PREM SINGH vs Oriental Insurance Co

VIDE this order three Appeal Nos. 562, 563 & 564 of 1996 are being disposed of as the facts in all these three cases are common with the difference about the total amount claimed on account of loss of different number of cattle heads lost in the flood. The complaints were dismissed on July 7,1996 by District Forum, Amritsar by passing different orders.

IN the complaint of Prem Singh-complainant, compensation was claimed for the loss of 2 buffaloes, in the case of Lakhbir Singh claim was lodged for the loss suffered on account of 3 buffaloes having been washed away and in the complaint of Sampuran Singh compensation was claimed for the loss of 3 buffaloes. Different amounts were also claimed as damages, which were named. IN the case of Prem Singh it is Rs. 15.000/-. INterest was also claimed. All these three complainants belong to Village Chamiari Tehsil Ajnala, District Amritsar. They had purchased buffaloes after taking loan from the Ajnala Primary Co-op. Agricultural Development Bank Ltd., Ajnala. Such buffaloes were got insured with the Oriental INsurance Company, Amritsar Branch opposite party No. 1. The Bank was pleaded as opposite party No. 2. As per allegations made in the complaints/on account of floods buffaloes of the complainants were washed away on September 7, 1995. The complainants lodged claims with the Insurance Company, which were repudiated, that they were forced to approach the District Forum. The Insurance Company contested the complaints inter alia asserting that the claims had been repudiated on the reports of the Surveyor who had collected material. It may be observed that such material indicated loss of cattle heads by the complainants on account of floods coming on 21 Bhadra i.e., 31st August, 1995. The District Forum dismissed the complaints as stated above and the complainants are in appeals. After going through the records of the case, we are of the opinion that the appeals deserve to be allowed.

The primary question for consideration is as to whether repudiation of the claims by the Insurance Company, is bona fide and applying mind to the facts of the case and on the material collected. Reports of the Surveyor B.K. Bhalla were produced in all the cases, who visited the village on 15.11.95. Making reference to such a report in Prem Singh''s case i.e. Appeal No. 562 of 1996, it is observed that Lakhbir Singh, Sampuran Singh and Prem Singh (three complainants) are members of one family whose house is situated in the middle of the village and is 4-5 feet above the ground level. Water level in the village was only 1 feet whereas on the road side water level was above 5 feet and bus service remained of the road for two days and on the other side of the village there was no water. After observing as above, he referred to the statement of witnesses recorded. Lakhbir Singh was stated to be out of village and Sampuran Singh''s statement was recorded that one buffalo was washed away in the flood on 21 Bhadra (31.8.95) and no ear tag was in the ear. Likewise Sampuran Singh''s statement was recorded. Prem Singh as stated was not in the village and Sarwan Singh his brother stated about the loss of two buffaloes in the flood on 31.8.95. One more Pal Singh stated to have verified the statement of the witnesses referred to above. At this stage, it would be appropriate to refer to the pleadings of the parties in order to determine bona fide or otherwise the reports of the Surveyor. In para 3 of the complaint, it was stated that the floods came in the Village Chamiari on September 7, 1995 and the buffaloes were washed away. In the corresponding para 3 in the written statement, it was stated that para 3 of the complaint was denied and is false that the floods came on September 6,1995. In para 4, it was further stated that with respect to the appointment of the Investigator and the statements of the witnesses as mentioned in the report, on the basis of which claims were repudiated, of which brief reference has already been made above. Similar is the position in the two other cases. In order to avoid repetition, no such reference is being made. At the out set, it is stated that the plea of the complainants that the floods came and washed away their buffaloes on September 7, 1995 was not specifically denied in the written statement filed by the Insurance Company. Apart from that the Investigating Officer did not record the statement of any other witnesses that there were no floods on September 7,1995. The statements of the witnesses that some buffaloes were washed away on August 31,1995 belonging to the complainants is of no consequences. As already observed above, the Investigator was required to collect material as to whether there were floods on September 7,1995 and if so whether cattle heads of the complainants were washed away therein. There is no such findings in this aspect of the case and that being the position, it cannot be held that the Insurance Company applied mind while repudiating the claims of the complainants. Deficiency in such circumstances is writ large.

THIS is a case where buffaloes were purchased by the complainants after taking loan from the Bank. In spite of that no material was produced before the District Forum either by the complainants or by the opposite parties about the actual price of the buffaloes which were alleged to have been washed away. Even in the affidavits of the parties produced on the record there is no such mention about the price of the buffaloes, which material could be collected and relied upon in order to grant compensation. It is in this situation that it is considered appropriate that opportunity of producing evidence should be allowed to the parties. Simply the insured amount for which the policy was taken cannot be granted. Even copy of insurance policy has not been produced. For the reasons recorded above, the appeals are accepted. The orders of the District Forum are set-aside. The cases are sent back to the District Forum to decide the quantum of compensation allowable to the complainants. Opportunity of leading fresh evidence to the parties be given and complaints be disposed of according to law. Parties are directed to appear before the District Forum on 23.6.97. Records alongwith copy of the orders be sent there. Appeals accepted.