Close on the heels of the exit of their head coach Rahul Dravid and reports of their star skipper and batter Sanju Samson wanting to leave the team, Rajasthan Royals are in a spot of bother regarding a case in the Supreme Court.
The case stems from a 2012 dispute involving former India pacer S. Sreesanth. Rajasthan Royals had made an insurance claim for Sreesanth's injury, which kept him out of the IPL 2012 season.
Royals say Sreesanth suffered a knee injury which prevented him from playing. But United India Insurance claim that the pacer had a pre-existing toe injury which, they argue, would have stopped him anyway.
The case began with an insurance claim, with Royals seeking over Rs 82 lakh, after Sreesanth was ruled out of the IPL 2012 because of a knee injury he sustained in practice.
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The insurer rejected the claim, saying Sreesanth had a toe injury from 2011, which he did not disclose. They argue the older injury was the real reason for him missing the tournament. Or, it should have been disclosed when the policy was bought.
But, Rajasthan Royals stuck to their stand and said that Sreesanth played despite the old injury, and asserted that the new knee injury was the only reason. And that the knee injury happened during the policy period.
The National Consumer Disputes Redressal Commission (NCDRC) previously ruled for Royals, and ordered the insurer to pay. The insurance company appealed against it in the apex court.
The Supreme Court bench of Justices Vikram Nath and Sandeep Mehta noted that the insurer should not have insured Sreesanth if they knew about his injury, and has asked for more documents, including the pacer’s fitness certificate to find out whether the toe injury was disclosed, and the insurance application.
The case has been adjourned for now.
For the 2012 IPL, Rajasthan Royals bought a ‘Special Contingency Insurance for Player Loss of Fees Cover’ policy for Rs 8,70,75,000, according to which the insurer would pay the IPL franchise for “any loss of monies paid/payable to the contracted players due to their non-appearance in the tournament”.
The policy started on March 28, 2012, and Sreesanth injured his knee the same day in a practice match. He was deemed unfit after treatment, and missed the IPL 2012. Royals filed a claim under the policy, seeking Rs 82,80,000 for the lost player fees.
The insurer appointed a surveyor who said the injury was “unforeseen and unexpected” and that the claim fell within the policy scope. However, the insurer rejected the claim, saying that an existing injury was not disclosed.
