SMT.MOLYKUTTY MATHEW   : MEMBER

     This is  a complaint filed by the complainant under sec.12 of the Consumer Protection Act 1986 directing  the opposite parties to settle the surrender claim and to pay compensation  to the complainant.
  The case  of the complainant in brief is as follows
      The complainant had taken the Rural Postal Life Insurance policy from 1st opposite party on 14/3/2007 for a monthly premium of Rs.101/-(RPLI).  The RPLI policy bearing No.R-KL-CC-CWA-104193.  The policy having  26 years tenure from 14/3/2007 to February 2031.  Due to some financial problem the  complainant was forced to surrender the policy and that  amount to  adjust the Revenue recovery proceedings before the Assistant Registrar court at Kannur.  Earlier the complainant had availed a loan from Educational empowerment and welfare Co-operative Society.  In order to close that  loan amount the  complainant had submitted an application for surrendering his policy through  1st opposite party No.R-KL-CC-CWA-104193 before 2nd opposite party dtd.2/12/2015.  Then 2nd opposite party agreed to surrende the policy of the complainant and to withdraw the amount  of Rs.21,397/- before 2nd opposite party .  On 8/3/16 the complainant received the claim form and state his consent to surrende the policy.  Thereafte repeated demands of the complainant opposite party No.2 denied the request of the complainant and insulted the complainant also.  On 19/5/16 the complainant send a registered notice to 2nd  opposite party for settling the claim amount.  The 2nd opposite party is liable to settle the issue.  Thee is deficiency of service and unfair trade practice on the part of the opposite parties.  Hence the complaint
   After the service of summons  opposite parties  appeared before the Fora and submitted their written version .  Opposite parties  contended  that the complainant's insurance policy had converted the policy to Endowment type EA50 for which the complainant had to credit of Rs.348/-per month and will get the maturity amount at the age of 50 years, thee was a short credit of Rs.1020/- and surrendering of policy cannot be made without crediting the full amount.  the opposite parties  also produced the Annexure R1 to R3 for the details of shorts credit has been intimated to the complainant.  Moreover the surrender request can be processed  immediately on receipt  of the short credit amount. Hence the complaint against the opposite parties  may be dismissed.
    On the  basis of the rival contentions of both sides the following issues  were framed for  consideration
1 .Whether there is any deficiency  of service or unfair trade practice on the part of  the opposite parties .
2.  Reliefs and costs.
      The   evidence   consists  of the  oral testimony of PW 1  and Exts.A1 to A4 also marked on the side of the complainant. Opposite parties have not adduced   evidence . Exts.B1 and R1 to R3  Annexure also marked.
   For the sake of convenience the issue Nos1&2 are taken together  for consideration.  
Issue Nos.1&2.   
    The complainant submitted   his  chief  affidavit  in lieu  of  his chief examination to the  tune of the pleadings in the complaint. The complainant adduced evidence to the tune that he is entitled for the surrender  policy claim as per  the conditions of Ext.A2 surrender Quote.  In Ext.A2 clearly shows that the net surrender amount Rs.21,397/- Ext.A1, shows that the copy of Revenue Recovery order dtd.26/3/2016.  Ext.A3 shows that the registered notice issued to 2nd opposite party and Ext.A4 is the postal receipt.  According to  PW1 the surrender claim was rejected by the opposite party No.2 .  As per Ext.A2 it is clear that the "surrender Quote' was already received by 2nd opposite party.  But in Ext.B1 and Annexture R2&# requesting to repay the arrears amounting to Rs.1020/- due in the policy and so as to process the surender claim earlier.  Without getting the amount repaid from the complainant, the oposite parties were iunable to process surrender claim  further from the stage shown in Annexure R1.  The processing of the surrender claim of the complainant was delayed solely due to the non-payment of arrears amounting to Rs.1020/- by the complainant.  From the foregoing discussion we hold that the rejection of surrender policy without any valid grounds amounts to deficiency of service on the part of opposite parties and thee is unfair trade practice also  on the part of opposite parties.  It was the bounden duty of the opposite parties to realize the  arrears  due from the complainant if any before processing.  Ext.A2 surrender quote.  Hence the issue No.1 found against  opposite party 1&2  and answered accordingly
    Regarding the other issue as discussed above the attitude of the opposite parties towards the complainant was unfair  and against the law,  For the available  undisputed evidence  from the side of the complainant, he has proved his case with documentary evidence also.  There is no  cogent and tangible evidence from the side of the  opposite parties to show tatRs.1020/- is due from the complainant.  Under the above consideration the 2nd opposit party is liable to settle the surrender policy claim amount of the complainant by paying  the surrender claim policy amount  of  Rs.21397/- with Rs.3000/- as  compensation and  Rs.2000/- as cost .  The issue No.2  also accordingly answered.
 
      In the result, the complaint is allowed directing the opposite party No.2  to pay sum of  Rs. 21397/- (Rupees twenty one  thousand three hundred and ninty seven only)as the surrender  policy  claim amount  and  opposite party Nos1&2 are jointly  pay a sum of  Rs.3000/- as compensation and Rs.2000/- as   cost to the  complainant   within  30 days of  receipt  of the order.  Failing which  the said amount of  Rs. 21397/- (Rupees twenty one  thousand three hundred and ninty seven only) will carry interest @9% per annum from the date of order till realization.  The   complainant  is  at liberty to  execute  the  order as  per the  provisions  of Consumer Protection Act 1986.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      

Exts
A1 -26/3/16 copy of Revenue recovery Order
A2-   Surrender Quote
A3-3/6/16 registered notice issued to OP.2
A4- postal receipt
B1-RPLI Policy
Annexure R1&R2 policy history
PW1-Rameshan.C     complainant

Sd/                                                                                                 Sd/
MEMBER                                                                  PRESIDENT

eva
                                                                 /Forwarded by Order/
                                                            SENIOR SUPERINTENDENT