Tamil Nadu

South Chennai

CC/223/2014

N.Srinivasan - Complainant(s)

Versus

Brila Sun Life Insurance Company Ltd., - Opp.Party(s)

S.Muthuraman

02 Sep 2022

ORDER

Date of Complaint Filed : 05.05.2014

Date of Reservation      : 08.08.2022

Date of Order               : 02.09.2022

 

DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION,

CHENNAI (SOUTH), CHENNAI-3.

 

PRESENT:    TMT. B. JIJAA, M.L.,                                             : PRESIDENT

                        THIRU. T.R. SIVAKUMHAR, B.A., B.L.,           :  MEMBER  I 

                       THIRU. S. NANDAGOPALAN., B.Sc., MBA.,     : MEMBER II

 

CONSUMER COMPLAINT No.223/2014

FRIDAY, THE 2^nd DAY OF SEPTEMBER 2022

Mr.N.Srinivasan,

S/o.V.N.Neelakandan ,

"Indira Cottage"

Plot No. 2,Door No.3/621,

EVP Rajeswari Avenue,

Madanandapuram, Porur,

Chennai - 600 125.                                                        ... Complainant                

 

..Vs..

 

1.Birla Sun Life Insurance Company Limited,

   Represented by the Regional Manager,

   85.II Floor, 1^st Avenue,

   Flat No.1-A Shifa Arcade,

   Ashok Nagar,

   Chennai-600087.

 

2.Mr.Prem Anand,

   The Branch Manager ,

   Birla Sun Life Insurance Company Limited,

   85.II Floor, 1^st Avenue,

   Flat No.1-A Shifa Arcade,

   Ashok Nagar,

   Chennai-600087.                                                      ...  Opposite Parties

 

******

Counsel for the Complainant          : M/s. S.Muthuraman

Counsel for the Opposite Parties     : M/s. Jayanthi K.Shankar

       

On perusal of records and after having heard the oral arguments of the Counsel for the Complainant, we delivered the following:

ORDER

Pronounced by the President Tmt. B. Jijaa, M.L.,

1.      The Complainant has filed this complaint as against the Opposite Party under section 12 of the Consumer Protection Act, 1986 and prays to to reimburse the sum of Rs.4,50,000/- to the Complainant together with interest @24% p.a and to pay a sum of Rs.10,00,000/- towards compensation for the mental agony caused to the Complainant along with cost of this complaint.     

2.     The averments of Complaint in brief are as follows:-

The Complainant had availed Life Insurance Policies from the 1^st Opposite Party through the 2^nd Opposite Party, who assured that the policies on Pension scheme would regularly provide monthly payment after 3 years of payment on one time premium amount. Believing the 2^nd Opposite Party the Complainant applied and paid premium amounts to the 1^st Opposite Party for the 5 policies amounting to Rs.4,50,000/-. But even after a lapse of a reasonable period the Complainant had not issued the original policies as promised by the Opposite Parties. Further they have not given any monthly pension amount to the Complainant on maturity that is after 3 years of the payment of the premium amounts. The Complainant was made to run from pillar to post by the Opposite Parties. The entire money paid by the Complainant is misappropriated by the Opposite Parties. Hence the Complainant has lodged a complaint to the Grievance Cell of the Opposite Party on 18.07.2012 but there was no reply from their side. The Complainant had issued a legal notice dated 27.03.2014 to the Opposite Parties which were acknowledged by them but they have neither given reply nor paid back the claim of the Complaint. Hence the Complaint.

3. Written Version filed by the Opposite Party in brief is as follows:-

     The Complainant had approached the 1^st Opposite Party to avail some insurance Policies and after fully understanding the terms of various policies the Complainant had applied five different policies, the details of which are mentioned here below:-

Policy No	003719585	003724930	003724929	003873600	003896346
Name of Policy Holder/life Assured	N.Srinivasan	N.Srinivasan	N.Srinivasan	N.Srinivasan	N.Srinivasan
Policy Plan	Freedom 58 fund coverage	Freedom 58 Fund coverage	Freedom 58 Fund Coverage	Freedom 58 fund coverage	Freedom 58 Fund Coverage
Application Number	A28714547	A28714549	A28714514	A35961715	A35961713
Application sign date	30.12.2009	30.12.2009	30.12.2009	30.12.2009	30.12.2009
Date of issue of policy	28.12.2009	28.12.2009	28.12.2009	18.02.2010	26.02.2010
Mode of dispatch of Policy documents	Not issued	Courier	Courier	Courier	Courier
Gross Annual Premium	Rs.1,00,000/-	Rs.74,999.70/-	Rs.19,999.92/-	Rs.50,000/-	Rs.1,10,000/-
Premium Mode	Annual	Monthly	Monthly	Quarterly	Quarterly
Total premium Paid	0.00	Rs.1,50,000/-	Rs.40,000/-	Rs.50,000/-	Rs.1,10,000/-
Total Sum assured	Rs.10,00,000/-	Rs.9,00,000/-	Rs.2,40,000/-	Rs.2,40,000/-	Rs.2,00,000/-
Lapse date	-	28.03.2012	28.03.2012	18.06.2012	26.06.2012
Policy Status	Not issued due to dishonour of cheque	Terminated	Terminated	Terminated	Terminated

 

Out of the five policies issued in favour of the Complainant the premium amount paid via cheque No.003719585 could not be encashed as the cheque got dishonoured on presentation and hence the Policy No.003719585 was not issued to the Complainant.  The other policy documents were duly delivered to the Complainant via courier. Further due to non payment of regular premiums, all the policies were terminated as per the terms of the contract. Hence on termination of the policies there was no amount due and payable to the Complainant under the said policies. There is no breach of trust, unfair trade practice and deficiency in service on the part of the Opposite Parties. The instant complaint is hopelessly barred by limitation. Hence the Opposite Parties prayed to dismiss the complaint.

4.   The Complainant submitted his Proof Affidavit and Written Arguments. On the side of the Complainant, documents were marked as Ex.A-1 to Ex.A-9. The Opposite Parties submitted his Written Version and Proof Affidavit of Opposite Parties was closed and no document was marked.

 

Points for Consideration:-

1. Whether the complaint is barred by limitation?

2. Whether there is deficiency in service on the part of the Opposite Party?

3. Whether the Complainant is entitled for reliefs claimed?

4. To what other reliefs the Complainant is entitled to?

Point No.1:

The case of the Complainant was that the 2^nd Opposite Party had approached the Complainant and canvassed for taking Life Insurance Policies on pension scheme which would regularly provide him monthly income after 3 years of payment of one time premium amounts. The Complainant had applied and paid premiums towards policies as detailed below:

1. Rs.1,00,000/-  towards Application No.A28714547 on 30.12.2009
2. Rs.1,50,000/- towards Application No.28714549 on 30.12.2009
3. Rs.40,000/-   towards Application No.28714514 on 31.12.2009
4. Rs.50,000/-   towards Application No.35961715 on 15.02.2010
5. Rs.1,10,000/- towards Application No.35961713 on 18.02.2010

     The Opposite Parties had issued receipts bearing Receipts Nos.15879307, 15879308, 15879331, 15879766 and 15879805 for the above payments as found in Exs.A-1 to A-5. Except the payment of Rs.1,00,000/- towards Application No.A28714547 all other payments are accepted by the Opposite Parties. The contention of the Complainant was that the Opposite Parties had not issued the original policies and when demanded the 2^nd Opposite Party stated that the original receipts issued would be treated as policies until the issuance of original policies. After 3 years, on maturity the Complainant had not received pension as assured by the Opposite Parties. Since the contention of the Complainant is that 3 years after the payment of one time premium in December 2009 and February 2010, the policy would mature and that the Opposite Party having failed to furnish the policy documents inspite of the requisition of the Complainant dated 18.07.2012, Ex.A-6 the Complaint is within the limitation. Accordingly, Point No.1 is answered.

Point No.2:-

         The Opposite Parties has averred that subsequent to the five application corresponding Policy Nos. 003719585,003724930,003724929,003873600 and 003896346 were issued. However, the cheque issued for one policy bearing Policy Number 003719585 was dishonoured. Though the Opposite Parties contended that the dishonour of cheque was duly communicated to the Complainant vide letter dated 10.09.2012, the same is not produced by the Opposite Parties. The other four policy documents alleged to have sent to the Complainant by courier, is without any proof of delivery by the Opposite Parties to the Complainant. It is pertinent to note that the Complainant has filed C.M.P.NO.295 OF 2017 to produce the dishonoured cheque for Rs.1,00,000/- bearing Cheque No.588730 dated 30.12.2009 drawn on Indian Bank before this Commission. The said C.M.P was allowed on 21.08.2018. However, the Opposite Parties has not produced the said dishonoured cheque. The Opposite Parties have further averred that the Complainant had opted for Freedom 58 Plan, for getting benefits under the plan the Complainant was required to pay the premiums for a continuous period.  However, the Complainant paid just one or two regular premiums corresponding to the issued policies and stopped paying premiums thereby leading to termination of four policies. The Opposite Party has not filed Proof Affidavit and documents to prove their case. Having admitted receipt of Rs.3,50,000/- towards the said policies, and though averred that the cheque issued for one policy bearing Policy Number 003719585 for Rs.1,00,000/- was dishonoured but having failed to produce the same before this Commission inspite of the Order passed  by this Commission to produce the dishonoured cheque, this Commission holds that the Opposite Parties are liable to repay the entire paid up premium amounts of Rs.4,50,000/-. Moreover the Opposite Parties inspite of the receipt of the legal notice dated 27.03.2014 as per Exs.A-7 to 9, had not send reply to the Complainant about the return of cheque and the delivery of the policy documents. Hence, this Commission hold that the Opposite Parties had committed deficiency of service by not providing Policy documents inspite of receipt of the premium amounts from the Complainant. Accordingly, Point No.2 is answered.

Point Nos.3 and 4:

Considering the facts and circumstances of the case, and in view of the forgoing discussions, this Commission is of the considered view that the Opposite Parties had committed deficiency of service and are liable to reimburse the sum of Rs.4,50,000/- to the Complainant with interest at the rate of 9% from the date of complaint i.e., 02.05.2014  till date of realization and to pay a sum of Rs.10,000/- as compensation for the deficiency in service along with cost of Rs.3000/- to the Complainant. Accordingly, Point Nos. 3 and 4 are answered.

In the result the Complaint is allowed in part. The Opposite Parties 1 and are jointly and severally directed to reimburse the sum of Rs.4,50,000/- (Rupees Four Lakh and Fifty Thousand Only) to the Complainant with interest at the rate of 9% from the date of complaint i.e., 05.05.2014  till date of realization and to pay a sum of Rs.10,000/- (Rupees Ten Thousand Only) as compensation for the deficiency in service along with cost of Rs.3000/- (Rupees Three Thousand Only) to the Complainant, within 8 weeks from the date of receipt of this Order, failing which the above sums shall be payable with interest at the rate of 9% from the date of receipt of the Order till date of realization.

 

In the result the Complaint is allowed.

Dictated to Steno-Typist, transcribed and typed by her, corrected and pronounced by us in the Open Commission, on 2^nd of September 2022..

 

 

S. NANDAGOPALAN               T.R. SIVAKUMHAR                 B.JIJAA

         MEMBER II                       MEMBER I                        PRESIDENT

 

List of documents filed on the side of the Complainant:-

 

 

Ex.A1	30.12.2009	Receipt issued by the Opposite Parties Bearing No.15879307 for Rs.1 lac
Ex.A2	30.12.2009	Receipt issued by the Opposite Parties Bearing No.15879308 for Rs.1.50. lac
Ex.A3	31.12.2009	Receipt issued by the Opposite Parties bearing No.15879331 for Rs.40,000/-
Ex.A4	15.02.2010	Receipt issued by the Opposite Parties bearing No.15879766 for Rs.50,000/-
Ex.A5	18.02.2010	Receipt issued by the Opposite Parties bearing No.15879805 for Rs.1.10 lac
Ex.A6	18.07.2012	Complaint of the Complainant to the Grievance cell of Opposite Parties
Ex.A7	27.03.2014	Lawyer Notice
Ex.A8	07.04.2014	Acknowledgement of 1st Opposite Party
Ex.A9	07.04.2014	Acknowledgement of 2nd Opposite Party

 

 

 

List of documents filed on the side of the Opposite Parties:-

 

NIL

 

 

S. NANDAGOPALAN               T.R. SIVAKUMHAR                    B.JIJAA

         MEMBER II                       MEMBER I                         PRESIDENT