IMPORTANT POINT
Where insurance claim was settled and received by insured, in absence of any evidence that discharge voucher or receipt had been obtained from complainant fraudulently or by exercise of undue influence or by misrepresentation or the like or coercive bargaining, consumer complaint would not lie.

H.K. Sema, J.—The challenge in this appeal is to the order dated 8th September, 2004 passed by the National Consumer Disputes Redressal Commission (hereinafter the Commission) in Original Petition No. 42 of 1996. By the aforesaid order, the Commission directed the appellant, National Insurance Company Ltd., to pay interest @ 6% on Rs.70,38,038/- from 10th December 1990 till 8th June, 1994 within a period of eight weeks by way of damages.

2. A limited notice was issued by this Court on 13.01.2005 on payment of interest @ 6% as damages by reason of delay in payment.

3. The sole question to be determined in this appeal is, as to whether there was any delay in making the payment of Rs. 70,38,038/- and if so, the insurance company, the appellant is liable to pay interest @ 6% for delay in payment as ordered by the Commission.

Few background facts may be noted:

In 1990, five transit insurance were obtained by the respondent herein for covering their consignment to Sudan for their principals i.e. M/s Sudan Gezire Rehabilitation Project, Khartoum, Sudan. The policies were issued subject to the terms and conditions. It was discovered that on arrival of the consignment there was some damage on account of rust. The investigations were carried out in respect of the transit of the consignment at the destination port to find out as to at which stage the damage to the consignment could have had occurred. A dispute was also raised between the parties as to who would be entitled to receive the claim amount as the shipment was on C.I.F. basis. Ultimately, the matter was resolved and the legalized documents of consignments were furnished to the appellant on 21.5.1993. Thereafter, various correspondences between the parties to accept the offer of the claim amount as offered by M/s American President Lines. It is alleged that till the letter dated 25.6.1993 written by the appellant there was no acceptance of the offer by the complainant-respondent herein and the matter was withheld at the instance of the complainant. There was also a dispute between the parties because in the policy, the machinery items were subject to institute replacement clause, which provided for the indemnity to be made only when the loss or damage suffered by the goods to the extent of actual cost of repairs, replacement and conditions effected and incurred. The complainant was also claiming that they had incurred out of pocket expenses and, therefore, the appellant was asking them to provide and furnish the necessary bills in support of total expenses incurred by them, which they failed to do and therefore, the matter was again referred to M/s Webster & Co. for making the investigation into the possible cost involved from M/s Nipha and their local suppliers, respondent herein.

4. Ultimately, M/s Webster by its letter dated 8.4.1994 settled the claim on the basis of consignment as done by the Surveyors.

5. In the facts and circumstances, as recited above, it cannot be said that prior to the letter dated 8.4.1994 the claim had been finally settled and the payment was withheld by the appellant. After the settlement of the amount US $279158.40 equivalent to Rs.70,38,038/- was paid to the respondent on 8.6.1994. The respondent received the aforesaid amount and gave a clean discharge to the appellant without any qualification, signifying receipt of the amount in full and final settlement of the claim.

6. Mr. Mahendra Anand, learned senior counsel, appearing on behalf of the respondent, referred to a letter dated 17.3.1991 and submitted that by the aforesaid letter right, title and interest was vested with M/s Nipha Exports Private Ltd. by Sudan Gezire Rehabilitation Project. In the letter aforesaid, it is stated that they have no objection to settle the claim in favour of M/s Nipha Exports Private Ltd., and advised to address the correspondence direct to them in future. It is his contention that there is no explanation whatsoever by the appe