SC: Advocate Must Protect Client Confidentiality Even after Client Turns Adversary  ||  SC: Revenue Record Mutation Alone Cannot Defeat a Person’s Property Title  ||  SC: SARFAESI Auction Valid Despite EMD Shortfall Where 25% Price Was Paid on Auction Day  ||  SC: Extended GST Limitation under S.74 Requires Notice to Specify Fraud or Concealment  ||  Allahabad HC Invalidates Key Provisions of Uttar Pradesh Tenancy Law  ||  Delhi HC: Writ Courts Cannot Prescribe Method for Determining Property Tax  ||  Bombay HC: ICC’s ‘No Sexual Element’ Finding Can Be Challenged under POSH Act  ||  Rajasthan HC: Road Widening Demolition Requires Title Claims and Fair Hearing  ||  Allahabad HC: Mere Presence or FIR Nomination is Insufficient for Conviction under Section 149 IPC  ||  MP HC: Employment Secured Through Forged Records Gives No Right to Hold Public Office    

Bombay Stock Exchange Ltd. v. New India Assurance Co. Ltd. - (National Consumer Disputes Redressal Commission) (02 Mar 2016)

Insurer liable even if insuree does not follow own bye-laws strictly

MANU/CF/0047/2016

Consumer

The National Consumer Disputes Redressal Commission held that the Bombay Stock Exchange should not have utilised money from its Trade Guarantee Fund to meet the obligations of two defaulting members without having declared them defaulters first. It noted that BSE’s own bye-laws prohibited it from following the course of action that it did, even though amendments enabling the same were soon to be implemented. However, the Commission opined that BSE’s omission in declaring the members as defaulters immediately upon discovering default was “in order”, as it allowed them time to repay their obligations within a reasonable time. The matter, initiated by the New India Assurance company was disposed of, with BSE allowed to claim back amounts appropriated from the guarantee fund.

Relevant : Kandimalla Raghavaiah and Co. vs. National Insurance Co. and Anr. MANU/SC/1165/2009 State Bank of India vs. B.S. Agricultural Industries (I) MANU/SC/0420/2009

Tags : STOCK EXCHANGE   DEFAULT   GUARANTEE FUND   INSURANCE  

Share :        

Disclaimer | Copyright 2026 - All Rights Reserved