M/S. HANIL ERA TEXTILES LTD. vs ORIENTAL INSURANCE CO. LTD. . — C.A. No. 1112/2000
Case under Section I-B. Status: Disposed.
CNR: SCIN010010262000
Filing Date
17-Jan-2000
Registration No
C.A. No. 1112/2000
Diary Number
1026/2000
Order Date
29-Nov-2000
Document Type
Judgment - of Main Case
Disposal Type
Dismissed
Last updated 30-May-2026
Acts & Sections
Petitioner(s)
-
1.M/S. HANIL ERA TEXTILES LTD.
Adv. ABHIJAT P. MEDH (Dead / Retired / Elevated)
Respondent(s)
-
1.ORIENTAL INSURANCE CO. LTD. .
Adv. M. K. DUA
Case History
CASE SUMMARY: Hanil Era Textiles Ltd. v. Oriental Insurance Co. Ltd. The Supreme Court allowed the appeal and ruled that Oriental Insurance Company illegally withheld Rs. 1,20,77,614/- from the appellant's fire insurance claim. The court found that the Blow-room in the textile mill was properly segregated from the rest of the facility (evidenced by double fire-proof doors, the fire not spreading to it, and the insurer's initial charging of higher premium for that section), making the insurance company's subsequent demand for additional premium of Rs. 1,13,13,344/- unjustified. The court ordered the insurer to pay the withheld amount with 12% annual interest from the complaint filing date, holding that the insurer breached principles of utmost good faith by failing to inform the insured about required fire-protection systems before policy issuance. This case analysis is maintained by casestatus.in based on publicly available court records.
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