NACL Industries Ltd gets favorable verdict on insurance claim

Date:09-20-2019

NACL Industries Ltd, this week, made an announcement regarding insurance claim in connection with the fire accident that occurred at the company's Srikakulam plant on 30th June, 2012 and the arbitration proceedings initiated against The Oriental Insurance Company Limited (InsuranceCo) with respect to Insurance Company's deductions made in the assessment and settlement of the insurance claim, besides not considering claim for 'Loss of Profit'(LoP) and interest on delayed settlement.

The Hon'ble Arbitrator has pronounced the following two awards in favor of the Company with an aggregate amount of Rs.24 crores plus interest at the rate of 13 per cent from the date of award till the date of payment (1) Material Damage and Interest for delayed settlement of claim: Award amounting to Rs.10.48 crores (2) Loss of Profit (LoP) claim Award amounting to Rs. 13.52 crores. It is also to be noted that the Insurance Company has the right to recourse against this award as per the provisions of Arbitration & Conciliation Act 1996.

NACL Industries limited is a popular Agrochemical company in India. NACL had started off with the manufacturing of Agrochemical Active Ingredients and is considered as a trustworthy brand in farming community.