STATE CONSUMER DISPUTES REDRESSAL COMMISSION UTTARAKHAND, DEHRADUN Date of Admission : 07.06.2017 Date of Final Hearing : 22.04.2026 Date of Pronouncement : 02.05.2026 SC/5/CC/16/2017 P.S. Group Near Indane Gas Gyansu, Uttarkashi Through Sh. Praveen Singh Bhandari S/o Sh. Atar Singh Proprietor P.S. Group (Through: Sh. L.D. Thapliyal, Advocate)

…..Complainant VERSUS

1. State Bank of India General Insurance Co. Ltd.

First Floor, Shivalik Gold, 42 Subhash Road, Near SBI Main Branch, Dehradun, Uttarakhand Through Manager. PIN 248001

2. S.B.I. General Insurance Co. Ltd.

Registered & Corporate Office ‘Natraj 101, 201 & 301 Western Express Highway Junction & Andheri Kurla Road, Andheri (East)

Mumbai Pin 400069 Through Manager

3. S.B.I. General Insurance Co. Ltd.

7B, Ground Floor, Pusa Road, Opposite Rachna Cinema Opposite Metro Pillar No. 153 Rajendra Park, New Delhi. PIN 110060 Through Manager (Through: Smt. Anjali Gusain, Advocate)

…..Opposite Party Nos. 1 to 3

4. State Bank of Patiala Branch Uttarkashi Near Petrol Pump, Bus Stand, Uttarkashi Through Manager

5. State Bank of India Branch Uttarkashi, District Uttarkashi Through Bank Manager (Through: None)

…..Opposite Party No. 4 & 5 Coram:

Ms. Kumkum Rani, President Mr. C.M. Singh, Member

ORDER

(Per: Mr. C.M. Singh, Member):

This complaint has been filed on behalf of the complainant seeking relief, i.e. to direct the opposite parties to pay balance insurance amount of Rs. 23,48,946/- alongwith interest @ 18% per annum from the month of November, 2016 till the date of actual payment; Rs. 1,00,000/- towards mental agony, financial loss & harassment; Rs. 50,000/- for litigation charges and any other relief from the opposite parties deemed just and proper in the circumstances of the case.

2. Brief facts of the case are as such that the complainant has availed a loan of Rs. 25 Lacs for running and expanding his business. The stock financed out of the loan was insured with opposite party Nos. 1 to 3 under Business Package Insurance policy bearing No. 0000000003114818 for a sum of Rs. 30 Lacs for which the complainant has paid premium of Rs. 13,500/-. The said policy was valid from 26.07.2015 to 25.07.2016. It is also alleged that on dated 21.03.2016, a fire broke out at the complainant’s business premises causing extensive loss and destruction to the stock. The incident was duly reported to the concerned authorities as well as to the insurance company and a claim was lodged under the aforesaid policy. According to the complaint, despite submission of all the requisite documents and completion of necessary formalities, the Insurance Company failed to settle the claim in accordance with the terms of insurance policy. Instead of paying the total amount of Rs. 30 Lacs, only Rs. 6,51,054/- was paid by the Insurance Company, which is stated to be arbitrary and unjustified. It is further alleged that the Insurance Company has unlawfully withheld the remaining claim amount of Rs. 23,48,946/-, thereby causing financial loss, hardship and mental agony to the complainant, hence the present complaint has been filed before this Commission seeking aforesaid reliefs.

3. Since the opposite party Nos. 1, 2 and 3 are different offices and branches of opposite party No. 2, hence the written statement filed by opposite party No. 1 is treated as written statement on behalf of opposite party Nos. 1 to 3. The opposite party Nos. 1 to 3 (Insurance Company) have filed their written statement (paper Nos. 69 to 76). In the written statement, the insurance company has denied the averments made in the complaint case though they have admitted the issuance of insurance policy in question for a sum insured of Rs. 30 Lacs in favour of the complainant. The Insurance Company has further denied any liability to pay the additional claim amount of Rs. 23,48,946/- and asserted that the complainant is not entitled to any further relief. However, by way of additional pleas, it has been submitted by the Insurance Company that upon receipt of in