Arun Bhansali, J. - (1.) This writ petition has been filed by the petitioners aggrieved against the order dated 12.12.2008 passed by the Permanent Lok Adalat, whereby while accepting the application filed by the respondent, it has ordered the Insurance Company to pay interest @ 15% p.a. from the date of death of the claimant's son.
(2.) The application was filed before the Permanent Lok Adalat inter-alia with the allegation that a Nagrik Suraksha Policy was taken on the life of Dhagla Ram, which was in currency from 14.1.2004 to 13.1.2008 for a sum of Rs. 3 Lac. Dhagla Ram died on 21.12.2004 and claim was filed on 28.1.2005, however, the amount was not paid seeking various requirements and therefore, the respondents approached the Permanent Lok Adalat in the year 2005 itself. The Permanent Lok Adalat, held in favour of the respondents and directed for payment of amount of policy i.e. Rs. 3,00,000/- along with interest @ 15% p.a. from the date of death of Dhagla Ram i.e. 21.12.2004 and compensation to the tune of Rs. 1000/-. It is submitted by learned counsel for the petitioners that the amount of Rs. 3,01,000/- (amount of policy + the compensation awarded) had already been deposited by the Insurance Company. It is further submitted that the awarded interest @ 15% is highly excessive and no reason has been recorded in the order for awarding interest @ 15% p.a.
(3.) It is submitted that the petitioner - Insurance Company is prepared to make payment of interest at reasonable rate from the date claim was lodged in the Insurance Company and therefore, the award be modified to the said extent.;