Date of filing :08.08.2012.

IN THE TAMILNADU STATE CONSUMER DISPUTES REDRESSAL COMMISSION, CHENNAI.

Present: Hon’ble THIRU JUSTICE R. SUBBIAH : PRESIDENT C.C.No. 91 of 2012 [Restored as per the order of NCDRC in FA No.624/2022 dated 31.03.2023]

Friday, the 28^th day of June 2024 M/s. Sripathy Associates Regd. By Partnership Firm Having office at No.62, Thangaperumal Street, Erode Rep. through its Managing Partner .. Complainant - Vs –

1. The Branch Manager National Insurance Co.Ltd., Branch Office I No.78 TVS Street, Erode.

2. The Divisional Manager National Insurance Co. Ltd., No.73, Perundurai Road Erode.

3. The State of Tamil Nadu Rep. by the Chief Engineer Fishing Harbour Project Circle DMS Compound, Teynampet Chennai- 600 006. .. Opposite Parties Counsel for the Complainant : M/s. S. Ananth Counsel for the Opposite parties 1 & 2 : Mrs. N. Premalatha Counsel for the 3^rd Opposite Party : Mr. K. Kumaran This Complaint came up for final hearing on 30.10.2023 and, after hearing the arguments of the counsels for all the parties and perusing the materials on record and having stood over for consideration till this day, this Commission passes the following:-

O R D E R

R.SUBBIAH J., PRESIDENT This complaint has been filed by the Complainant under Section 17 of the Consumer Protection Act, 1986, as against the opposite parties, for the following reliefs:

a) To pay a sum of Rs.73,34,850/- together with interest @ 8%

from 19.08.2010 till the date of filing [Claim amount Rs.73,34,850 + interest Rs.11,56,225/-.];

b) To pay a sum of Rs.5,00,000/- towards the loss of business on account of the illegal action of the opposite parties; and c) To pay a sum of Rs.5,00,000/- on account of loss of reputation by the illegal action of the opposite parties 1 & 2.

2. In brief, the case of the complainant as projected in the Complaint is as follows:

The complainant is carrying on civil construction business along with other construction activities. They had rich knowledge and experience in major civil construction works and also had vast experience in construction of retaining wall in the sea shores to prevent sea erosion and breakwater in Kanyakumari District and Puducherry. So far they have done nearly 5 such similar works and all the works were insured. The complainant was the successful bidder in the tender for construction of “Breakwater and its approaches for fishing harbour” at Thengapattinam, Kanyakumari District. The State Government accorded administrative approval for the said work vide G.O.Ms.No.27 AHD & F (RSI) department dated 05.03.2009 and the technical sanction vide CR.No.1/09-10. The Superintending Engineer of the 3^rd opposite party issued the work order dated 02.12.2009 and the approximate cost of construction for the said work is Rs.27,62,60,930/-. The complainant was directed to pay the initial security deposit of Rs.55,30,000/-. The terms of contract was reduced to writing in an Agreement dated 03.04.2010 by the 3^rd opposite party, with the complainant. The details about the execution of construction of breakwater work according to the design etc., was specified in the Agreement. As per the Agreement entered between the complainant and the 3^rd opposite party, the complainant has to execute the work according to the specifications, within the time schedule. The complainant has to execute the construction work along the alignment marked by the 3^rd opposite party. All the drawings were enclosed along with the Agreement. As per Clause-7 of the Additional conditions of the Agreement, the complainant had the option to avail Contractors’ All Risk Insurance Policy. On the said basis, the complainant availed Contractor’s All Risk Insurance Policy with the 1^st and 2^nd opposite parties, on payment of a premium amount of Rs.95,643/- and obtained the Insurance coverage certificates from the 1^st and 2^nd opposite parties. The tenders were invited by the 3^rd opposite party for Construction of break waters to form a sheltered bay area for the fishing crops