DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, KANDHAMAL, PHULBANI

                                                                                               C.C No.26 of 2014

Present:   Sri Rabindranath Mishra          - President.

                  Miss Suidhiralaxmi Pattanaik   - Member.

Dilip Kumar Nayak, aged – 59 years

S/O: Late pada Nayak. G.E.D Sub- Division.

AT/PO: Phulbani Dist: Kandhamal

Profession _ Govt service                                        ………………….  Complainant.

                      Versus.

Branch Manager

L.I.C of India, Phulbani Branch.

At/PO: Phulbani Dist: Kandhamal.                      …………………… OPP. Parties

For the Complainant:  self.

For the OPP. Parties: Sri Bijay Kumar Mohanty, Advocate, Phulbani

Date of Order: 26-10-2015

O R D E R

                                    The case of the Complainant in brief is that he is a Consumer under the Opposite Party having an insurance policy bearing No. S-581189874 dated.28-12-1994 for the period of 15 years. The date of maturity of the said policy was 28-12-2009 but the Opposite Party has not paid the maturity amount to him in spite of repeated requests and demand. The sum assured for Rs. 20,000 only. The premium amounts were deducted from his salary till the month of February 2010 as reported by the Executive Engineer G.D Division Sunabeda. Hence, this Complaint is filed by him for a direction to the Opposite Party to pay the maturity amount with 12 % annul interest from the date of maturity and to pay compensation of Rs. 30,000/- for mental agony and financial loss along with Rs.5000/- as litigation costs .

                                    The case of the Opposite party as per his version is that the policy holder has not submitted the policy-bond and he has not intimated the Opposite Party regarding his address. The Complainant has also not mentioned clearly regarding the policy particulars and details of deduction of premium particulars for early settlement of his claim. As the Complainant is working under the Executive Engineer, G.E Division Sunabeda, the premium deducted from his

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salary have been deposited at L.I.C of Koraput Branch from April 2004 to November 2011 . More over premium deduction and remittance particulars for  77 gaps from May 1995 to September 2001 or at least his service details need to be submitted by the Complainant to ascertain the premium payment for the above period. Hence, the Opposite Party is not liable to pay any compensation as claimed as there is neither deficiency in service nor any unfair trade practice on the part of the Opposite Party. They prayed to drop the case with a direction to the Complainant to supply premium deduction and remittance particulars including the relevant papers for early settlement of the claim.

                                    We have heard the Complainant and the learned counsel appearing for the Opposite Party. We have carefully gone through the complaint petition, version filed by the Opposite Party and documents filed by the Complainant in support of his case. It is seen from the copy of the bond filed by the Complainant that the date of maturity of the said policy was 28-12-2009. It is also seen from the statement of deduction particulars supplied by the Executive Engineer G.E Division Sunabeda that the premiums of the policy of the Complainant were deducted regularly from the month of May 2006 till the Month of February 2010. This policy was started in the year 1994 at Phulbani Branch. It is also seen from the letter vide memo No. 3342 dated 28-07-2012 of the Office of the Executive Engineer,G.E.D Sunabeda that he had intimated regarding the deduction of premium particulars of the Complainant to the Branch Manger of L.I.C of India , Phulbani Brnach , the O.P . In the mean time 6 years is going to be completed after the date of maturity but the Complainant has not received the maturity amount of the policy from the Opposite Party, which amounts to deficiency in service on the part of the OPP. Party.

                                    This policy is coming under Salary Savings Scheme. As per settled principle of law, under the Salary Savings Scheme, the premiums are to be remitted by the employer to the insurer after deducting the same from the concerned employee’s Salary and the employer acts as the agent of the LIC. So the deduction of the premiums from the Salary of the employee was a matter between the employer and the LIC. It is not the duty of the employee to intimate the L.I.C about non- remittance. But in this case the employer, the Executive Engineer GED, Sunabeda has intimated the OPP. Party regarding the L.I.C deduction particulars of the complainant vide his letter dated 28-07-2012.

                                    It is submitted by the learned counsel of the OPP. Parties at the time of argument that the Complainant has not submitted the original bond for the prupose. However the negligence of the O.P can not be over- looked after 6 years of the date of maturity of a policy. Hence the C.C is allowed in part. The OPP. Party is directed to pay the maturity amount to the Complainant with 10% annum

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interest from the date of maturity till the date of order i.e. 26-10-2015. The said order be complied within 30 days from the date of submission of the relevant papers by the Complainant, otherwise the O.P shall pay Rs. 5000/- as compensation to the Complainant.

                                    The C.C is disposed of. Supply free copies of the order to both the parties.

                                                                                       MEMBER                                    PRESIDENT

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