In The High Court of Delhi at New Delhi MAC. APP. No.220/2008
In The High Court of Delhi at New Delhi MAC. APP. No.220/2008
In The High Court of Delhi at New Delhi MAC. APP. No.220/2008
Through : None.
..... Respondents
Yes
be allowed to see the Judgment?
2.
Yes
3.
Yes
J.R. Midha, J.
1.
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2.1
0739 who insured the same with the appellant but by mistake,
the insurance agent initially mentioned wrong vehicle number
on the Cover Note as HR-38-6739 instead of HR-38-0738
which, was on being pointed out, was corrected by the
insurance agent on the copy of the insured but the insurance
agent did not carry out the correction in the copy with the
Insurance Company.
learned Tribunal that they had not insured the vehicle number
involved in the accident as a result of which the ex-parte
award was passed against the owner who applied for setting
aside the ex-parte award which was set aside subject to
deposit of Rs.50,000/-. The owner unsuccessfully challenged
the said order before this Court and thereafter, deposited
Rs.50,000/- with the learned Tribunal whereupon the ex-parte
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that the offending vehicle was insured with the appellant. The
owner also proved two renewals of the policy which contained
correct vehicle number.
2.4
the award before this Court again raising the same false plea.
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2.7
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5.
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Respondent
No.4
unsuccessfully
challenged
the
This
application was allowed vide order dated 18th March, 2006 and
the appellant was impleaded as respondent No.3 before the
learned Tribunal.
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11.
learned Tribunal in which once again the same plea was taken
that the appellant had insured vehicle No. HR-38 6739 vide
cover note No.431483 for the period 12th September, 1995 to
11th September, 1996 and respondent No.4 (owner) had
forged and tempered with the cover note by changing the
vehicle No. HR-38 6739 into HR-38 0739.
12.
issue No.2 which is reproduced hereunder:2. Whether the offending vehicle was duly insured with
Oriental Insurance Co. Ltd.
13.
deposed that he was the registered owner of vehicle No. HR38 0739 in 1995-96 and he insured the same with Oriental
Insurance Co. Ltd. through its agent, Tirlochan Singh vide
cover note No.431483 dated 12th February, 1995 for the
period 12th September, 1995 to 11th September, 1996.
He
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R2W1
stated that he received a letter dated 17th April, 1997Ex.R3W1/R6 from the appellant in which it was stated by the
appellant that they have received the summons from the
learned Tribunal and, therefore, respondent No.4 should send
the registration certificate, permit, fitness certificate, driving
licence, FIR, site plan, policy, etc. to the appellant.
13.2 R2W1 replied to the above letter on 13th May, 1997Ex.R2W1/1 in which he stated that he had already informed
the appellant about the accident and he further stated that he
has also received the summons from the learned Tribunal
which were being forwarded to the appellant.
The witness
period
1996-97
and
1997-98-Ex.R3W1/R9
and
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The witness
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the
policies
for
the
subsequent
years,
namely,
The
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17.
9. ISSUE NO.2
This issue is as regard the fact
whether offending vehicle was insured with R-3
insurance company. The case of the insurance
company that Mr. Amit Khurana had taken a
insurance policy earlier in respect of truck no.HR
38 6739 from it and had manipulated the
number of the vehicle as HR 38 0739. R-2 while
deposing as R2W2 had testified that policy was
taken by him in respect of vehicle no. HR 38
0739 from R-3 through agent Trilochan Singh,
who by mistake had written the vehicle no. as HR
38 6739 and on being pointed out the mistake,
had corrected the vehicle number as HR 38 0739
in the copy supplied to the witness. Further
vehicle no. HR 38 6739 had been found to be
registered in the name of Smt. Naina Maghu, as
per testimony of R2W2 Vivek Aggarwal, a
witness from office of Deputy Excise and Taxation
Commissioner, Sector 12, Faridabad, Haryana, R2 had also deposed while deposing as R2W2 that
he had no concern with vehicle no. HR 38 6739.
R3W1 while deposing on behalf of R-3 insurance
company in cross examination admitted the fact
that as per the rules of insurance, it was
mandatory in case of commercial vehicles to
check the registration certificate, permit and the
fitness certificate of the vehicle to be insured and
further admitted that it was mandatory for the
development officer to retain the copies of
aforesaid documents but such copies furnished
by the insurer while taking the insurance policy
had not been produced and the plea being taken
on behalf of insurance company is dishonest to
avoid its liability taking advantage of the fact
that a mistake was committed by its agent while
recording the vehicle no. and which was
corrected in the copy given to the insurer. Said
agent by whom the insurance cover was
prepared and premium receipt given, has not
been produced by the insurance company nor
the documents supporting the contention either
in respect of vehicle no. HR 38 0739 or in respect
of vehicle no. HR 38 6739. Accordingly, I hold
that offending vehicle being HR 38 0739 was
duly insured with R-3 Oriental Insurance
Company Ltd.
The learned Tribunal imposed the cost of Rs.25,000/- on
the appellant for taking a false plea that the offending vehicle
MAC APP No.220/2008
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was not insured with it and continuing with the same stand
despite the evidence to the contrary on record and having
correct knowledge of all the facts forcing respondent No.4
(owner) to contest the proceedings and to deposit a sum of
Rs.50,000/-.
also
approached
this
court
and
was
forced
to
incur
18.
the offending vehicle bearing No. HR-38 0739 was not insured
with it and therefore, they are not liable to pay the award
amount to the claimants.
19.
The
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the truck bearing No. HR-38 0739 with the appellant through
the agent Tirlochan Singh who issued cover note No.431483
but recorded a wrong number, namely, HR-38 6739 which was
later on corrected by him on the copy given to respondent
No.4.
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20.
truck No. HR-38 6739 is false and not even plausible because:(i)
The appellant
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i
s. Under the policies of insurance, the insurers
discharge statutory obligations towards third
parties. They should do so keeping in view the
object and spirit of the Act, and the position of
hapless victims of motor accidents. Insurers
should balance their concern to safeguard its
financial interest, with their obligations as
instruments of social justice, under the
Mo
t
o
A
c
t.
19.1 The claimants are not litigants by
choice, but are constrained to approach the
Tribunal, because of death of the bread-winner or
injury to self, and because the owner and insurer
of the vehicle involved, fail to pay the
compensation. The insurer should bear in mind
that the claimants are also handicapped in
obtaining particulars of the insurance policy held
by owner or driving licence held by the driver of
the vehicle, and they solely depend upon the
police for these particulars. The insurer should,
therefore, verify whether there was any
insurance policy or not, whether the insured was
covered by insurance policy in regard to the
claim or not, and whether the driver had a
licence or not before filing its statement of
objections and narrow down the area of
controversy. If the insurers were to file play it
safe written statements, without verifying these
aspects and mechanically denying all petition
averments, the trial gets delayed and the
claimants are put to misery and unjustly kept
away from the direly needed compensation. It is
time that insurers get rid of deny everything and
await the award syndrome and become
responsible and responsive opponents in motor
accident claims. We make it clear that the above
observations are intended only for those officers
of insurance companies who refuse to recognize
their statutory obligations to third parties, under
the insurance policies issued to the insured.
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24.
25.
The insured,
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Respondent No.4
28.
However,
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The
appellant
is
directed
to
deposit the
cost
of
J.R. MIDHA, J
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