LIFE INSURANCE CORPN OF LTD Vs. DISTRICT PERFOMANCE LOK ADALAT
LAWS(RAJ)-2004-4-53
HIGH COURT OF RAJASTHAN (AT: JAIPUR)
Decided on April 29,2004

LIFE INSURANCE CORPORATION OF INDIA Appellant
VERSUS
DISTRICT PERMANENT LOK ADALAT Respondents

JUDGEMENT

G.S.MISRA, J. - (1.) This appeal has been preferred against the judgment and order dated 7-10-2003 passed by a learned single Judge of this Court in S.B.C.W. Petition No. 5925/2003 by which he has been pleased to dismiss the writ petition which had been filed by the petitioner-appellant herein Life Insurance Corporation challenging the order passed by the Permanent Lok Adalat Jhalawar, wherein the Life Insurance Corporation had raised a dispute that the policy holder was guilty of suppression of material fact at the time when he took the life insurance policy from the appellant corporation. It was their case that the respondent No. 2 suresh Kumar who is the son of the de- ceased-policy-holder-Lal Chand Mali was not entitled to the benefit on the life of the insured, as his late father was guilty of suppression of material fact before the Life Insurance Corporation since he had suppressed the fact about his disease and therefore the beneficiary i.e. the son of the insured who is the respondent herein was not entitled to the amount which had accrued on the policy held by his late father. The learned Judge of the Permanent Lok Adalat, tried to evolve a conciliation between the contesting parties that is the corporation and the son of the deceased/insured but having failed to arrive at a conciliation, the learned Judge of the Permanent Lok Adalat decided the proceedings on merit after hearing the contesting parties and passed an order that the son of the deceased-insured late-Lal Chand Mali was entitled to the amount on the policy after the death of his father.
(2.) The Life Insurance Corporation feeling aggrieved with the order of the Permanent Lok Adalat filed a writ petition which was heard and decided by the learned single Judge of this Court on 7-10-2003 whereby a reasoned order was passed by the learned Judge who was pleased to hold that there was no infirmity in the order of permanent Lok Adalat while dismissing the plea of the Corporation since the deceased insured was not guilty of suppression of material fact at the time of introduction to the policy which he had taken in the year 1994 and died after two years in the year 1996. The writ petition thus stood dismissed against which this appeal has been preferred by the Corporation.
(3.) Learned counsel for the appellant- Corporation has initially submitted that once the parties had failed to arrive at a conciliation, the Permanent Lok Adalat should not have decided the matter finally and should have resorted to the intricate procedure laid down under the Act by inviting reply, rejoinder and additional evidence by the parties before the matter was finally decided and that having not been done, the order of the Permanent Lok Adalat suffers from serious legal infirmities and is fit to be interfered with on this technical ground alone.;


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