BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM

VAZHUTHACAUD, THIRUVANANTHAPURAM.

PRESENT

SRI. P. SUDHIR                                       :  PRESIDENT

SMT. R. SATHI                                         :  MEMBER

SMT. LIJU B. NAIR                                  : MEMBER

C.C. No. 462/2013 Filed on 30.10.2013

ORDER DATED: 24.08.2015

Complainant:

Baiju. G, S/o Gangadharan, (SIB House), CB House, Kattapparambu, Vanchiyoor P.O, Attingal, Thiruvananthapuram.

                                 (By Adv. Anithas Jacob)

Opposite parties:

1. SBI Life Insurance Co. Ltd., Branch Office represented by its Branch Manager, T.C 9/1094-1, 3^rd Floor, Sasthas Building, Sasthamangalam, Thiruvananthapuram-10.

2. SBI Life Insurance Co. Ltd., Kapas Bhavan, represented by its General Manager, Plot No. 3 A, Sector 10, CBD Belapur, Navi Mumbai-400 614, Maharashtra.

                                (By Adv. V.S. Pradeep)

This C.C having been heard on 30.07.2015, the Forum on 24.08.2015 delivered the following:

ORDER

SMT. R. SATHI:  MEMBER

The gist of the complaint is that the complainant is a policy holder of SBI Life Insurance of 1^st and 2^nd opposite parties.  The complainant had deposited Rs. 2,00,000/- and obtained SBI Life Policy from the opposite parties through agents.   The opposite parties intimated the complainant that the amount is invested in mutual funds.  The plan period covered by policy is from 25.02.2008 to 25.02.2013.  On maturity of the policy on 25.02.2013 the complainant approached the 1^st opposite party to withdrawn the matured amount.  After getting the signature of the complainant in some forms, 1^st opposite party assured that the amount will be credited in the complainant’s account.  But the complainant received a payment letter dated 08.03.2013 stating that an amount of Rs. 66,028/- has been transferred to his savings account and policy document showing that a new policy is issued by fund transfer of Rs. 1,35,057/-.  The complainant immediately approached the 1^st opposite party and also sent complaint to 2^nd opposite party stating that the complainant is not willing to accept the new policy and to refund the remaining amount along with the share.   The 1^st opposite party informed the complainant being pension plan policy they will invest the major part of the amount only in another product of the company.  The opposite party did not convey the said matter to the complainant at the time of issuing the policy.  The opposite parties issued the new policy for an amount of Rs. 1,35,057/- without the consent and concurrence of the complainant.  The act of the opposite parties amount to unfair trade practice and deficiency in service and the complainant suffered huge loss and severe mental agony.  Hence the complainant filed this complaint directing the opposite parties to refund Rs. 1,35,057/- with 18% interest from 25.02.2008 till realization along with a sum of Rs. 1,00,000/- towards compensation and costs of the proceedings. 

The opposite parties 1 & 2 accepted notice and filed version jointly. 

The opposite parties in their version contended that the complaint is not maintainable as the money invested by the complainant is in the share market is a speculative gain and the speculative investment matter does not come under the Consumer Protection Act.  The complainant has applied for SBI life Unit Plus II Pension policy vide proposal dated 11.02.2008 duly signed by him.  The complainant had paid Rs. 2,00,000/- along with the proposal form towards the initial premium deposit.  The opposite parties have issued the policy with date of commencement as 25.02.2008 and date of maturity as 25.02.2013.  The premium payment mode opted was yearly.  The maturity benefit under the policy No. 28018763003 was clearly mentioned in the policy document.    As per the above said policy on maturity of the policy he/she will have the option to commute up to 1/3 of the remaining 2/3 of the maturity benefit in accordance with the prevalent tax laws.  The opposite parties have received duly filled annuity option sheet dated 01.03.2013 from the complainant, in which he has opted for commuting 33% of the maturity amount and in the annuity option sheet he has opted for monthly annuity with 33% commutation.  As the complainant has opted for monthly annuity with 33% commutation, the commutation amounting to Rs. 66,028/- (33% of the maturity amount of Rs. 2,00,085.32) was transferred to the savings account held with IOB on 06.03.2013.  It is further submitted that the opposite parties have also received a proposal form bearing No. 22213308 dated 01.03.2013 for annuity plus policy along with the annuity option sheet.  On the basis of the details furnished in the proposal form and annuity option sheet, the annuity plus policy bearing No. 22000458006 was issued to the complainant, with date of commencement as 04.03.2013.  The maturity benefit under policy No. 28018763003 was clearly mentioned in the policy document and if the complainant did not agree to the terms and conditions of the policy, he would have opted for free look cancellation.  It is also denied that this opposite parties have issued the policy 22000458006 without the consent and concurrence of the complainant.  This opposite parties have paid 33% of the maturity amount and has issued annuity plus policy No. 22000458006 to the complainant on the basis of the annuity option sheet and proposal form submitted by the complainant and hence there is no deficiency in service on the part of the opposite parties.  Hence complaint is only to be dismissed. 

The complainant filed proof affidavit and marked Exts. P1 to P4.  Complainant was examined as PW1.  The opposite parties 1 & 2 filed affidavit and Exts. D1 to D9 marked.  The authorized person of opposite parties was examined as DW1. 

Issues:-

1. Whether there is any deficiency of service or unfair trade practice on the side of opposite parties?
2. Whether the complainant is entitled for any reliefs as sought for?

Issues (i) & (ii):- The complainant filed this complaint for refunding Rs. 1,35,057/- along with interest @ 18% from 25.02.2008 and compensation in respect of mental agony for Rs. 1,00,000/- from the opposite parties 1 & 2.  The complainant had taken a policy on 25.02.2008 for Rs. 2,00,000/- and the maturity period is 5 years i.e on 08.03.2013.  But when the policy matured the complainant contacted the opposite party for the amount.  Then the opposite parties make him sign some papers and assured him that the amount will be credited in his account.  On 08.03.2013 he received a payment letter stating that an amount of Rs. 66,028/-has been transferred to his savings account and a new policy (Ext. P3) for Rs. 1,35,057/- issued to the complainant without the consent and concurrence of the complainant.  The opposite parties 1 & 2 contradicted this and stated that the maturity amount under policy No. 28018763003 was Rs. 2,00,085.320 and the opposite parties have paid 33% of that maturity amount and as the complainant has opted for annuity plus policy from the opposite parties 67% of the remaining amount i.e; Rs. 1,34,057.32 was issued to him.  From Ext. D1 and D6 it is clear that the complainant has full knowledge regarding the policies which he has taken and no objections were seen filed during the free look period.  Moreover the complainant has no case that he was not informed of the conditions contained in the policy while the policy became matured.  As found earlier complainant had full knowledge while putting a portion of the amount in the new policy and he had accepted the balance amount without any demur.  Hence we do not find any deficiency of service or unfair trade practice on the opposite parties and hence the complaint is only liable to be dismissed.  We do so accordingly. 

In the result, complaint is dismissed.    

A copy of this order as per the statutory requirements be forwarded to the parties free of charge and thereafter the file be consigned to the record room.  

          Dictated to the Confidential Assistant, transcribed by her, corrected by me and pronounced in the Open Forum, this the 24^th day of August 2015.

       Sd/-

R. SATHI                      : MEMBER

      Sd/-

P. SUDHIR                    : PRESIDENT

      Sd/-

                                                                        LIJU B. NAIR                : MEMBER

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C.C. No. 462/2013

APPENDIX

  I      COMPLAINANT’S WITNESS:

          PW1  - Baiju

 II      COMPLAINANT’S DOCUMENTS:

P1     - Copy of policy issuing letter dated 28.02.2008.

P2     - Copy of payment letter dated 08.03.2013

P3     - Policy document No. 220 00458 006.

P4     - Letter dated 25.03.2013 issued by 1^st opposite party.

III      OPPOSITE PARTY’S WITNESS:

          DW1 - Salin. S

 IV     OPPOSITE PARTY’S DOCUMENTS:

D1     - Copy of proposal form No. 28-703720 dated 11.02.2008.

D2     - Copy of policy document No. 280 18763 003 (13 pages)

D3     - Copy of transaction-cum-unit statement (2 pages)

D4     - Copy of annuity option sheet (3 pages)

D5     - Copy of payment letter dated 08.03.2013.

D6     - Copy of proposal form No. 22213308.

D7     - Copy of policy Bond No. 22000458006.

D8     - Copy of payment letters dated 12.04.2013, 16.05.2013, 12.06.2013,  

             10.07.2013, 10.08.2013, 12.09.2013, 09.10.2013, 12.11.2013,  

              08.12.2013, 06.01.2014 & 05.02.2014.

D9     - Copy of complainant’s letter (4 pages)

                                                                                                      Sd/-

PRESIDENT

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