DISTRICT CONSUMER DISPUTES REDRESSAL FORUM Civil Station, Palakkad 678001, Kerala
Dated this the 25th day of February, 2010
Present: Smt.Seena.H, President Smt.Preetha.G.Nair, Member Smt.Bhanumathi.A.K, Member
C.C.No.148/2009
K.V.Muhammed Ali, S/o.K.V.Kammu, Proprietor, KVM Oil Mills, Aloor, Pattithara, Mala Post, Palakkad District. - Complainant (By Adv.Shahul Hameed.P.T & Azad.N.N)
Vs
B.Sreenivas, S/o.Uma Maheswar, Proprietor, Sri Sreenivas Welding & Engineering Works, 6-6-182, Kavadiguda Road, 130, Jeera, Secundarabad, Andra Pradesh. - Opposite party
O R D E R
By Smt.Preetha.G.Nair, Member
Case of the complainant in brief is as follows:
Complainant is the proprietor of KVM Oil Mills. In the year of 2007, the opposite party introduced the complainant that he is a supplier of Oil Expellers. Opposite party convinced the complainant that he has supplied so many Oil Expeller machineries in various parts of Kerala. Further the opposite party induced the complainant to purchase the Oil Expeller from him assuring all types of help including arranging bank loan. Opposite party visited the complainant several times and continued to induce him to purchase the Oil Expeller. On believing the words and assurance of the opposite party, complainant agreed
to purchase the Oil Expeller single chamber, 40HP capacity puller without motor within a period of two months from the date of order on advance payment. The complainant approached the Union Bank of India along with the opposite party and after meeting with the opposite party the Bank Manager sanctioned a loan for Rs.9,52,000/- for the purchase of Oil Expeller and for the construction work etc. of the Oil Mill. The complainant placed the order for the oil expeller on 19.11.07 and had given an advance of Rs.1,68,000/- through bank DD dt.19.11.07 of Union Bank of India, for which the opposite party had given a receipt. Prior to that the complainant had applied for sanction from the Palakkad District Industrial Centre for starting oil mill and received the acknowledgement dt.06.08.07. Other official formalities and infrastructure facilities including electrification, construction were also fulfilled in order to start the oil mill as per the assurance of the opposite party. The complainant had been granted TIN number from Sales Tax Department, Pattambi after producing a bond for Rs.25,000/-. The complainant agreed to purchase the oil expeller for the purpose of earning his livelihood by means of self employment. But the opposite party didn't supply the oil expeller as promised, even after the complainant contacted several time over phone as well as in person. When the complainant visited the opposite party at his factory premises along with his friend, the opposite party said the delay was due to the lack of labours and promised to supply the oil expeller in the month of September 2008. On the 14th of October, 2008 the opposite party came to the factory of the complainant and requested some more time for the delivery of machineries and fixed the final date as 05.11.08. At the instance of the opposite party an agreement was executed and signed on the day itself. Even after 05.11.08 the opposite party didn't supply the goods and thus a lawyer notice was sent to the opposite party on 19.11.08 demanding supply of machineries within 10 days from the date of receipt of notice. The opposite party received the notice, but no reply was sent so far. But the opposite party came in the month December 2008 and visited the premise of the complainant and requested for another extension of time for the
delivery of machineries. Even then no delivery was affected. The complainant again tried to contact the opposite party but couldn't. Hence the complainant again visited the factory of opposite party along with his friend and on local enquiry it was understood that the opposite party had cheated many like people all over India including the complainant. There is deficiency in service on the part of opposite party. Hence the complainant prays for an order directing the opposite party to pay the advanced amount of Rs.1,68,000/- with interest at 12% per annum from the date of advance Rs.5,00,000/- as compensation for the mental agony, damages and expenses incurred to contact the opposite party, the amount paid for the electricity minimum guarantee of Rs.1,71,851/- plus caution deposit of Rs.23,500/- and monthly deposit of Rs.3,581/-, the amount spent for the Sales Tax registration deposit of Rs.25,000/-, the amount spent for the Industry Registration of Rs.2,000/-, cost of the proceedings.
Notice was served on the opposite party. But the opposite party was absent. Hence the opposite party was set ex-parte. Complainant filed affidavit and documents. Exts.A1 to A10 series were marked on the side of complainant.
Issues to be considered are; Whether there is any deficiency in service on the part of opposite party? If so, what is the relief and cost?
Issues 1 & 2: As per Ext.A1 the complainant had paid an advance amount of Rs.1,68,000/- to the
opposite party dated 19.11.07. According to Ext.A5 complainant executed an agreement with the opposite party on 14th day of October 2008. Complainant has given an advance of Rs.1,68,000/- on 19.11.07 through DD to the opposite party promising to supply the machine within two months. The opposite party agreed that if he fails to supply the said machine within the stipulated time he shall return the advanced amount to the complainant with bank interest and compensation of Rs.75,000/- to the complainant.
According to Ext.A10 series the complainant has paid the electricity bills. Admittedly the complainant is the proprietor of KVM Oil Mills and is running the mill. Complainant herein has not produced evidence to show that Ext.A10 bill amounts are incurred for the sole reason of non delivery of the expeller machine. The complainant has stated that an amount of Rs.25,000/- is spent for sales tax registration. But the complainant has not produced any receipt for the payment of Rs.25,000/-. Further the complainant claims an amount of Rs.2,000/- as the amount spent for the Industry Department registration. The complainant has not produced any evidence in this regard also. The complainant admitted that he is the proprietor of KVM Oil Mills and the opposite party has approached for supplying various types of machineries. But the complainant has not produced any evidence to show that in the present condition which all machineries are functioned in the oil mills. It is true that opposite party has received an advance amount of Rs.1,68,000/- and the oil expeller was not supplied.
In view of the above discussions we hold the view that there is deficiency in service on the part of opposite party. Hence the complaint allowed. We direct the opposite party to pay an amount of Rs.1,68,000/- (Rupees One lakh and sixty eight thousand only) with interest at 12% per annum from the date of advance till the date of order and Rs.75,000/- (Rupees Seventy five thousand only) as compensation and Rs.1,000/- (Rupees One thousand
only) as cost to the complainant. Order shall be complied within one month from the date of receipt of order failing which the whole amount shall carry interest @ 9% p.a from the date of order till realisation.
Pronounced in the open court on this the 25th day of February, 2010 Sd/- Seena.H, President Sd/- Preetha.G.Nair, Member Sd/- Bhanumathi.A.K, Member Appendix Witnesses examined on the side of complainant Nil Witnesses examined on the side of opposite party Nil Exhibits marked on the side of complainant Ext.A1 – Receipt No.9/07-08 dt.19.11.07 for Rs.168000/- Ext.A2 – Order form dt.19.11.07 Ext.A3 – Certificate issued by Commercial Tax Officer, Pattambi Ext.A3.A – Acknowledgement issued by District Industries Centre Ext.A4 – Acknowledgement issued by District Industries Centre Ext.A5 – Agreement Ext.A6 – Copy of lawyer notice Ext.A7 – Photo copy of acknowledgement card Ext.A8 – Statement of account of M/s.K.V.M.Industries with Union Bank of India
Ext.A9 – Photo copy of DD Ext.A10 (Series) – Electricity bills Exhibits marked on the side of opposite party Nil Costs (Allowed) Rs.1,000/- (Rupees One thousand only) allowed as cost
| | HONORABLE Smt.Bhanumathi.A.K, Member | HONORABLE Smt.Seena.H, PRESIDENT | HONORABLE Smt.Preetha.G.Nair, Member | | 
