Andhra Pradesh

Visakhapatnam-II

cc 4/2012

Reddy Satyvathi - Complainant(s)

Versus

To the Chief Manager, LIC of India - Opp.Party(s)

S.S. Chalam

29 Jul 2015

ORDER

                  Reg. of the Complaint:03-01-2012                                                                                           

Date of Order:29-07-2015

BEFORE THE DISTRICT CONSUMERS FORUM-II

AT VISAKHAPATNAM

                   Present:

1.Sri H.ANANDA RAO, M.A., L.L.B.,

       President

2.Sri C.V.RAO, M.A., B.L.,

                                                       Male Member

3.Smt.K.SAROJA, M.A., B.L.,

       Lady Member

                                            

WEDNESDAY, THE 29^TH DAY OF JULY, 2015

CONSUMER CASE NO.4/2012

 

BETWEEN:

Reddy Satyavathi W/o Reddy Sanjeeva Rao,

Hindu, aged 69 years, r/at D.No.58-15-53,

Santhi Nagar, Near NAD Kotha Road,

Visakhapatnam.

…Complainant

AND:

1.The Chief Manager, LIC of India,

69/II Code, MMTC Colony,

Seethammadhara, Visakhapatnam.

 

2.The Zonal Manager, LIC of India,

Hyderabad.

…Opposite Parties

 

This case coming on 15-07-2015 for final hearing before us in the presence of       SRI S.S.CHALAM, Advocate for the Complainant, and of SRI V.V.S.S.M.RAJA RAO, Advocate for the Opposite parties, and having stood over till this date for consideration, this Forum made the following.

 

O R D E R

 (As per Sri H.Ananda Rao, the Honourable President on behalf of the Bench)                                                                              

1. The Complainant filed the present complaint against the Opposite Parties, directing them to pay an amount of Rs.4,20,000/- and maturity amount covered in Policy Nos. 1) dated 19-03-2008 Policy No.694703080, for a sum of assurance amount of Rs.1,50,000/- Rs.2) dated 26-03-2008 vide policy no.694185684, for a sum of assurance amount of Rs.1,50,000/-, 3) dated 15-04-2008 vide policy no.694705915 for a sum of assurance amount of Rs.1,00,000/- and 4) dated 18-03-2008 vide Policy No.692607750 for a sum assurance of Rs.70,000/- with interest @ 24% p.a., from 29-11-2010 till the date of realization, together with compensation and with costs.
2. The case of the complainant in brief is that she is the mother of the deceased Relangi Vara Prasad who worked as Assistance Engineer in GVMC, died on 29-11-2010. That the deceased during his life time took LIC Polices under 1^st OP vide 6 polices and subsequently paid entire amount from his salary without any default. As his wife left from his matrimonial life and she residing elsewhere she never take care of his health condition, he executed a registered will on 15-11-2010 in favour of the complainant’s mother. After the death of the deceased,  she approached the first OP with all bonds along with copy of Registered Will who received and the released two polices from out of 6 polices and the rest of them were not paid for these reasons best known to them. 
3. That the deceased obtained policy No.1 dated 19-03-2008 Policy No.694703080, for a sum of assurance amount of Rs.1,50,000/-   Rs.2) dated 26-03-2008 vide policy no.694185684, for a sum of assurance amount of Rs.1,50,000/-, 3) dated 15-04-2008 vide policy no.694705915 for a sum of assurance amount of Rs.1,00,000/- and 4) dated 18-03-2008 vide Policy No.692607750 for a sum assurance of Rs.70,000/- inspite of her approach, the OPs did not pay any amount. Hence, she got issued legal notice and the same was received but no reply was sent. As the OP intentionally avoid to pay the policy amount, this complaint is filed.
4. The case of the 2^nd Opposite Party adopted by 1^st Opposite party is that they have admitted in respect of the issuance of 6 polices contending they have known that the deceased executed a Will on 15-11-2010 in favour of the complainant and subsequently died on 29-11-2010 and the complainant is put to strict proof of the same. They further admitted the following 4 polices 1) dated 19-03-2008 Policy No.694703080, for a sum of assurance amount of Rs.1,50,000/- Rs.2) dated 26-03-2008 vide policy no.694185684, for a sum of assurance amount of Rs.1,50,000/-, 3) dated 15-04-2008 vide policy no.694705915 for a sum of assurance amount of Rs.1,00,000/- and 4) dated 18-03-2008 vide Policy No.692607750 for a sum assurance of Rs.70,000/-  and after receiving the claim forms along with copy of the will started process of the claim  and as the policy holder died within a period of two years from the date of policy i.e., serial no. 1) dated 19-03-2008 Policy No.694703080, for a sum of assurance amount of Rs.1,50,000/- Rs.2) dated 26-03-2008 vide policy no.694185684, for a sum of assurance amount of Rs.1,50,000/-, 3) dated 15-04-2008 vide policy no.694705915 for a sum of assurance amount of Rs.1,00,000/- and 4) dated 18-03-2008 vide Policy No.692607750 for a sum assurance of Rs.70,000/-,  they have caused enquiry into the bonafides or malafides of the claim. They advised the complainant to submit certain requirements vide letter dated 24-10-2011 along with employer certificate which are necessary to them and to verify the intention of the policy holder at the time of taking policy and concluded the decision on the admissibility of the claims, the complainant hurriedly approached this forum.
5. That the policy bearing No.694705915 was issued on the life of Mr.Teja Swaroop under Komal Jeevan Plan without taking waiving benefit incase the proposed died during the term of the plan and as per this condition, the future premiums need not be paid by the life assured till the date of maturity or death is whichever is earlier. As such, the claim amount of Rs.1,00,000/- as claimed under the aforesaid policy does not arise.  It is further submitted that if the total claim is found to be genuine and admitted on the said policy, then a suitable endorsement shall be placed on the aforesaid policy bond.  The policy bearing No.692607750 is a Marriage Endowment/Educational Annuity Plan with Profit with Accident Benefit and as per the Policy Conditions,  death benefit is payable as on the date of maturity i.e., on 28-03-2022 but not earlier thereto as the policy is subsequently designed to suit the needs of the policy holder for the Marriage, Education and that they are prepared to place a suitable endorsement on the policy bond, if policy bond is made available and it shall be returned to the beneficiary the daughter of the deceased. The claim beneficiary did not submit the policy bond to them. Thus, there is absolutely no deficiency on their part. For these reasons, the complaint is liable to be dismissed.
6. To prove the case on behalf of the complainant, she filed her affidavit and got marked Exhibits A1 to A12 on the other hand, on behalf of the OP, they filed their affidavit and got marked Exhibits B1 and B2.

7.  Exhibit A1 is the Death Certificate dated 29-11-2010, Exhibit A2 is the Veelunama, dated 15-11-2010, Exhibit A3 is the Status Report in respect of the Policy bearing No.692607750, dated 21-07-2011, Exhibit A4 is the Status Report in respect of the Policy bearing No.694185684, dated 21-07-2011, Exhibit A5 is the Status Report in respect of the Policy bearing No.694705915, dated 21-07-2011, Exhibit A6 is the Status Report in respect of the Policy bearing No.694703080, dated 21-07-2011,  Exhibit A7 is the Medical Certificate issued by Dr.S.Srinivas, dated 05-02-2011, Exhibit A8 is the Legal Notice, dated 18-08-2011, Exhibit A9 is the Acknowledgement from 1^st OP, dated 25-08-2011, Exhibit A10 is the  is the Acknowledgement from 2^nd OP, dated 27-08-2011, Exhibit A11 is the is the Acknowledgement from the Divisional Manager, dated 20-08-2011 and Exhibit A12 is the Acknowledgement from the Chairman, LIC of India, dated 25-08-2011.

 8. Exhibit B1 is the Form No.5042-A and Exhibit B2 is the Letter from OP, dated 27-11-2011.

9.  Both parties filed their written arguments.

10.         Heard oral arguments from both sides.

          Now the point for determination to be determined in this case is;

Whether there is any deficiency of service on the part of the OPs and the Complainant is entitled to any reliefs asked for?

11.As seen from record, it is evident that the deceased son of the complainant who worked as AE in Greater Visakhapatnam Municipal Corporation, died on 29-11-2010 and during his life time, he took 6 LIC Polices in the name of the wife, mother, son and daughter and from out of the 6 policies, 2 polices claim were settled and the present claim is in respect of the other 4 polices  which stand in the name of the two in the name of mother and one each in the name of his son and daughter.

12.          According to the Complainant, her deceased son executed a Registered Will on 15-11-2010 in her favour and thereafter, he died on 29-11-2010 and his wife i.e., her daughter-in-law left the deceased and residing elsewhere and she never taken care about the health condition of the deceased. Now it appears as seen from the contention, the complainant is claiming the aforesaid policies stands in the name of the wife of the deceased and his children by virtue of the present Will.  At this stage, it is relevant for me to state that out of 4 polices, one policy i.e., the Policy bearing No.964705915 was issued on the life of Mr.Teja Swaroop under Komal Jeevan Plan on that premium waiver benefit and another policy bearing No.692607750 is a Marriage Endowment/Educational Annuity Plan with Profit with Accidental Benefit stands in the name of the daughter of the deceased and as per the terms of the policy, the policy amount shall be returned to the beneficiary i.e., the daughter of the deceased only. Since these polices stands in the name of the daughter and son, they are the competent persons to receive those amounts under polices, but not the mother of the deceased.

13.          Now coming to Polices Nos. 694703080 For Rs.1,50,000/- and 694185684 for Rs.1,00,000/- respectively stand in the name of the deceased nominee, nominee was shown as his wife R.Kanaka Durga. Therefore, in our view, she is the competent person, to receive the policy amount.

14.          Now main arguments of the counsel for the complainant is that by virtue of a will executed by her deceased son in her name dated 15-11-2010, she is entitled for all these 4 policy amounts. Admittedly, during the life time of the deceased,  he is not incorporated the name of his mother as nominee of the aforesaid polices and the 4 polices are stands in the name of the wife, daughter, son of the deceased. Since those polices stand in the name of the wife and children long prior to execution of the alleged Will in the name of the complainant, in our view, by virtue of the Will, the complainant will not derive any benefit in respect of the polices stands in the name of the wife and children of the deceased and that they are alone competent to receive the policy amounts but not the complainant herein. The evidence of the OPs clearly goes to show that after scrutiny who is the competent person to receive the amounts, they will settle the claim in their favour. It is not their case that they are not going to disburse the policy amounts. For these reasons, the complaint filed by the complainant deserves to be dismissed.

15. In this result, this complaint is dismissed. No costs.

Dictated to the Stenographer, transcribed by him, corrected and pronounced by us in the open Forum, on this the 29^th day of July, 2015.                                   

 

 

Sd/-                                                         Sd/-                                                   Sd/-

LADY MEMBER       MALE MEMBER                     PRESIDENT       

 

 

 

APPENDIX OF EVIDENCE

 

  For the Complainant:-

Exhibits	Date	Description	Remarks
A1	29-11-2010	Death Certificate	Original
A2	15-11-2010	Veelunama (will)	Photostat Copy
A3	21-07-2011	Status report in respect of the Policy No.692607750	Original
A4	21-07-2011	Status report in respect of the Policy No.694185684	Original
A5	21-07-2011	Status report in respect of the Policy No.694705915	Original
A6	21-07-2011	Status report in respect of the Policy No.694703080	Original
A7	05-02-2011	Medical certificate issued by Dr.S.Srinivas	Photostat copy
A8	18-08-2011	Legal Notice	Office copy
A9	25-08-2011	Acknowledgement from 1st Opposite party	Original
A10	27-08-2011	Acknowledgement from 2nd Opposite party	Original
A11	20-08-2011	Acknowledgement from the Divisional Manager	Original
A12	25-08-2011	Acknowledgement from the Chairman, LIC of India	Original

For the Opposite Parties:-                                                     

Exhibits	Date	Description	Remarks
B1		Form No.5042-A	Original
B2	27-11-2011	Letter from OP	Original

 

 

Sd/-                                                         Sd/-                                                   Sd/-

LADY MEMBER          MALE MEMBER                  PRESIDENT