Date of Filing : 25.06.2019 Date of Disposal : 30.11.2024 BEFORE THE KARNATAKA STATE CONSUMER DISPUTES REDRESSAL COMMISSION, BENGALURU (PRINCIPAL BENCH)

DATED THIS THE 30th DAY OF NOVEMBER 2024 PRESENT Mr. K.B.SANGANNANAVAR : JUDICIAL MEMBER Mrs M.DIVYASHREE : LADY MEMBER CC-NO.333/2019

1. Bhanumurthy.V.

Aged 69 Years, Mother of Late Latha Gopalan, No.83, 3rd Main Road, Income Tax Layout, Vijayanagar, Bengaluru-560040.

2. Kum. Shefali N Koushik D/o Late Latha Gopalan Minor by guardian Bhanumurthy.V. . ..Complainant/s (By Adv.Sri.Ranjan Shetty)

VS

1. C

1 h .

ief Operating Officer SBI Life Insurance Co. Ltd., Client Relationship Department, Central Processing Centre, 7th Level (D Wing) & 8th Level, Sea Woods Grand Central, Tower-2, Plot No.R-1, Sector-40, Seawoods, Nerul Node, Dist.Thane, Navi Mumbai-400706.

2. Manager SBI Life Insurance Co. Ltd., No.119, 1st Floor, JP Arcade, 5th Main, Sir Puttanna Chetty Road, Chamarajpet, Bengaluru-18.

(By Adv.Sri.K.P.Thrimurthy)

3. Chief Manager and Authorised Officer Retail Assets Central Processing Centre (RACPC), 1 #13/1, Bull Temple Road, Basavanagudi, Bengaluru-560004

4. Chief Manager State Bank of India, Nagarbhavi 2nd Stage, BDA Site 188, 80 Ft. Ring Road, 2nd Block, Nagarbhavi, Bengaluru-560072… ... Opposite party/s (By Adv.Sri.B.C.Guru)

ORDER

BY Mr.K.B.SANGANNANAVAR : Pri.Dist & Session Judge (R) - JUDICIAL MEMBER.

1. This is a complaint filed U/s.17 of CPA 1986 with following prayers:

To direct SBI life to pay the insured amount of Rs.51 lakhs to SBI, Nagarbhavi branch, Bengaluru or the amount to clear the outstanding loan taken for the Flat no.A142 by late Mrs.Latha Gopalan and the balance amount out of Rs.51 lakhs be paid to Complainant.2 who is minor daughter of the deceased Latha Gopalan.

To direct SBI to claim the amount due on account of Housing Loan of Mrs.Latha Gopalan from SBI life, against the policy assigned in favour of SBI by late Mrs.Latha Gopalan.

To direct SBI, Nagarbhavi branch, Bengaluru to close the outstanding loan taken and release the housing loan documents to Kum.Shefali N Koushik who is daughter of the deceased Mrs.Latha Gopalan.

2. The brief facts of the case of the Complainant would be stated as follows:-

This complaint is filed by Kum.Shefali N Koushik minor girl, daughter of late Mrs.Latha Gopalan through her grandmother Mrs.Bhanumathy.V as guardian. Mrs.Latha Gopalan, a Divorcee passed away due to dengue fever on 23.07.2017 at the age of 38 years. She had taken SBI Life-Smart Shield Level Term Assurance Policy for Rs.51 lakhs in 2013. She had paid the first premium of Rs.7,734/- in cash. Subsequent premiums for the month of December 2014 and December 2015 were also paid. The insurance premium covering the period up to 02.12.2016 was duly paid. On 01.12.2016, SBI had tried to deduct insurance premium from her SB a/c 20020876877 but the system showed “rejection. A/c cannot be overdrawn. Reason being insufficient balance.” Her mother Mrs.Bhanumathi.V had requested the branch to appropriate the proceeds of the SBI life policy towards the housing loan taken by her daughter Mrs.Latha Gopalan. Based on her request letter dtd.17.10.2017, SBI Nagarbhavi branch had made a reference to SBI life. SBI life vide their reply dtd.25.10.2017 informed SBI Nagarbhavi branch that the policy was in a lapsed state and that SBI branch if they so desired could make a representation in a month‟s time. Unfortunately neither SBI branch made a representation nor informed till personally Complainant went on 23.01.2018. She has requested Head Claims, SBI life to condone the delay and consider her representation for the reasons that non-maintenance of sufficient balance in SB a/c in SBI Nagarbhavi branch on 01.12.2016 was presumably due to her daughter‟s preoccupation with other matters. She was Vice President HR in a German Company. It appears that she did not notice the omission and lapse occurred by oversight. Moreover, no reminder appears to have been sent to the resident by SBI branch or SBI life,