CWP No. 7114-08 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH. C.W.P.No. 7114 of 2008 Date of decision 7 .5.2008 SBI Life Insurance Company Limited ...Petitioner Versus Union Territory of Chandigarh ... Respondent. CORAM: HON'BLE MR. JUSTICE M.M. KUMAR HON'BLE MRS. JUSTICE SABINA Present: Mr. Tejinder Bishnoi, Advocate for the petitioner. M.M.KUMAR, J. The instant petition is directed against order dated 23.7.2007 passed by the Permanent Lok Adalat ( Public Utility Services) U.T., Chandigarh. The Lok Adalat has recorded a categorical finding that a period of 2 ½ months elapsed between the date of deposit of money by the applicant- respondent and the allocation of units at the prevailing Net Assets Value (NAV). The applicant- respondent contributed to Unit Linked Insurance Policy Scheme (for brevity 'the Scheme') which has been sponsored by the petitioner for a sum of Rs. One lac which she deposited on 28.12.2005 by way of demand draft. In accordance with the terms of the Scheme the applicant- respondent stood insured on payment of rupees one CWP No. 7114-08 2 lac as one time premium for a sum equivalent to five times the amount paid by her and accordingly she was to be allotted units at the prevailing NAV which on the date of deposit was Rs.10.51 per unit. She made a grievance made before the Lok Adalat that she had received a policy with commencement of risk w.e.f. 13.3.2006 and out of rupees one lac paid by her Rs. 25,067/- were deducted on account of certain charges and balance was converted into units at NAV prevailing rate on 13.3.2006 which was Rs.14.99 per unit. The claim made before the Lok Adalat is that she should have been allotted units at NAV prevailing rate of Rs.10.51P. which would have brought her more units in stead of allotting the units on 13.3.2006. When the matter could not be disposed of by consent of the parties, the Lok Adalat assumed jurisdiction under Section 22(C)(8) of the Legal Services Authority Act. The Lok Adalat held that there was lapse and deficiency in service on the part of the petitioner and it was not entitled to place reliance on the condition of the scheme because the same is unfair trade practice. It has also been found that the condition No.4(d) of the Scheme was brought to her notice only after the payment of demand draft has been made. It was in these circumstances that the Lok Adalat issued directions keeping in view the principles of justice, equity and fair play. We have heard learned counsel at a considerable length and find that there is no legal infirmity in the view taken by the Lok Adalat. The petitioner has no right to delay the allotment of units for 2 1/2 months after the demand draft was issued by the petitioner. It has worked to her disadvantage which in equity and fairness has been found to be unwarranted. We are therefore satisfied that the impugned order does not suffer from any legal flaw and the same is accordingly upheld. CWP No. 7114-08 3 For the reasons recorded above, this petition fails and the same is accordingly dismissed. (M.M.Kumar) Judge (Sabina) 7.5.2008 Judge okg