BEFORE DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, SIRSA.
Complaint Case no. 38 of 2021
Date of Institution: 19.02.2021
Date of Decision: 21.02.2024.
Barjinder Singh son of Shri Harbans Singh, resident of Friends Colony, Hisar Road, Sirsa, Tehsil and District Sirsa.
………Complainant.
Versus
Axis Bank, Sangwan Chowk, Sirsa Branch, through its Branch Manager.
……… Opposite party.
Complaint under Section 35 of the Consumer Protection Act, 2019.
Before: SH. PADAM SINGH THAKUR………. PRESIDENT
SMT. SUKHDEEP KAUR……………..MEMBER
SH. OM PARKASH TUTEJA… ……….MEMBER
Present: Sh. K.S. Mehra, Advocate for complainant.
Sh. M.S. Sethi, Advocate for opposite party.
ORDER
The complainant has filed the present complaint under Section 35 of the Consumer Protection Act, 2019 against the opposite party (hereinafter referred as OP).
2. The case of complainant is that complainant has obtained loan of Rs.48,700/- for his personal need under Agriculture Power Gold Scheme from the op bank on 19.01.2019 vide application ID No. GLN0609000000478, customer number 885075794 and for this purpose complainant has deposited below mentioned gold with the op bank :-
a. Golden Ring 3
b. Gold Ear Ring 2
c Gold Pendent 1
d Gold Ring 1
Total: 30.400 gram
3. It is further averred that above said gold were deposited with the op bank as security in respect of the loan/ credit facility availed by complainant from op bank. The above said articles were of fully genuine gold of pure quality and it was checked by the officials of the op bank and at that time the audit party of the op also found the above said gold as genuine and of pure quality. It was agreed in between complainant and op bank that above said gold would be returned back to the complainant subject to payment of the above said amount alongwith interest thereon up to date. That complainant had deposited some installment of interest to the op bank but thereafter he could not deposit the installments regularly due to lockdown and due to COVID-19 disease, but the complainant always remained ready to deposit the above said loan amount to the op. It is further averred that in the month of February, 2021 the complainant visited the op bank with the request to deposit the above said entire amount of loan with interest up to date and to get back the above said gold ornaments from op bank. The op bank told the complainant to deposit entire loan amount with interest to the tune of Rs.87,100/- as full and final settlement and after depositing the above said amount, the op bank will return the gold ornaments to him. The op bank issued copy of statement of account of complainant in which below mentioned amounts have been shown outstanding against the complainant:-
Sr. No. Date Particulars Debit Balance
1 20.1.2020 Balance Loan 54,396.38
2 22.9.2020 Publication 1176.00 55572.38
3 21.10.2020 Publication 15177.00 70749.34
4 19.11.2020 Publication 16340.00 87089.38
4. It is further averred that in this manner, the op bank has shown the above said outstanding amount against the complainant and assured to return gold ornaments to complainant subject to payment of above said amount to op bank. That as per the assurance of op bank the complainant has deposited the above said amount of Rs.87,100/- to the op bank on 10.02.2021 as full and final settlement. Thereafter, complainant approached and requested the officials of the bank to supply loan detail account statement, sanctioned letter, welcome letter and to return above said gold ornaments to him but all in vain and the officials of op have refused to return the same and stated that till date the complainant has not deposited the entire amount and till the payment of entire amount the gold ornaments would not be returned. It is further averred that from the perusal of statement of account, it is evident that complainant has deposited full and final payment to the op bank and even it is also evident that op bank has wrongly and illegally mentioned excessive amount for publication charges firstly on 20.1.2020 of the amount of Rs.1176/- then of 21.10.2020 of the amount of Rs.15,177/- and then on 19.11.2020 of the amount of Rs.16,340/-. The aforesaid amounts have been charged by op bank from him excessively and illegally because no such huge amount can be spent for publication. That in this manner, the op bank has violated the terms and conditions of the policy and refused to return the above said gold ornaments to the complainants which was retained with op bank as security purpose and the op through its officials have also committed serious criminal offence. It is further averred that op bank is duly bound to return the above said ornaments of the complainant without any further delay and has recovered huge amount from complainant and as such complainant is also legally entitled to refund of above said amount of Rs.87,100/- from op bank in a legal and lawful manner. That act and conduct on the part of officials of op bank comes under the ambit of deficiency in service as well as unfair trade practice due to which complainant is suffering recurring financial losses till today and also suffering harassment and mental agony. Hence, this complaint.
5. On notice, op appeared and filed written statement raising certain preliminary objections regarding maintainability, cause of action, no consumer dispute, suppression of true and material facts and that complaint is bad for mis joinder of parties and answering op has unnecessarily been impleaded as a party in this complaint. On merits, it is submitted that an amount of Rs.87,089.38 was shown as balance as 19.11.2020 but interest since 19.01.2019 till 19.11.2020 has not been debited in the account of complainant. The complainant has deposited an amount of Rs.87,100/- through NEFT on 10.02.2021, interest since 19.01.2019 to 10.02.2021 was still due against the complainant on 10.02.2021 which has not been paid by the complainant despite several requests. So, op bank published a matter in Newspaper to inform the complainant that if he will not pay the outstanding amount of interest, then bank will sell the gold. Again on 30.03.2021 the matter was published. Amount of interest due since 19.01.2019 till 06.08.2021 has been debited in the account of complainant on 10.02.2021 to 19.01.2022, expenses for publication has also been debited in the account of complainant and now an amount of Rs.24,738.30 is outstanding against the complainant towards interest and expenses, which he has not paid despite several requests and intimation through publication. As per terms of agreement, bank will release said loan (should be gold) after receiving the entire payment. Remaining contents of complaint are also denied to be wrong and prayer for dismissal of complaint made.
6. The complainant in evidence has tendered his affidavit Ex. CW1/A and documents Ex.C1 to Ex.C7.
7. On the other hand, op bank has tendered affidavit of Sh. Vinod Kumar, Manager as Ex.R1 and statements of account Ex.R2 to Ex.R4.
8. We have heard learned counsel for the parties and have gone through the case file carefully.
9. Admittedly on 19.01.2019 the complainant had obtained loan of Rs.48,700/- under Agriculture Power Gold Scheme from the op bank against his golden ornaments of 30.400 grams as security of the loan amount. According to the complainant he could not deposit the installments regularly due to lockdown and due to Covid-19 disease but he always remained ready to deposit the above said loan amount to the op bank. The complainant has further alleged that in the month of February, 2021 complainant visited the op bank with the request to deposit the above said entire amount of loan with interest up to date and to get back the above said gold ornaments from the op bank and the op bank asked the complainant to deposit entire loan amount with interest to the tune of Rs.87,100/- as full and final settlement and after depositing the above said amount, the op bank will return the above said gold ornaments to the complainant. It is further the case of complainant that op bank got deposited above said amount of Rs.87,100/- from the complainant on 10.02.2021 but thereafter failed to return the above said gold ornaments to the complainant despite his several visits and requests. The complainant has also alleged that op bank wrongly and illegally has also got deposited amounts of Rs.1176/-, Rs.15,177/- and Rs.16,340/- as publication charges from the complainant. It has also come on record that on 19.01.2019 complainant obtained loan of Rs.48,700/- from the op bank and up to 18.01.2020 the complainant had to repay the total loan amount of Rs.55,537/- to the op bank including interest amount of Rs.6837/- as is evident from statement of account from 19.01.2019 to 18.01.2020 issued by op bank to the complainant which has been placed on file by complainant as Ex.C2. Though op bank has got deposited total amount of Rs.87,100/- from the complainant on 10.02.2021 which includes the amount of Rs.1176/-, Rs.15,177/- and Rs.16,340/- as publication charges but the op bank has failed to prove on record that any publication in the newspaper was got published by the op bank for auction of the golden ornaments on account of failure of complainant to repay the loan amount. So charging of the said amounts from complainant on account of publication charges by op bank is wrong and illegal and at the most they can charge penal interest from the complainant on account of any delay on the part of complainant in repayment of the loan amount. It is also proved on record that op bank has also charged penal interest of Rs.3684/- from the complainant up to 10.02.2021 on account of delay in repayment and as such it is proved on record that on one hand the op bank has charged penal interest from the complainant on account of delay in repayment of loan amount and on the other hand the op bank has also charged amount of publication for auction of the golden ornaments which is wrong, illegal. In these circumstances, the complainant is entitled to refund of the above said amount of Rs.32,693/- illegally charged by op bank from complainant on account of publication charges and op bank is also liable to return the golden ornaments of the complainant as despite repayment of loan amount by complainant the op bank has failed to return the golden ornaments to the complainant and has caused unnecessary harassment and deficiency in service to the complainant.
10. In view of our above discussion, we allow the present complaint and direct the opposite party bank to return the golden ornaments of 30.400 grams to the complainant and also to make refund of the amount of Rs.32,693/- to the complainant within a period of 45 days from the date of receipt of copy of this order, failing which the complainant will be entitled to receive the said amount of Rs.32,693/- from the op bank alongwith interest @6% per annum from the date of this order till actual realization. We also direct the op bank to further pay a sum of Rs.10,000/- as composite compensation for harassment and litigation expenses to the complainant within above said stipulated period. A copy of this order be supplied to the parties as per rules. File be consigned to the record room.
Announced: Member Member President,
Dated: 21.02.2024. District Consumer Disputes
Redressal Commission, Sirsa.
