This writ petition is filed seeking a mandamus declaring the unilateral cancellation of Long Term Group Janata Personal Accident (JPA) policy bearing No.050600/4 7/51/1364/98 issued by the respondents, in the midst of currency of the policy, as arbitrary and illegal and C consequently to declare that the same is enforceable under law and condition No.6 of the said policy is not valid and enforceable and also to declare the letter dated 12.4.2002 addressed by the 2nd respondent as arbitrary and illegal.

2. Petitioner is Police Officers Association, Adilabad District Unit represented by its President-M.A. Kareem. Respondent No.1 is the Managing Director of United India Insurance Company Limited, Chennai and the 2nd respondent is the Divisional Manager of the said company at Warangal.

3. According to the petitioner, police forces of the Government of Andhra Pradesh are trained and highly motivated and vital organs for maintaining law and order with the object of meeting, facing and tackling even grave law and order situation including problems, such as, communal, terrorist and desperados. Thus, in the course of discharge of their duties, the members of the police forces have to take necessary risk of life inherent in the job. As such, they require insurance cover for their lives and also for the possible accidents and injuries that may be caused in course of execution of their jobs. Respondent NO.1-United India Insurance Company Limited is a subsidiary of the General Insurance Corporation of India under the control of the Insurance Regulatory and Development Authority (IRDA), Ministry of Finance, Government of India. The General Insurance business was nationalized in the year 1972 by the General Insurance Business Nationalization Act, 1972 and as such, the General Insurance Corporation of India is an instrumentality of the State. Respondent No.1, a subsidiary of the Corporation and the 2nd respondent Warangal District Branch Office of the 1st respondent, are instrumentalities of the State and are amenable to writ jurisdiction of this Court under Article 226 of the Constitution of India. Respondent No.2 contacted the petitioner and offered to issue 10 years Long Term Group Janata Personal Accident Insurance Policy to the employees working in the Police Department, covering the risk of death and disability arising out of any accident or otherwise on payment of one time premium in lump sum. As per the offer, petitioner-association intimated the members of various forces working in its jurisdiction at various places and obtained their willingness to take membership of the Janata Personal Accident Insurance Policy. Several members of the police forces working in Adilabad District from top to bottom gave their consent. Accordingly, they made one time lump sum payment of the insurance premium payable towards the Long Term Group Janata Personal Accident Insurance Policy No.050600/47/51/1364/98 covering the period from 5.2.1999 to 4.2.2009. The premium amounts were remitted to the respondents by collecting necessary amounts from the salaries of the individual employees. As per its terms, the policy covered the risks of death and personal injuries for a period of 10 years up to 4.2.2009. Thus, the full premium amount for the entire period of 10 years was paid in advance and it was accepted covering the risk of all the insured members of the police force of Adilabad District represented by the Police Officers' Association, Adilabad and Karimnagar. While so, the Association received a communication dated 12.4.2002 from the 2nd respondent stating that as per condition No.6 of the terms of policy, the policy was cancelled with effect from 27.4.2002, on the advise of the Regional Office. In f the said communication it is also stated that they are entitled for the return of prorata premium for the unexpired period. According to the petitioner, cancelling the policy unilaterally under the pretext of condition No.6 of the terms of policy is ar