HAJIDAUD HAJI HARAN ABU Vs. UNITED INDIA INSURANCE CO LTD

JUDGEMENT

(1.) THE complainant has alleged that the failure on the part of the Opposite Party - Insurance Company in settling his claim on the Insurance Policy constitutes a deficiency in service under the Consumer Protection Act, 1986.

(2.) THE facts briefly are that the complainant Shri Haji Daud Haji Haran Abu had purchased a vessel 'Chandra-Vasa' from the registered owner of the vessel by an agreement of Sale of 6th June, 1982. He had got the vessel insured with the Opposite Party - Insurance Company and the insurance was renewed from time to time. The last renewal policy was for one year from 16th October, 1986 when this vessel was insured for a sum of Rs. 13,00,000/-.

(3.) THE Opposite Party Insurance Company has not paid the claim on the ground that the complainant Haji Harun Abu had no insurable interest in the vessel 'Chandra Vassa'. The true owner of this vessel was Shri Ramesh Chandra Gordhandas Faldu in whose name the vessel is registered; the vessel is also mortgaged with the Director of Port, Government of Gujarat against a loan of Rs. 11,25,000/-. The complainant has purchased this vessel from Shri Faldu in the year 1982 for a total Sum of Rs. 3,00,000/-out of which he paid a sum of Rs. 1,01,001 as earnest money and the balance of Rs. 2 lakhs was payable when the possession of the vessel was handed over to the purchaser. All the transfer papers in respect of the vessel were signed and presented to the various Department.