High Court Kerala High Court

The Oriental Insurance Co.Ltd vs Regi on 19 October, 2009

Kerala High Court
The Oriental Insurance Co.Ltd vs Regi on 19 October, 2009
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

MACA.No. 165 of 2007()


1. THE ORIENTAL INSURANCE CO.LTD.,
                      ...  Petitioner

                        Vs



1. REGI, S/O.KURIAN,
                       ...       Respondent

2. BIJU JOSE, S/O.JOSE,

3. V.T.THOMAS, VELUTHEDATHUPARAMBIL

                For Petitioner  :SRI.GEORGE CHERIAN (THIRUVALLA)

                For Respondent  :SRI.P.V.GEORGE(PUTHIYIDAM)

The Hon'ble MR. Justice M.N.KRISHNAN

 Dated :19/10/2009

 O R D E R
                          M.N.KRISHNAN, J.
                           -------------------------
                     M.A.C.A. NO. 165 OF 2007
                     -------------------------------------
              Dated this the 19th day of October, 2009.

                            J U D G M E N T

This is an appeal preferred by the Insurance Company against

the award of the Claims Tribunal Thodupuzha in OP(MV) 858/1997.

The Tribunal found that the owner has suppressed material facts and

obtained a policy. The Insurance company has to compensate the

third party and to recover from the owner. The Tribunal in Para 19 of

the award has clearly mentioned ” therefore, there was suppression of

material facts on the part of the insured at the time of taking the

policy”. This very same point came up for consideration before a

Division Bench of the Madhya Pradesh High Court in the decision

reported in 2007 A.C.J 991 Radhabai and others Vs. Siddique and

others. It was held that the Insurance Company is liable to pay the

compensation. The Division Bench held as follows:

” Fastening of liability on the insurer has

gone a sea change. After the decision in 2003

A.C.J (1) (SC) New India Assurance Company

Limited Vs. Asha Rani . The apex court has now

come to a conclusion that in cases of fake licence

and fraud alleged by the Insurance company and

M.A.C.A. NO. 165 OF 2007 2

the violation of other conditions of policy. The

Insurance Company would continue to remain

laible to the innocent third party but could recover

the same from the insured”.

What is precisely done by the Tribunal is the same. Therefore, the

award passed by the Tribunal does not call for any interference. So

the appeal is dismissed.

M.N.KRISHNAN, JUDGE

ln.