Haryana

Ambala

CC/77/2011

BIMLA DEVI - Complainant(s)

Versus

LIC CO. - Opp.Party(s)

RAJIV SACHDEVA

18 Jan 2017

ORDER

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, AMBALA.

 

           Complaint Case No.    : 77 of 2011

Date of Institution       : 04.03.2011

           Date of Decision         : 18.01.2017

Bimla Devi W/o Kuldeep Singh R/o H.No.211-C, Police Line, Ambala City.

                                                                                               

                                                                                                                                              ……Complainant.

                                                                    Versus

 

Life Insurance Corporation of India through its Branch Manager, Jewan Sewa Building, Municipal Shopping complex, Ambala City-134001.

 

                                                                                                ……Opposite Party.

 

Complaint Under Section 12 of the Consumer Protection Act

 

BEFORE:       SH. D.N. ARORA,  PRESIDENT.

                        SH. PUSHPENDER KUMAR, MEMBER.

                       

Present:          Sh. Navneet Mehta, Adv. for complainant.

                        Sh. Dev Batra, Adv. for Op.  

 

ORDER.

 

                        In nutshell, brief facts of the complaint are that the complainant is policy holder of LIC vide policy no.172670037 for a sum of Rs.50,000/-. It has been submitted that complainant took a loan of Rs.19,000/- from the OP against the said policy on 02.01.2009. Further it has been submitted that on 25.01.2011, LIC was supposed to send survival benefit amounting to Rs.12,500/- to complainant but she was shocked to see  the letter dated 15.01.2011 of the Op whereby the said survival amount has been deducted due to loan amount under the heading  Laon Amount of Rs.8712/- plus  Loan Interest 3788/-. Further the complainant received a letter from OP dated 10.02.2011 in which the OP mentioned that Loan of the complainant is still outstanding to Rs.10,288/- whereas the complainant has submitted that  she has already paid the loan amount  and policy bond has already given to policy holder after clearance of the amount. Thus the complainant has submitted that the act and conduct of OP amounts to deficiency in service. Hence, the present complaint seeking relief as per prayer clause.

2.                     Upon notice, Op appeared through counsel and tendered reply to the complaint raising preliminary objections qua maintainability of complaint, locus standi and concealment of material facts. On merits, it has been submitted that  as per records, complainant is insured under policy no.172670037 for Rs.50,000/- having date of commencement 25.01.2001 and complainant took loan of Rs.19,000/- against eh said policy  on 02.01.2009  but  the whole amount of loan has not been paid by complainant with interest as on 04.07.2009.  It has been submitted that due to some mistake on  the part of OP, policy bond was returned  to the life assured/complainant and on noticing  the lapse, OP written a letter to the complainant on 10.02.2011 and 23.02.2011 to return  the policy bond to the Branch Office, Ambala City or to submit receipts of repayment of loan. Further it has been submitted that when loan amount is to be repaid from the side of the complainant, then question of releasing the survival benefit, does not arise at all. The demanded survival benefit, as claimed in the complaint amounting to Rs.12,500/- has been adjusted towards  loan Rs.8712/- and interest Rs.3788/- and balance outstanding against   the complainant moreover, the policy bond is also to be returned to the OP.  Thus the Op has prayed that  they have rightly issued letter dated 10.02.2011 and 23.02.2011. As such, the complainant has prayed for dismissal of complaint with costs.

3.                     To prove her version, complainant tendered her affidavit as Annexure CX alongwith documents as Annexures C1 to C-5 and closed the evidence on 22.02.2012 whereas on the other hand, counsel for Op tendered affidavit Anenxure RA alongwith documents as Annexures R-1  to R-14 and closed evidence.

4.                     We have heard learned counsel for the parties and gone through the case file very carefully.  It is admitted case between the parties to the complaint that complainant raised a loan of Rs.19,000/- on 02.01.2009 against insurance policy bearing no.172670037. The submission of counsel for complainant is that complainant had paid all the loan amount with interest and the original policy bond was returned to the complainant by OP. But despite that the OP has not released survival benefit of the policy to the tune of Rs.12,500/- and complainant was intimated  vide letter dated 15.01.2011  that  the said amount has been deducted due to loan amount under head ‘Loan Amount Rs.8712/- plus Loan Interest Rs.3788/-.’ And further the OP vide letter dated 10.02.2011 demanded a sum of Rs.10,288/- as outstanding  amount.   Whereas the stand of the Op is that due to some mistake they had returned the original policy bond to the complainant whereas a sum of Rs.10,288/- is outstanding against the complainant.

5.                     Complainant to prove his case has placed on record copy of letter dated 15.01.2011 (Annexure C-1) whereby Op has deducted survival benefit of the complainant under the policy, Annexures C-2 & C-3 are receipts of premiums paid under the policy, Annexure C-4 letter issued by OP for demand of the remaining amount from the complainant and Annexure C-5 policy document.  But from the said documents, it is nowhere proved that  the complainant has paid full and final loan amount alongwith interest to the Op whereas on the other hand, OP has placed on record statement of account Annexure R-8 which reveals that  the complainant has obtained loan of Rs.19,000/- on 20.02.2009 from OP and amount of Rs.3788/- as interest  & Rs.8712/- as principal amount has been adjusted towards the loan account of complainant in lieu of survival benefit due to the complainant under the policy and  balance amount of Rs.10288/- is outstanding against the complainant. The plea of complainant that she has cleared the entire loan amount and after that the Op have returned original policy bond to her. But this plea of complainant is not tenable since Op has submitted in their written statement that they have wrongly returned the policy and when this fact came to their notice, they issued notices to the complainant for paying the loan amount. If we presume  that complainant had paid the entire loan amount  to the OP then she could easily produce the receipt qua deposition of loan but nothing of such sort has been brought on record. So, we cannot disbelieve the version of OP that  the complainant has to pay  balance loan amount of Rs.10288/- as shown in the statement account  mentioned above.  As such, we do not find any force in the complaint and the same is hereby dismissed with no order as to costs.  Copies of the order be sent to the parties concerned, free of costs, as per rules.  File after due compliance be consigned to record room.

ANNOUNCED ON:  18.01.2017.                          

                                                                                                         Sd/-

                                                                                                    (D.N. ARORA)

                                 PRESIDENT                

 

                                                                                                           Sd/-

         (PUSHPENDER KUMAR)

                                                                                                          MEMBER