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AS No. 77/2019 Dt.2.04.2025
PDJ Court, Nellore. APNE000015902019
IN THE COURT OF THE PRINCIPAL DISTRICT JUDGE: NELLORE
Present: Dr C.YAMINI
Principal District Judge,
NELLORE.
Wednesday, this the 2nd day of April, 2025.
APPEAL SUIT No.77/2019
Kalluri Thirupathaiah … Appellant/Plaintiff
Vs.
1. The Chairman, L.I.C of India, Central Office, Yogakshema Building, Mumbai – 400 021.
2. The Zonal Manager, L.I.C of India, South Central Zonal Office, Opp: Secretariat, Hyderabad.
3. The Senior Divisional Manager LIC of India, Divisional Office, Nellore – 524 003.
4. The Branch Manager LIC of India, Branch Office, Atmakur, SPSR Nellore District. … Respondents/Defendants.
Appeal filed under Order 41 Rule 1 of C.P.C on behalf of
Appellant/Plaintiff against the Judgment and Decree in
O.S.No.144/2010 dated 03.05.2019 of Senior Civil Judge, Kovur, in—
O.S.No.144/2010
Kalluri Thirupathaiah … Plaintiff
Vs
1. The Chairman, L.I.C of India, 2
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PDJ Court, Nellore. Central Office, Yogakshema Building, Mumbai – 400 021.
2. The Zonal Manager, L.I.C of India, South Central Zonal Office, Opp: Secretariat, Hyderabad.
3. The Senior Divisional Manager LIC of India, Divisional Office, Nellore – 524 003.
4. The Branch Manager LIC of India, Branch Office, Atmakur, SPSR Nellore District. … Respondents/Defendants.
This appeal coming on 18.03.2025 for final hearing before me in the presence of Sri K. Tirupathaiah, Appellant/Plaintiff, appearing in-Person and of Sri D. Phani Ratnam - Advocate for the Respondents/Defendants, upon hearing and having stood over for consideration to this day, this Court delivered the following:
J U D G M E N T
1. Plaintiff/Appellant herein filed the suit to direct the defendants to pay the plaintiff an amount of Rs.3,37,959/- with subsequent interest at 18% per annum from the date of the suit till the date of realization on Rs.1,38,344/- and to pay Rs.67,000/- granting lien over personal properties of the defendants with costs.
2. The brief facts of the plaint are that :
(i) The suit is filed for recovery of amount of Rs.1,38,344/- belonging to the plaintiff out of his earning as agent commission wrongfully withheld by 3
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PDJ Court, Nellore. the 4th defendant under the instructions of the third defendant, with 18% per annum interest from date of deduction, Rs.20,000/- towards costs that were incurred by the plaintiff in travelling to meet the defendants 1 to 4 towards damages for the mental agony and sufferings the plaintiff was subjected an amount of Rs.40,000/-, Rs.5,000/- expenses incurred by the plaintiff towards correspondence, postage etc., and Rs.1,000/- amount paid as penal fee for renewal of his agent licence for no fault of him along with future interest at 18% per annum and costs of suit till realization from the defendants.
(ii). It is further averred that the plaintiff worked as registered Agent of
L.I.C of India for the past 15 years as it’s Atmakur Branch, S.P.S.R Nellore
District and rendered best services to policy holders developing the business of L.I.C of India. Taking this as advantage, Branch manager of Atmakur of
L.I.C of India and other officials wanted him to help some policy holders who were not having Bank accounts in the year 2000. Atmakur Branch Authorities told him that they would issue Policy Holders cheques in his name due to some problems with the bankers and thus obtained some empty withdrawal slips signed by the plaintiff along with pass book to encash policy holders cheques in his name through his S.B. account. Though it is beyond the procedure, he was constrained to oblige the request of his superiors as they told that their aim was only to help the Policy Holders. On 11.05.2002, the 4th defendant sent him a letter enclosing the letter of 3rd defendant dated 28.04.2002 alleging that a total amount of Rs.1,38,344/- of Corporation amount belonging to policy holders were drawn from plaintiff’s S.B account of Andhra Bank, Atmakur and were misappropriated by the plaintiff, with a direction to deposit the said amount, failing which, they will recover the same 4
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PDJ Court, Nellore. from his account and the defendants with-held plaintiff’s amount of
Rs.1,38,344/- lying in their hand and likewise other agents were also demanded and some of them were replied that they will be paid after completion of investigation. He represented his innocence and that he was not guilty of any such misappropriations, made appeals and several correspondences to all defendants and Insurance Ombudsman, Hyderabad and met all the defendants to sort out the matter. Subsequently, the 4th defendant also deducted Income Tax deductions on the earnings of Plaintiff for the period 31.05.2006 to 31.03.2007 and sent a copy to plaintiff on 16.04.2007 and likewise defendants deducted yearly Income Tax from 2002 to 2006 from his commissions that he got as his percentage out of the regular periodical subscriptions of the Policy Holders introduced by the
Plaintiff. The statement of Account No.2 furnished to him under Right to
Information Act, reveals that his amount of Rs.1,38,344/- in their hands was withheld by the defendants.
(iii). It is further averred that on his various representations, appeals made to the defendants 1 and 2 for getting all the documents pertaining to the matter in dispute under Right to Information Act, the defendants 3 and 4 could not furnish the plaintiff all the necessary documents. Further, on his representations and appeals made to Defendants 1 and 2 and Insurance
Ombudsman, Hyderabad stating that he is innocent and nothing to do with those grave allegations made by 3rd defendant. Further, on intervention of superior officers of the defendants 3 and 4, plaintiff learnt through a phone call at 12.30 P.M. on 15.04.2008 from 4th defendant that the Manager (Sales), LIC of India, Divisional Office, Nellore, invited Plaintiff by letter to 5
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PDJ Court, Nellore. attend an enquiry which communication plaintiff could not receive as he was by then studying M.Ed Course at Tirupati. Immediately, he has sent letter
dated 15.04.2008 to The Manager (Sales) LIC of India, Divisional Office,
Nellore, informing about his inability to attend but referred letters thereunder it will clarify the falsity of allegations against him. Of late, the enquiries of defendants about the misappropriations of Rs.1,38,344/- the amounts of various members of LIC of India, revealed to them that one of their Atmakur
Branch Office Staff one by name C. Dhananjaya Naidu was alone responsible for all the above alleged misappropriations and fraud.
(iv). The defendants are not agriculturists or small farmers and they all are carrying business by investing the policy holders subscriptions in various huge projects and factories at high interest at 24% to 36%, they are not entitled to the benefits of Act 3/38, Act 7/77 and Act 2/90 and hence interest is claimed at 18% per annum.
3. The defendants 3,4, 5 filed written statement denying the material plaint averments and further contended that:
(i) In fact the plaintiff has given signed blank cheques to one particular employee C.D. Naidu, Assistant to perpetuate the fraud committed by him an amount of Rs.1,38,344/- belonging to different policy holders was wrongly credited and were withdrawn from his account of Plaintiff S.B. Account of
Andhra Bank, Atmakur, without the knowledge of plaintiff, money could not be withdrawn from his account, when the defendant with-held his commission, Plaintiff was trying to prove his innocence. Though the plaintiff 6
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PDJ Court, Nellore. made several appeals to release his commission, he did not attend the inquiries on 15.04.2008 and also on 3.11.2008 conducted by enquiry Officer.
(ii). It is also true that 4th defendant also deducted income tax deductions on the earning of the plaintiff for the period 31.05.2006 to 31.03.2007 from his commission that he got as his percentage out of the regular periodical subscription of the policy holders introduced by the plaintiff and sent copy to Plaintiff on 16.04.2007. This act if subsequent to misappropriation.
(iii). It is true, the Manager (Sales) LIC of India Divisional Office,
Nellore, sent a letter to the Plaintiff calling upon him to attend for enquiry on 15.04.2008 at 12.30 P.M. But, he did not attend for enquiry on the pleas that he was studying M.Ed. Course at Tirupathi. Again another chance is given to the plaintiff to attend enquiry on 3.11.2008. But Plaintiff did not attend for enquiry. This indicates that he was guilty of his deeds and so he could not face the Enquiry Officer.
(iv). It is true that the Plaintiff issued legal demand notice dated 18.09.2009 to the defendants claiming amount of Rs.1,38,344/- wrongfully deducted from his amount. The defendants have been sending reply for every correspondence made by plaintiff. Defendant did not take any decision to release the with-held commission while so the plaintiff has proceeded to the Court of law without waiting for the final decision.
(v). When the defendant withheld an amount of Rs.1,38,344/- on 31.07.2002 from the commission of the plaintiff, plaintiff should have filed the suit for recovery of the said amount within three years of withholding the amount. If really the defendants withheld the amount illegally without any 7
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PDJ Court, Nellore. justifiable cause, he should have come to the Court within a period of 3 years to claim the amount. Hence the Plaintiff came to the Hon’ble Court beyond the period of limitation and Plaintiff suit is barred by limitation. So
Plaintiff is not entitled to any decree against the defendant. Defendants have withhold Rs.1,38,344/- not at one time but periodically whenever Plaintiff commission is accrued ranging during different years.
(vi). Claim of Rs.20,000/- towards travelling expenses incurred by
Plaintiff for going to various offices of defendants is exclusive. Plaintiff did not file any documents to prove for his claim of Rs.20,000/- Similarly claiming of Rs.5,000/- towards expenses is caused incurred towards postage and courier in correspondence to various authorities is excessive.
So sufficient proof is not filed to claim that amount of Rs.5,000/- Even for claiming damages of Rs.40,000/- due to mental agony and suffering met by
Plaintiff for 7 years is excessive. The plaintiff havingcommitted fraud and misappropriation of the amount of policy holders, he can’t have any mental agony and suffering. Plaintiff is not entitled to Rs.40,000/- from the defendant.
(vii). The Plaintiff did not renew his agency within the time, so in order to get his Agency licence renewed beyond the period, he has to pay penalty of Rs.1,000/- which is paid upon which has licence is renewed. Plaintiff is not entitled to Rs.1,000/- for renewal of agency. Plaintiff is not entitled to demand charges of Rs.1,000/- for the defendant.
(viii). Plaintiff is claiming that he is innocent and main culprit is C.D.
Dhanunjaya Naidu, Assistant, Atmakur Branch. In fact, the plaintiff himself gave in writing admitting all the transactions which itself establishes that all 8
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PDJ Court, Nellore. the transactions took place is in collusion with of C.D. Dhanunjaya Naidu in relation of the misappropriation of the amount of policy holders. So defendants have rightly with-held the amount. Hence plaintiff is not entitled to the amount as he is guilty of misconduct and misappropriation of the policy holders.
(ix). The amount claimed by Plaintiff towards interest was not justified because the with-hold amount belongs to policy holder of L.I.C of India.
People money for people welfare is the moto of L.I.C of India. Whatever surplus income earned by L.I.C 95% will be declared as Bonus to the Policy holders and 5% of it’s will be given to Government of India as it’s share.
Hence 18% interest claimed by plaintiff is not correct. Defendants have not with-held plaintiff regular commission earning but only the part of the fraudulent amount withdrawn from his account was with-held. Hence defendants need not pay any interest as claimed by the plaintiff.
(x). There is no cause of action for the plaintiff against the defendants and the alleged cause of action mentioned in the plaint is not correct.
(xi). Plaintiff is not entitled to decree against the defendants and plaintiff suit maybe dismissed with costs.
4. D1 remained exparte.
5. D2 filed memo adopting the written statement filed by D3 and D4.
6. Basing on the above pleadings, the following issues were settled for trial:
(1) Whether the defendants have rightly with-held the amount?
(2) Whether the suit is barred by limitation?
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PDJ Court, Nellore. (3) Whether the plaintiff is entitled for the suit amount?
(4) What relief?
7. On behalf of plaintiff, P.W.1 to P.W.4 were examined and got marked
Ex.A1 to A20. On behalf of defendants, D.W.1 is examined and got marked
Ex.B1.
8. After considering the oral and documentary evidence available on record, the trial court dismissed the suit without costs.
9. Aggrieved by the said Judgment and Decree dated 03.05.2019 in
O.S.No.144/2010 on the file of Senior Civil Judge, Kovur, the Plaintiff, the
Appellant herein preferred this appeal urging several grounds.
10. Now, the points that arise for consideration are :
(1) Whether the suit is barred by limitation?
(2) Whether the appellant/plaintiff is entitled for the suit amount
as claimed by him ?
(3) To what relief ?
Points 1 and 2:
11. Since points 1 and 2 are inter-related, they are dealt together.
12. The learned Counsel for the appellant filed written arguments and main gist is reiteration of pleadings and evidence and to avoid repetition, not reiterated and further contended that the suit is within limitation by relying
Sec.17 of Limitation Act, which is inapplicable and so also relied on the decisions relating to Sec.17 of Limitation Act without any explanation how
Section 17 of Limitation Act is applicable to the Appellant.
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PDJ Court, Nellore.
13. The learned counsel for the respondent contended that the respondent retained the commission in the year 2002 and the suit was filed in the year 2010 and thereby the claim of the appellant is barred by limitation and considering the same, the trial court rightly dismissed the suit and that there is no necessity to interfere with the judgment of the trial court.
14. Evidence of P.W.1 is reiteration of his plaint averments and main gist is that he worked as registered agent of LIC of India for the past 24 years at
Atmakur Branch under Ex.A1-proceedings and taking advantage of this, 4th defendant and other defendants, sought his help as Andhra Bank, Atmakur
Branch was refusing to open account to villagers and persuaded himself and other five agents and they were forced to take empty withdrawal slips duly signed by them to accommodate policy holders cheques through their
Savings Bank accounts and on 11.5.2002, 4th defendant sent him a letter enclosing the letter of 3rd defendant dt.28.4.2002 under Ex.A2 alleging that a total amount of Rs.1,38,344/- of Corporation amount belonging to policy holders were drawn from his SB account, Andhra Bank, Atmakur and was misappropriated by him, with a direction to deposit the said amount, failing which, they would recover the same from his account and the defendants withheld their agency commission of an amount of Rs.1,38,344/- and kept in deposit and so also other agents commission and he represented through
Ex.A3 to Ex.A7, Ex.A9 to Ex.A11 and Ex.A13 submitting that he was not guilty of misappropriation and approached Insurance Ombudsman, 11
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PDJ Court, Nellore. Hyderabad, but in vain. 4th defendant also deducted income tax on his earnings of agency commission and Ex.A15 reveals the same.
15. Evidence of P.W.1 further reveals that Ex.A18-letter dated 20.05.2009 from LIC, Ex.A19-charge sheet clearly reveals that the responsibility of misappropriation was fixed on C.Dhananjaya Naidu, Sr.Asst. of L.I.C. and imposed penalty of termination from service and directed to pay the misappropriated amount.
16. Evidence of P.W.1 further reveals that the defendants collected penalty licence fee of Rs.1,015/- though there is no delay on his part in renewal and as such, he is claiming Rs.3,37,959/- i.e. Rs.1,38,344/- with interest at 18% per annum in addition to Rs.20,000/- towards travelling charges and Rs.40,000/- towards damages for deficiency of service and
Rs.5,000/- towards correspondence and postage charges and Rs.1,000/- towards legal notice charges and Rs.1,000/- towards renewal of his agent licence.
17. Evidence of P.W.2 is that he is 3rd party namely C. Dhanunjaya Naidu and he was working as Development Officer of LIC Branch office, Atmakur and Plaintiff is LIC agent at Atmakur Branch and in view of Andhra Bank refused to open account of LIC policy holders, LIC Branch authorities convened their meeting of certain agents loyal to them including plaintiff and pressurized them and made them to agree to issue policy holders amounts in their names and collected their signatures on blank withdrawal slips and 12
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PDJ Court, Nellore. used to deposit the cheques written in favour of those agents in their bank accounts and arrange payments to policy holders by withdrawing money through the withdrawal slips previously obtained from those agents.
18. Evidence of P.W.2 further reveals that the LIC officials having bore grudge against him, as he filed Writ Petition No.19517/1993 before Hon’ble
High Court against LIC etc., and to trouble him and waited for an opportunity and made him responsible for misappropriation of the amounts credited in the agent accounts and charge sheeted against him and on enquiry fixed responsibility on him and imposed penalty of dismissal from service and recovery of so called misappropriated amount from him and
Annexure-B of the said charge sheet contains details of 57 cheques with amounts alleged to have been misappropriated by him and from Sl.Nos.1 to 15 for a total amount of Rs.1,38,344/- and the remaining entries, cheques and amounts belongs to other agents and it is evident that Plaintiff Agency commission of Rs.1,38,344/- has been unnecessarily recovered by L.I.C
Authorities.
19. Evidence of P.W.3 and P.W.4 consistently reveals that they were registered agents of LIC of India for the past 25 years at Atmakur Branch and in the year 2000, there came a problem in Atmakur LIC Branch in respect of opening of savings bank accounts of policy holders and when policy holders approached LIC office seeking solution, the Branch Manager and other officials convened a meeting in which they wanted them and plaintiff and some others agents to help some policy holders, who were not having Bank accounts and LIC Atmakur Branch authority told them that 13
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PDJ Court, Nellore. policy holders payments amounts will be sent back in their names by way of cheques written in their names and collected their signatures on blank withdrawal slips to withdraw cash from their S.B. Accounts to be paid to respective policy holders and then amounts of some policy holders were written in their names and deposited by LIC Authorities, in their S.B.
Accounts at Andhra Bank, Atmakur and withdrawn by LIC Authorities and those transactions were not in their knowledge and LIC Branch authorities themselves operated those transactions and though it is beyond the procedure, they were pressurized to sign on blank withdrawal slips and handed over the same to the Branch authorities and subsequently, they came to know about certain scam of misappropriation of LIC amounts surfaced in LIC Atmakur Branch and for that alleged scam, erring LIC officials made the plaintiff, himself and other agents as scapegoats and they were serve with letters to repay those amounts and when they pleaded inability, they have recovered those amounts from their agency commission payable to them and they recovered Rs.1,38,344/- from the plaintiff and recovered Rs.64,616/- from P.W.3 and recovered Rs.2,09,102/- from P.W.4.
20. Evidence of D.W.1 is that he is working as A.O in Nellore Divisional office, LIC of India, and under Ex.B1, he is authorized to give evidence on behalf of 3rd respondent. The plaintiff worked as registered agent of L.I.C of
India for past 15 years as it is Branch at Atamkur, S.P.S.R Nellore. In fact, the plaintiff has given signed blank cheques to one particular employee C.D.
Naidu, Assistant, to perpetuate the fraud committed by him an amount of
Rs.1,38,344/- belonging to different policy holders was wrongly credited and 14
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PDJ Court, Nellore. were withdrawn from his account of plaintiff S.B. account of Andhra Bank,
Atmakur. Without the knowledge of plaintiff, money could not be withdrawn from his account. Though the plaintiff made several appeals to release his commission, he did not attend the enquiries on 15.04.2008 and also on 3.11.2008 conducted by Enquiry Officer.
21. Evidence of D.W.1 further reveals that 4th defendant also deducted income tax deductions on the earning of the plaintiff for the period from 31.05.2006 to 31.03.2007 from his commission that he got as his percentage out of the regular periodical subscription of the policy holders introduced by plaintiff and sent copy to plaintiff on 16.04.2007. This act is subsequent to misappropriation. It is true the Manager (Sales) LIC of India,
Divisional Office, Nellore, sent a letter to the plaintiff calling upon him to attend for enquiry on 15.04.2008 at 12.30 P.M.. But, he did not attend for enquiry on the pleas that he was studying M.Ed course at Tirupathi. Again another chance is given to the plaintiff to attend enquiry on 3.11.2008. But the plaintiff did not attend for enquiry. This indicates that he was guilty of his deeds and so he could not face the Enquiry Officer.
22. Evidence of D.W.1 further reveals that when the defendant with-held an amount of Rs.1,38,344/- on 31.07.2002 from the commission of the plaintiff, plaintiff should have filed the suit for recovery of the said amount within three years of withholding the amount. If really the defendants withheld the amount illegally without any justifiable cause, he should have come to the Court within a period of 3 years to claim the amount. But the 15
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PDJ Court, Nellore. plaintiff came to Court beyond the period of limitation. So plaintiff suit is barred by limitation. So, plaintiff is not entitled to any decree against the defendant. Defendants have with-hold Rs.1,38,344/- not at a time, but periodically whenever plaintiff commission is accrued ranging during different years.
23. Evidence of D.W.1 further reveals that claim of Rs.20,000/- towards travelling expenses incurred by plaintiff for going to various offices of defendants is not correct. Plaintiff did not file any documents to prove his claim of Rs.20,000/-. Similarly claiming of Rs.5,000/- towards expenses is caused incurred towards postage and courier in correspondence to various authorities is not correct. So sufficient proof is not filed to claim that amount of Rs.5,000/-. Even for claiming damages of Rs.40,000/- due to mental agony and suffering met by plaintiff for 7 yeas is incorrect. The plaintiff having committed fraud and misappropriation of the amount of policy holders, he can’t have any mental agony and suffering. Plaintiff is not entitled to Rs.40,000/- from the defendants.
24. Evidence of D.W.1 further reveals that the plaintiff did not renew his agency within the time. So in order to get his agency licence renewed beyond the period, he has to pay penalty of Rs.1,000/- which is paid upon which licence is renewed. Plaintiff is not entitled to Rs.1,000/- for renewal of agency. Plaintiff is not entitled to demand charges of Rs.1,000/- from the defendant.
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PDJ Court, Nellore.
25. Evidence of D.W.1 further reveals that plaintiff is claiming that he is innocent and main culprit is C.D. Dhanunjaya Naidu, Assistant, Atmakur
Branchy. In fact the plaintiff himself gave in writing admits that all this transaction which itself establishes that all the transactions took place in collusion with of C.D. Dhanunjaya Naidu in relation of misappropriation of the amount of policy holders. So defendants have rightly withhold the amount. Hence plaintiff is not entitled to the amount as he is guilty of misconduct and misappropriation of the policy holders.
26. Evidence of D.W.1 further reveals that the amount claimed by the plaintiff towards interest was not justified because the with-hold amount belong to policy holder of L.I.C of India people money for people’s welfare is the moto of L.I.C of India. Whatever surplus income earned by L.I.C. 95% will be declared as Bonus to the policy holders and 5% of it will be given to
Government of India as it’s share. Hence 18% interest claimed by plaintiff is not correct. Defendants have not with-held plaintiff regular commission earning but only the part of the fraudulent amount withdrawn from his account was with-held. Hence defendants need not pay any interest as claimed by the plaintiff.
27. Evidence of D.W.1 further reveals that there is no cause of action for the plaintiff against the defendants and the alleged cause of action mentioned in the plaint is not correct. Plaintiff is not entitled to a decree against the defendants and plaintiff suit may be dismissed with costs.
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28. D.W.1 admitted at cross in page No.3 that they have withheld
Rs.1,38,344/- from plaintiff and they were called for explanation from C.D.
Naidu in respect of the same cheques and the C.D.Naidu was terminated from service under Ex.A20. Evidence of P.W.1 , P.W.2-C.D. Naidu, P.W.3 and P.W.4 other agents is that during the year 2000, in view of Andhra Bank refused to open accounts to LIC policy holders, the LIC officials convinced
P.W.1, P.W.3, and P.W.4 and other agents and pressurized them to agree to issue policy holders amounts in their names and collected their signatures on blank withdrawal slips, used to deposit the cheques written in favour of those agents in their Bank accounts and arranged payments to policy holders by withdrawing money through the withdraw slips previously obtained from those agents. P.W.2 is employee of LIC.
29. Evidence of P.W.1, P.W.2-C.D. Naidu coupled with Ex.A19-charge sheet filed against P.W.2 employee of L.I.C and Annexure-B of Sl.No.1 to 15, reveals that P.W.2 was also charge sheeted for misappropriation of
Rs.1,38,344/- and the same amount was with-held from P.W.1. Evidence of
P.W.1 and P.W.2-C.D. Naidu and Ex.A20/ final orders reveals that P.W.2 was awarded with penalty of recovery of amount of Rs.5,59,113.80 (including Rs.1,38,344/-) and so also dismissal from the service for misappropriating the amounts. No criminal action was initiated against P.W.1 for misappropriating Rs.1,38,344/-.
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30. The specific stand of the appellant/plaintiff is that the Bank Authority received blank signed withdrawal slips to distribute the amount to the policy holders whose amounts were credited into his account. Evidence of P.W.1,
P.W.2 coupled with Ex.A19 and Ex.A20 clearly reveals that L.I.C Employee i.e. P.W.2 was held responsible for misappropriation of Rs.1,38,344/- i.e.
P.W.1 amount was with-held by the LIC Agent and that amount was ordered to recover from P.W.2-C. Dhanunjaya Naidu, who is LIC employee. The LIC
Authority on one hand, imposed penalty of Rs.138,344/- on their employee for misappropriation of that amount and on the other hand, withhold the amount of P.W.1, even without initiating any action against appellant/plaintiff for misappropriation and without any proof that appellant/plaintiff misappropriated that amount. No doubt, on 11.5.2002, 4th defendant sent a letter intimating to deposit Rs.1,38,344/- otherwise, the amounts would be recovered from any payment due to him from L.I.C.
31. Ex.A8-information furnished by LIC under R.T.I Act to the appellant/plaintiff at para 15 reveals that in response to the letter of the appellant/plaintiff dt.5.3.2007, they replied that they could not take action on the letter before completion of their investigation into the misappropriation of the policy amount and this information also has been communicated to the appellant by the first appellate authority/Sr.Divisional Manager vide his letter dt.10.10.2008. The letter of the appellant dt.5.3.2007 i.e. Ex.A13 reveals that without considering his explanation an amount of Rs.1,38,344/- was illegally withheld from his commission dues and kept in stale cheque account and requesting to release the same. Thus, Ex.A13 coupled with Ex.A18 19
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PDJ Court, Nellore. dt.20.5.2009 reveals that the request of release of the amount of plaintiff could not take action before completion of their investigation into the misappropriation of the policy amount. Para No.7 of written statement averments reveals that the defendants have been sending his reply for every correspondence made by the plaintiff and the defendant did not take any decision to release the withheld commission, while so, the plaintiff has proceeded to the court of law without waiting for the final decision. Thus, it is clear the defendant/respondent till the date of filing of the suit in the year 2010 even did not refuse to pay the amount due to the plaintiff to start limitation and they only withheld the amount but not credited into it’s account. Under the above circumstances, it can’t be held that the suit is barred by limitation.
32. The appellant herein failed to establish that he is entitled for legal expenses, travelling expenses, renewal of licence charges etc., except his commission amount of Rs.1,38,344/- withheld by the LIC/defendant.
Accordingly, Points No.1 and 2 are settled in favour of appellant/plaintiff.
Point No.3:
33. In the result, appeal is partly allowed with costs by setting aside the
Judgment and Decree dated 3.05.2019 in O.S.144/2010 on the file of Senior
Civil Judge, Kovur, by partly decreed the suit directing the defendants to
pay an amount of Rs.1,38,344/- with interest at 18% per annum from the date of withheld till the date of filing of the suit and thereafter with interest at 20
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PDJ Court, Nellore. 12% per annum on Rs.1,38,344/- from the date of filing of the suit till this date and thereafter at 6% interest per annum.
Typed to my dictation by the Stenographer, corrected and pronounced by me in Open Court, on this the 2nd day of April, 2025.
Sd/- Dr. C. Yamini
PRINCIPAL DISTRICT JUDGE,
NELLORE.
APPENDIX OF EVIDENCE
-N i l-
Sd/- Dr. C. Yamini
PRINCIPAL DISTRICT JUDGE,
NELLORE.
//True copy//
PRINCIPAL DISTRICT JUDGE,
NELLORE.
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