IN THE CONSUMER DISPUTES REDRESSAL  COMMISSION, KOLLAM

Dated this the    31^th     Day of  March  2021

  Present: -  Sri. E.M.Muhammed Ibrahim, B.A, LL.M. President

          Smt.S.Sandhya Rani, Bsc, L.L.B,Member

                   Sri.Stanly Harold, B.A.LLB, Member

                                                              CC.237/2019

M.Moni                                                       :         Complainant

S/o Mohanan

Mavelisserikizhakathil

Adinad South Muri

Kattilkadavu P.O

Karunagappally Taluk

Kollam Dist-690542.

[By Adv.A.Abhilash&Adv.Maruthadi.R.Sreeraj]

V/s

1. The Managing Director                                :         Opposite parties

         Pothens Hundai Showroom

         Near Jumamasjid,Kilikolloor

        2^nd Milestone,Kilikolloor.P.O

         Kollam.

2. The Manager

          Pothens Hundai Showroom

          Near Jumamasjid,Kilikolloor

          2^nd Milestone,Kilikolloor.P.O

          Kollam.

3. Insurance Co-ordinators

          Pothens Hundai Showroom

         Near Jumamasjid,Kilikolloor

         2^nd Milestone,Kilikolloor.P.O

          Kollam.

         [By Adv.C.R.Lalaji]

FINAL   ORDER

E.M.MUHAMMED IBRAHIM , B.A, LL.M,President

          This is a case based on a consumer complaint filed u/s 12 of the Consumer Protection Act 1986.  

          The averments in the complaint in short are as follows:-

          The complainant has purchased one Hundai new i10 Magna Executive car from Pothens Hundai Showroom where the 1^st opposite party is functioning as the Managing Director.  2^nd opposite party is the Manager of the 1^st opposite party and 3^rd opposite party is the insurance co-ordinator.  The complainant used to subject the car for periodical service at the 1^st opposite party showroom.  At the time of purchasing  the car 1^st opposite party obtained insurance policy  issued by Reliance General Insurance company.  The 3^rd opposite party at the direction of the 1^st and 2^nd opposite party intimated  the complainant over phone and also directly informed that the policy period is going to be over by 23.08.19 and the complainant has to renew the policy on two dates ie, on 12&13.  The 2^nd and 3^rd opposite party continuously contacted the complainant and demanded the policy amount of Rs.17328/- and accordingly the complainant handed over the amount on 15.08.19 and obtained a voucher dated 16.08.19.  Before the expiry of the previous policy the complainant well in advance entrusted the amount to the 3^rd opposite party by believing the words of 2^nd and 3^rd opposite party.  However on 17.08.19 and subsequent dates when the complainant approached the 1^st opposite party showroom for obtaining the policy certificate the 3^rd opposite party made the complainant to believe that on 16.08.19 itself the policy has been renewed and has also issued a false mail message to that effect so as to mislead the complainant.  However even on the expiry of the validity period of the policy which is 23.08.19 the opposite parties have not renewed the insurance policy and thereby cheated the complainant. 

Though the complainant has made a complaint before the showroom manager(2^nd opposite party) the said Manager  and other employees of the 2^nd opposite party informed inconsistent reply and also evaded from proper reply and thereby all the opposite parties have committed deficiency in service.  The complainant has expressed his grievance before the 1^st and 2^nd opposite party orally and in writing but they have not taken any trueful action and taken an irresponsible approach to the grievance of the complainant and thereby the complainant is convinced himself that all the 3 opposite parties willfully committed the above act.  However on 28.09.19 the opposite parties have issued a new policy bearing No.99491823110062142 and also attempted to state excuses and the HR Manager by knowing this fact  has warned to the opposite parties and also issued a written notice to the complainant by stating that the fact shall not be divulged to the public.  If the vehicle happened to involve in any accident during the intervening period having no valid insurance policy the complainant could have sustained a very heavy loss and mental agony.  The act of the opposite parties has violated the right of the consumer for which he has caused to sent a lawyer notice and also sent an e-mail complaint to the authorities of Hundai.  But they have not taken any action against the opposite parties.  The act of the opposite parties  have caused much mental agony  for which the complainant is entitled to get Rs.5,00,000/- as compensation.  Though the opposite parties entered appearance on 12.11.19.  they have not filed any version till 11.03.2020.  Hence they were set exparte. 

 Exparte evidence was recorded.  Complainant filed proof affidavit by re-iterating the averments in the complaint and got marked Ext.A1 to A11 documents.  Ext.A1 is the receipt/ cash voucher indicating that on 16.08.19 the complainant has paid Rs.17328/-  for the renewal of the insurance policy.  Ext.A2 is the previous insurance policy certificated issued by Reliance General Insurance Company Ltd.  The tenure of the policy as per Ext.A2  certificate is 24 .08.2018 to 23.08.2019 .  Ext.A3 is the disputed renewed policy certificate, the tenure of which is 28.08.2019 to 27.08.2020.  Ext.A4 is a copy of Ext.A3 policy certificate.  Ext.A5 is a letter issued by HR Manager, Pothens Hundai to its employees stating that careless and lethargic attitude has left bad mark on the organization and customer had to go through unnecessary mental strain.  It is also stated in Ext.A5 letter that since the insurance coordinators have admitted their  mistake, and this being a first time issue both of coordinators are severally warned and any such occurrence in future will be viewed seriously even resulting in termination from service.  This letter is written by H.R. Manager of 1^st opposite party to Sri. Sujith and Smt.Soumya who are insurance coordinators.  Ext.A6 is the copy of Advocate notice alleging  deficiency in service on the part of the opposite parties and claiming compensation to the tune of Rs.5,00,000/-.  Ext.A7 is the postal receipt evidencing  sending of  lawyer notice to the 2^nd opposite party.  Ext.A8 is the postal track record of the lawyer notice wherein it is noted that item delivery confirmed which would indicate that lawyer notice was served to the 2^nd opposite party.  Ext.A9 is the copy of lawyer notice addressed to the 1^st opposite party and Ext.A10 is the postal receipt evidencing to the sending of notice to the 1^st opposite party.  Ext.A11 is the postal acknowledgment  card evidencing the receipt of the lawyer notice by the 1^st opposite party.  In view of the unchallenged averments in the affidavit  coupled with Ext.A1 to A11 documents it is cristal clear that though the complainant has entrusted Rs.17328/- to the 3^rd opposite party by believing the words of opposite party No.1&2 that they would renew the insurance policy well before the expiry of Ext.A2 insurance policy(on 16.08.2019 itself),  opposite parties No.1 to 3 have not  renewed the insurance policy in time as agreed and renewed and issued Ext.A3 insurance policy w.e.f 28.08.19.  It is clear from the available materials that Ext.A2 insurance coverage will expire on the evening of 23.08.19.  It is also clear that from 24.08.19 to 28.08.19 the vehicle was having no valid insurance coverage,  even though the complainant  has paid sufficient amount as per Ext.A1 receipt one week prior to the date of expiry of Ext.A2 insurance policy.  Though the complainant has caused to send lawyer notice to  opposite party No.1&2 and they received the same, they have not sent any reply.  They have also not contested the case and remain exparte.  In view of the materials available on record it is cristal clear that Opposite party No.1 to 3 have  committed grave deficiency in service and unfair trade practice in not renewing the insurance policy before the expiry of the  then existing A2 policy after receiving the premium amount well in advance from the complainant.   It is also brought out in evidence that as the opposite parties have committed grave dereliction of duty and not paid insurance charges to the vehicle belongs to the complainant in time, the complainant has sustained much mental agony.  Therefore the complainant is entitled to get compensation.  It is clear from the available materials that the 1^st opposite party is the Managing Director of  show room and opposite party No.2&3 are the employees of the 1^st opposite party.  Hence the 1^st opposite party is liable for the dereliction of duty and deficiency in service committed by opposite party No.2&3 and hence liable to pay compensation to the complainant.

          The complainant has claimed a huge amount of  Rs.5,00,000/- as compensation which is highly excessive and exorbitant.  However in view of the grave dereliction of duty and deficiency in service on the part of opposite parties we are of the view that compensation to the tune of Rs.50,000/- will be reasonable and sufficient. 

In the result complaint stands allowed in the following terms directing the 1^st opposite party to pay Rs.50,000/- as compensation with interest @ 6% p.a from the date of complaint till realization.  The 1^st opposite party is  also directed to pay Rs.5000/- as costs of the proceedings.

          The 1^st opposite party is directed to comply with the above directions within 45 days from the date of receipt of a copy of this order failing which the complainant is entitled to recover Rs.50,000/- with interest @ 9% p.a from the date of complaint  till realization with costs Rs.5000/- from the 1^st opposite party and its assets.

Dictated to the Confidential Assistant  Smt. Deepa.S transcribed and typed by her corrected by me and pronounced in the  Open Commission this the 31^st   day of  March   2021.

E.M.Muhammed Ibrahim:Sd/-

S.Sandhya Rani:Sd/-

           Stanly Harold:Sd/-

           Forwarded/by Order

           Senior Superintendent

INDEX

Witnesses Examined for the Complainant:-Nil

Documents marked for the  complainant

Ext.A1            : Copy of receipt cash voucher dated 16^th August 2019.

Ext.A2            : Copy of Previous insurance policy certificate issued by Reliance General Insurance Company Ltd.

Ext.A3            : Disputed renewed policy certificate.

Ext.A4            : Copy of policy certificate

Ext.A5            :  Letter issued by HR Manager, Pothens Hundai

Ext.A6            : Copy of Advocate notice

Ext.A7            : Postal receipt

Ext.A8            :Track consignment

Ext.A9            :Copy of lawyer notice

Ext.A10          :Postal receipts

Ext.A11          :Acknowledgment card

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-Nil