Jammu and Kashmir

Jammu

CC/444/2017

DEVINDER SINGH - Complainant(s)

Versus

BEST BUY COMPUTERS - Opp.Party(s)

VIR RANCHORE

08 Sep 2018

ORDER

DISTRICT    CONSUMER     DISPUTES   REDRESSAL  FORUM, JAMMU

                (Constituted under J&K Consumer Protection Act,1987)

                                                         

 Case File  No.                   492/DFJ         

 Date of  Institution   :      02-03-2016

 Date of Decision      :        06-09-2018

 

Devinder Gupta,

S/O Sh.Mani Ram,

R/O 151-A Jawahar Nagar,

Talab Tillo,Jammu.

                                                                                                                                    Complainant

                      V/S

1.Reliance General Insurance Company Ltd.

   Through General Manager 9/10 Floor,

   Building NOl.2 R-Tech.Park,Nuton Compound,

  Next to Hub Mall,Behind 1-Flex Building,

  Goregoan(East),Mumbai-400063.

2.Branch Manager Reliance General

   Through SMC Nanak Nagar,Jammu-180004.

                                                                                                                                                    Opposite parties

 CORAM

                  Khalil Choudhary              (Distt.& Sessions Judge)   President

                  Mrs.Vijay Angral                                                               Member

                  Mr.Ghulam Sarwar Chauhan                                         Member

 

In the matter of: Complaint under section 10 of J&K Consumer

                              Protection Act 1987.

 

Mr.G.S.Wazir,Advocate for complainant, present.

Mr.Shafiq Ahmed Wani,Advocate for OPs present.

 

                                                                             ORDER.

             Grievance of complainant, as disclosed in the complaint is that; on being assured by, agent of OPs, to get return of Rs.6,60,700/-,on one time premium of Rs.one lac, complainant paid an amount to the tune of Rs.1.00 lac as one time premium to OPs through cheque/demand draft and the said amount has been acknowledged by OPs.According to complainant, after paying one time premium, the agent of Ops after two years i.e.on,29-12-2013 again approached him and apprised him that his policy will be cancelled in case he will not pay the premium every year and after hearing this, complainant immediately approached Branch Manager RLI,Bahu Plaza, Jammu and apprised him that his policy is one time premium which he had already paid. Allegation of complainant is that the OPs enquired about the whole story from their agent who has mislead him with the conveyance of OPs,the Ops has not issued the policy to complainant to know the terms and conditions till date. Complainant further submitted that it is difficult for him to pay Rs.one lac every year to continue his life insurance for 10 years that means complainant had to pay Rs.10 lacs and will get Rs.6,53,250/-.That on,11-02-2015 complainant filed a complaint before the Insurance Ombudsman Chandigarh and put his all grievance, but the said complaint was dismissed by the Insurance Ombudsman Chandigarh on a technical ground that is on,11-09-2015 and the complainant had no other option except to file this complaint. Complainant also said to have issued legal notice to OPs, but no action taken by OPs.In the final analysis, complainant prays for payment of amount of Rs.one lac alongwith interest and litigation charges.

           On the other hand,OPs filed written version and resisted the complaint on the ground that complainant after completely understanding the terms and conditions of their product “Money Multiplier Plan had voluntarily applied for a policy by voluntarily filling up the Proposal Form bearing No.D 1128826 dated 02-08-2011 and Proposal Form bearing No.C 7069092 dated 11-08-2011.The complainant offered to pay a Modal Premium of Rs.99,999/-annually under both the policy for a premium paying term of 10 years. The complainant has also signed up Benefit Illustration Form for the above mentioned Policy and therefore, he was well aware of all the terms and conditions pertaining to the given policy. Upon receipt of the duly filled up Proposal  Form alongwith the initial premium against the application, the Op evaluated and processed the Proposal Form on the basis of the information provided by the complainant and issued Policy bearing No.19197336 dated 03-08-2011 and 19223042 dated 29-08-2011 to the complainant for the premium paying term of 10 years.Thereafter,all the policy terms and conditions were sent to complainant and were duly delivered. It is humbly submitted that the welcome letter clearly stated that in case the complainant was disagreed with the terms and conditions of the Policy,he should return the Policy within 15 days of the receipt of the same and was entitled for cancellation available to the complainant in pursuant to the terms and conditions of the Policy. That the OP received a free look cancellation request dated 29-01-2015 from the complainant requesting for the cancellation of the policy and refund of his premium amount. The OP vide letter dated 30-01-2015 intimated that the Policy could not be cancelled for the reason that the request was beyond the free look period of 15 days as provided under the terms of the Policy Contact. It is submitted that complainant has filed a complaint before the office of Insurance Ombudsman, Chandigarh and the Ombudsman after going through the contents of the reply of OP decided on merits and dismissed the complaint of complainant on the ground that since the complainant did not contact OP with respect to cancellation of the policy prior to 2014,the complainant is not entitled for the cancellation of the same.

               Complainant adduced evidence by way of duly sworn evidence affidavit and affidavits of Naresh Singh Sambyal and Jagdish Sharma,respectively.Complainant has placed on record copy of Proposal Form, copy of letter issued by Asstt.Dy.Secretary from the office of Insurance Ombudsman to complainant, copy of order passed by Insurance Ombudsman and copy of legal notice.

                    On the other hand,OPs adduced  evidence by way of duly sworn evidence affidavit of Ankush Mittal,Branch Service Manager, Legal of Reliance Life Insurance Company Ltd.Ops have placed on record copy of proposal form, copy of Pan Card, copy of statement of account, copy of income tax return, copy of certificate, copy of personal banking saving account, copy of complaint letter, copy of free look cancellation request, copy of terms and conditions and copy of letter issued by OP to complainant.

             We have perused case file and heard L/C for the parties at length.

                Briefly stated case of complainant is that; on being assured by, agent of OPs,to get return of Rs.6,60,700/-,on one time premium of Rs.one lac, complainant paid an amount to the tune of Rs.1.00 lac as one time premium to OPs through cheque and the said amount has been acknowledged by OPs,but after paying one time premium, the agent of Ops after two years i.e.on,29-12-2013 again approached him and apprised him that in case he will not pay the premium every year, his policy will be cancelled and after hearing this, complainant immediately approached Branch Manager RLI,Bahu Plaza, Jammu and apprised him that his policy is one time premium which he had already paid. Allegation of complainant is that the OPs enquired about the whole story from their agent who has mislead him with the conveyance of OPs,the Ops have not issued the policy to complainant to know the terms and conditions till date. Complainant further submitted that it is difficult for him to pay Rs.one lac every year to continue his life insurance policy for 10 years that means complainant had to pay Rs.10 lacs and will get Rs.6,53,250/-.

                     On the other hand,stand of OPs is that complainant after completely understanding the terms and conditions of their product Money Multiplier Plan had voluntarily applied for a policy by voluntarily filling up the Proposal Form bearing No.D 1128826 dated 02-08-2011 and Proposal Form bearing No.C 7069092 dated 11-08-2011 and the complainant offered to pay a Modal Premium of Rs.99,999/-annually under both the policy for a premium paying term of 10 years. The complainant has also signed up Benefit Illustration Form for the above mentioned Policy and therefore, he was well aware of all the terms and conditions pertaining to the policy. Upon receipt of the duly filled up Proposal  Form alongwith the initial premium against the application, the OPs evaluated and processed the Proposal Form on the basis of the information provided by the complainant and issued Policy bearing No.19197336 dated 03-08-2011 and 19223042 dated 29-08-2011 to the complainant for the premium paying term of 10 years. Thereafter, all the policy terms and conditions were sent to complainant and were duly delivered. It is humbly submitted that the welcome letter clearly stated that in case the complainant was disagreed with the terms and conditions of the Policy, he should return the Policy within 15 days of the receipt of the same and was entitled for cancellation available to the complainant in pursuant to the terms and conditions of the Policy. That the OPs received a free look cancellation request dated 29-01-2015 from the complainant requesting for the cancellation of the policy and refund of his premium amount. The OPs vide letter dated 30-01-2015 intimated that the Policy could not be cancelled for the reason that the request was beyond the free look period of 15 days as provided under the terms of the Policy Contact. It is submitted that complainant has filed a complaint before the office of Insurance Ombudsman, Chandigarh and the Ombudsman after going through the contents of the reply of OPs decided on merits and dismissed the complaint of complainant on the ground that since the complainant did not contact OP with respect to cancellation of the policy prior to 2014, the complainant is not entitled for the cancellation of the same.

                    Before heading further, it is to be noted that since parties have lead evidence in the shape of evidence affidavits, which are much or less reproduction of contents of their respective pleadings,therefore,we do not feel it necessary to represent the same again and if need arises, same would be referred hereinafter at appropriate stage.

                               It is to be noted that OPs admitted the receipt of payment of premium to the tune of Rs.99,999,however,OPs took the defence that complainant was sent a welcome letter in the policy in which it was clearly mentioned that in case the customer is not satisfied with the terms and conditions of the policy, he can return the policy  to the OPs within 15 days of the receipt and the premium which was paid will be refunded back to the customer.

                  It is settled preposition of law that Insurance Policy, falls within the realm of contract, which becomes final and binding, on being offer made by one party, accepted by other and followed by consideration in the shape of premium, which has been done in the case on hand, therefore, it did not lie in the mouth of OPs that after the payment of premium, complainant was supposed to exercise option thereby giving his consent to get benefit flowing from the policy. In our opinion, this act of omission and commission on the part of OPs,amounts to deficiency  in service, besides had colouring of misappropriation of public money, which is not expected from OPs,who is a State agency .OPs have no right to withheld the money of complainant for such long period, without settling down terms and conditions and once the agent of OPs came forward as an authorized person of OPs, in that event OPs are bound by each and every action of its agent and cannot wriggle out of it.

                    After going through the whole case with the evidence on record what reveals here is the case of complainant is genuinely filed with speaking reasons and merit as being consumer as per the purport of section 2(d) of Consumer Protection Act and Ops are the service providers having failed in their statutory duty to provide adequate and effective services. The purport of legislation is well defined and statutorily takes care of consumer rights and cannot legally afford to a situation like the one confronted herewith in a manner where they are deprived of their rights as of consumer. The consumers have to come forth and seek for redressal of his grievance. The case of the complainant is also genuinely filed for seeking determination of his right by this Forum.

                         Therefore in view of the aforesaid discussion and after pursuing the record of the case, complaint filed by the complainant is accordingly allowed and we direct OPs.to refund Rs.99,999/-(i.e. one time premium)to complainant. The complainant is also entitled to compensation of Rs.5000/-for causing mental agony and harassment and litigation charges of Rs.5,000/-.This order shall be complied with by OPs within one month from the date of receipt of this order. Copy of this order be provided to the parties free of charge. Complaint is accordingly disposed of and file be consigned to records after its due compilation.

Order per President                                              Khalil Choudhary

                                                                             (Distt.& Sessions Judge)

                                                                                  President

Announced                                                         District Consumer Forum

06-09-2018                                                                Jammu.

Agreed by                                                               

      

Ms.Vijay Angral          

  Member                                                                                              

 

Mr.Ghulam Sarwar Chauhan

Member