Andhra Pradesh

Nellore

CC/114/2015

Shaik Shaheena, W/o Sk.Allabakshu - Complainant(s)

Versus

1.The Manager, Kapil Chits (Kosta) Pvt. Ltd - Opp.Party(s)

MD.Rahim Khan

23 Oct 2017

ORDER

Date of filing       :  14-12-2015

Date of disposal  :  23-10-2017

 

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM

           :: NELLORE ::

                                                       

  Monday, this the 23rd  day of OCTOBER, 2017.

 

            Quorum: Sri Sk.Mohd.Ismail, M.A., LL.B.., President

                           Sri K.Umamaheswara Rao, M.A., B.L., Member 

                          

C.C.No.114/2015        

 

Shaik Shaheena,

W/o.Sk.Allabakshu,

Muslim, aged about 34 years,

R/o.H.No.1535,

Sundaraiah Colony,

Gudur,

SPSR Nellore District.                                                           …  Complainant

 

                      Vs.

                                                                            

1. The Manager,

Kapil Chits (Kosta) Pvt.Ltd.,

3-11-82/B, 1^st floor,

C/o.Malakondaiah Naidu Buildings,

Near RTC Bu-stand, SKHT Bypass Road,

Naidupet- 524126,

SPSR Nellore District.                  

 

2. The Managing Director,

Kapil Chits (Kosta) Pvt. Ltd.,

Registered Office at 40-6-4a,

1^st Floor, Mogalrajpuram,

Vijayawada – 520010,

Andhra Pradesh.                                                   … Opposite parties

 

This matter coming  before us for final hearing in the presence of                  Sri Md.Rahimkhan, Advocate for the complainant and                           Sri A.Nagendra Sai, Advocate for   the opposite party No.1 and opposite party No.2 remained absent having stood over for consideration till this day, this Forum passed the following:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          

 

ORDER                                                                                                                                                                                                                                                                  (By Sri K.Umamaheswara Rao, M.A., B.L., Member) 

 

 

1.     The complainant filed this complaint under section 12 of Consumer Protection Act, to direct the opposite parties 1 and 2 to pay interest @ 24% p.a. on Rs.2,89,000/- from May, 2015 till 20-11-2015 and  Rs.2,00,000/- towards damages  along with  Rs.5,000/- for costs.

 

 

2.  The brief averments of the complaint are as follows:

        The complainant submits that she joined as a member of the chit bearing  No.FNPT10J-27  with the opposite parties for value of Rs.5,00,000/- and  the duration of the chit period is 50 months, which commenced from August, 2014 onwards. The complainant has to pay monthly instalment of Rs.10,000/- to the opposite parties.  Subsequently, the complainant participated in the bid in the month of April, 2015 and became highest bidder and submitted all the documents as required by opposite parties. But, the opposite parties paid the bid amount of Rs.2,89,000/- after lapse of 6 months.  The complainant submits that the opposite parties issued a cheque after lapse of 6 months and thus committed deficiency in service.  So, the acts of the opposite parties come under the purview of deficiency in service. Hence, the complaint.

3.  The opposite party filed counter denying the averments of the complaint with the following averments that:-

 

        The opposite party No.1 submits that the complainant allegations are false and frivolous, for which the complaint is not maintainable.  The opposite party No.1 admitted the complainant membership in the chit              group bearing No.FNPT 10J-27 for value of Rs.5,00,000/- for 50 months payable @ Rs.10,000/- per month to the opposite parties.

 

4.   The opposite party No.1 further submits that the complainant could not provide the sureties as required by the opposite parties have granted ample time and finally in installments system produced required sureties on 07-10-2015 and also admitted in writing that she herself delayed for production of sureties and gave a letter accordingly addressing opposite party No.1.  In fact, the opposite party No.1 has got every right to cancel the chit of the complainant as she herself failed to produce sureties within one month from the date of bidding to the satisfaction of opposite party No.1.  In a humanitarian ground opposite party No.1 with the consent of opposite party No.2 granted time till May, 2015 which has became a sin now.  Instead of praising opposite parties for grant such long time for sureties, the complainant filed the present complaint by suppressing the said fact for with her evil notice and for wrongful gain.  More over the complainant herself violated the chit group rules as she could not submit the required sureties to the opposite parties. Hence, this complaint is not maintainable as there is no any cause of action. So, there is no deficiency of service on the part of opposite parties and the complaint may be dismissed, in the interest of Justice.

 

5.   The 2^nd opposite party though received the notice he did not attend before this Hon’ble Forum  and on 29-01-2016 remained absent.

6.   On behalf of the complainant, chief affidavit of complainant is received as  

         the evidence of PW1 and Exs.A1  to A4  are marked.

 7.  On behalf of the opposite parties, the chief affidavit of opposite party No.1

      received as the evidence of RW1 and on behalf of the opposite parties

      no documents were marked.

  8.  On behalf of the complainant, no written arguments are filed.

 

  9.  On behalf of the opposite parties, no written arguments are filed.

 

  10.  Arguments on behalf of both parties heard.

 

 11.  Perused record and affidavits filed on behalf of the both parties.

 

  12.  Now, the points for consideration are:

 

        1) Whether the complaint filed by the complainant against

            the opposite parties 1 and 2 under section 12 of Consumer

            Protection Act, 1986 alleging deficiency of service against the opposite

            party is maintainable?

 

       2)  To what relief, the complainant is entitled?

 

13. POINT NO.1 :  As per the pleadings and evidence of the record, we can understand that the complainant joined as a member of the chit bearing  No.FNPT10J-27  with the opposite parties for value of Rs.5,00,000/- and  the duration of the chit period is 50 months, which commenced from August, 2014 onwards. As per chit terms and conditions, the complainant has to pay monthly instalment of Rs.10,000/- to the opposite parties.  The same also admitted by the opposite parties.  In this case, the complainant states that she participated in the chit auction in the month of April, 2015 and succeeded as highest bidder and received a cheque bearing no. 382899  for Rs.2,89,000/- on    26-10-2015  i.e.,  lapse of 6 months  from the  opposite parties.    In contra, the opposite parties contents that the complainant failed to submit the sufficient sureties to the satisfaction of opposite parties within one month from the date of bidding.  The opposite parties further states that the complainant gave a letter stating that pertaining in securing the sureties, the above said delay was caused.  To prove the same, the opposite parties failed to file the said letter.  In the absence of the same, we cannot believe the opposite parties version.    As per the Chit Fund Act, the prized subscriber failed to submit the sufficient sureties to the opposite parties/Chit Fund Company, then the opposite parties  company gave notice to the subscriber pertaining to non-submission of sureties and later the opposite parties/Chit Fund Company has to deposit the prized money in any Nationalized Bank within 30 days.  In this case, the opposite parties deposit the said amount in the nationalized bank within time the complainant did not sustained any financial loss.  Due to non compliance of the Chit Fund Act procedure by the opposite parties, the complainant forfeited the 5 months interest on the prized amount of Rs.2,89,000/- from May, 2015 to  October, 2015.  Failure to pay the prized amount within time to the complainant without any Lawful reason by the opposite parties amounts to deficiency of service.

      

    

 

14. SPOINT No.2:   In view of the facts and circumstances of case that the complainant proved the deficiency of service against the opposite parties 1 and 2.  Accordingly, the complaint filed by the complainant against the opposite parties 1 and 2 is allowed.  Hence, we answer the point in favour of the complainant against the opposite parties 1 and 2. 

      In this case, the complainant claimed Rs.2,00,000/- for damages towards mental agony along with costs of Rs.5,000/- but in our view an amount of Rs.5,000/-  is sufficient for damages and costs of Rs.2,000/- is quite reasonable.

      In the result, the complaint is partly allowed directing the opposite parties 1 and 2 jointly and severally to pay interest @12%p.a. on Rs.2,89,000/- from May, 2015 to October,2015 i.e. five months and to pay Rs.5,000/- (Rupees five thousands only)  for compensation along with costs of Rs.2,000/- (Rupees two thousand only) to the complainant.

   The opposite parties 1 and 2 are directed to comply the above order within 30 days from the date of communication of this order.

Typed to the dictation to the Stenographer, transcribed by her and corrected and pronounced by us in the Open Forum this the 23rd day of OCTOBER, 2017.    

 

                   Sd/-                                                                       Sd/-

              MEMBER                                                                  PRESIDENT

 

  APPENDIX OF EVIDENCE

 

WITNESSES EXAMINED FOR COMPLAINANT:

 

PW1

09-08-2017

:

Shiak Shaheena, W/o.Allabakshu, Muslim, aged about 35 years, R/o.H.No.1535, Sundaraiah Colony, Gudur, SPSR Nellore District.

 

WITNESSES EXAMINED FOR OPPOSITE PARTIES:

 

RW1

23-11-2016

:

Y.Balakrishna, S/o.Subbaiah, Hindu, aged 39 years, working as Manager in Kapil Chits (Kosta) Pvt.Ltd., 3-11-82/B, 1st Floor, C/o.Malakondaiah Naidu Buildings, Naidupet, Nellore District, residing at Nellore.

 

                                                                        

EXHIBITS MARKED FOR COMPLAINANT:

 

Ex.A1	23-08-2014	:	Copy of pass book issued by the opposite parties.
Ex.A2	16-10-2015	:	Copy of service tax invoice issued by the opposite parties.
Ex.A3	26-10-2015	:	Copy of Cheque bearing No.382899  for Rs.2,89,000/- issued by the opposite parties.
Ex.A4	24-11-2015	:	Legal notice got issued by the advocate for the complainant to opposite parties along with R.P. receipts two in nos.

 

EXHIBITS MARKED FOR OPPOSITE PARTIES                           

 

-NIL-

 

                

                                                                           Id/-   

                                                                      PRESIDENT

 

Copies to:

 

1. Sri  Md.Rahim Khan and Sri G.Srinivasulu, Advocates, D.No.23-1-906, 1^st cross road, (C.A.M. compound), Ramesh Reddy Nagar, SPSR Nellore – 524 003.
2. Sri A.Nagendra Sai, Advocate, Nellore.

     3) The Managing Director,  Kapil Chits (Kosta) Pvt.LTd.,

          Registered Office at 40-6-4a, ^st Flkoore, Mogalrajpuram, Vijayawada-   

          520010, Andhra Pradesh.

 

Date when order copies were issued: