DISTRICT CONSUMER DISPUTES REDRESSAL FORUM,<br /> BATHINDA (PUNJAB)<br /> <br /> CC. No. 245 of 10-09-2009<br /> Decided on : 23-02-2010 <br /> <br /> Kundal Lal S/o Sh. Kashi Ram, aged about 78 years, R/o Village Kot Bakhtu, Tehsil Talwandi Sabo, District Bathinda.<br /> .... Complainant<br /> Versus<br /> <br /> 1.Life Insurance Corporation of India, Jeevan Jyoti Building, Bibiwala Road, Bathinda, through its Chief Manager.<br /> 2.Life Insurance Corporation of India, Feroze Gandhi Market, Divisional Office, Ludhiana through its Divisional Manager<br /> ... Opposite parties<br /> <br /> Complaint under Section 12 of the Consumer Protection<br /> Act, 1986.<br /> <br /> QUORUM <br /> <br /> Ms. Vikramjit Kaur Soni, President<br /> Dr. Phulinder Preet, Member<br /> Sh. Amarjeet Paul, Member<br /> <br /> For the Complainant : Sh. Updeep Singh Brar, Counsel the complainant <br /> For the Opposite parties : Sh. Sanjay Goyal, counsel for<br /> opposite parties. <br /> <br /> O R D E R<br /> <br /> VIKRAMJIT KAUR SONI, PRESIDENT<br /> <br /> 1. In brief, the case of the complainant is that he obtained Life Insurance Policy vide No. 160670534 from the opposite parties in the year 1994. As per terms of the policy, he had to pay 14 half yearly installments of Rs. 4,648/- which were to be deposited upto 2001. He paid total premium amounting to Rs. 65,072/- to the opposite parties. In April, 2001 he applied for loan of Rs. 40,000/- with the opposite parties and they after deducting Rs. 15,128/- due against him issued cheque for Rs. 24,872/- and thereafter nothing was paid to him. The opposite parties have been charging exaggerated interest on the above said loan amount. He requested the opposite parties to refund his entire amount, but they refused to do so. Hence, this complaint for issuing directions to the opposite parties to refund the total amount regarding the above said policy and pay him compensation to the tune of Rs. 50,000/- for mental tension, agony and harassment.<br /> 2. The opposite parties filed reply and submitted that terms of the policy was 15 years and complainant was to pay half yearly instalments of Rs. 4,648/- each during the whole period of policy i.e. for 15 years upto the year 2009. Complainant was irregular in payment of instalments. He raised loan of Rs. 40,000/- and after deducting Rs. 15,128/- i.e. three instalments of premium including interest, remaining amount was disbursed to him. In this way, premium of Insurance policy upto November, 2000 stands paid and thereafter no payment of premium has been made by the complainant since from May, 2001. So, after adjusting the loan amount and calculating the paid up value of the Insurance policy, an amount of Rs. 5,279/- was sent to him vide cheque dated 15-09-2009 being surrender value of Insurance policy. Therefore, no amount is due against the opposite parties in respect of the policy in question. <br /> 3. Parties have led evidence besides filing affidavits in support of their respective pleadings.<br /> 4. We have heard the learned counsel for the parties and have also gone through the record.<br /> 5. The Insurance policy in question was for a period of 15 years commencing from the year 1991 and terminating in the year, 2009. Half yearly premium of Rs. 4,648/- was to be paid. The complainant not paid half yearly premiums regularly. He raised loan of Rs. 40,000/- from the opposite parties in April, 2001 and they disbursed him a loan of Rs. 24,872/- after deducting an amount of Rs. 15,128/- on account of unpaid three instalments of premium which also included interest. The complainant had paid all the premiums of the Insurance Policy upto November, 2000. <br /> 6. There is nothing on the record to show that complainant paid any premium thereafter to that date. Thus, the policy which was to terminate in the year 2009 had terminated in 2001 for non-payment of the premiums. There is no document on the record to prove that complainant ever paid any loan amount. The opposite parties have placed on record Ex. R-4 and according to them, this document is a calculation of interest on loan amount and benefit of the lapsed policy. On this basis of this document, the opposite parties issued a cheque for Rs. 5,279/- bearing No. 62054 dated 15-09-2009 as a surrender value of the Insurance Policy. Ex. R-4 does not contain the detail of the interest accrued on the loan amount and surrender value of the policy. <br /> 7. The complainant had simply pleaded that interest charged on the loan amount is exaggerated and that he paid a sum of Rs. 65,072/- towards premium of the policy. The interest charged by the opposite parties on the loan amount was to be at the rate as agreed between the parties. Therefore, this Forum cannot go in that matter.<br /> 8. The complainant has not paid even a single penny either towards interest or towards premium after obtaining above said loan in the year 2001. He has also not given any calculation about the loan amount. The opposite parties were bound to provide the details of interest having accrued on the loan amount and surrender value of the lapsed policy to the complainant which they failed to do. Hence, there is deficiency in service on their part. Therefore, in these circumstances, the appropriate direction would be to the opposite parties to supply entire details of interest having accrued on the loan amount and the lapsed policy benefits till the date i.e. 15-09-2009, when a cheque for Rs. 5,279/- was issued to the complainant. The complainant did not receive the said cheque. As per calculation made by the opposite parties in Ex. R-4, surrender value of the lapsed policy after settling of the loan amount is Rs. 5,279/-. Therefore, the complainant is entitled for recovery of this amount without hassle. <br /> 9. In view of that has been discussed above, this complaint is accepted with Rs. 3,000/- as cost and the opposite parties are directed to pay a sum of Rs. 5,279/- to the complainant with interest @12% P.A. from the date of institution of this complaint till realisation. The opposite parties are also directed to supply complete details of settled amount on the lapsed policy and interest having accrued on loan amount. <br /> 10. The compliance of this order be made within 30 days from the date of receipt of copy of this order.<br /> Copy of this order be sent to the parties concerned free of cost and the file be consigned to record. <br /> Pronounced :<br /> 23-02-2010 <br /> (Vikramjit Kaur Soni)<br /> President<br /> <br /> <br /> (Dr. Phulinder Preet)<br /> Member <br /> <br /> <br /> (Amarjeet Paul) *ik Member