CENTRAL BANK OF INDIA, LTD. v. GUARDIAN ASSURANCE CO., LTD., AND J. RUSTOMJI.

(1936) 54 Ll.L.Rep. 247

JUDICIAL COMMITTEE OFTHE PRIVY COUNCIL.

Before Lord Atkin, Lord Alness and Lord Maugham.

Fire insurance-Loss of wheat and wheat products stored in godowns insured with defendant insurance company- Property mortgaged by owner to bank as security for loan-Policies assigned to bank - Claim by owner and bank on basis that insurance was joint insurance - Contention by insurance company that claim was exaggerated and fraudulent and that they were entitled to repudiate liability by reason of provision in policy that "if the claim be in any respect fraudulent or if any false declaration be made or used in support thereof or if any fraudulent means or devices are used by the insured or anyone acting on his behalf to obtain any benefit under this policy . . . all benefit under this policy shall be forfeited"-Appeal by bank from decision of High Court (Lahore) reversing lower Court decree in assured's favour-Inference to be drawn from evidence as to financial position of owner, the circumstances of the fire, and the amount of goods stored.