1.       Heard learned counsel for the parties.

2.       The issue with regard to the settlement of a claim arising under a standard fire and special perils policy was proceeded with in this complaint, when an order was recorded by this Bench on 01.01.2024 to the following effect:

“Heard the Complaint and the arguments proceeded on merits of the claim. The Complainant was issued a Standard Fire and Special Perils Policy for an insured sum of Rs.11,64,00,000/- vide Policy cover note dated 04.08.2003 covering the risk for building, machinery and stock utilized for manufacturing of man-made fibre and synthetic yarn processing. The details of the items insured were contained in the list appended which is dated 02.08.2003 and the policy was issued subject to re-instatement value clause and agreed bank clause.

          The schedule in respect of the items insured also mentions 8 generators installed in 3 rooms. It is the said generators that are alleged by the Complainant to have been consumed in the fire that occurred on 07.02.2004 during the pendency of the policy. A fire report was submitted on 19.03.2004 and the Insurance Company appointed a Spot Surveyor and then also M/s Sandeep Bharti and Associates as Final Surveyor who submitted their report on 18.05.2004. The Complainant also relied on certain valuation reports for staking this claim in respect of the loss as alleged by him, that was analysed by the Surveyors but however the Insurance Company did not accept the claim and repudiated it vide letter dated 19.10.2005. A perusal of the said letter indicates that the Insurance Company had multifarious objections including the very value of the goods alleged to have been lost and consequently the claim was not found admissible.

It is pointed out that the said repudiation letter was issued after the filing of this Complaint which had already been instituted on 29.08.2005.

From the Order sheets on record it appears that the Complaint was entertained and admitted on 12.09.2005 and then after hearing learned Counsel for both the Parties and after the Written Version was filed, an Order was passed on 30.11.2005 calling upon the Insurance Company to deposit a sum of Rs.40,00,000/- before this Commission without prejudice to its rights and contentions raised in this claim, with the permission to the Complainant to withdraw the same against a Bank Guarantee. The Bank Guarantee was issued and accepted and it appears that the same was also directed to be renewed under the Orders of this Commission dated 22.08.2006. The renewal has been recorded in the Order dated 19.03.2007. It appears that the amount was withdrawn by the Complainant and subsequently the Bank Guarantee does not appear to have been renewed.

Today during the course of the arguments learned Counsel for the Complainant has produced a letter dated 07.09.2006, a copy whereof has been handed over to Mr. Vishnu Mehra, learned Counsel for the Insurance Company, which is a communication from the Insurance Regulatory and Development Authority intimating the Complainant, that they had been informed that the disputed claim has been settled and the amount has been paid in full and final to the tune of Rs.40,00,000/- vide cheque No. 004342 dated 16.12.2005.

Learned Counsel do not dispute that this cheque was the same amount that has been tendered before this Commission under the Orders dated 30.11.2005.

Learned Counsel for the Complainant has also pointed out that the Insurance Company had also sought the opinion and review about the loss from the Institute of Insurance Surveyors and Adjusters, Delhi Chapter. The same was tendered vide letter dated 23.08.2005 which has been filed by the Insurance Company through their Written Version which also indicates that the value of the said lost generators, even assuming and accounting for the value of the generators, the same would work out to be Rs.46,50,000/-.

Learned Counsel for the Complainant stated that since this is an old matter of the year 2005 and keeping in view the nature of the dispute and without prejudice to his rights and contentions in this Complaint, the Complainant is prepared to finally treat the matter to have been settled after having received the aforesaid amount of Rs.40,00,000/-.

Mr. Vishnu Mehra, learned Counsel for the Insurance Company prays that he may be granted three weeks’ time to seek instructions and then proceed with the matter.

List for Directions / disposal on 01.02.2024.

Orders dasti.”

3.       With the good offices of the learned counsel for the complainant as well as Mr. Mehra, learned counsel for the Insurance Company, the matter was adjourned on 01.02.2024 and 08.03.2024 to explore the possibility of accepting the offer made by the complainant finally settling the claim for the amount of Rs.40,00,000/- which had been deposited with this Commission and was withdrawn by the complainant in terms of the order passed by this Commission.

4.       Mr. Mehra, learned counsel for the opposite party  has placed before the Bench the mail received on 01.04.2024. A perusal thereof indicates that the competent authority had agreed for the settlement on the offer made by the complainant as a full and final settlement with no other claim remaining outstanding in respect of the present dispute and coverage of the policy that was claimed by the complainant.

5.       In the background above, the complaint is closed.

6.       This order has been passed in the presence of Mr. Ravi Mohan, Director of the complainant company, whose presence has been verified by the learned counsel for the complainant.