Decided on December 14,2010

New Light Furniture Industries Appellant


- (1.) MEMBERTHE present complaint had been filed by M/s. New Light Furniture Industries, hereinafter referred to be as the "complainant" against the United India Insurance Company, hereinafter referred to as the "OP". The facts of the case in brief as they emerge from the complaint are that the complainant had got insured his premises for a sum of Rs. 5,00,000 from the OP. The breakup thereof as stated in the complaint was Rs. 50,000 as cost of shed, Rs. 50,000 cost of machine and Rs. 4,00,000 as cost of stocks. Further averments in the complaint are that the premises of the complainant were burnt in accidental fire on 10.1.2000. Thereafter report was lodged with the police and the OP was also informed. Intimation thereof was also given to the Punjab National Bank, Kullu, who had obtained the said insurance policy on behalf of the complainant. The claim of the complainant was repudiated by the OP vide letter dated 4.10.2000 on the ground that according to the report of Surveyors, the fire took place in the saw mill which was taken on rent/contract basis by Shri Jhabe Ram and the fire had not broken in the insured premises of the complainant known as "M/s. New Light Furniture Industries". In this background, the presentcomplaintunderSectionl2of Consumer Protection Act, 1986 was filed against the complainant for deficiency of service on the part of the OP for illegally repudiating the claim of the complainant on false and flimsy grounds and direction had been sought for indemnifying the complainant to the tune of Rs. 3,04,000 along with interest @ 18% per annum and damages to the tune of Rs. 2,00,000 were also claimed.
(2.) THIS complaint was contested and resisted by the OP on the ground that the claim of the complainant was rightly repudiated since the premises which were stated to be gutted in fire were never insured as per report of the Surveyors and as such the claim of the complainant is false and fabricated one.
(3.) REJOINDER to the complainant was also filed wherein the stand taken in the complaint was reiterated by controverting the staled as taken in the reply by the OP. The complainant in support of its case has filed his own affidavit and placed reliance upon various documents Annexures C -1 to C - 12 which are copy of insurance cover note dated 20.12.2000, copy of agreement dated 18.8.1998, copy of stock statement as on 31.12.1999, copy of Rapat Roznamcha No. 6, dated 11.1.2000, copies of letters dated 11.1.2000 addressed to the OP by the complainant, copy of letter dated 12.1.2000 also addressed to the OP by Manager, Punjab National Bank, copy of letter date.d nil addressed to one Shri Manoj Kumar, copy of claim form for fire and allied perils dated 3.2.2000, copy of physical inventory of burnt stocks lying in the shed of the complainant on the date of fire incident, copy of fire policy schedule No. 192773 copy of letter dated 21.7.2000 addressed to the OP by Manager, Punjab National Bank and copy of repudiation letter dated 4.10.2000. The OP in support of its case has field affidavits of Shri J.K. Narang its Assistant Divisional Manager and Shri Manoj Kumar, Surveyor and placed reliance upon documents Annexures R -1 to R -6 which are copies of reports of Surveyor Shri Manoj Kumar and Shri Surinder Kumar Soni, Chartered Accountant, copy of statement of Shri Jhabe Ram and photographs Annexures R -4 to R -6.;

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