Date of Filing: 24.11.2018
Date of Order: 22.01.2021
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION – I, HYDERABAD
P r e s e n t
HON’BLE Sri P.VIJENDER, B.Sc. L.L.B., PRESIDENT
HON’BLE Sri K.RAM MOHAN, B.Sc. M.A L.L.B., MEMBER
On this the Friday the 22nd day of January, 2021
C.C.No. 458 /2018
Between
O.V. Krishna Reddy ,S/o O. Narayana Reddy,
Aged about 53 years, R/o Flat No. 405,
P.S. Residency , Opp : TV Studio , Ganesh Nagar,
Ramanthapur, Hyderabad
….Complainant
And
- SBI Card,
SBI Cards & Payments Service Pvt., Ltd,
PO Bag No. 28, GPO, New Delhi 110 001,
Rep by its Authorized Signaotry.
- SBI Card,
Regd office, SBI Local Head Office,
11, Parliament Street, New Delhi,
Rep by its Authorized Signatory\.
- SBI Card & Payment Services Pvt Ltd,
303, 1-8 building 3rd Floor CITI Bank,33
Sardar Patel Road, Begumpet, Hyderabad.
… Opposite Parties
Counsel for the Complainant : K. Ganga Bhavani
Counsel for the Opposite parties Nos.1,2&3 : N. Harinath Reddy
O R D E R
(By Sri P.VIJENDER, B.Sc. L.L.B., PRESIDENT on behalf of the Bench)
1. This Complaint is filed U/s 12 of Consumer Protection Act 1986 alleging unfair trade practice on the part of the opposite parties and sought compensation for causing inconvenience and mental agony to the complainant.
2. Complainant case in brief is that he obtained credit card be bearing No. 0004317575503704570 from the opposite parties and availed credit services. He paid the amounts whenever the credit card was utilized without any default as per statement served on him from time to time. Since the opposite parties failed to send regular monthly bills he did not furnish particulars with regard to unauthorized bills credited to his account, he decided to discontinue the use of credit card by paying full and final settlement and in token of payment of amount the opposite parties had furnished a letter dated 15.09.2006 as under :
“ Taking into consideration the special circumstances, we would like to confirm that your above amount stands settled on payment of Rs. 18,000/- (Rupees Eighteen Thousand only) the details mentioned below:
Mode Date Receipt Amount
1) Chq#607307 SEP’06 - 9000
2) Chq#607308 OCT’06 - 9000
“The above said settlement is subject to realization of Cheques, if any issued by you for Settlement. In case of your failure to comply with the above said schedule or dishonor of any of the cheque issued by you, this settlement will become null and void at your discretion.
Please sign the copy of this letter as token of your acceptance.”
3. The complainant signed the letter in token up accepting the terms and handed over the above referred Cheques which were later enchased by the opposite parties in the month of January 2018.
4. The complainant approached the bank for sanction of financial assistance for the purchase of a Flat and to obtain credit cards of different banks. The authority of the opposite party bank refused sanction the loan and the credit card on the ground that his name is reflected in CIBIL on account of nonpayment of credit card bill amounts. The opposite parties even after receipt of Rs. 18,000/- by way of 2 cheques have shown the complainant as a defaulter and caused reflection of his name in the CIBIL which effected credit history of the complainant as such would not get any financial assistance from the banks.
5. The opposite parties having collected entire credit card amount about more than 12 years back and having issued a letter towards full and final settlement are demanding over phone for a sum of Rs.70,000/- towards credit card bill amount. The complainant after tracing the records pertaining to the earlier credit card account with the opposite parties approached them and had shown the payments made. But the opposite parties did not delete his name from the CIBIL. Hence he got issued a legal notice on 06.08.2018 , asking them not to restore for unfair trade practice methods by demanding to pay Rs. 70,000/- over the phone and requested to furnish no due certificate in respect of credit card amount and to take steps for removal of his name from CIBIL and to pay Rs. 10,00,000/- as compensation for causing mental agony and financial stress. The opposite parties having acknowledge the said notice neither complied the demands made nor replied it. This act of opposite parties amounts to unfair trade practice and deficiency of service of service. Hence the present complaint.
6. The opposite parties stand in the common written version is that the credit card was primarily issued in the name of the complainant on 26.11.2005, with credit limit of Rs. 20,000/- basing on the application submitted by him. The complainant has not made the payment as per the settlement letter entered with the opposite parties which is evident from payment structure made by the complainant. The complainant made first cheque payment of Rs. 9,000/- on 27.09.2006 and second payment of Rs. 9,000/- on 21.12.2006 and it is evident that these payments were not in accordance with the settlement arrived between the parties. As per the records available with the opposite parties no settlement record is found on the complainant account and same fact was intimated to him.
7. Since complainant failed to repay in stipulated time and made payments in September 2006 , and not in October 2006 as mentioned in the alleged settlement letter dated 15.09.2006 it cannot be said that a settlement was effected between the parties.
8. The complainant has not made payment as per the settlement letter it resulted in accumulation of outstanding amount on his credit card account which fact is very well known to him. As such letter of statement dated 15.09.2006 has became Null and void and as a result he was shown as CIBIL defaulter. Hence no amount is payable to the complainant as compensation.
9. However the opposite parties on humanitarian grounds cleared the dues on the credit card of the complainant and cleared the record in CIBIL. As a service gesture the card account of the complainant has been Zeroized and NOC is enclosed. Hence complaint is liable to be dismissed.
10. In the enquiry complainant has got filed his evidence affidavit reiterating material allegations made in the complaint. He further stated that the opposite parties to cover up their own latches in belated stage now issued no due certificate and cleared the CIBIL record and enclosed the NOC along with the written version which should have been issued before filing of the present complaint. The complainant got exhibited Six (6) documents. For the opposite parties evidence affidavit of their legal manager is got filed and substance of the same is in line with the defense set out in the written version.
11. Both sides have filed written arguments and supplemented the same with oral submissions. The reliefs sought by the complainant are to issue no due certificate in respect of his credit card account , to take steps for removal of his name from the CIBIL and direction to opposite parties not to insist for payment of Rs. 70,000/- as due towards credit card account to an award a compensation of Rs. 10,00,000/-. As already said along with the written version the opposite parties have issued NOC and got removal name of the complainant from the CIBIL as defaulter and also Zeroized complainants credit card account and not claiming any amount as due from the complainant. So the first 3 (three) reliefs sought by the complainant are no more relevant. The aspects of entitlement of the complainant for grant of a compensation alone is to be examined.
12. On a consideration of the material brought on the record the point that has fallen for determination is
- Whether the complainant is entitled for the grant of compensation from the opposite parties.?
- To what relief.?
Point No.1 :-
It is evident from the record that only after filing of the present complaint the opposite parties has Zeroized the complainant credit card account and took steps for removal of his name as defaulter. It is pertinent to bear in mind that complainant has categorically stated that the opposite parties on phone demanded him to pay Rs. 70,000/- as due towards his credit card account as no settlement record is available pertaining to complainants credit card account. The opposite parties have not denied the version of the complainant that he was demanded by phone to pay Rs. 70,000/- as due towards his credit card account and on account of default committed by him his name is reflected in the CIBIL. The opposite parties also have not denied the complainants allegations that they refused to issue no due certificate and take steps for removal of his name from CIBIL, as defaulter in payment of the credit card loan amount. In the light of it is to be seen whether the claim of the opposite parties that the there is outstanding due from the complainant towards his credit card account and no settlement was effected between parties earlier.
Ex.A1 is the letter of statement tracer with number as Hyderabad 692006284039 dt. 15.09.2006 and it reflects the complainant credit card account number. As per this letter issued from the opposite parties the complainant was due of Rs. 18,000/- and he delivered 2 cheques for Rs. 9,000/- each dt. 6th September and 6th October. These 2 cheques are also reflecting in the letter. It is specifically mentioned in this statement letter that the statement arrived between parties is subject to realization of the Cheques issued by the complainant and in case of failure with the schedule or dishonor of the Cheques issued by the complainant statement will be come Null and void at the option of opposite parties. So it is evident that the complainant delivered two cheques for Rs. 9,000/- each and then only the opposite parties issued the statement letter asking complainant to signed on it in token up acceptance of settlement. It is not the case of the opposite parties that either of the two cheques delivered by the complainant towards final settlement and closer of his credit card account were dishonored on presentation.
The complainant has filed ExA2 statement of account issued by the opposite parties and as per this statement of account one cheque was enchased on 28.09.2006 and another on 22.12.2006 by the opposite parties. The allegation of the opposite parties is complainant failed the schedule of payment as he was supposed to make payment in the month of September-October 2006. He paid second Cheque in December 2006 and on account of this delay account could not be closed and amount accumulated. As already said the two cheques for each Rs. 9,000/- were delivered by the complainant and then only settlement under Ex.A1 letter was effected. If the complainant did not deliver two cheques for Rs. 9,000/- each the cheque number’s would not have reflected in the letter Ex.A1. Thatapart the opposite parties no nowhere stated that the complainant has not delivered original Cheques when his signed Ex.A1 in token of acceptance of settlement. So it is evident that the latches are on the part of the opposite party for not presenting 2nd cheque in the month of October 2006. The Ex.A2 statement of account shows the balance maintained by the complainant is more than sufficient for the opposite parties to enchase the Cheques. The opposite parties instead of closing the account after enchasing both the cheques have shown outstanding amount and demanded to the complainant to pay the a further amount of Rs. 70,000/- which he is not liable to pay. This is not only negligence, but also unfair trade practice. The opposite parties by asking the complainant to pay a huge of Rs. 70,000/- and refusing to issue NOC and causing reflect on of his name in the CIBIL as defaulter in an unfair manner. Accordingly point is answered.
Point No.2
In the result, the complaint is allowed in part directing the opposite parties to pay a sum of Rs. 5,00,000/- as compensation for subjecting the complainant to harassment and mental agony. The opposite parties are further directed to pay a sum of Rs. 10,000/- towards costs of the complaint,
Time for compliance 45 days from the date of service of this order.
Dictated to steno, transcribed and typed by him, pronounced by us on this 22nd the day of January, 2021.
MEMBER PRESIDENT
APPENDIX OF EVIDENCE
WITNESS EXAMINED
NIL
Exhibits filed on behalf of the Complainant:
Ex.A1– Copy of Letter issued by Ops dt. 15.09.2006.
Ex.A2 – Copy of Bank statement Account dt. 14.10.2010
Ex.A3 - Copy of the CIBIL statement
Ex.A4 – Office copy of legal notice dt. 06.08.2018
Ex.A5 – Copy of Postal receipts 2 in Nos. dt. 07.08.2018
Ex.A6 – Copy of served postal acknowledgment receipt dt. 14.08.2018
Exhibits filed on behalf of the Opposite parties:
Ex.B1– Copy of monthly statement dt. 06.01.2006.
MEMBER PRESIDENT
