Tamil Nadu

StateCommission

CC/15/2008

3F Industries Ltd. - Complainant(s)

Versus

M/s.The Oriental Insurance Company Ltd. & another - Opp.Party(s)

K.Moorthy

10 Jun 2015

ORDER

BEFORE THE STATE CONSUMER DISPUTES REDRESSAL COMMISSION, CHENNAI

 

                            BEFORE         THIRU.A.K.ANNAMALAI    PRESIDING JUDICIAL MEMBER 

                                                        TMT. P. BAKIYAVATHI                                              MEMBER

 

C.C.NO. 15/2008

DATED THIS THE 10^th   DAY OF JUNE 2015

                                                                                                                        Date of Complaint      :  13.3.2008

                                                                                                                        Date of Order            :  10.6.2015

 

M/s Foods Fats and Fertilizers Ltd,

Represented by its authorised person

Jivesh Goenka

7^th Floor, Fountain Plaza

Pantheon Road, Egmore,

Chennai 600 008                                           ..complainant  

                                            Vs

 

1.M/s The Oriental Insurance Company Ltd,

 rep.by Div.Manager

KAM Nursing Home Complex

Railway Station Road

Tadepalligudem 534 101

 

2. M/s Asiatic Shipping Services Inc.

Rep.by A.S.Shipping Agencies Pvt Ltd, C.E.O

No.113, Armenian Street

Chennai 600 001                                           ..opposite parties

 

Counsel for complainant                : M/s K.Moorthy and S.R.Sundar

Counsel for 1^st opposite party         : M/s Elveera Raveendran

Counsel for 2^nd opp.party               : M/s S.Raghunathan

 

     This complaint coming before us for hearing finally on 4.6.2015 upon hearing the arguments on both side, perusing the documents, this commission made the following order.               

                               

                                    ORDER

THIRU.A.K.ANNAMALAI,  PRESIDING JUDICIAL MEMBER

1.       The complainant filed a complaint u/s 17 of Consumer Protection Act 1986.

2.       The complainant praying direction for payment of Rs.68,24,235/- with interest towards the part claim of Insurance against the lost goods and also Rs.3,60,000/- towards expenses and another Rs.5 lakhs as compensation for mental agony and deficiency in service.

3.   The gist of the complaint in brief as follows:

          The case of the complainant is that the complainant carrying business in importing sheanuts from the foreign countries which are oil seeds used for extracted oil from which as creamy substance used in Biscuits and cakes etc., for human consumption items which are procured from various sources and from various countries and those are packed in bakery products and placed inside the container which are sealed and sent for shipment with necessary documents of Bill of lading, preferences certificate of quality and in order to make them ready trans-shipment from the Dempster Ghana and on arriving of ships, they were arranged for sent to the ship arriving to the 2^nd opposite party and those which are covered with necessary insurance policy from the 1^st opposite party as per prescription given in the complaint and such course of transshipment of arrival of the ship Orient side on Chennai Fort on 23.2.2007 which was noticed that 11 container out of 125 were not resulting in non-delivery due to the shipment had encountered heavy Cyclonic weather and the containers and the goods were damaged which were re-packed and stuffed in other sheanuts were packed in vessels and the complainant was informed by the steamer agency total of 16x20 feet containers were lost due to cyclone and thereby there was deficiency in service, non delivery of the goods by the 2^nd opposite party.

4.               The insurance company used to have provided with subrogation letter after settlement. The loss was intimated in the insurance company, one surveyor was appointed to assess the loss. The joint survey was conducted on 11.4.2007 and all necessary details were furnished. There are 11 containers physically lost in the sea as detailed by the surveyor’s report, the complainant lodged a claim for Rs.96,19.742.75 on 26.6.2007. Once a marine peril operates the insurer is liable under the policy. The surveyor as refunded under the policy. The surveyor has refunded the settlement of the claim for Rs.88,87,647/-, but the 1^st opposite party after a meeting sent a communication, the discharge voucher offering to settle the claim for Rs. 31,84,477/-.   The complainant treating the offer as on account of payment and not full settlement and objecting the same, the insurance company sent discharge voucher with conditional requests to accept it has full discharge due to enon burst. The complainant accepted the same for a commercial needs of fund. Hence the consumer complaint came to be filed claiming reliefs as above.

 

5.      The opposite parties denied the allegations in their written version. The 1^st opposite party contended that the complainant having various policies for coverage of goods and in this case, the 1^st opposite party issued six policies on 7.2.2007 for one policy and other five policies were issued on 28.2.2007 and the complainant did not intimated the opposite parties immediately on the occurrence of the incident and belated intimation given with inordinate delay. The damages to the container had taken place before 22.2.2007 and the policies were covered only from 28.2.2007 and thereby no liability for those policies by the opposite parties. The complainant only chosen to file survey report dated 30.5.2007 and failed to file Additional reports were certified that the occurrence of loss before the commencement of the policy and the complainant not filed any proof that 11 containers were not delivered and also not able to disclose the date of loss, the operation of peril and alleged loss suffered by them due to six policies covering six different bill of lading, there is only one policy covering on 7.2.2007 alone to be paid, on the basis of documents, a sum of Rs. 31,91,477/- under the policy No. 4320600/MC/2007 9087 to 9091 was settled as full and final settlement. The terms of the policy have to be construed strictly and the claim of the complainant is not a genuine claim and the complainant is not a consumer under the Act as the transactions are for commercial purpose, the complaint is not maintainable.

6.       The 2^nd opposite party admitted that they are carriers of the goods for  the complainant in their shipment, cyclone storm which is the act of God and perils of the sea for which the 2^nd opposite party is not liable and since the goods were subrogated to the 1^st opposite party, the 2^nd opposite party in any way not liable and the complainant is not a consumer under the Act.

7.        Both sides have filed their proof affidavits and on the side of the complainant Ex.A.1 to A.105 were marked and on the side of the opposite parties Ex.B.1 to B.21 were marked.

8.            Points for consideration are as follows:-

1.    Whether the complainant is not a consumer u/s 2(1)(d)(ii) of C.P Act 1986?

2.     Whether there is any deficiency in service on the part of the 1^st opposite party in not settling the claim and 2^nd opposite party also liable for the same?

3.     Whether the complainant is entitled to claim a sum of Rs. 68,24,235/- as prayed for from the opposite parties?

4.     Whether the complainant is entitled for Rs. 5 lakhs as compensation and for costs?

5.     To what relief the complainant is entitled to?

 

9. Point No.1

           In this complaint enquiry, the complainant in the name of M/s Foods Fats and Fertilizers Ltd, Rep by its Authorised person Jivesh Goenka claimed Rs.76,84,236/- being on the account of alleged damages to the Cargo and other benefits itself, go to show that the complainant is not an individual person to claim the benefits under the provision of C.P.Act u/s 2(1)(d)(ii) explanation for  personal lively  eke hood by self employment.. The complainant averred in para 4 of the complaint has been importing sheanuts from Tema, Ghana, W.Africa in containers and “by importing those goods used for the purpose of consumable items and bakeries and having details of policy covering 125 containers each of Rs.12,256,622/- and Rs.16,175,262/-, Rs. 9,781,472/- , Rs. 2,257,613/- and Rs. 2,723,999/- and imported 125 containers which are arrived at Chennai Fort in which 11 containers not delivered claiming Rs.96,19,742.75 as a claim lodged with the 1^st opposite party and receiving the part settlement as alleged for Rs.31,87,477/- and filed this complaint claiming for balance Rs. 68,24,235/- would itself go to show that the complainant having such a business involving huge money in Crores of rupees and thereby we are of the view that the complainant cannot be considered as a consumer as per the provision u/s 2(1)(d)(ii) as per explanation and this point is answered accordingly.

10. Point No 2 and 3:-

       In this complaint, the complainant claimed for Rs. 68,24,235/- as insured claim from the 1^st opposite party and also as carrier of goods, the 2^nd opposite party would held liable for the damages of goods. Both the opposite parties have contended that the complainant is not a consumer before this Commission to claim those amounts and also the 1^st opposite party contended that there was full and final settlement as per documents Ex.A.95 to A.100 and also under Ex.B.21. They cannot claim once again and while considering these contention, the complainant contended only due to economic duress, they were forced to accept the alleged final settlement and they are entitled for claimed the balance before this Commission, since the 1^st opposite party alleged that the complainants having number of policies for the coverage of goods to be imported and also certain goods were not covered under the policies in which the force of policies were commenced only after occurrence of peril and as for as the liability of the policy under which the goods were covered was already settled as full and final settlement and also alleged the complainant had not produced various documents required by the 1^st opposite party and also suppressed the subsequent survey report and in which the Surveyor’s Additional Report under Ex.B.10 and B.12 and B.17, certain claims were negatived for want of coverage of policies and thereby since the 2^nd opposite party also contended that they are only carrier of the goods shipped and the damages caused due to Peril of the sea and the Act of God and also the subrogation was made to the 1^st opposite party, they cannot be held liable which contention is acceptable. Hence we are of the view, it is for the complainant to disprove the same which was omitted or failed before this Commission and thereby the complainant cannot claim any of the reliefs sought for before this Commission and these points are answered accordingly.

11. Point No.4:-

         In view of the finding in point No.1 to 3, against the complainant in adverse there is no deficiency in service on the part of the opposite parties in settling  the claims of the complainant and this point is answered accordingly.

12. Point No.5:-

          In view of the foregoing findings in point Nos 1 to 4, against the complainant, the complainant has not proved their case and the same is liable to be dismissed as not maintainable and accordingly

       In the result, this complaint is dismissed, however liberty to the complainant to approach the Civil Court, if so desired to settle the dispute with the opposite party in this regard.

     There will be no order as to costs.

 

P.BAKIYAVATHI                                                                                A.K.ANNAMALAI                            

   MEMBER                                                                         PRESIDING JUDICIAL MEMBER 

 

                                      ANNEXURE

 

LIST OF DOCUMENTS FILED BY THE COMPLAINANT : 

Ex.A1                    Copy of policy No.9080

 

Ex.A.2    31.7.2007   copy of commercial invoice

 

Ex.A.3    31.7.2007   copy of packing list

 

Ex.A.4    31.1.2007   copy of bill of lading

 

Ex.A.5    1.2.2007     copy of certificate of Origin

 

Ex.A.6    5.2.2007     copy of import letter

 

Ex.A.7   12.2.2007    copy of receipt

 

Ex.A.8   30.3.2007    copy of bill of entry

 

Ex.A.9   2.4.2007      copy of  bill of entry

 

Ex.A.10                  copy of policy No.9080

 

Ex.A.11   5.2.2007    copy of commercial invoice

 

Ex.A.12   5.2.2007    copy of packing list

 

Ex.A.13  5.2.2007      copy of bill of lading

 

Ex.A.14  9.2.2007      copy of certificate of origin    

 

Ex.A.15  26.2.2007    copy of import letter

 

Ex.A.16   5.3.2007    copy of receipt

 

Ex.A.17  30.3.2007    copy of bill of entry

 

 

Ex.A.18               copy of policy  No 9081

 

Ex.A.19  2.1.2007     copy of packing list

 

Ex.A.20  5.2.2007     copy of commercial invoice

 

Ex.A.21  5.2.2007     copy of bill of lading

 

Ex.A.22   9.2.2007    copy of certificate of origin

 

Ex.A.23   26.2.2007   copy of import letter

 

Ex.A.24   14.3.2007   copy of receipt

 

Ex.A.25   10.4.2007   copy of bill of entry

 

Ex.A.26                 copy of policy No 9088

Ex.A.27   5.2.2007    copy of packing list

 

Ex.A.28  5.2.2007     copy of commercial invoice

 

Ex.A.29  5.2.2007     copy of bill of lading

 

Ex.A.30  9.2.2007     copy of certificate of origin

 

Ex.A.31  26.2.2007    copy of import letter

 

Ex.A.32  5.3.2007     copy of receipt

 

Ex.A.33  2.4.2007     copy of bill of entry

 

Ex.A.34               copy of policy No.9089

 

Ex.A.35  5.2.2007     copy of packing list

 

Ex.A.36  5.2.2007     copy of commercial invoice

 

Ex.A.37  5.2.2007     copy of bill of lading

 

Ex.A.38   9.2.2007    copy of certificate of origin

 

Ex.A.39   26.2.2007   copy of import letter

 

Ex.A.40   5.3.2007    copy of receipt

 

Ex.A.41   5.4.2007    copy of bill of entry

 

Ex.A.42  13.3.2007    coy of letter from 2^nd op to complainant

 

Ex.A.43  13.3.2007    copy of letter from 2^nd opp.party to complainant

 

Ex.A.44         20.3.2007      copy of letter from the 2^nd opp.party

 

Ex.A.45         26.3.2007      copy of letter from opp.party to surveyors

 

Ex.A.46         27.3.2007      copy of letter from complainant to opp.party

 

Ex.A.47         3.4.2007        copy of letter from surveyors

 

Ex.A.48         3.4.2007        copy of letter to 2^nd op to complainant

 

Ex.A.49         4.4.2007        copy of letter from complainant to surveyors

 

Ex.A.50         4.4.2007        copy of letter from complainant to opp.party

 

Ex.A.51         5.4.2007        copy of letter from opp.party to complainant

 

Ex.A.52         5.4.2007         copy of letter from complainant to op

 

Ex.A.53         9.4.2007        copy of letter from complainant to opposite party

 

Ex.A.54         10.4.2007      copy of letter from op to complainant

 

Ex.A.55         10.4.2007      copy of letter from complainant to surveyors

 

Ex.A.56         11.4.2007      copy of letter from complainant to steward surveyor

 

Ex.A.57         11.4.2007      copy of joint survey report by surveyors

 

Ex.A.58         12.4.2007      copy of letter from complainant to opposite party

 

Ex.A.59         12.4.2007      copy of letter from complainant to 2^nd opposite party

 

Ex.A.60         16.4.2007      copy of letter from complainant to surveyors

 

Ex.A.61         19.4.2007      copy of letter from complainant to 2^nd opposite party

 

Ex.A.62         25.4.2007      copy of letter from Steward Surveyors Pvt Ltd

 

Ex.A.63         25.4.2007      copy of e.mail

 

Ex.A.64         26.4.2007      copy of letter from opposite party

 

Ex.A.65         26.4.2007      copy of Minutes

 

Ex.A.66         3.5.2007        copy of letter from complainant to 2^nd opp.party

 

Ex.A.67         4.5.2007        copy of letter from opposite party

 

Ex.A.68         10.5.2007      copy of letter from complainant to surveyors

 

Ex.A.69         12.5.2007      copy of letter from surveyors

 

Ex.A.70         14.5.2007      copy of report from surveyors

 

Ex.A.71         15.5.2007      copy of fees paid

 

Ex.A.72         29.5.2007      copy of receipt

 

Ex.A.73         19.5.2007      copy of joint letter of complainant and surveyors

 

Ex.A.74         30.5.2007      copy of letter

 

Ex.A.75         30.5.2007      copy of survey report

 

Ex.A.76         31.5.2007      copy of letter from complainant to 2^nd op

 

Ex.A.77         7.6.2007        copy of letter from complainant

 

Ex.A.78         11.6.2007      copy of joint report of surveyor

 

Ex.A.79         14.6.2007      copy of letter from 1^st opposite party

 

Ex.A.80         15.6.2007      copy of letter from complainant

 

Ex.A.81         20.6.2007      copy of letter from complainant to 1^st op

 

Ex.A.82         26.6.2007      copy of letter from complainant to 1^st op

 

Ex.A.83         27.6.2007      copy of letter from complainant to 1^st op

 

Ex.A.84         28.6.2007      copy of letter from complainant

 

Ex.A.85         20.7.2007      copy of letter from complainant to 1^st op

 

Ex.A.86         14.8.2007      copy of letter from 1^st op to complainant

 

Ex.A.87         20.8.2007     copy of the letter from surveyor

 

Ex.A.88         4.9.2007        copy of letter from complainant to 1^st op

 

 

Ex.A.89         10.9.2007      copy of letter from 1^st opposite party

 

Ex.A.90         10.9.2007      copy of letter from 1^st op to complainant

 

Ex.A.91         10.10.2007    copy of letter from complainant to 1^st op

 

Ex.A.92         29.10.2007    copy of letter from complainant to 1^st op

 

Ex.A.93         21.11.2007    copy of letter from complainant to 1^st op

 

Ex.A.94         27.11.2007    copy of letter from opposite party

 

Ex.A.95         2.1.2008        copy of letter of rejection for 1^st op

 

Ex.A.96         4.1.2008        copy of receipt

 

Ex.A.97         25.1.2008      copy of letter from complainant to 1^st op

 

Ex.A.98         4.2.2008        copy of letter from complainant to 1^st op

 

Ex.A.99         5.2.2008        copy of letter from complainant

 

Ex.A.100        6.2.2008        copy of letter from 1^st op to complainant

 

Ex.A.101        11.2.2008      copy of letter of complainant

 

Ex.A.102        11.2.2008      copy of letter of complainant to 1^st op

 

Ex.A.103        20.2.2008      copy of letter from 1^st opposite party

 

Ex.A.104                          copy of certificate of Analysis

 

Ex.A.105                         copy of details of containers lost

 

   LIST OF DOCUMENTS FILED BY THE OPP.PARTY : 

Ex.B.1           7.2.2007      copy of policy of insurance

Ex.B.2          27.3.2008     copy of letter sent by 1^st op to complainant

Ex.B.3          28.2.2007     copy of policy

Ex.B.4           28.2.2007     copy of policy

Ex.B.5          28.2.2007     copy of policy

Ex.B.6          28.2.2007     copy of policy

Ex.B.7          28.2.2007     copy of policy

Ex.B.8          26.6.2007     copy of marine Insurance claim form     

Ex.B.9          19.2.2007     copy of investigation report from

 

Ex.B.10        30.5.2007     copy of survey report

 

Ex.B.11        18.7.2007     copy of Addendum survey report

 

Ex.B.12        26.7.2007     copy of Addendum survey report

 

Ex.B.13        6.9.2007      copy of Inspection report

Ex.B.14        12.10.2007   copy of Investigation report

 

Ex.B.15        29.11.2007   copy of Investigation report

 

Ex.B.16        2.1.2008      copy of repudiation letter

 

Ex.B.17        2.1.2008      copy of repudiation letter

 

Ex.B.18        2.1.2008      copy of repudiation letter

 

Ex.B.19        2.1.2008      copy of repudiation letter

 

Ex.B.20        2.1.2008      copy of repudiation letter

 

Ex.B.21        9.9.2011      copy of surveyor’s Affidavit

 

 

 

P.BAKIYAVATHI                                                            A.K.ANNAMALAI                            

   MEMBER                                                           PRESIDING JUDICIAL MEMBER