Excelsior Correspondent
SRINAGAR, Dec 10: Division Bench of the High Court comprising Justice Ali Mohammad Magrey and Justice Vinod Chatterji Koul has set aside the judgment passed by the erstwhile J&K State Consumer Disputes Redressal Commission (SCDRC) whereby United Indian Insurance Company was directed to pay Rs 14,91,500 to M/s Star Dry Fruits along with nine percent interest from the date of filing of complaint till its final payment besides litigation charges of Rs 25,000.
While challenging the order passed by the Commission, Rifat Khalida, the counsel appearing on behalf of the United India Insurance Company submited that the Commission has passed the judgment impugned in hot haste without considering the material fact that the insurance contract between the appellant insurance company and the complainant/ respondents covered only such stocks which were lying at Ranger Stop, Khanyar and not those kept at the so-called head office located at Shah Mohalla, Nawabazar, Srinagar.
“The liability with regard to the stocks lying at Shah Mohalla, Nawabazar, Srinagar was not on the appellant insurance company, but despite this position having been made clear to the Commission, it proceeded to pass the judgment impugned”, it was further submitted.
After hearing both the sides, the DB observed, “a careful consideration of the Proposal Form that sets out the particulars of the components which were to be covered and the inventory of the property insured, mentioned in the policy, leaves no manner of doubt that what was insured were the stocks which were lying at Ranger Stop, Khanyar only and not those kept at Shah Mohalla, Nawabazar, Srinagar”.
“We feel that there was no material before the Commission to take the view as taken by it in the judgment impugned. The impugned judgment cannot withstand the test of judicial scrutiny”, the DB said and set aside the impugned judgment dated 24th of October, 2018 passed by the Commission.
“The appellant insurance company is at liberty to make an appropriate motion before the concerned authority for seeking release of the deposited amount, if any, before the erstwhile Commission, which stands wound up with the coming into force of the Jammu and Kashmir Reorganization Act, 2019”, the DB said.
Follow our WhatsApp channel