Kerala High Court
Hycount Marketing Division vs Hdfc Life Insurance Limited on 11 September, 2024
Author: Dinesh Kumar Singh
Bench: Dinesh Kumar Singh
2024:KER:69939
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH
WEDNESDAY, THE 11TH DAY OF SEPTEMBER 2024 / 20TH BHADRA, 1946
WP(C) NO. 14832 OF 2024
PETITIONERS:
1 HYCOUNT MARKETING DIVISION,
VI/410, 1, PARK AVENUE TEMPLE RD, ALUVA,
ERNAKULAM,REPRESENTED BY ITS MANAGING PARTNER,
MANADATH HABEEB HINSAF, PIN - 683101.
2 MANADATH HABEEB HINSAF,
AGED 36 YEARS,
MANAGING PARTNER, HYCOUNT MARKETING DIVISION,
VI/410, 1, PARK AVENUE TEMPLE RD, ALUVA,
ERNAKULAM, PIN - 693101.
3 FATHIMA AYSHA,
AGED 29 YEARS,
PARTNER, HYCOUNT MARKETING DIVISION,
VI/410, 1, PARK AVENUE TEMPLE RD,
ALUVA, ERNAKULAM, PIN - 683101.
BY ADVS.
SRI. JOB ABRAHAM
SRI. A. KUMAR (SR.)(K/529/1992)
RESPONDENTS:
1 DHANI LOANS & SERVICES LIMITED
(FORMERLY INDIABULLS IVL LTD.),
REGD. OFFICE: L/1E, 1ST FLOOR, EAST PATEL NAGAR,
NEW DELHI - 110 008 WITH ITS BRANCH OFFICE AT:
CORP. OFFICE: ONE INTERNATIONAL CENTRE, TOWER 1,
4 TH FLOOR. S. B. MARG, ELPHINSTONE (W), MUMBAI,
REPRESENTED BY ITS MANAGING DIRECTOR, PIN - 400013.
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2
2024:KER:69939
2 AUTHORIZED OFFICER,
DHANI LOANS & SERVICES LIMITED,(FORMERLY
INDIABULLS IVL LTD.),REGD. OFFICE: L/1E, 1ST
FLOOR, EAST PATEL NAGAR, NEW DELHI - 110
008,WITH ITS BRANCH OFFICE AT:CORP. OFFICE: ONE
INTERNATIONAL CENTRE,TOWER 1, 4 TH FLOOR. S. B.
MARG, ELPHINSTONE (W), MUMBAI, PIN - 400013
3 BABILU BABY,
ADVOCATE COMMISSIONER IN MC 978/2023,
M/S C K ARAVINDAKSHA MENON ASSOCIATES,
GOVIND BUILDING, M G ROAD, KOCHI, PIN - 682016.
BY ADVS.
SRI. MADHU RADHAKRISHNAN
SRI. NELSON JOSEPH(K/380/2007)
SRI. M.D.JOSEPH(K/839/2008)
SRI. DEEPAK ASHOK KUMAR(K/1624/2018)
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD
ON 11.09.2024, ALONG WITH WP(C).23466/2023, THE COURT ON
THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
3
2024:KER:69939
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE DINESH KUMAR SINGH
WEDNESDAY,THE 11TH DAY OF SEPTEMBER 2024/20TH BHADRA, 1946
WP(C) NO. 23466 OF 2023
PETITIONERS:
1 HYCOUNT MARKETING DIVISION,
VI/410, 1, PARK AVENUE TEMPLE RD, ALUVA,
ERNAKULAM,REPRESENTED BY ITS MANAGING PARTNER
MANADATH HABEEB HINSAF, PIN - 683101.
2 MANADATH HABEEB HINSAF,
MANAGING PARTNER, HYCOUNT MARKETING DIVISION,
VI/410, 1, PARK AVENUE TEMPLE RD, ALUVA,
ERNAKULAM, PIN - 683101.
3 FATHIMA AYSHA,
PARTNER, HYCOUNT MARKETING DIVISION VI/410, 1,
PARK AVENUE TEMPLE RD, ALUVA,
ERNAKULAM -683 101.
4 MANADATH HABEEB HINSHARA,
PARTNER, HYCOUNT MARKETING DIVISION VI/410, 1,
PARK AVENUE TEMPLE RD, ALUVA,
ERNAKULAM, PIN - 683101
BY ADVS.
SRI. JOB ABRAHAM
SRI. A. KUMAR (SR.)
RESPONDENTS:
1 HDFC LIFE INSURANCE LIMITED,
EXCELUS, 13TH FLOOR, APOLLO MILLS COMPOUND,
N. M. JOSHI MARG, MAHALAXMI,
MUMBAI, PIN - 400011,
REPRESENTED BY ITS MANAGING DIRECTOR.
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
4
2024:KER:69939
2 DHANI LOANS & SERVICES LIMITED,
(FORMERLY INDIABULLS CONSUMER FINANCE LTD.)
REGD. OFFICE: L/1E, 1ST FLOOR, EAST PATEL NAGAR,
NEW DELHI - 110 008 WITH ITS BRANCH OFFICE AT:
CORP. OFFICE: ONE INTERNATIONAL CENTRE,TOWER 1,
4TH FLOOR. S. B. MARG, ELPHINSTONE (W),
MUMBAI, PIN - 400 013,
REPRESENTED BY ITS MANAGING DIRECTOR.
3 INDIABULLS HOUSING FINANCE LIMITED,
5TH FLOOR, BUILDING NO. 27,
K G MARG CONNAUGHT PLACE, NEW DELHI - 110 001,
THROUGH ITS BRANCH OFFICE AT A1 & C,
1ST FLOOR, TEEPEYEM TOWERS, RAVIPURAM ROAD,
KOCHI MG ROAD, ERNAKULAM, PIN - 110 001,
REPRESENTED BY ITS MANAGING DIRECTOR.
4 INSURANCE REGULATORY AND
DEVELOPMENT AUTHORITY OF INDIA,
3RD FLOOR, PARISRAMA BHAVAN, BASHEER BAGH,
HYDERABAD-500 004., PIN - 500004
5 FATHIMA SANAM NASSAR M. K. ,
W/O. LATE MANADATH HABEEB HINFAS NO. 8/331
NEW NO. 10/450, RESURVEY NO. 38 BLOCK NO. 79,
OLD SURVEY NO. 23113, ALUVA WEST VILLAGE,
ALUVA TALUK, ERNAKULAM 683 101.
ALSO AT SREEROSH APARTMENT,
NASHEEMAN, KANNOTHUMCHAL, THANA P. O.,
KANNUR, PIN - 670012.
6 ZOHAAN MANADATH HINFAS (MINOR),
S/O LATE MANADATH HABEEB HINFAS THROUGH THEIR
MOTHER FATHIMA SANAM NASSAR M. K.,
NO. 8/331, NEW NO. 10/450, RESURVEY NO. 38,
BLOCK NO. 79. OLD SURVEY NO. 23113,
ALUVA WEST VILLAGE, ALUVA TALUK,
ERNAKULAM 683 101.
ALSO AT SREEROSH APARTMENT,
NASHEEMAN, KANNOTHUMCHAL, THANA P. O., KANNUR
THROUGH THEIR MOTHER FATHIMA SANAM NASSAR M. K,
PIN - 670012.
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
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2024:KER:69939
7 ZIYANAH MANADATH HINFAS (MINOR),
D/O LATE MANADATH HABEEB HINFAS
FATHIMA SANAM NASSAR M. K., NO. 8/331,
NEW NO. 10/450, RESURVEY NO. 38 BLOCK NO. 79.
OLD SURVEY NO. 23113, ALUVA WEST VILLAGE,
ALUVA TALUK,ERNAKULAM 683 101.
ALSO AT SREEROSH APARTMENT,
NASHEEMAN, KANNOTHUMCHAL, THANA P. O., KANNUR,
THROUGH THEIR MOTHER FATHIMA SANAM NASSAR M. K
REPRESENTED BY HER MOTHER
FATHIMA SANAM NASSAR M. K, PIN - 683 101.
8 AUTHORIZED OFFICER,
DHANI LOANS & SERVICES LIMITED (FORMERLY
INDIABULLS CONSUMER FINANCE LTD.),
REGD. OFFICE: L/1E, 1ST FLOOR, EAST PATEL NAGAR,
NEW DELHI - 110 008 WITH ITS BRANCH OFFICE AT:
CORP. OFFICE: ONE INTERNATIONAL CENTRE, TOWER 1,
4TH FLOOR. S. B. MARG, ELPHINSTONE (W),
MUMBAI, PIN - 400013.
BY ADVS.
SRI. S. SREEKUMAR
SRI. JITHIN SAJI ISAAC
SRI. MADHU RADHAKRISHNAN
SRI. N. KRISHNA PRASAD
SRI. NELSON JOSEPH (K/380/2007)
SRI. M. D. JOSEPH (K/839/2008)
SRI. DEEPAK ASHOK KUMAR (K/1624/2018)
SRI. A. MOHAMMED FAIZAL (M-275)
SRI. P. SHANES METHAR (K/968/2004)
SRI. BHARATH MOHAN (K/1392/2020)
SRI. PUSHPARAJ K. P. (K/1098/2012)
SRI. ARJUN P. V.(K/003638/2022)
SRI. HARKISH SREETHU V. S.(K/003341/2022)
SRI. K. J. SAJI ISAAC
SRI. ELIZABETH VARKEY
SRI. AJEESH EMMANUEL
SRI. SHAMSUDEEN O. K.
THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD
ON 11.09.2024, ALONG WITH WP(C).14832/2024, THE COURT ON
THE SAME DAY DELIVERED THE FOLLOWING:
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
6
2024:KER:69939
DINESH KUMAR SINGH, J.
--------------------------
W.P.(C) Nos. 14832 of 2024 & 23466 of 2023
-------------------------
Dated this the 11th day of September, 2024
JUDGMENT
1. The present writ petition has been filed impugning the
possession and sale notice of the secured assets issued by the
respondents for recovery of the outstanding liability of loan
advanced by the 2nd respondent to the petitioner for Rs.
3,37,79,200/-.
2. At the time of taking the loan, a life insurance policy in the
name of the Managing partner, late Manadath Habeeb Hinfas was
taken from the HDFC Life Insurance Company Ltd. The life
insurance of Mr. Manadath Habeeb Hinfas was for an amount of Rs.
2,42,80,721/-. This policy was taken for a period of five years
commencing from 14.05.2018 and expiring on 13.05.2023. It
appears that, Mr. Manadath Habeeb Hinfas expired on 06.04.2021.
The claim for payment of the sum assured for the life of late
Manadath Habeeb Hinfas was rejected by the HDFC Life Insurance
Company Ltd. on the ground of some spelling mistake in the
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2024:KER:69939
insurance form. However, the Insurance Company now agrees to
pay the sum insured.
3. The learned Counsel for the 2 nd respondent submits that the
sum should be given to the 2nd respondent directly which should be
adjusted towards the outstanding liability of the loan.
4. The learned Counsel for the petitioners does not have any
objection for giving the insurance amount directly to the 2 nd
respondent and for adjusting the same towards the outstanding
liability.
5. in view thereof, the HDFC Insurance Company Ltd. is directed
to remit the insurance amount to the 2 nd respondent. So far as the
question of interest is concerned, the issue is covered by the
Insurance Regulatory and Development Authority of India
(Protection of Policy Holders' Interests) Regulation, 2017.
Regulation 14(2)(iv) and (v) of the said Regulation provides that; in
case of delay on the part of the insurer in settling the claim on due
date, the life insurer is required to pay interest at a rate, which is 2%
above the bank rate from the due date of payment or date of
receipt of last necessary document from the insured/claimant,
whichever is later.
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2024:KER:69939
6. In the present case, the request for disbursement of the
insurance amount was received on 04.08.2022. There has been
delay in finalising the payment of sum insured, and therefore, for
delay, the Insurance Company has to pay the interest in terms of the
aforesaid Regulation. As per the Bank rate, the interest is 4% and,
therefore, the Insurance Company has required to pay the interest is
@ 6% on the sum assured from 04.08.2022 till they make the
payment to the 2nd respondent.
7. The HDFC Insurance Company Ltd. is directed to make the
payment of the sum insured as well as 6% interest thereon w.e.f.
04.08.2022 within period of one month to the 2 nd respondent. After
the 2nd respondent receives this amount, the petitioners should
approach the 2nd respondent for one time settlement of the
outstanding dues/rescheduling the payment terms for the balance
amount, if any.
8. The petitioners should approach within period of ten days
from the date when the 2nd respondent receives the payment from
the HDFC Insurance Company Ltd. for settlement of the outstanding
dues as one time or rescheduled payment terms as the case may be.
With the aforesaid directions, the present writ petition stands
allowed.
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2024:KER:69939
In view of the decision in the W.P.(C) No. 14832 of 2024, the
impugned sale notice is hereby set aside. However, further
proceedings under the SARFAESI Act would be dependent on the
final outcome of the settlement between the petitioners and the
respondents.
With the above direction the present writ petition is hereby
allowed.
Sd/-
DINESH KUMAR SINGH
JUDGE
Svn
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2024:KER:69939
APPENDIX OF WP(C) 23466/2023
PETITIONERS' EXHIBITS
EXHIBIT P1 TRUE COPY OF THE LOAN AGREEMENT DATED NIL
EXHIBIT P2 TRUE COPY OF THE MEMBER'S CERTIFICATE OF
INSURANCE BEARING NO. PP000206011ZL_00 DATED
14.05.2018
EXHIBIT P3 TRUE COPY OF THE CLINICAL REPORT OF ASTER
MEDICITY DATED 06.04.2021
EXHIBIT P4 TRUE COPY OF THE DEATH CERTIFICATE OF
MANADATH HABEEB HINFAS
EXHIBIT P5 TRUE COPY OF THE PASSPORT OF MANADATH HABEEB
HINFAS
EXHIBIT P6 TRUE COPY OF THE EMAIL DATED 20.06.2021
ISSUED TO 2ND RESPONDENT
EXHIBIT P7 TRUE COPY OF THE EMAIL DATED 08.04.2022 SENT
TO 4TH RESPONDENT
EXHIBIT P8 TRUE COPY OF EMAIL DATED 09.04.2022 SENT BY
4TH RESPONDENT
EXHIBIT P9 TRUE COPY OF EMAIL DATED 13.04.2022 RECEIVED
FROM 1ST RESPONDENT
EXHIBIT P10 TRUE COPY OF THE EMAIL DATED 20.04.2022 SENT
TO 2ND RESPONDENT
EXHIBIT P11 TRUE COPY OF THE EMAIL DATED 21.04.2022
RECEIVED FROM 1ST RESPONDENT
EXHIBIT P12 TRUE COPY OF THE EMAIL DATED 26.04.2022 SENT
TO INSURANCE OMBUDSMAN
EXHIBIT P13 TRUE COPY OF THE EMAIL DATED 07.05.2022 SENT
BY 1ST RESPONDENT
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2024:KER:69939
EXHIBIT P14 TRUE COPY OF LETTER DATED 10.05.2022 ISSUED
BY OFFICE OF INSURANCE OMBUDSMAN, KOCHI
EXHIBIT P15 TRUE COPY OF THE EMAIL DATED 23.05.2022 SENT
BY THE 1ST RESPONDENT
EXHIBIT P16 TRUE COPY OF LETTER DATED 24.05.2022 ISSUED
BY OFFICE OF INSURANCE OMBUDSMAN, KOCHI
EXHIBIT P17 TRUE COPY OF THE EMAIL DATED 31.05.2022 SENT
TO 1ST RESPONDENT
EXHIBIT P18 TRUE COPY OF THE SAID E-EMAIL DATED
16.06.2022 RECEIVED FROM 1ST RESPONDENT
EXHIBIT 19 TRUE COPY OF THE WRIT PETITION NO. 22329 OF
2022 (WITHOUT EXHIBITS)
EXHIBIT P20 TRUE COPY OF JUDGMENT DATED 02.11.2022 IN
WPC NO. 22329 OF 2022 OF THIS HON'BLE COURT
EXHIBIT P21 TRUE COPY OF LETTER DATED 25.01.2023 ISSUED
BY 1ST RESPONDENT REJECTING INSURANCE CLAIM
EXHIBIT P22 TRUE COPY OF CLARIFICATION LETTER DATED
10.04.2023 SENT BY 1ST RESPONDENT
EXHIBIT P23 TRUE COPY OF THE EXTENSION OF TIME PETITION
(WITHOUT ANNEXURES) FILED BY THE 1ST
RESPONDENT BEFORE HON'BLE HIGH COURT OF
KERALA IN CON. CASE(CIVIL) NO. 595 OF 2023
EXHIBIT P24 TRUE COPY OF THE ORDER DATED 25.05.2023 IN
IN CON. CASE(CIVIL) NO. 595 OF 2023 PASSED
BY THIS HON'BLE COURT
EXHIBIT P25 TRUE COPY OF THE EMAIL DATED 22.03.2023 SENT
TO 2ND RESPONDENT
EXHIBIT P26 TRUE COPY OF EMAIL DATED 08.07.2023 SENT BY
2ND RESPONDENT
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2024:KER:69939
EXHIBIT P27 TRUE COPY OF THE RELEVANT PAGE OF THE LOAN
REPAYMENT SCHEDULE OF DHANI LOANS & SERVICES
LIMITED DATED 14.03.2023
EXHIBIT P28 TRUE COPY OF THE BANK ACCOUNT STATEMENT OF
THE LOAN ACCOUNT DATED 14.03.2023
EXHIBIT P29 TRUE COPY OF THE DEMAND NOTICE DATED
13.03.2023 SENT BY 8TH RESPONDENT
EXHIBIT P30 TRUE COPY OF THE EMAIL DATED 17.03.2023 SENT
TO 1ST RESPONDENT
EXHIBIT P31 TRUE COPY OF THE NOTICE DATED 08.06.2023
ISSUED BY 8TH RESPONDENT TAKING SYMBOLIC
POSSESSION
EXHIBIT P32 TRUE COPY OF SALE NOTICE DATED 24.06.2023
ISSUED BY 8TH RESPONDENT
EXHIBIT P33 TRUE COPY OF THE JUDGMENT DATED 13.07.2023
IN WPC NO. 22859/2023 OF THIS HON'BLE COURT
EXHIBIT P34 TRUE COPY OF THE REPRESENTATION SENT BY
EMAIL DATED 16.03.2022
EXHIBIT P35 TRUE COPY OF THE CIRCULAR BEARING NO.
IRDA/LIFE/CIR/172/09/2019DATED 26.09.2019
RESPONDENT EXHIBITS
EXHIBIT R1 TRUE COPY OF THE MEMBER'S CERTIFICATE OF
INSURANCE
EXHIBIT R2 THE TRUE COPY OF THE ORDER DATED 21.07.2022
EXHIBIT R3 TRUE COPY OF THE ORDER DATED 21/7/2022 IN
CON. CASE NO. 1358 OF 2022
EXHIBIT R1(A) TRUE COPY OF THE PROPOSAL FORM SUBMITTED BY
THE 2ND RESPONDENT HEREIN/2ND PETITIONER
WP(C) NOS. 14832 OF 2024 & 23466 OF 2023
2024:KER:69939
APPENDIX OF WP(C) 14832/2024
PETITIONERS' EXHIBITS
EXHIBIT P1 TRUE COPY OF CERTIFICATE OF INSURANCE NO.
PP000206011ZL DATED 14.05.2018
EXHIBIT P2 TRUE COPY OF THE PASSPORT COPY OF THE
MANADATH HABEEB HINFAS
EXHIBIT P3 TRUE COPY OF THE JUDGMENT DATED 02.11.2022
IN WPC NO. 22329 OF 2022
EXHIBIT P4 TRUE COPY OF THE JUDGMENT IN CONTEMPT
PETITION NO. 595 OF 2023 DATED:25/05/2023
EXHIBIT P5 TRUE COPY OF LETTER DATED 10.04.2023 ISSUED
BY HDFC LIFE INSURANCE LIMITED
EXHIBIT P6 TRUE COPY OF THE WRIT PETITION NO. 23466 OF
2023 PRESENTED ON 18/07/2023 (WITHOUT
EXHIBITS)
EXHIBIT P7 TRUE COPY OF THE COUNTER-AFFIDAVIT FILED BY
1ST RESPONDENT HEREIN IN WPC NO. 23466 OF
2023 PRESENTED ON 16/08/2023
EXHIBIT P8 TRUE COPY OF THE EMAIL DATED 08.07.2023
EXHIBIT P9 TRUE COPY OF THE NOTICE ISSUED BY THE
ADVOCATE COMMISSIONER DATED:19/03/2024
EXHIBIT P10 TRUE COPY OF THE SALE NOTICE DATED
28.03.2024 ISSUED BY 2ND RESPONDENT
