JIT RAM SHIV KUMAR Vs. NATIONAL INSURANCE COMPANY LIMITED
LAWS(SC)-2001-1-75
SUPREME COURT OF INDIA
Decided on January 22,2001

JIT RAM SHIV KUMAR Appellant
VERSUS
NATIONAL INSURANCE COMPANY LIMITED Respondents

JUDGEMENT

Shivaraj V. Patil, J. - (1.) Leave granted.
(2.) In this appeal the controversy raised is limited in regard to payment of interest and it arises out of the order passed by the National Consumer Disputes Redressal Commission on execution side. For the purpose of disposal of this appeal it is unnecessary to narrate the facts in detail. Hence we briefly state them as under:- The appellant filed Original Petition No. 30 of 1992 before the National Consumer Disputes Redressal Commission (for short the 'National Commission') against the respondent National Insurance Co. Ltd. The said petition was allowed by the order of the National Commission dated 15-4-1993. Operative portion of it reads:- "There is, therefore, no doubt that the repudiation of the claim by the Opposite Party-Insurance Company is mala fide. There has also been inordinate delay in repudiating the claim depriving the complainant of a sum of Rs. 8,20,575/- which obviously would have caused serious inconvenience and financial embarrassment of the insured. We therefore order as under: The Opposite Party-Insurance Co. should pay to the complainant - insured as under; 1. Rs. 8,20,575/- the full insured value of the consignment, actually paid by the complainant for import of logs of wood. 2. Interest at the rate of 18% per annum after the elapse of 6 months from the date of lodging of the claim on 12-2-1987 viz. from 12-6-1987. 3. A compensation of Rs. 1.00 lakh for the unjustified delay and harassment to the insured in repudiating the claim. 4. Interest at the rate of 18% on the above mentioned amounts after 30 days of the date of this order till the payment is made." Against the said order of the National Commission the respondent filed Civil Appeal No. 3110/93 and the appellant filed Civil Appeal No. 4330/93 in this Court to the extent they were aggrieved. This Court, by Order dated 23-9-1999, disposed of both the appeals. By the said Order Civil Appeal No. 3110/93 was partly allowed rejecting the claim of the appellant for compensation to the tune of Rs. 1.00 lakh and dismissed Civil Appeal No. 4330/93 filed by the appellant. While dealing with Civil Appeal No. 3110/93, filed by the respondent, this Court has stated, thus:- "So far as the question of quantum of interest is concerned, we see no infirmity in the order passed by the Commission except that the order of the Commission requires a little alteration so that the date "12-6-1987" is altered to "12-8-1987" in consonance with the judgment of the Commission itself. The amount of compensation to the tune of Rs. 1 lakh has been ordered by the Commission on the ground of unjustified delay and harassment of the respondent. Having regard to the facts of this case, specially the fact that the loss of timber which was purchased was loaded at Malaysia and the ship which was to come to Visakhapatnam was lost on High Seas and having regard to the further fact that the investigation in the claim of the respondent who had initially not furnished all the documents to the appellant, had to be carried in a foreign country with the help of the surveyor, the appellant were justified in taking time in repudiating the claim of the respondent after due investigation. To that extent, therefore, the claim of the respondent is liable to be rejected and is hereby rejected. In view of the above the appeal is partly allowed. The claim of the respondent for compensation to the tune of Rs. 1 lakh allowed by the Commission is rejected but the rest of the order is maintained. The appeal is disposed of in the matter indicated above."
(3.) Since the amount paid by the respondent did not satisfy the claim fully, the appellant filed execution petition before the National Commission being Miscellaneous Petition No. 5/2000 (in Original Petition No. 30/1992). The National Commission passed the following order in the said Miscellaneous Petition:- "We have read the papers. We are of the view that the order of the Supreme Court is carried out by the Insurance Company. The Miscellaneous Petition is disposed of." ;


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