Madhya Pradesh High Court Imposes Rs 25k Cost on Insurance Company for Counsel’s Absence

Bhopal, Madhya Pradesh — The High Court of Madhya Pradesh has imposed a penalty of Rs 25,000 on National Insurance Company Limited (NICL) after its legal counsel failed to appear during the final hearing of a case concerning the termination of a female employee.

Key Points of the Order:

1. Counsel Absence:
   • Justice Vivek Agrawal, in his May 16 order, highlighted the absence of the NICL counsel despite clear instructions to be present for the hearing. The court warned that continued non-cooperation would result in the case proceeding ex parte against NICL.
2. Penalty Imposition:
   • Due to the non-appearance and non-cooperation of NICL’s counsel, the court imposed a cost of Rs 25,000. The order directed NICL to recover this cost from the responsible official.
3. Allocation of Costs:
   • Of the Rs 25,000 penalty, Rs 5,000 is to be paid to Rajesh Nema, the petitioner’s lawyer, to cover his travel expenses as he is an outstation counsel. The remaining Rs 20,000 will be deposited with the High Court Legal Services Committee.
4. Case Background:
   • Praveen Prakash, the petitioner, challenged her removal from service by NICL in 2017. The case is being represented by Rajesh Nema.
5. Next Hearing Date:
   • The court has scheduled the next hearing for May 29, emphasizing the importance of NICL’s counsel appearing and cooperating in the proceedings.

Judicial Remarks:

• Justice Agrawal made it clear that the absence of NICL’s counsel on the previous date, May 7, necessitated their presence on May 16 at 2:15 pm. The non-cooperation of NICL’s counsel was noted, and the penalty was imposed to ensure compliance and cooperation in the future.

Broader Implications:

• This order underscores the judiciary’s commitment to ensuring timely and fair proceedings. The imposition of costs for non-cooperation sends a strong message to legal representatives about the importance of their presence and participation in court proceedings.

The court’s directive aims to ensure that delays and obstructions in legal processes are minimized, ensuring justice is served efficiently.

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