Supreme Court division bench consisting of Dr. Justice D.Y. Chandrachud and Justice Hemant Gupta have, in its order in the case- Madhav Hari Joshi v.

1. The two appeals in this case arose from the decisions of the National Consumer Disputes Redressal Commission – NCDRC, on February 26, 2015 and April 29, 2015. The appellant submitted a proposal to the LIC under its Jeevan Aastha Plan on January 31, 2009.

2. It is not in dispute that together with the proposal, the appellant had paid an amount of Rs 1,75,000/- inclusive of an amount of Rs ten thousand towards additional risk premium. This Plan was open for subscription for 45 days between December 8, 2008 and January 22, 2009.

3. In response to the LIC’s offer of another plan through the communication of its Branch Officer on April 15, 2009,the appellant wrote to the Chairman of the LIC recording his grievance that he had complied with all formalities, including the payment of additional premium and had undergone a medical test.

4. Eventually, as it transpired, neither was a policy issued to the appellant nor were his moneys refunded. That led him to file a complaint before the District Consumer Disputes Redressal Forum, Thane in 2012.

5. The District Forum allowed the complaint with direction to the LIC to refund the amount of Rs 1,75,000/-. In addition, compensation in the amount of Rs 4,25,000 was granted on the ground that the appellant had been deprived of his moneys for a period of five years.

6. The State Consumer Disputes Redressal Commission , Mumbai, confirmed the order of District Forum.

7. The LIC instituted the revisional proceedings before the National Commission. The National Commission maintained the direction for the payment of Rs 1,75,000/-.

8. The Supreme Court has made it amply clear that the amount of Rs2 lakhs shall be in addition to what has been ordered by the National Commission and disposed of these appeals.

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