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2023 Supreme(Online)(MAD) 44376

MADRAS HIGH COURT
Star Health and Allied Insurance Company Limited – Appellant
Versus
Himanshu Pathak and another – Respondent
OA 3 2023



O.A.No.3 of 2023

and A.No.17 of 2023

in C.S.No.1 of 2023

Reserved on

10.04.2023

Delivered on 07.06.2023

K.KUMARESH BABU, J.

The following applications have been filed seeking for various reliefs:

(a)O.A.No.3 of 2023 has been filed to pass an order of interim injunction

pending the suit restraining the respondents, their men, agents, servants,

representatives and persons acting for and on behalf of the respondents from in

any manner publishing/sharing/dealing with the illegality accessed information

relating to the applicant and any of the insured customers of the applicant more

fully described in the Vulnerabilities Report dated 19.12.2022 in any form

whatsoever which may prejudice the interest of applicant and/or its customers.

(b)A.No.17 of 2023 has been filed to appoint Advocate Commissioner and

provide him with such assistance by a Technical Expert to access and inspect the

computer systems and computer network of the respondents and seize such

date/information/documents/works relating to the applicant and its customers as

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have been stolen/illegally accessed by the respondents from the IT and Data

Systems of the applicant and hand over such information/documents/records

whether electronic or otherwise to the applicant with the report being submitted to

this Court, pending disposal of the suit.

2.A suit had been initiated by the plaintiff seeking for the following reliefs:

(a)Permanent injunction restraining the defendants and their men, agents,

servants, representatives and persons acting for and on behalf of the defendants

from in any manner publishing/sharing/dealing with the 'illegally accessed

information' relating to the plaintiff and any of the insured customers of the

plaintiff in any form whatsoever which may prejudice the interest of the plaintiff

and/or its customers.

(b)Mandatory injunction directing the defendants and their men, agents,

servants, representatives and persons acting for and on behalf of the defendants to

hand over 'illegally accessed information' more fully set out and described in

Vulnerabilities Report dated 19.12.2022 including all such information/details

relating to the plaintiff and/or its customers as may be stored in the computer

systems/network/any other kind of memory device/hardware or software to the

plaintiff.

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(c)Direct the defendants to pay a sum of Rs.5,00,00,000/- (Rupees five

crores) as compensation to the plaintiff for illegally accessing the IT systems of

the plaintiff and gaining/attempting to gain illegal and unauthorized access to the

information relating to the plaintiff and its customers.

d) Cost of the suit.

e) Such other reliefs in the interest of justice.

3.The case of the plaintiff is that the plaintiff is a licensed Health Insurer

providing health insurance products to retail and corporate customers across India.

The plaintiff has about 815 branches in India and a network of more than 462

brokers who directly reach out to the customers and extend insurance covers that

suit their requirements. Apart from the aforesaid conventional methods, the

plaintiff had also launched an application called “Star Power” which is a part of its

digital expansion so that the prospective and the existing customers can meet their

requirements of buying policies or lodging claim through the said application.

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4.The plaintiff is also a listed company and functioning of the plaintiff is

subject to the regulation of SEBI apart from IRDAI. The IRDAI had issued

guidelines in the year 2017 for ensuring the safety, security and integrity of

automatic data processing systems, privacy of data and also to provide adequate

internal mechanisms for reviewing, monitoring and evaluating its control

procedures and safeguards. To comply with the guidelines issued by the IRDAI,

the applica

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