District Consumer Disputes Redressal Commission ,Faridabad.
Consumer Complaint No.663/2021.
Date of Institution: 22.12.2021.
Date of Order: 13.01.2023,
Shamshad Khan S/o Mr. Salamuddin r/o H.No. BC 106/1, Badhkal Colony, Faridabad, Haryana – 121001.
…….Complainant……..
Versus
IFFCO TOKIO General Insurance Co. Ltd., through its Director F.A.I Building, 2nd floor, 10 Shaheed jeet Singh Marg, Qutub Institutional Area, New Delhi – 110 067.
…Opposite party……
Complaint under section-12 of Consumer Protection Act, 1986
Now amended Section 34 of Consumer protection Act 2019.
BEFORE: Amit Arora……………..President
Mukesh Sharma…………Member.
Indira Bhadana………….Member.
PRESENT: Sh. S. Krishna Murthy, counsel for the complainant alongwith counsel Sh. Sagar Upadhyay.
Sh. Sanjeev Bansal, counsel for opposite party.
ORDER:
The facts in brief of the complaint are that the complainant was the law abiding resident of Faridabad, Haryana who had bought a car in the year 2019 in the Hire-Purchase agreement with ICICI Bank and subsequently, got it registered vide Regn. No. HR51BX9793. The complainant also took insurance of the said car in June 2019 from the opposite party which was further renewed on 22.06.2020 vide policy No. 18070518. Unfortunately, n 31.10.2021 the aforesaid car of the complainant caught fire and thus, in haste, the complainant calls for the fire extinguisher which stops the fire however, the car was extensively damaged and was no more road-worthy and beyond repair. Subsequent to such mis-happening, the complainant started approaching the opposite party for the insurance claim and against the same, the complainant was directed to get the surveyor report. For such surveyor report, the complainant was forced to pay firstly, the towing charges of Rs.1,000/- and thereafter, cost for the surveyor report of Rs.10,000/-. Subsequently, the surveyor report was prepared in the month of Feb 2021 itself however, the same was not processed by the opposite party due to the further deteriorated pandemic situation because of the second wave of COVID-19. After lockdown, the complainant again approached the office of the opposite party for the insurance claim where after a letter dated 01.06.2021 was issued by the opposite party to the Regional Transport Officer (RTO), Faridabad, Haryana for the cancellation of the Registration Certificate of the aforesaid car by stating that the claim made by the complainant for the insurance claim can only be settled after the cancellation of the RC of such car. Subsequent of issuance of the aforesaid letter, the opposite party after being examined and analyzing the surveyor report regarding the aforesaid car, issued a letter dated 01.06.2021 to the complainant whereby it approved the insurance claim in favour of the complainant upon being submission of some documents which were mentioned herein below:
a) Consent of insured for the approved amount i.e. Rs.3,83,193/- on Rs.100/- Non-judicial stamp paper (duly notarized).
b) NOC and Form 35 from Financer (if payment is to be made to insured directly).
c) NEFT details of financer.
d) Cancelled Registration Certificate form RTO.
The complainant on various occasions contacted the opposite party stating that the financer was required to pay first then only the Registration Certificate could be stands cancelled for which the complainant was asked by the opposite party for the outstanding amount pending with the financer. Thus, the Financer/ICICI Bank, upon a request made by the complainant for the details of complete final payment which was outstanding against the loan of the aforesaid car, issued a letter dated 28.07.2021 whereby it was held that Rs.2,81,034.67/- was left outstanding as on 28.07.2021 however, made a statement that beyond such date an additional interest would be charged at Rs.76.31 per day. Despite various requests by the complainant of stating that the aforesaid car was under hire-purchase agreement thus, the cancellation of RC, without paying the outstanding loan amount to the financer was not possible and to provide the complete insurance claim with towing as well as surveyor report charges and additional interest which was being charged by the Financer upon getting the final amount for settlement of the aforesaid loan however, the opposite party ever paid any heed to it. The aforesaid act of opposite party amounts to deficiency of service and hence the complaint. The complainant has prayed for directions to the opposite party to:
a) payment of Rs.4,05,193/- i.e. the amount agreed as Insured Declared Value (IDV) of the car of the complainant vide their policy dated 22.06.2020 alongwith interest @ 12% P.A. from the date of furnishing the details for surveyor report till the final disposal of the actual payment.
b) payment of Rs.1,000/- and Rs.10,000/- against the towing charges and for preparing the surveyor report respectively, paid by the complainant, alongwith interest @ 12% p.a. from the date of furnishing the details for surveyor report till the final disposal of the actual payment.
c) payment of Rs.76.31 per day from 28.07.2021 till the final disposal of the actual payment as stated in para 9 hereto.
d) pay Rs. 11,000 /-as litigation expenses.
2. Opposite party put in appearance through counsel and filed written statement wherein Opposite party refuted claim of the complainant and submitted that the present complaint was not maintainable being pre mature since the complainant instead of providing/completing the required documents/formalities to process the claim payment had filed the present complaint. It was submitted that the complainant was making desperate attempt to have his claim paid without completion of required documents and formalities. In addition, the complainant had failed to comply with the mandatory formalities qua submission of documents as per the terms and conditions of the policy of insurance. In this regard it was stated that the claim of the complainant had already been approved to be settled on Net of salvage basis for sum of Rs.3,83,193/- duly communicated to the complainant vide letters dated 01.06.2021 & 14.06.2021 asking the complainant to furnish/provide the requisite documents before processing the said claim. Till date nothing had been submitted by the complainant inasmuch as the following documents as sought by the opposite party were still pending which were:
a) Consent of insured for the approved amount i.e. Rs.3,83,193/- on Rs.100/- Non-judicial stamp paper (duly notarized).
b) NOC and Form 35 from Financer (if payment is to be made to insured directly).
c) NEFT details of financer.
d) Cancelled Registration Certificate form RTO.
The complainant on his own volition had chosen of not fulfilling the said formalities for settlement of the claim, however, in any case, if the complainant still opts to submit these documents then in that case the opposite party insurance company was also ready to process the said claim of the complainant. It was stated that the case at hands did not pertain to be a closed claim or a repudiated claim, however, as a matter of act, the claim of the complainant was still alive at this stage which was subjected to the submission of the required documents. The present complaint was also bad for non-joinder of necessary party as the financer of the vehicle No. HR-51BX-9793, ICICI Bank Limited Faridabad had not been impleaded as a party before this Hon’ble Commission, and therefore, in order to decide the issue at hand between the parties, the financier ought to have arrayed as necessary party in this consumer complaint. Opposite party denied rest of the allegations leveled in the complaint and prayed for dismissal of the complaint.
3. The parties led evidence in support of their respective versions.
4. We have heard learned counsel for the parties and have gone through the record on the file.
5. In this case the complaint was filed by the complainant against opposite parties– Iffco Tokio General Insurance Co. Ltd. & Ors. with the prayer to: a) payment of Rs.4,05,193/- i.e. the amount agreed as Insured Declared Value (IDV) of the car of the complainant vide their policy dated 22.06.2020 alongwith interest @ 12% P.A. from the date of furnishing the details for surveyor report till the final disposal of the actual payment. b) payment of Rs.1,000/- and Rs.10,000/- against the towing charges and for preparing the surveyor report respectively, paid by the complainant, alongwith interest @ 12% p.a. from the date of furnishing the details for surveyor report till the final disposal of the actual payment. c) payment of Rs.76.31 per day from 28.07.2021 till the final disposal of the actual payment as stated in para 9 hereto. d) pay Rs. 11,000 /-as litigation expenses.
To establish his case the complainant has led in his evidence, photocopies of RC, insurance policy, photographs of burnt car of the complainant alongwith the payment receipt dated 11.02.2021 raised by the Muncipal Corporation, Faridabad, Haryana, receipt of towing charges as well as the receipt for surveyor report, letter dated 01.06.2021 issued by the opposite party to RTO, Faridabad, letter dated 01.06.2021 issued by the opposite party to the complainant, letter dated 28.07.2021 issued by the ICICI Bank- Financer and FIR.
On the other hand counsel for the opposite party strongly agitated and
opposed. As per the evidence of the opposite party Ex.R/A – affidavit of Alok Gupta, General Manager, Claims at Iffco Tokio General Insurance Company Ltd., 2nd floor, FAI House, 10 Shaheed Jeet Singh Marg, Qutub Institutional Area, New Delhi, Annx.R/1 – Survey Fee Bill, Annexure R/2 – Request letter, Annx.R/3 – Reminder letter, Annx.R/4 – Motor Final Survey Report, Annx.R/5 – Stand-Alone Motor Own Damage for Private Car.
6. During the course of arguments, counsel for the opposite party has submitted the email dated 27.12.2022 of compromise and approval in the case of Shamshad Khan Vs. IFFCO TOKIO General Insurance Co. Ltd. Vide Annexure X in which the contents of email stated that opposite party is ready to pay Rs.3,83,193/- subject to submission of post approval documents as stated in our letters which are:
a) Consent of insured for the approved amount i.e. Rs.3,83,193/- on Rs.100/- Non-judicial stamp paper (duly notarized).
b) NOC and Form 35 from Financer (if payment is to be made to insured directly).
c) NEFT details of financer.
d) Cancelled Registration Certificate form RTO.
7. After going through the evidence led by the parties as well as the email dated 27.12.2022, the Commission is of the opinion that the complaint is allowed. Opposite party is directed to pay Rs.3,83,193/- alongwith interest @ 6% p.a. from the date of filing of complaint till its realization, subject to submission of documents mentioned above. The opposite party is also directed to pay Rs.2200/- as compensation on account of mental tension, agony and harassment alongwith Rs.2200/- as litigation expenses to the complainant. Compliance of this order be made within 30 days from the date of receipt of copy of order. Copy of this order be given to the parties concerned free of costs and file be consigned to record room.
Announced on: 13.01.2023 (Amit Arora)
President
District Consumer Disputes
Redressal Commission, Faridabad.
(Mukesh Sharma)
Member
District Consumer Disputes
Redressal Commission, Faridabad.
(Indira Bhadana)
Member
District Consumer Disputes
Redressal Commission, Faridabad.
