Legal Question in Civil Litigation in India

I am sorry in the Law Guru site when I posted some omissions are made by overlook and hence I am posting this question again. Sorry for the inconvenience.:

A ULIP LIC policy was sold to a client by an agent giving misconception to the client 5 years ago that the client will get double amount. The client invested 50000 at that time (2006). Now, after 5 years when the client approached, the agent completely refused to cooperate with the policy holder for getting the amount. The policy is for 10 years but since the client need the money for domestic reason, wanted to surrender. When approached the client was informed according to market value only the amount will be given. In the meantime the policy holder approached me for help. When I contacted, the agent point blank refused me also. Accordingly the client registered the complaint with IRDA and the disposal date was Oct. 18, 2012. Since there was no remedial steps taken by LIC, I brought this information to Chairman & CMD. Accordingly they have sent mail to concerned LIC Branch, myself and the client. During the interrogation it was found that the agent is 100% defaulter and this was accepted by her in front of Sr. Mgr. and Manager . The policy holder is handicapped girl. The agent is also a lady having 12 years experience. After discussion with the Sr. Mgr. I had to discuss the matter with agent and the policy holder also because the Branch Mgr told that LIC is not at fault and hence according to market value i.e. 57,000 only LIC will pay. Since the Br. Mgr. requested me to talk with both agent & client I decided to settle the amount in 75,000/- (as promised by the agent the amount works out to 1,00,000). Taking in to consideration that the policy expires only in 2017. Hence I told the agent to pay at least 18,000/- more from agent's side (where as according to my conscious the amount of 43,000 has to be paid by the agent) as a punishment for creating misconception of Policy, i.e. 57,000 from LIC + 18,000 from agent.

According to the Sr. Manager of LIC if the inquiry is initiated, LIC will terminate the agency and the agent will loose all commission from the day the decision is taken by LIC and she can not take agency in other name because of her this kind of activity. In addition to that the agent will not be able to get the commission in future for the policies she has booked earlier. I have also advised the policy holder that if the agent is not accepting this offer within 7 days, she has to meet the Sr. Mgr. LIC for initiating the inquiry against the agent.

Please guide me whether I have given the correct judgment or not. Is there any way to help the policy holder to get 1,00,000/- as promised by the agent? If yes under which IPC the client can lodge the case. Please guide me, as your valuable advise will only satisfy me, nothing else.

Thanks & Best Regards

Sincerely,

Krishnan

Mob. No. 9899107953

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