Hyderabad: The Telangana High Court pulled up the National Insurance Company for levelling allegations against the Lok Adalat and ordered it to pay a Rs 1 lakh fine for avoiding payment of Rs 8 lakh compensation to the family of a road accident victim.
A division bench comprising Chief Justice Thottathil B. Radhakrishnan and Justice A. Rajasekher Reddy was dealing with NIC’s petition to set aside the award passed by the Lok Adalat of Medak.
The Lok Adalat had asked NIC to pay Rs 8 lakh to the kin of one Puppala Agamaiah who is survived by an elderly mother, wife, a son and a daughter. The insurer alleged it had been forced by the Lok Adalat to pay the claim.
The Chief Justice came down heavily on NIC for its “frivolous appeal”. Justice Radhakrishnan asked NIC counsel, “If your manager has the guts to say that he was compelled by the Lok Adalat, ask him to appear before the court and say the same.”
“If that is the case, then you (insurance company) should shoot down that officer with your pen. He is unfit to work with the NIC which runs with public money.”
The Chief Justice asked why such frivolous petitions were filed in court. The court directed the NIC to deposit the cost at Telangana Legal Services Authority within two weeks.
