A. K. Mathur, J. - (1.) This appeal is directed against the order passed by the National Consumer Disputes Redressal Commission, New Delhi in Original Petition No. 74/1994 on 18.7.2003.
(2.) Brief facts giving rise to this appeal are :
(3.) The respondent/complainant M/s. Kiran Combers and Spinners filed its complaint alleging deficiency in service on the part of United India Insurance Company. The case of the complainant/respondent was that they got their building and stock insured from the United India Insurance Company (hereinafter to be referred to as the Company). The respondent complainant held a valid Fire Policy for its stock (Building Rs. 25 lakhs, Machinery Rs. 40 lakhs, stocks Rs. 25 lacks and Furniture/Fixtures Rs. 1 lakh) effective from 11.1.1993 to 10.1.1994. This policy also endorsed to cover risk of flood. On account of heavy rains and floods in the city, insured property was affected by floods on 24th July, 1993 at about 7.45 p.m. which caused damage to building, machinery and stocks. This incident was reported to the Company on 25th July, 1993 and an FIR was lodged on 27th July, 1993. The respondent claimant claimed Rs. 20,03,842/ in July, 1993 from the Company. Surveyor, namely, M/s. Vij Engineers Enterprise appointed by the Company carried out its preliminary survey and submitted a report on 29th July, 1993. Second Surveyor; M/s Mita Marine and General Survey Agencies Pvt. Ltd. also visited the premises and submitted its detailed report on 14th September, 1993. M/s. Mita Marine assessed the loss of Rs.10, 13,571.90. However, at the same time M/s. Mita Marine Surveyor recommended that the insurer carries no responsibility in this case as building collapsed on account of structural defect caused by subsidence which was not covered by policy. A legal notice was issued by the claimant on 4.12.1993 and claim was repudiated on 7.1.1994 by the Company, basing on the report of the second Surveyor i.e., M/s. Mita Marine. Aggrieved against the repudiation of the claim of the respondent claimant, an Original Petition No. 74/1994 was filed in the National Consumer Disputes Redressal Commission, New Delhi claiming the damages as aforesaid.;