New Delhi: The Supreme Court has issued contempt notices to the heads of several insurance companies that failed to enter appearance or ensure the personal presence of their chief executives as directed, while rejecting an apology tendered by Navi General Insurance Limited as “only cosmetic and not heartfelt.” The court also directed the interlinking of the VAHAN, SARATHI, eDAR and IIB portals within four weeks and gave the States a last chance to constitute Special Investigation Teams.
A Bench of Justice Ahsanuddin Amanullah and Justice Prasanna B. Varale passed the order on 23.09.2026 in SLP (C) No. 5582/2023, arising from the Orissa High Court's judgment dated 19.05.2022 in MACA No. 324/2021, along with C.A. No. 6865/2026.
The court recalled that notice had been issued to Navi General Insurance Limited (respondent No. 82) on 06.04.2026 and that there was no representation for it on 26.05.2026. It had then directed that the heads of all non-appearing respondents remain personally present on 30.07.2026. On 17.08.2026, the court directed respondent No. 82, along with respondent Nos. 45, 64, 77, 79, 89, 93, 94, 95, 98, 100, 102 and 103, to appear and file personally affirmed affidavits.
In its affidavit, Navi General Insurance stated that the notice was received on 18.04.2026 but was somehow not brought to the notice of its officers and never processed, for which certain persons had been suspended. Asked about the status of action against them, its Managing Director said it was a bona fide error. The Bench said it was “shocked at this response” since he had assumed this without issuing any notice to those concerned. It rejected the apology, holding that “conduct speaks for itself,” and issued contempt notice to Managing Director and CEO Vaibhav Goyal to show cause by personal affidavit, dispensing with his personal appearance for now.
The court noted that respondent Nos. 45, 64, 77, 89, 93, 95 and 102 had not appeared even on that day and issued contempt notice to them. It later found that Kotak Mahindra Life Insurance (No. 45), Aditya Birla Health Insurance (No. 95) and Zurich Kotak General Insurance (No. 77) had been wrongly shown as defaulting, since counsel had marked appearance for them on 26.05.2026, and closed the issue against them.
Contempt notice remained against The New India Assurance Company (No. 89) and General Insurance Corporation of India (GIC Re) (No. 102), as there was no explanation for the absence of their CMDs. Credit Access Life Insurance (No. 64), whose post of CMD was said to be vacant, was directed to have the person heading it initiate proceedings against those responsible and file an affidavit recording the fixing of responsibility and action taken.
Liberty General Insurance's Whole-time Director and CEO Parag Ved had missed a flight on 17.08.2026, and the court accepted that reason for non-appearance as bona fide and closed the matter against him on his unconditional apology. On the question of why appearance had not been entered by 26.05.2026, however, he said he was unaware when notice was served. The Bench found this to show “total casualness and lack of responsibility,” and issued a contempt notice to him to show cause by affidavit.
Zuno General Insurance's Managing Director and CEO, Shubhdarshini Ghosh, filed an affidavit justifying her absence on 17.08.2026 on the ground of a pre-scheduled official engagement that was difficult to reschedule, despite admitting she knew of the date on 12.08.2026, five days earlier. The court took strong exception to paragraphs 6 to 14 of that affidavit, but on her request permitted her, as an extraordinary indulgence, to withdraw it and file a fresh affidavit, and directed her to be personally present on the next date.
Kiwi General Insurance, which was licensed in March 2026 and issued its first policy in May 2026, tendered an apology, and the court found its non-compliance not deliberate, closing the issue. The issue was also closed against Valueattics Reinsurance, which had filed its vakalatnama on the day it received notice. For Narayana Health Insurance, the court found that its CEO, Sheela Ananth, had left for Canada on 26.07.2026 without ensuring that appearance was filed, a “grave lapse” for which an apology alone might not suffice, and directed a fresh affidavit. Niva Bupa Health Insurance's Chairman, Krishnan Ramachandran, who had appeared virtually despite the direction to appear personally, was also directed to file a fresh affidavit.
On the main issue, the court noted that the eDAR (Electronic Detailed Accident Report) portal, operated by the NIC, has data uploaded by only a few States, and directed all States to ensure that the data is uploaded without delay. It directed that eDAR be linked with the Insurance Information Bureau (IIB), and that the portals of the concerned Ministries be interlinked.
It further directed the Union of India and the States to ensure interlinking of VAHAN, SARATHI, eDAR and IIB for seamless cross-reference of accident reports, vehicle and insurer records and prior claims history. This integration is to extend to the Hit-and-Run and PM-RAHAT Schemes, enabling early accident alerts directly to insurers, and is to be done within four weeks. The States that have not yet constituted a Special Investigation Team, in terms of earlier orders, must do so within four weeks as a last indulgence.
The court requested Senior Counsel Ranjit Kumar to assist it on the main issue, directed that material available with the Registry be provided to his nominated Advocate-on-Record, Ms. Tanya Srivastava, and took on record a note filed by Jagdish Chandra Solanki. All parties under an obligation to file affidavits must do so by the next date, 27.11.2026.
Case Title: The Oriental Insurance Co. Ltd. vs. Tuni Pati & Ors., SLP (C) No. 5582/2023
