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1998 DIGILAW 75 (PAT)

Oriental Insurance Co. Ltd. v. Shakti Spring Industries (P) Limited

1998-01-28

M.Y.EQBAL, R.A.SHARMA

body1998
Order 1. The respondent in this appeal filed writ petition being CWJC No. 2395 of 1995 (R) seeking a writ of mandamus directing the insurance company to make payment of a sum of Rs. 12,56,841/- to it on account of theft committed in its premises. The learned Single Judge allowed the writ application directing the insurance company to satisfy the claim within four months, failing which it was liable to pay interest @ 12% per annum with effect from 30.3.1995. Being aggrieved by the said order passed by this Court on 7.11.1996, in the aforesaid writ petition, the insurance company has filed this letters patent appeal. 2. We have heard the counsel for the parties. 3. The learned Single Judge has allowed the writ petition relying on the surveyors report wherein recommendation was made for payment. A preliminary objection raised on behalf of the appellant insurance company to the effect that a contractual matter relating to money claim cannot be gone into in writ jurisdiction and for this reason, the writ petition is not maintainable was rejected by the learned Single Judge with the observation that 'when the claims are being admitted, the parties are not being asked to be dragged to strenuous civil litigation. 4. It is true that in the instant case, the surveyor submitted his report recommending payment to the writ petitioner, but it was not accepted by the appellant insurance company and the claim of the respondent writ petitioner was rejected. The fact that the claim of the respondent was rejected by the insurance company is not disputed. In view of the fact that the claim of the respondent has already been rejected by the insurance company, it is not possible to grant relief to it. The fact of the theft and the amount of loss caused to it on that account has to be established by the petitioner-respondent by producing evidence before the appropriate forum. This Court under Article 226 of the Constitution of India is not the appropriate forum for such a dispute. The writ application has to be dismissed. It will be open to the petitioner-respondent to seek appropriate relief in any other forum, including arbitration, if so advised. 5. In the result, this appeal is allowed and the judgment of the learned Single Judge is, accordingly, set aside and the writ petition is dismissed. The writ application has to be dismissed. It will be open to the petitioner-respondent to seek appropriate relief in any other forum, including arbitration, if so advised. 5. In the result, this appeal is allowed and the judgment of the learned Single Judge is, accordingly, set aside and the writ petition is dismissed. However, there will be no order as to costs.