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2017 Supreme(Mad) 206
IN THE HIGH COURT OF JUDICATURE AT MADRAS
C.V. KARTHIKEYAN, J.
M/s. Sriraj Steels (P) Ltd. - Plaintiff
Vs.
United India Insurance Co. Ltd. - Defendant
C.S. No. 602 of 2010
Decided On : 03-02-2017
For the Plaintiff : Mr. Rathina Asohan.
For the Defendant : Mr. M.B. Gopalan.
Headnote:
Indian Penal Code - Sections 147, 452, 427, 379, 149 - Companies Act 1956 - General Insurance Business (Nationalisation) Act 1972 - Damages and value of each machinery - Damages for mental agony – Claim of Compensation - Plaintiff is a Private Limited Company incorporated under the provisions of Companies Act 1956 and having their manufacturing unit and registered office - Plaintiff is engaged in the manufacture of steel ignots, castings etc - They have a production capacity of 2400 MTS /per annum - hostile action by the electricity department and financial strain, the unit was temporarily closed - Plaintiff have been taking Standard Fire and Special Perils Policy with defendant, which had been regularly renewed and the last renewal was valuing the building and stocks vide policy - Premium has also been paid – Held, plaintiff for the loss suffered is quantified at Rs.31.55 lakhs and even though plaintiff has claimed interest at the rate of 18% p.a., Court hold that the defendant is liable to pay any interest only at the rate of 6% p.a. This is on the ground that the defendant is a Public Limited Company dealing with public money. Consequently, I hold that the plaintiff is entitled to interest from the date of the plaint till the date of judgment, but entitled to interest at 6% p.a. from the date of decree till the date of payment at 6% p.a. only - Issue is answered accordingly - In the result, suit is decreed for a sum amount together with interest at the rate of 6%p.a. from the date of plaint till the date of realisation. Time for payment is 3 months from the date of receipt of a copy of this Judgment by the defendant. In view of the contractual relationship between the parties, costs are not awarded – Ordered Accordingly
The Suit filed for a direction directing the defendant insurance company to pay a sum of Rs.39,65,619/- together with interest at the rate of 18% p.a. on Rs.31,55,000/- from the date of filing this suit till the date of realisation and also to pay a sum of Rs.10,00,000/- as damages for mental agony caused to the plaintiff for delay in rejection of the claim and for costs.
2. The Plaint :
The plaintiff is a Private Limited Company incorporated under the provisions of Companies Act 1956 and having their manufacturing unit and registered office at Sanniyasikuppam, Pondicherry. The plaintiff is engaged in the manufacture of steel ignots, castings etc. They have a production capacity of 2400 MTS /per annum.
3. It had been stated that due to the hostile action by the electricity department and financial strain, the unit was temporarily closed in August 2006. The plaintiff have been taking Standard Fire and Special Perils Policy with the defendant from March 2003, which had been regularly renewed and the last renewal was from 04.04.2007 to 03.04.2008 valuing the building at Rs.44.50 lakhs and stocks at Rs.40 lakhs vide policy No.010803/11/07/11/00000006. The premium has also been paid.
4. It had been further stated that on 30.07.2007 at around 3.00 p.m., a group of people consisting of 20 to 25 rowdy elements tresspassed into the plaintiff's factory, attacked the security guard caused damages to the building, removed the machinery ransacked the factory premises and looted valuable materials and properties. They also took away some of the vital parts of the machinery and the main part of compressor was taken away in a bullock cart. This happening occurred for a period of two hours. A police complaint was given immediately, but the police came only on the next day. FIR No.111 of 2007 for the offences punishable under Sections 147, 452, 427, 379 of IPC read with 149 of IPC was registered and 10 to 12 people were arrested and remanded to judicial custody. This was brought to the knowledge of the Divisional Manager, Mr. Vasanth Singh of the defendant on 30.07.2007, on the very same day itself at 11.00 p.m. On 31.07.2007, the defendant sent Mr. Mohammed Ali, Surveyor to conduct site inspection. The plaintiff submitted the claim form on 07.09.2007 estimating the loss at Rs.31.55 lakhs along with statement of loss and a copy of the FIR.
5. In the plaint, the details had also been given with respect to the theft / damages and value of each machinery which are as follows :-
S.No.
Details
Theft/Damage
Value
(in lacs)
I
Furnace :
a. Capacitor
6 Nos.
b. Electronic Devices
6 Nos.
c. Copper Busbar/Plate/Linths
24 Nos.
d. Copper Choke
1 No.
e. Copper C.T. Coil
1 No.
f. Transformers
4 Nos.
g. Heat Exchanger
1 No.
h. S.S. Motor (5 HP)
1 No.
i. Panel Board
1
15.00
II
Plant and Machinery
a. Electronic Circuit Board
3.75
III
Crane
a. 3 HP Motor
2 Nos.
b. Steel Rope / Control box
0.60
IV
Machineries :
a. Pollution Equipment 7.5HP Motor
1 No.
0.75
b. Air Compressor
2 Nos.
1.00
c. Welding Machine
1 No.
0.40
d. Weighing Machine
1 No.
0.50
e. C.I. Bed (2 MT)
2 Nos.
0.40
f. Trumpet (1 MT)
1 No.
0.20
V
Transformers (2 Nos.) Power Cable
52 Meters
1.00
VI
Motors (Mono Block Pump)
a. 7.5.HP
1 No.
b. 5.0 HP
2 Nos.
c. 3.0 HP
1 No.
0.30
VII
Cooling Tower (3 HP Motor)
2 Nos.
0.40
VIII
Furniture and Office Equipments
a. 1.5 MT Window A/c.
1 No.
b. Steel Almerah
1 No.
c. Coil Fan
2 Nos.
Sofa set
