Karnataka

Chitradurga

CC/56/2015

Smt. Nirmala M.B. W/o. Shivakumar - Complainant(s)

Versus

The Chief Executive Officer, Primary Agricalture Co-Operative Societies,Ltd., - Opp.Party(s)

Shri.G.H.Sadashivappa

06 Jun 2016

ORDER

COMPLAINT FILED ON : 20/06/2015

     DISPOSED ON: 06/06/2016

 

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHITRADURGA

CC. NO. 56/2015 DATED:  6th June 2016

 

PRESENT :-     SRI. T.N. SREENIVASAIAH      PRESIDENT                                      B.A., LL.B.,

                        SMT.G.E.SOWBHAGYALAKSHMI,       

                                         B.A., LL.B.,                   MEMBER

 

 

COMPLAINANT

Smt. Nirmala. M.B, W/o Shivakumar, R/o Doddaghatta villge, Kasaba Hobli, Hiriyur taluk, Chitradurga.   (Rep by Sri. G.H. Sadashivappa,  Advocate)

OPPOSITE PARTIES

1. The Chief Executive Officer, Primary Agriculture Co-operative Societies Niyamit, Lakkavvanahalli Hiriyur Taluk, Chitradurga.   2. The Manager/Secretary, Chitradurga District Co-operative Central Bank, Head Office, D.C Office Road, Chitradurga.   3. The Branch Manager, D.C.C Bank, Chitradurga.   4. The Manager, Agriculture Insurance Company of India Ltd., Regional Office (Karnataka), No.18, III Floor, Karnataka Pradesha Krishika Samaja, Hudson Circle, Nrupathunga Road, Bangalore.   (Rep by Sri. S. Prakash for OP No.1, Sri. Khalid Ahammed for OP No.2, Sri. B.M. Ravichandra for OP No.4, Advocates)

 

SRI. T.N. SREENIVASAIAH. PRESIDENT.

ORDER

The complainant has filed a complaint U/s 12 of C.P. Act 1986 against the OPs for a direction to pay Rs.3,725/- the amount paid towards insurance, Rs.6,00,000/- towards loss of banana crop, Rs.50,000/- towards mental agony. cost and such other reliefs as the Hon'ble Forum deems fit to grant.

2.     The brief facts of the case of the complainant are that, she is the owner of sy.No.97/1P1 measuring 2-Acres, 13-Guntas of land situated at Doddagatta village in Hiriyur taluk.  It is further submitted that, she has grown banana crop in the said land and insured the same with OP No.1 by paying a sum of Rs.3,725/- towards insurance premium.  Complainant obtained loan from the OP No.1 and in the said loan amount, OP No.1 has debited the crop insurance premium and sent the same to OP No.2 and informed that, the OP No.3 has sent the said amount to OP No.4 on 16.08.2014.  It is further stated that, the banana crop grown in the land of complainant was completely damaged due to heavy rainfall and natural calamity during 2014 khariff season.  Thereafter, complainant approached OP No.1 and OP No.1 asked to approach OP No.2 but, OP No.2 drag on the matter by giving one or the other reasons and asked to approach OP No.3 by stating that, they are not liable to pay any insurance amount.  OPs have received the insurance premium amount but, failed to indemnify the complainant inspite of banana crop damaged due to heavy rainfall/natural calamity.  Complainant and her family is fully depending on the income of the said land to eke-out their livelihood.  It is further submitted that, she has suffered a loss to the tune of Rs.6,00,000/- due to the damage caused to her banana crop grown in the said land.  Complainant obtained loan of Rs.45,000/- from OP No.1 and Rs.1,50,000/- from her friends and relatives.  OP No.1 has taken insurance amount by giving an assurance that, they will give compensation to the farmers, if the banana crop damaged for any reasons but, the OPs failed to compensate the complainant and gave an untenable reply.  Due to the act of the OPs, complainant has given legal notice to them on 12.05.2015 and 14.05.2015.  OPs have given a reply stating the complainant to approach OP No.1.  The cause of action arose to file this complaint is on the date of payment made towards insurance premium and also on the date of issuance of legal notice.   Hence, there is a deficiency of service on the part of OP so, she sustained financial loss and mental agony and etc., and prayed for allow the complaint.

        3.     On service of notice, OPs appeared through Advocates and  filed their respective version. 

OP No.1 filed version and denied the entire averments made by the complainant in her complaint.  OP No.2 filed a memo adopting the version filed by the OP No.1. 

OP No.3 filed version admitted about the payment of Rs.3,725/- as insurance premium on 28.07.2014 made by the complainant towards the banana crop and the insurance amount is liable to be paid by the OP No.4.  It is further stated that, OP No.1 has collected the insurance premium and remitted the same to OP No.2.  OP No.3 remitted the same to the OP No.4 through DD No.1486 dated 16.08.2014 and the complainant cannot seek any relief against OP No.2 and 3.  The allegations made against OPs 2 and 3 are denied as false and there is no deficiency of service on the part of OPs 2 and 3.  The complainant has not produced any expert report or other necessary documents in respect of banana crop grown in her land bearing Sy.No.91/1P1 measuring 2-A 13-G of Doddagatta village in Hiriyur Taluk.  It is further submitted that, if this Forum comes to the conclusion that, the complainant is entitled for the compensation, it is subject to the terms and conditions of the policy which are in force during the relevant period and prayed for dismissal of the complaint with cost.

 OP No.4 filed version stating that, complainant stated in her complaint that, she has owned a land measuring 2-Acres, 13-Guntas and availed a loan of Rs.45,000/- and insured the banana crop during 2014 khariff season by paying premium of Rs.3,725/- through OP No.3 and sent the same through nodal Bank i.e., OP No.2 under Weather Based Crop Insurance Scheme.  However, it is further submitted that, as per the bank statement, complainant availed a loan of Rs.35,000/- for banana (irrigated) crop by paying Rs.3,725/- for 2014 khariff season under Weather Based Crop Insurance Scheme.  Further it is submitted that, the declaration received by OP No.4 shows that, the premium received for banana (irrigated) crop for 2014 khariff season is Rs.2,095/- and the area insured was 0.45 hectares.  Further, it is submitted that, the complainant falls under the extended cut-off period but, the declaration submitted by the Nodal Bank to OP No.4 was on 16.08.2014 which is beyond the normal cut-off date i.e., 31.07.2014.  It is further submitted that, as per the scheme the liability of OP No.4 is subject to the proper payment of the premium amount within the prescribed time, proper filing out of the declaration form, fulfillment of such other terms and conditions of the scheme and proving of loss etc.  It is further submitted that, the liability is also restricted only to the premium received for the particular declaration and the relevant notified area, crop, portion of sum insured and area sown.  It is submitted that, the complainants have stated that, the banana crop got damaged due to heavy flood and natural calamity during 2014 Khariff season and she is claiming compensation under Weather Based Crop Insurance Scheme.  However, it is submitted that, the claims pertaining to farmers covered under normal cut-off date under the normal cut-off  date under the Weather Based Crop Insurance Scheme Khariff 2014 and farmers covered under the extended cut-off period under Weather Based Crop Insurance Scheme khariff 2014, the eligible claims have already been settled through the nodal bank of the branch where the premium was paid by the farmers.  In reply to the para No.5 of the complaint it is stated that, through letter dated 01.06.2015 it is clearly mentioned that, the claims pertaining to farmers covered under extended cut-off period under Weather Based Crop Insurance Scheme Khariff 2014 season is under process and that the eligible claims of eligible farmers would be settled through nodal bank of the branch where the premium was paid by the farmers as per the Weather Based Crop Insurance Scheme Provisions.  It is further submitted that, OP No.4 is implementing the scheme as an agent jointly for the Government of India and Government of Karnataka on no profit and loss basis and the service provided by the OP No.4 is not for the business purpose but only for the benefit of the farmers and therefore, prayed for dismiss the complaint.

4. Complainant himself examined as PW-1 by filing affidavit evidence and Ex.A-1 to Ex.A-16 documents are marked. 

        5. OPs have examined one Sri. Manjunath, the Manager of OP No.3 as DW-1 and Smt. Nagarathna. R, authorized person as DW-2 on behalf of OP No.4 by filing affidavit evidence and Ex.B-1 has been got marked. 

 

        6.     Written Arguments filed and oral arguments heard.

7. Now the Points that arise for our consideration for the decision of the complaint are that:

 

Point No.1:- Whether the complainant proves that, she has grown banana crop in the khariff season 2014 in her above said land and insured her said crop by paying premium  of Rs.3,725/- and the said banana crop damaged due to heavy rainfall and natural calamity and the OPs repudiated to give compensation under Weather Based Crop Insurance Scheme and thereby complainant has sustained financial loss and mental agony and OPs have committed deficiency of service and entitled for the relief as prayed in the complaint?

 

Point No.2:- What order?

 

        8. Our findings on the above points are as follows:

 

        Point No.1:- Partly Affirmative.

        Point No.2:- As per the final order.

 

                                        ::REASONS::

9. Point No. 1:- It is not in dispute that, complainant is the owner of sy.No.97/1P1 measuring 2-Acres, 13-Guntas of land situated at Doddaghatta village in Hiriyur taluk and she has grown banana crop in the said land and insured the same with OP No.1 by paying a sum of Rs.3,725/- towards insurance premium.  OP No.1 has debited the crop insurance premium and sent the same to OP No.2.  OP No.3 sent the said amount to OP No.4 on 16.08.2014.  The banana crop grown in the land of complainant was completely damaged due to heavy rainfall and natural calamity during 2014 khariff season and thereafter, complainant approached OP No.1 and OP No.1 asked to approach OP No.2 but, OP No.2 drag on the matter by giving one or the other reason and asked to approach OP No.3.  OPs have received the insurance premium amount but, failed to indemnify the complainant inspite of banana crop damaged due to heavy rainfall/natural calamity and she has suffered a loss to the tune of Rs.6,00,000/- due to the damage caused to her banana crop grown in the said land.  Complainant obtained loan of Rs.45,000/- from OP No.1.  OP No.1 has taken insurance amount by giving an assurance that, they will give compensation to the farmers, if the banana crop damaged for any reasons but, the OPs failed to compensate the complainant and gave an untenable reply.  Hence, there is a deficiency of service on the part of OP so, she sustained financial loss and mental agony.

       10.  In support of her contentions,  complainant has relied on her affidavit evidence in which she has reiterated the contents of complaint.  Complainant has also relied on documents like certified copy of  R of R pertains to her land marked as Ex.A-1, copy of original letter dated 07.05.2015 issued by the Primary Agriculture Co-operative Society, Lakkavvanahalli wherein it has been stated that, complainant has taken loan to the tune of Rs.45,000/- and paid a sum of Rs.3,725/- towards banana crop insurance marked as Ex.A-2, original copy of counter challan dated 28.07.2014 for having paid Rs.3,725/- marked as Ex.A-3, 3 positive photos of banana crop which was full of water due to heavy rainfall marked as Ex.A-4, 4 Postal receipts marked as Ex.A-5, Postal acknowledgements marked as Ex.A-6, copy of legal notice dated 14.05.2015 marked as Ex.A-7, copy of legal notice dated 12.05.2015 marked as Ex.A-8, original copy of reply notice dated 21.05.2015 issued by OP No.1 marked as Ex.A-9,   original copy of reply notice dated 22.05.2015 issued by OP No.3 marked as Ex.A-10, original copy of crop declaration certificate issued by Village Accountant, Doddaghatta Village wherein it has been stated that, the complainant has grown banana crop in her land bearing Sy.No.97/1P1 measuring 2-Acres, 13-Guntas during 2014-15 khariff season marked as Ex.A-11, original letter dated 31.10.2014 written by the complainant to Senior Assistant Director of Horticulture, Hiriyur requesting to give compensation for the damage caused to her banana crop due to heavy rainfall marked as Ex.A-12, original letter written by the complainant to the Tahasildar, Hiriyur, requesting to give compensation for the damage caused to her banana crop due to heavy rainfall marked as Ex.A-13, original report submitted by the Revenue Inspector marked as Ex.A-14, Original letter written by the Senior Assistant Director Horticulture to the Assistant Horticulture Officer to inspect the land of complainant and give report marked as Ex.A-15, Reply dated 01.06.2015 given by the OP No.4, wherein it has been stated that, claims pertains to the farmers covered under normal cut-off date was already released under WBCIS for the kharif season 2014 and the claims pertains to the farmers covered under extended cut-off period under WBCIS for the khariff season is under process and the eligible claims of the eligible farmers will be settled through the nodal bank of the branch where premium was paid by the farmer as per the WBCIS Scheme Provisions marked as Ex.A-16 and they are not in dispute.

11.  On the other hand, OP No.1 and 2 denied the entire averments made by the complainant.  OP No.3  admitted about the payment of Rs.3,725/- as insurance premium made by the complainant towards the banana crop insurance on 28.07.2014 and the insurance amount is liable to be paid by the OP No.4.  OP No.1 has collected the insurance premium and remitted the same to OP No.2 and OP No.3 in turn remitted the same to the OP No.4 through DD No.1486 dated 16.08.2014 and the complainant cannot seek any relief against OP No.2 and 3 and argued that, if the Forum comes to the conclusion that, the complainant is entitled for the compensation, it is subject to the terms and conditions of the policy which are in force during the relevant period.

 12.  OP No.4 argued that, complainant owned a land measuring 2-Acres, 13-Guntas and grown banana crop and availed a loan of Rs.45,000/- from OP No.1 and insured the said banana crop during 2014 khariff season by paying premium of Rs.3,725/- through nodal Bank under Weather Based Crop Insurance Scheme.  However, it is further argued that, as per the Bank Statement, complainant availed a loan of Rs.35,000/- for banana (irrigated) crop by paying Rs.3,725/- for 2014 khariff season under Weather Based Crop Insurance Scheme.  The declaration received by OP No.4 shows that, the premium received for banana (irrigated) crop for 2014 khariff season is Rs.2,095/- and the area insured was 0.45 hectares.  The complainant falls under the extended cut-off period but, the declaration submitted by the Nodal Bank to OP No.4 was on 16.08.2014 which is beyond the normal cut-off date i.e., 31.07.2014 and as per the scheme the liability of OP No.4 is subject to the proper payment of the premium amount within the prescribed time, proper filing out of the declaration form, fulfillment of such other terms and conditions of the scheme and proving of loss etc., and the liability is also restricted only to the premium received for the particular declaration and the relevant notified area, crop, portion of sum insured and area sown.  The banana crop got damaged due to heavy flood and natural calamity during 2014 Khariff season and she is claiming compensation under Weather Based Crop Insurance Scheme.  The eligible claims have already been settled through the nodal bank of the branch where the premium was paid by the farmers and in the letter dated 01.06.2015 it is clearly mentioned that, the claims pertaining to farmers covered under extended cut-off period under Weather Based Crop Insurance Scheme Khariff 2014 season is under process and that the eligible claims of eligible farmers would be settled through nodal bank of the branch where the premium was paid by the farmers as per the Weather Based Crop Insurance Scheme Provisions.

13.  In support of their contentions,  OPs have relied on affidavit evidence of one Sri. Manjunath, the Manager of OP No.3 as DW-1 and Smt. Nagarathna. R, authorized person on behalf of OP No.4 in which they have reiterated the contents of their version.  OPs have also relied on document like certified copy of the abstract of crop insurance in respect of Hiriyur taluk marked as Ex.B-1, wherein it has been mentioned that, complainant has obtained loan from the OPs for a sum of Rs.35,000/- and Rs.3,725/- has been paid towards insurance premium.   

14.   On hearing the rival contentions of both the sides and on careful perusal of the entire records, it clearly goes to show that, complainant is the owner of land bearing sy.No.97/1P1 measuring 2-Acre, 13-Guntas situated at Doddaghatta village in Hiriyur Taluk and she has grown banana crop in the said land for the khariff season 2014.  She obtained loan from the OP No.1 and insured her banana crop by paying an amount of Rs.3,725/-.  It is evident from Ex.A-2 that, complainant has obtained loan from OP No.1 and paid the premium towards crop insurance to her banana crop.  As per Ex.A-3 also, complainant has paid Rs.3,725/- towards insurance premium.  Ex.A-4 shows that, the banana crop grown in the land of complainant is covered with full of water and fully damaged due to heavy rainfall/natural calamity, which caused the financial loss and mental agony.  Ex.A-11, the crop declaration certificate issued by the Village Accountant, Doddaghatta village, wherein it has been mentioned that, the complainant has grown banana crop in her land bearing sy.No.97/1P1 measuring 2-Acre, 13-Guntas.  Normally, the farmers are growing 500 to 600 banana plants per acre.  Complainant has grown/sown 1250 banana plants  in the said land by incurring huge hard earned money by obtaining loan from the OP No.1 and also from her friends and relatives.  Now a days, doing of agricultural work is very difficult for the farmers because, there is a hike in the price of fertilizers, pesticides and the labour problem.  Farmers are the "Annadata" of the nation so, the farmers should be encouraged by giving support by giving financial support.  Therefore, considering the grounds urged in the complaint, version, affidavit evidence and the documents of both the sides, complainant has suffered a lot for the act of OPs.  OP No.1 has collected the insurance premium from the complainant and in turn it has sent the same to OP No.4 through OPs 2 and 3.  Hence, we have no agitation to come to the conclusion that, OP Nos. 1 and 4 have committed deficiency of service on their part in settling the insurance amount to the complainant.  Considering the number banana plants can grow/plant per acre and the price of the banana per Kg during khariff season 2014, we come to the conclusion that, complainant is entitled to get Rs.4,50,000/- as compensation, Rs.25,000/- towards mental agony and Rs.5,000/- towards cost of the proceedings.   Accordingly, this Point No.1 is partly held as affirmative to the complainant.

15.  Point No.2:- For the foregoing reasons, we pass the following:

ORDER

The complaint filed by the complainant u/Sec. 12 of the C.P. Act, 1986 is hereby partly allowed.  The OP No.1 and 4 are jointly and severally directed to pay a sum of Rs.4,50,000/- to the complainant with interest at the rate of 6% p.a from the date of complaint till realization. 

Further, it is ordered that, the OP No. 1 and 4 are directed to pay Rs.25,000/- towards mental agony and Rs.5,000/- towards cost of the proceedings. 

Consequently, complaint as against OP No. 2 and 3 is dismissed.   

Further, the OP No. 1 and 4 are  hereby directed to comply the above order within 60 days from the date of this order. 

 

        (This order is made with the consent of Member after the correction of the draft on 06/06/2016 and it is pronounced in the open Court after our signatures.)         

 

 

 

MEMBER                                                         PRESIDENT

 

-:ANNEXURES:-

Complainant by filing affidavit evidence taken as PW-1.

Witness examined on behalf of complainant:

                                                -Nil-

On behalf of OPs one Sri. Manjunath, the Manager of OP No.3 as DW-1 and Sri. Nagarathna. R, authorized person of OP No.4 as DW-2:

Witnesses examined on behalf of OPs:

-Nil-

Documents marked on behalf of complainant:

01	Ex-A-1:-	Certified copy of  R of R pertains to the land of complainant.
02	Ex-A-2:-	Original letter dated 07.05.2015 issued by the Primary Agriculture Co-operative Society, Lakkavvanahalli
03	Ex-A-3:	Original of counter challan dated 28.07.2014 for having paid Rs.3,725/-
04	Ex-A-4:	3 positive photos of banana crop
05	Ex-A-5:	4 Postal receipts
06	Ex.A-6:	Postal acknowledgements
07	Ex.A-7:	Copy of legal notice dated 14.05.2015
08	Ex.A-8:	Copy of legal notice dated 12.05.2015
09	Ex.A-9:	Original copy of reply notice dated 21.05.2015 issued by OP No.1
10	Ex.A-10:	Original copy of reply notice dated 22.05.2015 issued by OP No.3
11	Ex.A-11:	Original copy of crop declaration certificate issued by Village Accountant, Doddaggatta Village
12	Ex.A-12:	Original letter dated 31.10.2014 written by the complainant to Senior Assistant Director of Horticulture, Hiriyur
13	Ex.A-13:	Original letter written by the complainant to the Tahasildar, Hiriyur.
14	Ex.A-14:	Original report submitted by the Revenue Inspector
15	Ex.A-15:	Original letter written by the Senior Assistant Director Horticulture to the Assistant Horticulture Officer.
16	Ex.A-16:	Reply dated 01.06.2015 given by the OP No.4

Documents marked on behalf of OP:

01

Ex-B-1:-

Certified copy of the abstract of crop insurance

 

 

 

MEMBER                                                         PRESIDENT

Rhr.