. It appears that the learned Forum allowed the entire amount merely because the appellant did not contest in the Forum at the time of arguments although it appears that written statement, etc. was filed by them. The complainant is entitled to a sum of Rs. 24,222.11 (Rupees twenty-four thousand two hundred twenty-two and eleven paise only) only along with interest as ordered by the learned Forum. ORDER Appeal is partly allowed. The amount of award is reduced to Rs. 24,222.11 (Rupees twenty-four thousand two hundred twenty-two and eleven paise only). The complainant would get the interest @ 15% as allowed by the learned Forum. Cost of the appeal shall be easy. Appeal partly allowed.