RAMANA SOLVEX PRIVATE LTD Vs. BRANCH MANAGER, NEW INDIA ASSURANCE CO.LTD

JUDGEMENT

(1.) Appellant is the unsuccessful complainant. The case of the complainant in brie if that it is a registered company, engaged in the business of solvent extraction i.e. extraction of oil from cakes by investing an amount of Rs.2.00 crores and started commercial production in the month of November, 2003. It took a fire policy to cover the stock worth Rs.1,53,000/-and building valued at Rs.31,00,000/- covering the period from 24.11.2003 to 23.11.2004. Since there was shortage of space in the said premises it has taken another premises on lease situated at a distance of km and informed the said fact to the Insurance Company. While so, there was a fire accident on 16.04.2004 and when it was informed to the Insurance Company it appointed a surveyor who assessed the loss at Rs.16,49,949/-. However, the claim was repudiated on the ground that the fire accident took place in the premises not covered by the terms of the policy. In fact the new premises taken on lease was informed to the Insurance Company under Ex.A.2 letter dated 31.03.2004. He had suffered loss of stock worth Rs.19,08,428/-. Alleging that the repudiation was unjust, claimed compensation of Rs.1,00,000/- and costs.

(2.) The Insurance Company resisted the case. However, it admitted the issuance of policy for the premises situated in Mahaboobnagar. It alleged that the fact that it had taken another policy on lease situated at a distance of half a kilometer from the premises was not informed. The said premises was not covered by any insurance policy. It did not receive any letter to that effect. No doubt fire accident took place in another premises, and on that it appointed a surveyor who assessed the loss at Rs.19,08,428/-. However, the policy does not cover the claim. Since the policy did not cover the said premises it was not liable to pay any amount towards loss and therefore, prayed for dismissal of the complaint.

(3.) The complainant in proof of his case examined himself as P.W.1 also filed Exs.A.1 to A.6. Refuting his evidence, H.R.L.V.Siva Kumar, Banh Manager of the Insurance Company filed his affidavit evidence and got Ex.B.1 marked.