Mr. Justice A.L. Bahri, President—Life Insurance Corporation is in appeal challenging order of District Forum, Amritsar dated September 3, 1998 whereby direction was given to the Corporation to pay the insured amount of Rs. 40,000/- with 15% interest from the date of repudiation of the claim and costs of Rs. 1,000/- to the complainant Kewal Kumar.

2. Ved Parkash aged about 53 years had taken a life insurance policy in the sum of Rs. 40,000/- from Life Insurance Corporation effective from September 28, 1992. In 1996, the policy lapsed for non-payment of the premium. It was revived on June 30, 1997. Ved Parkash died on September 8, 1997. At that time he had suffered Asthma attack. Kewal Kumar lodged the claim for the insured amount with the Corporation which was repudiated on the ground that the deceased/insured had not disclosed material facts regarding his health at the time of getting the lapsed policy revived. Hence, District Forum was approached. The Corporation justified repudiation. On the evidence led, the impugned order was passed.

3. The question for consideration in this appeal is as to whether the Corporation bona fide took the decision to repudiate the claim on the ma