Before the District Forum:Kurnool
Present: Sri K.V.H. Prasad, B.A., LL.B., President
And
Smt C.Preethi, M.A., LL.B., Member
Sri R.Ramachandra Reddy, B.Com., LL.B., Member
Friday the 17th day of December, 2004
CD No.116/2004
Dr.Ram Gopal Reddy,
Sreerama Nursing Home,
Satram Street,
Allagadda Town,
Allagadda Mandal,
Kurnool District. ……Complainant represented by his counsel
Sri.C.Joga Rao.
-Vs-
- The Managing Director,
Medinova Diagnostic Services Limited,
6-3-652, Koutilya,
3rd Floor, Somajiguda,
Hyderabad. …Opposite party
- The Manager,
Medinova Diagnostic Services Limited,
Franchise to MSR Hospital,
R.S.Road,
Nandyal,
Kurnool District. …Opposite party
O R D E R
(As per Sri.R.Ramachandre Reddy, Member)
CC.No.116/2004
1. This consumer dispute case of the complainant is filed under section 12 of the C.P. Act, 1986 seeking a direction on the opposite parties 1 and 2 to pay him Rs.5,000/- with interest at the rate of 24% per annum, Rs.4,000/- as compensation and Rs.1,000/- as costs of this case and any such other reliefs which the complainant is entitled in the circumstances of the case.
2. The brief facts of the complainant’s case are that the complainant has deposited an amount of Rs.5,000/- on 29-12-1998 with the opposite party No.1 vide Membership Deposit Receipt No.8625/X-R on 29-12-1998 and the complainant renewed the same for the period of three years with the Membership period from 01-02-1999 to 31-01-2002. The same was covered under the Insurance with the New India Assurance Company Limited under the policy No.4761040900814. The complainant sent the original deposit receipt to the opposite party No.1 though courier on 08-02-2002, but he opposite party No.1 did not choose to return the deposit amount to the complainant and the complainant stating they said facts got issued a legal notice on 27-02-2003 to the opposite party No.1, but the opposite party No.1 has not given any reply to the said legal notice or paid any amount towards the said membership deposit. As the opposite party No.1 did not refund the said deposit amount in spite of the said legal notice date d 27-02-2003 and hence the act of the opposite party No.1, in not paying the deposit amount of Rs.5,000/- was held deficiency of service to the complainant, since the opposite party No.1 did not comply for refund of the said amount is the lapsive conduct of the opposite party no.1, constrained the complainant to resort to the Forum for redressal of the claim of the deposit amount of Rs.5,000/- and compensation and costs of this complaint and any such other relief or reliefs which the complainant is entitled in the circumstances of the case.
3. In pursurance of the receipt of the notice of this Forum as to this case of the complainant, the opposite parties neither appeared before this Forum nor contested the case of the complainant filing any written version with any defence and hence thereby remained exparte.
4. While such is so with the opposite parties, the complainant in substantiation of its case relied upon the documentary record in Ex.A1 and Ex.A5 besides to his sworn affidavit in reiteration of the complaint averments.
5. Hence, the point for consideration is whether the complainant has made out the case of deficiency on the part of the opposite parties towards him entitling him for the reliefs sought.
6. The Ex.A1 is a Xerox copy of the Membership Deposit Receipt No.8625/X-R dated 29-12-1998. It envisages the receipt of an amount of Rs.5,000/- from the complainant on 29-12-1998 by the opposite party No.1. The complainant renewed the said deposit amount through the letter dated 02-02-1999. An attested Xerox copy of the said letter filed and marked as Ex.A2, where in the opposite party No.1 acknowledged the said receipt of Ex.A1 dated 29-12-1998 and renewed, covering insurance with the New India Assurance Company Limited and that the policy No.4761040900814. The Ex.A3 is the courier cover receipt in which the Ex.A1 was sent to the opposite party No.1. the Ex.A4 is the legal notice dated 27-02-2003 sent to the opposite party No.1requesting him to return the said deposit amount which the complainant surrendered to the opposite party No.1 on 07-02-2002 through Ex.A4. The Ex.A5 is the acknowledgement of opposite party No.1 of Ex.A4. The facts so envisaged in Ex.A1 to Ex.A5 and the complaint averments and the complainant sworn affidavit in reiteration of its case are neither denied nor rebutted by the opposite parties and hence there appears every bonafidies in the claim of the complainant.
7. When a company or firm invites deposits on a promise of attractive rates of interest or attractive sums, it is a service and the depositor is a consumer as per the decisions of the Honorable National Consumer Disputes Redressal Commission, New Delhi, in Neela Vasntha Raji -Vs- Amog Industries, reported in 1993 (3) CPR Page 345.
8. When the amount under the deposit with accrued benefit not released to the depositor by the financial institution, the sid conduct of not honoring the said commitment amounts to deficiency and the financial institutions liable to refund the accrued amount with 12% interest as per the decisions of the Honourable Maharastra State Conumer Disputes Redressal Commission, Mumbai, in Sanchyani Savings and Investments (India) Limited -Vs- Vasthala Baba Saheb Gai Quard reported in I (2003) CPJ Page 260.
9. In the present case also the opposite parties firm inviting the public deposits on a promise of the payment of matured amount on a tenure of three years from the date of deposit did not keep up the said commitment to the complainant by avoiding the payment of the matured amount. Thus the said lapsive conduct of the opposite parties is amounting to deficiency of service to the complainant, consumer depositor and thereby the grievances of the complainant are covered under the supra stated decisions holding the liability of the opposite party for refund of the deposit amount with interest at 12% per annum from the date of the maturity and compensation of Rs.1,000/- for suffered mental agony at the deficient conduct of the opposite parties and costs of Rs.1,000/- as the complainant was driven by the opposite parties to the Forum for redressal.
10. Therefore, in the result, the complaint is allowed directing the opposite parties to pay the membership deposit amount of Rs.5,000/- with interest at 12% per annum from the date of filing of this case, Rs.1,000/- towards compensation for suffered mental agony at the deficient conduct of the opposite parties and Rs.1,000/- towards costs with a month of the receipt of this order.
Dictated to the Stenographer, typed to the dictation, corrected by us, and pronounced in the Open Court this the 17th day of December, 2004.
MEMBER PRESIDENT MEMBER
APPENDIX OF EVIDENCE
Witnesses Examined
For the complainant :Nil For the opposite parties :Nil
List of exhibits marked for the complainant:-
Ex.A1 Xerox copy of Membership No.07514/X.
Ex.A2 Attested Xerox copy of letter dated 02-02-1999 addressed to the complainant by the opposite party No.1.
Ex.A3 Attested Xerox copy of courier receipt No.00502188 dated 08-02-2002.
Ex.A4 Legal notice dated 27-02-2003 issued by complainant’s counsel to the opposite party No.1.
Ex.A5 Postal acknowledgement of opposite party No.1 for receipt of the Ex.A4.
List of Exhibits Marked for the opposite parties:- Nil
MEMBER PRESIDENT MEMBER
