Punjab

Faridkot

CC/20/147

Rahul Bansal - Complainant(s)

Versus

Axis Bank - Opp.Party(s)

Jagjot Singh Attri

30 Sep 2022

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, FARIDKOT

 

Complaint No. :       147 of 2020

Date of Institution:     21.09.2020

Date of Decision :       30.09.2022

 

Rahul Bansal aged about 27 years son of Krishan Kumar Bansal, resident of Mohalla Mahi Khana, Street No.5, House No.000091 FDK, District Faridkot.

           .........Complainant

Versus   

1. Branch Manager, Axis Bank Branch, Circular Road, Faridkot.
2. Circle Officer, Axis Bank, Industry Phase No. 2, Mohali.

........OPs

Complaint under Section 12 of the

Consumer Protection Act, 1986.

 

Quorum:   Smt  Param Pal Kaur, Member,

                 Sh Vishav Kant Garg, Member.

 

Present:  Sh Jagjot Singh Attri, Ld Counsel for Complainant,

               Sh Dildeep Singh, Ld Counsel for OPs.

 

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ORDER

(Param Pal Kaur, Member)

                                          Complainant has filed the present complaint under Section 12 of the Consumer Protection Act, 1986 against OPs seeking directions to OPs to debit the monthly instalment with immediate effect and to refund the interest and other miscellaneous charges deducted from his account and for further directing OPs to pay Rs.25,000/- as compensation for deficiency in service and harassment alongwith litigation expenses.

2                                       Briefly stated, the case of the complainant is that complainant availed loan from OP-1 through his account no.BPR024203880533 and had paid the instalments to OPs regularly. OP-1 was debiting the loan instalment from his account since March, 2019 every month. As per Reserve Bank of India  instructions, during moratorium period of covid -19, banks could not deduct instalments of loan or any EMI without the consent of complainant. Complainant has alleged that in April, 2020 and May 2020, OPs did not deduct the instalment amount from his account and due to this reason, huge interest amount was charged to him. Complainant approached OPs with request to deduct the requisite instalment amount from his account as there was sufficient balance in his account, but they did not listen to his genuine requests and

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complainant had to pay interest charges without any reason.  All this amounts to deficiency in service and trade mal practice and it has caused harassment and mental agony to him. He has prayed for accepting the present  complaint alongwith compensation and litigation expenses besides the main relief. Hence, the complaint.

3                                              The counsel for complainant was heard with regard to admission of the complaint and vide order dated 28.09.2020, complaint was admitted and notice was ordered to be issued to the OPs.

4                                              On receipt of the notice, the OPs filed written statement wherein they have denied all the allegations of complainant being wrong and incorrect and asserted that there is no deficiency in service on their part. It is averred that complainant has levelled false allegations. It is asserted that complainant complaint is not maintainable and is liable to be dismissed as no cause of action arises against answering OPs. As per OPs,  they did not  debit or credit any instalment amount to the account of complainant during disputed period. It is reiterated that there is no deficiency in service on the part of OPs and asserted that complaint filed by complainant is false and frivolous and have

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also denied all the allegations levelled by complainant being wrong and incorrect and prayed for dismissal of complaint with costs.

5                                              Parties were given proper opportunities to prove their respective case. Counsel for complainant tendered in evidence affidavit of complainant Ex CW-1/A, documents Ex C-1 to C-5 and then, closed the evidence on behalf of complainant.

6                                              In order to rebut the evidence of the complainant, Ld Counsel for OPs tendered in evidence affidavit of Aashish Gupta Ex OP-1 and closed the evidence on behalf of OPs.

7                                               We have heard the ld counsel for complainant as well as OPs and have carefully gone through evidence and documents placed on record by respective parties.

8                                                 From the careful perusal of record and evidence and documents placed on record by respective parties, it is observed that case of the complainant is that he  availed business loan from OPs, which was to be recovered in 36 instalments and OPs themselves have been debiting

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the equal monthly instalment amount from his account regularly since March, 2019 on due date as per their loan agreement. During the covid period, RBI circulated instructions that without the consent of parties, no amount can be deducted from the account of parties on account of loan instalment. Grievance of the complainant is that in the month of April, 2020 and May, 2020, OPs did not debit the EMI for his loan account and due to this huge interest amount of Rs.5,594/- was added on his principal amount, which complainant had to pay. Complainant has alleged that he approached OPs several times and requested them to deduct the due instalment amount from his account as there was sufficient balance in his account during that period and even he never gave any consent or any document in writing to them to not to deduct EMI from his account, but they did not redress his grievance. They did not debit EMI amount from his account in the months of April, 2020 and May, 2020 and they charged Rs.5594.00 to his loan account on account of interest calculated on principal amount. This debit of Rs.5,594/- from the account of complainant despite completion of all 36 EMIs against said loan amount, is unlawful and illegal and  it amounts to deficiency in service. On the other hand, plea taken by OPs in their written version that during period in dispute i.e in the month of April, 2020

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and May, 2020, they neither debited nor credited any amount from his loan account, has no relevance in the light of pleadings made by complainant that OPs have intentionally not deducted instalment amount from his account as complainant never gave any such document in written to OPs to not to deduct any amount against EMIs from his account. Complainant never gave any consent in writing to OPs restraining them to deduct instalment of loan from his account. Therefore, act of OPs in not debiting monthly instalment against his loan account and thereafter, charging interest of Rs.5,594/-to his loan account after completion of equal monthly instalments for said loan, is not appropriate and amounts to deficiency in service. Though there were sufficient funds in the account of complainant and moreover, there was no request or consent from complainant side regarding not debiting the instalment amount from his account to OPs, but they opted to not deduct instalment amount as per their own, is fault on their own part and complainant should not have suffered due to this act of OPs.

9                                    From the above discussion and evidence and pleadings put forward by parties and written arguments submitted by complainant, it is made out that there is deficiency in service on the part of OPs. Hence, complaint

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in hand is hereby allowed with direction to OPs to refund the interest amount of Rs.5,594/-debited by them from the account of complainant to him. OPs are further directed to pay Rs.3,000/-to complainant as consolidated compensation for harassment and mental agony suffered by him and for litigation expenses. Compliance of this order be made within one month of receipt of the copy of this order, failing which complainant shall be entitled to initiate proceedings under Section 71 and 72 of the Consumer Protection Act.Copy of the order be supplied to parties free of cost. File be consigned to record room.

Announced in Open Forum

Dated : 30.09.2022

                                      (Vishav Kant Garg)                 (Param Pal Kaur)             

                                       Member                                   Member