CONSUMER DISPUTES REDRESSAL COMMISSION – X

                           GOVERNMENT OF N.C.T. OF DELHI

                     Udyog Sadan, C – 22 & 23, Institutional Area

                                       (Behind Qutub Hotel)

                                        New Delhi – 110016

  Case No:266/16

Ravindrra Tewathia.

F-42A, M.B. Road

Near Little Ones Public School

Saidullajab, New Delhi-110030                           …..COMPLAINANT

Vs.   

1.Axix Bank Ltd

Plot No.F/22, B-9, Khirki

Extension, Near Sai Mandir

Malviya Nagar

2.Max New YorkLife

Max Houses

1, Dr. Jha Marg

Okhla, New Delhi-110020                                       …..RESPONDENTS

          Date of Institution-30.08.2016

          Date of Order- 23.08.2024

  O R D E R

RITU GARODIA-MEMBER

1. The complaint pertains to deficiency in service and mis-selling on part of OP.

2.  Facts as stated in complaint that the complainant being a customer of OP-1 bank wished to deposit Rs.6,00,000/- in fixed deposit scheme.  It is alleged that he was allured and assured by representatives of OP-1 & OP-2 to pay one instalment of Rs.6,00,000/- which will provide him with life insurance, FDR incentive and manifold growth of the money invested. He further assured that there would be no hidden charge.

3. The complainant paid Rs.6,00,000/- vide cheque dated 08.12.2010.  He was assured that his money would be invested with OP-2 and will earn lucrative return.  The complainant paid another Rs.6,00,000/- in 2011.  He was assured that he would get a handsome amount after 10 years. 

4. On 29.10.2015, the complainant received a cheque of Rs.514.66 from OP-2.  The complainant registered his objection with OP-1 & OP-2.  The complainant prays for refund of Rs.12,00,000/- with 24% interest and Rs.5,00,000/- towards compensation.

5. Notice was issued to OP-1 but none appeared.  OP-1 was proceeded exparte vide order dated 03.08.2017.

6. OP-2 in its reply states that the complainant had submitted duly signed proposal form after deliberating over the policy.  The complainant was informed of the terms and condition of the policy.  The complainant was issued Max Life Gain Plus Policy number 85100017 and a premium of Rs.6,00,000/- was to be paid annually for six years. It is alleged that the policy was duly despatched to the complainant. OP clarifies that the complainant did not return the policy within the freelook period. OP-2 further clarifies that no mis-selling was done and prays for dismissal of complainant.

7. OP-2 has also raised an objection on ground of limitation.

8. Complainant in its rejoinder had reiterated the averments made in the complaint.

9. The complainant filed the evidence in form of affidavit.  Complainant has also filed proposal form.

10. OP-2 filed the evidence in form of affidavit and exhibited the following:-

1. Copy of proposal form and policy document are is exhibited as EXH.RW-1/1.

11. The Commission has considered the material and documents on record.  Both the parties have filed the proposal form which has been admittedly signed by the complainant. The proposal form shows mode of payment as annual with a premium of Rs.6,00,000/-.

12. OP-2 has filed policy documents which shows that the policy bearing no.83510017 was issued in the name of complainant with a premium of Rs.5,93,819.75 to be paid on 9^th of December every year till year 2015. However, there is no proof of delivery of said policy to the complainant.  OP-2 in its reply had stated that the complainant could have returned the policy within the free look period.  As the complainant did not receive the policy documents, the complainant could not have cancelled the policy in the prescribed free look period.

13. OP-2 has filed another letter dated 09.11.2012 and 08.01.2013 wherein the complainant was asked to pay the premium.  There is no proof of delivery of said letter to the complainant.  The complainant has clearly stated that he was not aware that he had to pay the premium for six years.  The complainant cannot be blamed for non-payment of premium if he did not receive the policy document or the request for renewal.

14. The complainant received a cheque of Rs.514.66 from OP-2 on 29.10.2015 and the complaint was filed on 30.08.2015.  The complaint is within limitation as envisaged u/s 24A of Consumer Protection Act.

15. Hence, we find OP-2 guilty of deficiency in service and direct OP-2 to refund Rs.12,00,000/- with 6% interest  from the date of complaint till realisation.  We also award a compensation of Rs.10,000/- for and physical inconvenience inclusive of litigation expense.

16. Order be uploaded within 30 days and file be consigned to record room.