a person purchased a Vehicle( Innova) through an agent( Authorised DMA of HDFC Bank ). the agent at the same time recieved all the premium amount in cash and issued cover note for the vehicle. later on after 4-5 months, the vehicle met with accident and damaged badly. the insurance company(Reliance) refused to entertain the claim as according to them the cheque issued towards the policy dishonoured and they cancelled the policy however no notice etc. issued to the owwner of the vehicle. later on it was revealed that the agent who issued the cover note, mis-appropriated the cash and issued the cheque from the his agency's Bank account and the same was dishonoured and the policy was cancelled.
Now My query is :-
Whether the reliance general insurance is libale for the fraud committed by the agent?
Whehter the agent is libale ?
whether there are any citations on this point?
