Mr. Justice B.S. Yadav, Member—This is an appeal against the Order dated the 13th February, 1992 passed by the State Consumer Disputes Redressal Commission, Chandigarh in complaint Case No. 169 of 1991. The facts as appear from the record are that a Maruti Car had been purchased in the name of Mrs. Archana Wadhwa. Its Registration No. is CHK-9253. A Comprehensive Insurance Policy was issued in respect of that car by the present appellant. New India Assurance Company Ltd. The policy was valid from 24.10.1988 to 23.10.1989. The complainant, M/s. Complete Insulations (P) Ltd. (for short the Company) now Respondent had paid the premium amount to the Insurance Company. On 15th June, 1989, the registration of the car in question was got transferred from the name of Mrs. Archana Wadhwa to that of the complainant. The complainant sent a letter dated the 26th June, 1989 to the Insurance Company under Certificate of Posting informing that the registration of the Car had been transferred in his name and requested that the Insurance Policy be transferred in its name. No reply of that letter was received by the Complainant from the Insurance Company. A reminder was issued by the Complainant on 24th July, 1989 again under Certificate of Posting. This was also not replied to by the Insurance Company. The Car met with a serious accident on 17th September, 1989 in which the sister of the Managing Director of the Company died and he himself suffered serious injuries for which he was hospitalised for two months. On 11th October, 1989 the Complainant informed the Appellant about the accident and requested for assessment of damage as the Car was a total loss. There was no response from the insurer. The Complainant sent a reminder on 26th December, 1989 for settlement of the claim but with no effect. The Complainant also got issued a notice to the insurer in reply to which the insurer repudiated the claim on the ground that the Complainant did not have any insurable interest in the Car. With the above allegations the Complainant claimed a sum of Rs. 83,000/- for insured value of the Car which was a total loss plus Rs. 50,000/- for the loss suffered in business and also claims interest on these amounts.

2. The claim was resisted by the Appellant Insurance Company whose contention, apart from the denial of other facts, was that the insurance policy was in the name of Mrs. Archana Wadhwa and, therefore, no compensation for the damage/loss of the car could be claimed by the Complainant. It was further contended that Mrs. Archana Wadhwa was not the owner of the vehicle at the time of the accident so the insurance policy had lapsed.

3. It appears that before the State Commission on behalf of the Insurance Company it was urged that the request for the transfer of the insurance policy was made by the Complainant and not by the insured whose name appeared in original policy and therefore the insurer was entitled to repudiate the claim. This plea was overruled by the State Commission on the ground that it did not benefit the insurer to raise such technical objection as all the facts regarding the coverage of the vehicle, its accident etc. were proved. The State Commission allowed the claim and directed the insured to pay Rs. 83,000/- to the Complainant plus Rs. 500/- on account of litigation expenses for the proceedings. It was further ordered that the said amounts would carry interest at the rate of 12% per annum w.e.f. 10th March, 1990 on which date the claim was repudiated till payment. The insurer was directed to pay the said amounts within one month from the date of the Order.

4. The insurer, feeling aggrieved of the said Order has filed this appeal.

5. Through various grounds have been raised in the memorandum of appeal but the only one that was strenuously pressed before us was that as the Insurance Policy had not been transferred in favour of the transfer of the vehicle, it had lapsed. In support of this argument reliance was placed upon “Anand Saru