Case Name / Number: Special Leave to Appeal (C) No.5582 of 2023 (SLP(C) No.5582/2023).
Parties: Oriental Insurance Co. Ltd (Petitioner) vs. Tuni Pati & Ors.; National Insurance Company Limited (Petitioner) vs. K. Saravanan & Ors.
Court / Authority: Supreme Court of India.
Date of Order / Hearing: 26‑05‑2026 (order issued on same date).
Reference Orders: Impugned final judgment dated 19‑05‑2022 (MACA No.324/2021, High Court of Orissa); Court order dated 06‑04‑2026 directing payment; Court order dated 30‑04‑2026 acknowledging compliance by respondent No.2.
Period of Violation / Dispute: Non‑payment of the directed amount from 18‑04‑2023 onward.
Parties Involved
Petitioners: Oriental Insurance Co. Ltd; National Insurance Company Limited.
Respondents (selected): Tuni Pati & Ors.; K. Saravanan & Ors.; multiple insurance companies listed as respondents (e.g., Axis Max Life Insurance Ltd., ICICI Prudential Ltd., Kotak Mahindra Ltd., etc.).
Judges: Hon'ble Mr. Justice Ahsanuddin Amanullah; Hon'ble Mr. Justice Prasanna B. Varale.
Counsel: Various advocates listed for both petitioners and respondents (e.g., Mr. H. Chandra Sekhar, Ms. Manjeet Chawla, etc.).
Issues / Allegations / Violations
The Court ordered the petitioner‑insurance company to pay the remaining amount of Rs.2,75,780.82 with 6% interest accruing from 18‑04‑2023 to respondents No.1‑3.
The payment was to be made within two weeks of the order dated 06‑04‑2026.
The petitioner‑insurance company had not complied with the payment direction as of the hearing date.
The Court emphasized the duty of the petitioner to keep respondents informed about implementation.
Appearance requirements: all insurance companies must disclose their name when appearing; failure to do so may attract suo motu contempt.
Findings & Observations
The Court observed non‑compliance with the payment order and reiterated the petitioner’s duty to inform respondents.
It noted that respondent No.2 had complied with the Court’s order dated 30‑04‑2026, and this compliance was recorded.
The Court warned that continued non‑compliance would lead to contempt proceedings against the CMD of the petitioner‑insurance company.
Penalties / Settlements / Directions
Payment Direction: Rs.2,75,780.82 plus 6% interest from 18‑04‑2023, payable within two weeks of 06‑04‑2026.
Contempt Threat: If payment is not made, contempt proceedings will be initiated against the CMD of the petitioner‑insurance company on the next listing date.
Counter‑Affidavits: All respondent‑insurance companies must file detailed counter‑affidavits, personally affirmed by their CMDs or MDs, by 10‑07‑2026.
Appearance Rule: Any insurance company appearing without disclosing its name will face suo motu contempt; CMDs of companies not appearing must personally attend the next listing and show cause.
Compliance Acknowledgement: Respondent No.2’s compliance with the 30‑04‑2026 order is recorded.
Corrective Actions & Future Obligations
Petitioners must inform respondents of the status of the payment order.
Respondent insurers must prepare and submit counter‑affidavits as directed, with personal affirmation by senior management.
All parties must ensure proper disclosure of their identity during appearances to avoid contempt.
CMDs of non‑appearing insurers must be present at the next hearing and provide explanations.
Final Ruling & Enforcement
The Court reiterated the payment obligation and set strict deadlines (payment by 06‑04‑2026, affidavits by 10‑07‑2026).
Non‑compliance will trigger contempt proceedings against the CMD of the petitioner‑insurance company.
The matter (both SLP and C.A.) is listed for further hearing on 30‑07‑2026.
The Court’s directions are binding and enforceable, with contempt powers reserved for violations of appearance and payment directives.
