JUDGMENT :

HEMANT M. PRACHCHHAK, J.

1. Present petition is filed by the petitioner under Article 226 of the Constitution of India and under the provisions of the Life Insurance Corporation of India (Agents) Regulation, 1972 seeking following reliefs:-

(A) Admit and allow this petition.

(B) Allow the present Special Civil Application by issuing a writ of certiorari and/or any other appropriate writ, to quash and set aside impugned decisions / orders / corrigendum dated 09.04.2010 rendered by the respondent No.1 is without assigning reason, illegal, arbitrary, against the documentary evidence, without considering detailed representation and the order dated 21.07.2003 passed by the respondent, the order dated 09.08.2004 passed by the zonal Manager in appeal filed by the petitioner and the order dated 17.02.2005 passed by the Chairman are erroneous, illegal and arbitrary.

(C) issue suitable writ, direction and/or under Art.226 of the Constitution of India to direct the respondent to release the renewal commission of the petitioner and further direct the respondent to permit the petitioner to work as agent of the Life Insurance Corporation of India.

(CC) This Hon’ble Court may be pleased to issue suitable writ, order or directions by directing the respondent authorities to make the full outstanding payment of commission along with interest till date plus business compensations from 2002 onwards and also benefit of club membership to the present petitioner forthwith and the amount of the commission may be ordered to be paid with 18% interest p.a.

(D) be pleased to grant interim relief in terms of para 20(C) till this petition is finally heard and decided.

(E) Pass any such other and further orders, as deemed just and proper, looking to the facts and circumstances of the case, in the interest of justice.”

2. Brief facts of the present petition are, in nutshell, as under:-

2.1 It is the case of the petitioner that the petitioner was appointed as an agent for Life Insurance Corporation of India and she had worked very sincerely and satisfactorily in collecting the insurance business for the Corporation for more than 18 years. The petitioner has been conferred membership in Divisional Manager's Club in the year 1995.

2.2 It is the case of the petitioner that senior manager of the Corporation at Veraval Branch has lodged FIR before Veraval City Police Station against seven persons including son of the petitioner alleging the surrender value of Rs.8303/- in respect of policy No.74473233 was obtained by producing forged documents and the son of the petitioner has conspired in opening bogus account in the bank in the name of the policy holder who had died on 16.07.1998.

2.3 It is the case of the petitioner that though the petitioner was not connected with the said conspiracy, a show cause notice dated 17.04.2002 to the petitioner asking the petitioner as to why her agency should not be terminated, for which the petitioner made a representation. That after the show cause notice, the petitioner made representation dated 04.05.2002, thereafter, a letter dated 10.05.2002 of the respondent Corporation addressed a letter on 10.05.2002 to the petitioner which was received by her on 17.06.2002. It is contended that pursuant to the letter dated 10.05.2002 the petitioner gave a reply on 27.06.2002 and has informed the Manager that by letter dated 09.04.2002 her agency put on suspension and therefore she could not complete new business guarantee.

2.4 It is the case of the petitioner that the respondent then issued corrigendum to the show cause notice on 20.12.2002 which was received by the petitioner on 31.12.2002 thereby the Corporation stated as to why the action of termination of agency with forfeiture of commission should not be taken against the petitioner. The respondent did not call the petitioner for hearing and passed an order dated 21.07.2003 imposing penalty of termination of agency under Rule 16(1)(b) with forfeiture of renewal commission under Rule 19