BEFORE THE CONSUMER DISPUTES REDRESSAL FORUM, IDUKKI Dated this the 20th day of October, 2008
Present: SRI.LAIJU RAMAKRISHNAN PRESIDENT SMT.SHEELA JACOB MEMBER SMT.BINDU SOMAN MEMBER
C.C No.86/2008 Between Complainant : Leelamma Augusthy, Pathipurayidathil House, Narakakkanam P.O, Idukki – 685602, Idukki District. (By Adv: K.J.Thomas) And Opposite Parties : 1. The Branch Manager, Idukki District Co-opv. Bank Limited, Idukki Colony P.O. (By Adv:V.V.Sunny) 2. The Secretary, Narakakkanam Ksheerolpadhaka Sahakarana Sangam Limited No.K.9(D) APCOS, Narakakkanam P.O, Idukki – 685 602. O R D E R SRI.LAIJU RAMAKRISHNAN(PRESIDENT)
The complaint is filed for getting the insurance amount of a milch cow.
The complainant availed a loan of Rs.8,900/- from the Ist opposite party on 1.12.2006 for the purchase of a milch cow and shelter for the same. The said cow was insured to the United India Insurance Company Limited, the 2nd opposite party by the Ist opposite party for Rs.15,000/-. The ear tag was affixed for showing the number of the same to the cow. The policy was not given to the complainant and the period of policy was not also revealed to the complainant. The 2nd opposite party was regularly receiving milk from the complainant. The loan instalment of Rs.100/- was also paying by the complainant promptly at the 2nd opposite party's office and the 2nd opposite party was paying the same to the Ist opposite party. The cow was died on 12.04.2008 in an accident. The complainant informed the matter to the Secretary of the 2nd opposite party and as per the direction of the 2nd opposite party, the complainant approached the Ist opposite party. The Ist opposite party informed the complainant that the insurance policy of the cow was already expired and was not renewed. So the complainant is not liable for getting the insurance amount. The complainant is an illetrate. She was not aware of the renewal of the policy and no information was given to the complainant. It is the duty of the 2nd opposite party to renew the insurance policy by the Ist opposite party. The opposite parties are liable for the insurance amount of the cow of the complainant. So the petition is filed for getting the insurance amount and such other reliefs.
2. Ist opposite party appeared and filed a written version. As per the written version, the Ist opposite party has admitted that the complainant availed a loan from them. At the time of availing the loan, two other persons were also received the same loan; one Santha Babu and Sabu George. The premium was paid together. The cow was insured to United India Insurance company Limited, Thodupuzha Branch as per policy No.101102/47/06/01/00000766. The policy period was from 27.12.2006 to 27.01.2007. The loan amount was sanctioned on 1.12.2006. The loan was repaying by the 2nd opposite party by a monthly installment of Rs.525/-. The insurance period was expired on 26.12.2007 and the information about the same was given to three of them by a letter dated 4.12.2007. But the complainant was not ready to renew the policy as per the letter. It is the burden of the complainant to renew the insurance policy of her cow. The complainant deliberately avoided the renewal of the policy and the opposite party is not liable for the same. Hence the petition may be dismissed.
3. The 2nd opposite party filed a written version. As per the continuous request of the complainant, the 2nd opposite party contacted with the Ist opposite party for getting loan from the purchase of a cow and a detailed list of 2 members of the Narakakkanam Milk Producer's Co-operative society was given to the Ist opposite party. The bank sanctioned loan for 50 members to that list. An agreement was given to the complainant about the repayment of the loan by the 2nd opposite party. As per the agreement, the 2nd opposite party was agreed to buy the entire milk of the complainant's milk cow and from that amount, the loan amount and interest would be paid promptly. The 2nd opposite party was performed as per the agreement and receipt was also given to the complainant. There was nothing referred about the insurance of the cow and payment of the insurance premium in that agreement. The papers of the insurance was given by the complainant directly to the bank. The 2nd opposite party was not liable to pay any compensation.
4. The point for consideration is whether there was any deficiency in service on the part of the opposite parties, and if so, for what relief the complainant is entitled to ? 5. The evidence consists of the oral testimony of PW1 and Ext.P1(series) marked on the side of the complainant and the oral testimony of DW1 and Exts.R1 and R2 marked on the side of the opposite parties. 6. The POINT :- Complainant availed a loan from the Ist opposite party through the 2nd opposite party for a milch cow and shed for Rs.18,900/-. The cow was insured by the bank for Rs.15,000/- as Policy No.101102/47/06/01/00000766 from United India Insurance company Limited which is marked as Ext.R2. The cow died on 12.04.2008; but the insurance period was terminated on 26.12.2007. The matter was informed by the Ist opposite party to the complainant by a letter dated 4.02.2007 which is Ext.R1. The 2nd opposite party is only an agent for making arrangements for loan and repayment, not interfering any matters of insurance etc. It is admitted by both the opposite parties that the complainant is paying regularly the loan amount by monthly installments. The 2nd opposite party is the co-operative society of the milk products. The 2nd opposite party collects money from the complainant and repays the loan to the Ist opposite party. Complainant was examined as PW1. The complainant deposed that the bank has insured the cow. The loan amount was paid through the 2nd opposite party by giving milk to the 2nd opposite party. The premium amount was taken by the Ist opposite party from the amount paid to the 2nd opposite party. No date, as well as expiry date was informed to the complainant. The bank never informed the complainant about the expiry date of the insurance policy. The Ist opposite party was examined as DW1. The Secretary deposed that the first premium amount was Rs.976/-. The loan amount was disbursed after taking the said amount. The complainant was selling milk to the 2nd opposite party and the 2nd opposite party was regularly taking Rs.525/- from that amount and paying the same to the Ist opposite party. The bank issued Ext.R1 to the complainant about the termination of the policy date. It is the duty of the complainant to renew the policy and not the liability of the bank. So they are not liable for the insurance amount. The learned counsel for the complainant challenged in cross examination that the letter produced is an instant made and fabricated one. No such letter was sent to the complainant. If a letter is sent there shall be a postal receipt, postal acknowledgment card and despatch register. The complainant is an illetrate but she was regularly paying a certain amount to the 2nd opposite party for loan and insurance. That is admitted by both opposite parties. The complainant never paid any amount directly to the bank. It means that she was thinking that the insurance premium and the loan amount was regularly paying by her. She did not receive any notice from the Ist opposite party. The opposite party ought to have informed the matter in registered post. Receiving the money regularly from a poor farmer and not paying the insurance premium is absolutely unfair trade practice and deficiency in service from the part of the bank. So we think that the bank should indemnify the loss caused to the complainant by the death of the cow. The 2nd opposite party is only a collection agent of the Ist opposite party. So we order the Ist opposite party to pay the insurance amount to the complainant.
As a result the petition allowed. The Ist opposite party is directed to pay the total insurance amount of the cow or Rs.15,000/- to the complainant as per Ext.R2 with 12% interest from the date of this petition and Rs.2,000/- by way of cost of this petition within one month of receipt of a copy of this order, failing which the outstanding amount shall carry further interest at 12% per annum from the date of default. Pronounced in the Open Forum on this the 20th day of October, 2008
Sd/- SRI.LAIJU RAMAKRISHNAN(PRESIDENT)
Sd/- SMT.SHEELA JACOB(MEMBER)
Sd/- SMT.BINDU SOMAN(MEMBER)
APPENDIX
Depositions : On the side of Complainant : PW1 - Leelamma Augusthy On the side of Opposite Parties : DW1 - E.R.Sarojiniamma
Exhibits: On the side of Complainant: Ext.P1(series) - Photocopy of Receipts(16 Nos) On the side of Opposite Parties : Ext.R1 - Photocopy of letter dated 4.12.2007 issued by the Ist opposite party Ext.R2 - Photocopy of Cattle Insurance Policy
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