BEFORE THE DISTRICT FORUM:KURNOOL
Present: Sri K.V.H.Prasad, B.A., LL.B., President
And
Smt C.Preethi, M.A., LL.B., Member
Thursday the 17th day of May, 2007
C.C. No.151/2006
S. Sreenivasulu, S/o S.Venkateswarlu,
Business, R/o H.No.17/2/3,
Pathapeta, Dhone. ... COMPLAINANT
Verses
1) The Branch Manager, Andhra Bank,
Dhone.
2) The Regional Manager, Andhra Bank,
R/o H.No.5-9-11, Dr.Pattabi Bhavan,
Secretariat Road, Sulthanbad, Hyderabad.
3) The Divisional Manager (P and GS) P and GS Unit,
Life Insurance Corporation of India, Divisional Office,
2nd Floor, Jeevan Prakash Secretariat Road,
Saifabad, Hyderabad-500 063. ... OPPOSITE PARTYIES
This complaint coming on this day for hearing in the presence of Sri.M.Shivaji Rao, Advocate, Kurnool for Complainant and Sri.A.Rama Subba Reddy and Sri.A.Prabhaker Reddy, Advocate, Kurnool for Opposite Party No.1, Sri.I.Anantha Rama Sastry, Advocate, Kurnool for Opposite Party No.3 and Claim against Opposite Party No.2 not pressed upon the perusing the material papers on record, the Forum made the following:
ORDER
(As per Smt. C. Preethi, Member)
1. This consumer complaint of the Complainant is filed U/s 12 of C.P. Act., 1986 seeking a direction on the Opposite Parties to pay interest on Rs. 2,00,000/- with 24% from the date of death of the deceased i.e., 23-03-2004, Rs. 20,000/- towards compensation, costs of the complaint and any other relief or reliefs which the Complainant is entitled in the circumstances of the case.
2. The brief facts of the Complainant’s case is that he is the brother and nominee of the deceased S. Rajasheker, who has opened a Jeevan Abhgya Scheme Saving Bank account bearing No. 200238 by depositing Rs. 20,000/- with Opposite Party No.1 Bank. As per the said Jeevan Abhaya Scheme the account holder was provided Accidental Insurance cover for Rs. 2,00,000/- by Opposite Party No.3, on 23-03-2004 the said Rajashekar met with accident and died and a case has been registered in Dhone Police Station U/s 337 and 304 (A) of IPA in crime No. 49/04. On the claim preffered by the Complainant there was no response from Opposite Party No.1, hence got issued legal notice dated 05-04-2006 and Opposite Party No. 1 paid Rs. 2,00,000/- only and again on 08-05-2006 the Complainant got issued another legal notice demanding to pay interest of 24% on Rs. 2,00,000/- and there was no response. Hence, resorted to the Forum for redressal.
3. In substantion of his case the Complainant relied on the following documents viz., (1) Abhaya Jeevan, Pass Book of Rajashekar (2) Office copy of legal notice dated 05-04-2006 along with postal acknowledgement and receipt (3) Office copy of legal notice dated 08-05-2006 along with postal acknowledgement and receipts and (4) Letter dated 07-09-2004 of Complainant to Opposite Party No.1, besides to the sworn affidavit of the Complainant in reiteration of his complaint avernments and the above documents are marked as Ex.A1 to A4 for its appreciation in this case. The Complainant caused interrogatories to Opposite Parties 1 and 3 and replied to the interrogatories caused by Opposite Parties 1 and 3.
4. In pursuance to the notice of this Forum as to this case of the Complainant, the Opposite Parties 1 and 3 appeared through their standing counsel and contested the case by filling separate written versions. The Complainant not pressed the case against Opposite Party No.2.
5. The written version of Opposite Party No.1 submits that it a acts as a falicitator between LIC and nominee or insured and noting to do with the settlement of claim by LIC and no liability can be fastened on this Opposite Party. The Complainant informed the death of account holder vide letter dated 14-04-2004 and submitted documents on 29-06-2004. On 30-06-2004 the Opposite Party No.1 forwarded all documents along with claim form to Opposite Party No.3 and there is no delay on part of Opposite Party No.1. On 18-08-2004 the Opposite Party No.3 requested the Opposite Party No.1 for further information and on 26-08-2004 the Opposite Party No.1 through their letter requested the Complainant to furnish information and to submit necessary documents. On 07-09-2004 the Complainant submitted necessary documents and further information and on the same day the Opposite Party No.1 forwarded the same to Opposite Party No.3. Hence there is no deficiency of service on their part and lastly submits that Opposite Party No.3 settled the claim and sent D.D. dated 12-04-2006 for Rs. 2,00,000/- to Head Office of Opposite Party No.1 and the said D.D. along with letter dated 13-04-2006 was received by Opposite Party No.1 on 17-04-2006 and the Complainant received and encashed the same on 29-04-2006 and seeks for the dismissal of Complainant with costs against Opposite Party No.1.
6. The written version of Opposite Party No.3 admits the deceased Rajashekar opened a Jeevan Abhaya Scheme Saving Bank Account with Opposite Party No.1 and the said account provides Life Insurance coverage and accidental death benefit and further admits the Complainant is entitled to Rs. 2,00,000/- on account of death of Rajashekar and the same was already paid by Opposite Party No.3. It further submits that the Complainant can claim interest only from the date of fulfilling the in formation and at no point Opposite Party No.3 repudiated the claim and lastly admits the Opposite Party No.3 is prepared to make payment of interest from the date of submission of claim requirements and not from the date of death of Rajashekar and lastly submits the interest of 24% claimed by the Complainant is higher side and requests to fix a reasonable rate of interest.
7. In support of their case the Opposite Parties relied on the following documents viz., (1) Attested xerox copy of letter dated 14-04-2004 of Complainant to Opposite Party No.1 (2) Attested xerox copy of letter dated 29-06-2004 of Complainant to Opposite Party No.1 (3) Attested xerox copy of letter dated 30-06-2004 of Opposite Party No.3 along with claimant’s statement (4) Attested xerox copy of letter dated 18-08-2004 of Opposite Party No.3 to Opposite Party No.1 (5) Attested xerox copy of letter dated 26-08-2004 of Opposite Party No.1 to the Complainant (6) Attested xerox copy of letter dated 07-09-2004 of Complainant to Opposite Party No.1 (7) Attested xerox copy of letter dated 07-09-2004 of Opposite Party No.1 to Opposite Party No.3 (8) Attested xerox copy of letter dated 13-04-2006 of Head Office, Hyderabad along with claim settlement proceedings of Rs. 2,00,000/- and (9) Account statement of Complainant with Opposite Party No.1 showing the credit of Ex.A8 amount on 28-04-2006, besides to the sworn affidavit of Opposite Party No.1 and 3 and the above documents are marked as Ex.B1 to B9 for its appreciation in this case. The Opposite Parties 1 and 3 caused interrogatories to the Complainant and replied to the interrogatories of Complainant.
8. Hence, the point for consideration is to what relief the Complainant is entitled alleging deficiency of service on part of Opposite Parties?
9. It is the case of the Complainant that he is the nominee and brother of deceased Rajashekar who died in an accident on 23-03-2004 and on the claim preffered the Opposite Parties settled the claim after two years and paid only assured amount of Rs. 2,00,000/- and did not pay interest on the said amount. The Complainant alleges he is entitled to interest on the assured amount of Rs. 2,00,000/- from the date of demise of deceased Rajashekar till payment of Rs. 2,00,000/-. The Opposite Party No.3 pleaded that the Complainant has received assured amount and entitled to interest only from the date he furnished all details to Opposite Party No.3 till payment of Rs. 2,00,000/-.
10. Now the only point for consideration is to what interest the Complainant is entitled and from what date. The Opposite Party No.3 badly delayed the payment of assured amount to the Complainant. On 30-06-2004 the claim of the Complainant was submitted through Opposite Party No.1 to Opposite Party No.3 vide Ex.B3. Thereafter on 18-08-2004 the Opposite Party No.3 vide Ex.B4 requested Opposite Party NO.1 to furnish certain documents mentioned in Ex.B4 to settle the claim and inturn Opposite Party No.1 vide Ex.B5 dated 26-08-2004 requested the Complainant to furnish the said documents. The Complainant vide Ex.B6 letter dated 07-09-2004 furnished the said details to Opposite Party No.1 and inturn Opposite Party No.1 vide Ex.B7 letter dated 07-09-2004 forwarded the said documents submitted by the Complainant to Opposite Party No.3 and thereafter the Opposite Party No.3 did neither settled the claim nor repudiated it. Thereafter the Complainant vide Ex.A2 dated 05-04-2006 caused legal notice to Opposite Parties for settlement of claim and after receipt of said notice the Opposite Party No.3 settled the claim for assured amount of Rs. 2,00,000/- only through Demand Draft and the same was received by Opposite Party No.1 vide Ex.B8 dated 13-04-2006 and the said D.D was handed over to the Complainant.
11. Hence from the above discussions what appears is that the required documents sought by Opposite Party No.3 vide Ex.B4 were submitted to Opposite Party No.3 by Opposite Party No.1 vide Ex.B7 dated 07-09-2004. Hence all requirements were complied by 07-09-2004 by Opposite Party No.1 and the assured amount of Rs. 2,00,000/- was paid to the Complainant through Demand Draft dated 12-04-2006. Therefore, there is delay of 19 months from the date of submitting all documents to Opposite Party No.3 and Opposite Party No.3 paid only the assured amount of Rs. 2,00,000/-. Hence for the delay period of 19 months (from 07-09-2004 to 12-04-2006) the Complainant is certainly remaining entitled to interest on the assured amount and as the Opposite Parties driven the Complainant to Forum for relief, the Complainant is also entitled to costs of Rs. 1,000/-. As no case is made out against Opposite Party No.1, case against Opposite Party No.1 is dismissed.
12. In the result, the complaint is allowed, directing Opposite Party No.3 to pay to the Complainant interest at the rate of 9% per annum on the assured amount of Rs. 2,00,000/- from 07-09-2004 to 12-04-2006 along with costs of Rs. 1,000/- within a month of receipt of this order. In default the Opposite Party No.3 is liable to pay the supra awarded amount with 12% interest from the date of default till realization.
Dictated to the Computer Operator transcribed by him, corrected and pronounced in the Open bench on this the 17th day of May, 2007.
Sd/- Sd/-
MEMBER PRESIDENT
APPENDIX OF EVIDENCE
Witnesses Examined
For the complainant: Nil For the opposite party: Nil
List of exhibits marked for the complainant:-
Ex.A1 Abhaya Jeevan, Pass Book of Rajashekar
Ex.A2 Office copy of legal notice dated 05-04-2006 along with postal
acknowledgement and receipt
Ex.A3 Office copy of legal notice dated 08-05-2006 along with postal
acknowledgement and receipts
Ex.A4 Letter dated 07-09-2004 of Complainant to Opposite Party No.1
List of exhibits marked for the opposite party:-
Ex.B1 Attested xerox copy of letter dated 14-04-2004 of Complainant to Opposite Party No.1
Ex.B2 Attested xerox copy of letter dated 29-06-2004 of Complainant to Opposite Party No.1
Ex.B3 Attested xerox copy of letter dated 30-06-2004 of Opposite Party No.B3 along with claimant’s statement
Ex.B4 Attested xerox copy of letter dated 18-08-2004 of Opposite Party No.3 to Opposite Party No.1
Ex.B5 Attested xerox copy of letter dated 26-08-2004 of Opposite Party No.1 to the Complainant
Ex.B6 Attested xerox copy of letter dated 07-09-2004 of Complainant to Opposite Party No.1
Ex.B7 Attested xerox copy of letter dated 07-09-2004 of Opposite Party No.1 to Opposite Party No.3
Ex.B8 Attested xerox copy of letter dated 13-04-2006 of Head Office, Hyderabad along with claim settlement proceedings of Rs. 2,00,000/-
Ex.B9 Account statement of Complainant with Opposite Party No.1 showing the credit of Ex.A8 amount on 28-04-2006
Sd/- Sd/-
MEMBER PRESIDENT
Copy to:-
1. Sri. M. Shivaji Rao, Advocate, Kurnool.
2. Sri. A. Rama Subba Reddy and A. Prabhaker Reddy, Advocate, Kurnool.
3. Sri. I. Anantha Rama Sastry, Advocate, Kurnool.
Copy was made ready on:
Copy was dispatched on:
Copy was delivered to parties:
