Punjab

Sangrur

CC/150/2015

Kulwant Kaur - Complainant(s)

Versus

LIC Of India - Opp.Party(s)

Shri Bikramjit Singh Khattra

21 Aug 2015

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, SANGRUR.

 

                                                               

                                                Complaint No.    150

                                                Instituted on:      20.03.2015

                                                Decided on:       21.08.2015

 

 

Kulwant Kaur wife of Shri Kesar Singh, VPO Kapial, District Sangrur.

                                                        …Complainant

                                Versus

1.             Life Insurance Corporation of India, Branch Railway Road, Sangrur through its Branch Manager.

2.             Life Insurance Corporation of India through its Divisional Manager, Northern Lone Divisional Office, Post Box NO.42, Jeewan Prakash, Sector 17-B, Chandigarh-160 017.

                                                        …Opposite parties

 

For the complainant    :               Shri B.K. Khatra, Adv.

For OPs                    :               Shri Amit Goyal, Adv.

 

 

Quorum:    Sukhpal Singh Gill, President

                K.C.Sharma, Member

                Sarita Garg, Member

 

 

Order by : Sukhpal Singh Gill, President.

 

1.             Smt. Kulwant Kaur, complainant (referred to as complainant in short) has preferred the present complaint against the opposite parties (referred to as OPs in short) on the ground that the husband of the complainant, namely, Shri Kesar Singh obtained insurance policy bearing number 165364679 from OP number 1, who died on 4.1.2013. it is further averred that after the death of Shri Kesar Singh (referred to as DLA in short), the OP number 1 was intimated and lodged the claim , but the OPs did not pay the claim despite her repeated visits to the office of the OPs and legal notice dated 24.6.2014 was also got served upon OP number 1.  It is further stated that the complainant earlier filed complaint number 457 dated 7.8.2014 which was duly partly allowed on 13.11.2014 as the Ops made the statement that they will decide the claim of the complainant within 45 days.   Thereafter the OPs paid Rs.10,19,204/- to the complainant through cheque number 051648 dated 20.1.2015, but the Ops did not pay any interest, despite repeated requests of the Ops. Thus, alleging deficiency in service on the part of the OPs, the complainant has prayed that the Ops be directed to pay her interest on the above said amount @ 18% per annum and further claimed compensation and litigation expenses.

 

2.             In reply, preliminary objections are taken up on the grounds that the complaint is not maintainable, that the complainant has not come to the Forum with clean hands and has suppressed material facts and that the complaint if false and frivolous one.  On merits, it is admitted that the DLA died on 4.1.2013. It is further stated that factually the DLA had obtained two policies i.e. policy number 162317606 for assured sum of Rs.1,00,000/- with date of commencement i.e. 21.11.2012 and policy number 165364679 for Rs.10,00,000/- with the date of commencement i.e. 30.11.2012. The complainant in a very clever manner lodged only the claim under the first policy as the claim under the said policy was a non early claim, so payment of Rs.1,46,044/- was made to the complainant. Thereafter she lodged the claim under the policy in question on 17.7.2013 as the death occurred within 1 month four days, so it was required to be investigated.  Thereafter the complainant filed complaint number 457 dated 7.8.2014 and the same was withdrawn by the complainant on 13.11.2014 upon the statement made by the OPs that the claim will be decided within 45 days. It is further stated that the Ops thereafter passed the claim of the complainant on ex gratia basis and made the payment of Rs.10,19,204/- to the complainant through cheque dated 20.1.2015.  However, any deficiency in service on the part of the Ops has been denied and has prayed for dismissal of the complaint.

 

3.             The learned counsel for the complainant has produced Ex.C-1 affidavit, Ex.C-2 copy of complaint dated 6.8.2014, Ex.C-3 copy of cheque dated 20.1.2015 and Ex.C-4 copy of policy and closed evidence. On the other hand, the learned counsel for the OPs has produced Ex.OPs/1 affidavit, Ex.OPs/2 copy of written statement, Ex.OPs/3 copy of order dated 13.11.2014, Ex.OPs/4 copy of letter, Ex.OPs/5 copy of confidential report, Ex.OPs/6 copy of claim inquiry report, Ex.OPs/7 copy of claim decision and closed evidence.

 

4.             We have carefully perused the complaint, version of the opposite parties and heard the arguments of the learned counsel for the parties. In our opinion, the complaint merits acceptance, for these reasons.

 

5.             It is an admitted fact that the DLA had obtained the insurance policy in question bearing number 165364679 from OP number 1.  It is also not in dispute that the DLA died on 4.1.2013.  It is also admitted fact on record that the complainant earlier filed a complaint number 457 dated 7.8.2014 which was duly allowed on 13.11.2014, a copy of the order dated 13.11.2014 is on record as Ex.OP-3, which clearly provides that the Ops will decide the claim of the complainant within 45 days from the receipt of the copy of the order and further it is in the order that the complainant can file a fresh complaint, if she is not satisfied with the decision of the OPs.

 

6.             It is no doubt true that the Ops have decided the case of the complainant and paid an amount of Rs.10,19,204/- vide cheque dated 20.01.2015, a copy of which on record is Ex.C-3.   The fact remains that though the DLA died on 4.1.2013 and the claim was lodged with the Ops on 17.07.2013, but the OPs decided the claim case of the Ops only after filing of the complaint by the complainant before this Forum on 7.8.2014 and a direction for deciding the case of the complainant by this Forum vide order dated 13.11.2014, a copy of which on record is Ex.OPs/3.  There is no explanation from the side of the OPs that why they did not earlier decide the case of the complainant and what was the problem in not deciding the case earlier.  We feel that a period of two months is sufficient for deciding the claim of the complainant i.e. by 17.09.2013 the OPs could easily decide the case, but the Ops failed to decide the same despite serving of legal notice dated 24.6.2014 by the complainant. In the circumstances of the case, we feel that ends of justice would be met if the OPs are held liable to pay interest on the amount of Rs.10,00,000/- (as claimed by the complainant in her complaint)  for the period from 17.09.2013 to 20.01.2015.

 

7.             Accordingly, we allow the complaint and direct Ops to pay interest @ 9% per annum on the amount of Rs.10,00,000/- for the period from 17.09.2013 to 20.01.2015. We further direct the Ops to pay to the complainant an amount of Rs.10,000/- in lieu of consolidated amount of compensation and litigation expenses.  

 

8.             This order of ours be complied with within a period of thirty days of its communication. A copy of this order be issued to the parties free of cost. File be consigned to records.

                Pronounced.

                August 21, 2015.

                                                (Sukhpal Singh Gill)

                                                     President

                               

 

                                                   (K.C.Sharma)

                                                        Member

 

 

                                                    (Sarita Garg)

                                                       Member