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2010 (5) TMI 402 - HC - Companies LawPowers and jurisdiction of the Insurance Regulatory Development Authority (IRDA) herein under section 64UM of the Insurance Act, 1938 and the powers of the Central Government, Respondent No. 1 herein, as the Appellate Authority under section 110H of the Insurance Act questioned Held that:- Although there is no procedure prescribed as such, given the scope of the powers and the functions of the IRDA as set out in section 14(2)(b) of the IRDA Act, in the present case the IRDA was wholly within its jurisdiction in entertaining the Petitioner’s appeal. Therefore, by appointing the independent surveyors and calling for a report the IRDA did not commit any illegality. In deciding to act upon the report of one of them, again, the IRDA did not commit any illegality. Counsel for Respondent No. 3 is right in his contention that by filing an appeal before the Appellate Authority under section 110H, the Petitioner has waived its right to question the jurisdiction of such Appellate Authority at a later stage. Be that as it may, the question that next arises is about the scope of powers of the Appellate Authority under section 110H. This Court is of the opinion that the Appellate Authority was justified in directing the IRDA by its order dated 5th March, 2004 to appoint two fresh surveyors to again assess the loss because one of the assessors who had been appointed earlier turned out to be an interested party. Given the scope and functions of the Appellate Authority, which is co-terminus with that of the IRDA, these directions could not be said to be illegal or ultra vires the powers of the Appellate Authority under the Insurance Act. The challenge to the impugned orders and the report of the Joint Surveyors by the Petitioner must fail.
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