By Sri. K. Gheevarghese, President:
The complaint filed against the Opposite Party for not waiving the amount of the loan availed under debt waiver and debt relief scheme.
2. The complaint in brief is as follows:- The Complainant and her relative are in ownership, possession and enjoyment of land property having an extent of 4.72 acres. The property was pledged in the Opposite Party bank and availed Rs.2,00,000/- under Kissan Credit card schemes on 07.10.2004. The loan amount taken from the Opposite Party became due in repayment and the benefit of the Debt Waiver and Debt Relief scheme of the Central Government was not given to the Complainant. Whereas the relative of the Complainant who is the other loanee in this case was given the benefit of the debt waiver scheme and the loan of the relative is written off. The Complainant is demanded by the Opposite Party for the remitting of Rs.1,24,679/- towards the loan amount which is in due.
3. The Complainant's name was also enlisted and notified. On the other hand instead of waiving the loan of the Complainant the benefit of the scheme was only given to the relative of the Complainant. The act of the Opposite Party not waiving the loan amount under the scheme is a deficiency in service.
4. There may be an order directing the Opposite Party to waive the loan amount of the Complainant towards the cost and compensation Rs.25,000/- is also to be granted.
5. The Opposite Party filed version in brief it is as follows:- The Complainant and the relative of the Complainant jointly availed Rs.2,00,000/- under the account of KCC 7450 on 07.10.2004 pledging the land property in joined ownership of the Complainant and relative. The crop credit loan was issued to the Complainant and the relative named K.P. Lalitha, W/o. Chandran. The short term loan was to be repaid within one year. The short term loan given to the Complainant and her relative includes the amount of working capital and production expenses. The Complainant and her relative had drawn from their account Rs.1,00,000/- on the very same day when sanctioned the loan and another Rs.1,00,000/- was drawn on 14.10.2004. The loan amount was given to the Complainant and her relative and it was drawn jointly by them. The allegation of the Complainant that the withdrawal of the amount was in separate by the Complainant and her relative is in correct. The Complainant subsequently renewed the loan remitting the amount on 24.01.2006. Rs. 1,10,911/- was waived under the scheme of the Central Government and the name of the Complainant was also notified. The complaint filed is not based on bonafied reason. The Complainant was given the benefit of 1,10,911/- and a lawyer notice was sent to the Complainant on 08.06.2010 for the repayment of the loan amount of Rs.1,24,679/- as a defaulter steps are taken against the Complainant and suit No.O.S .238/10 is filed against the Complainant for Rs.1,45,657/- it is still in pendancy.
6. The benefit of the debt waiver and debt relief scheme is governed by the direction and clarifications from the head office and the Reserve Bank of India. The Opposite Party had given the benefit of the scheme to the entire eligible loanees. The complaint is not based on any reason hence it is to be dismissed with compensatory cost.
7. Points in consideration are:
Whether the Complainant is entitled to get the benefit of the debt waiver scheme?
Relief and cost.
8. Point No.1:- The proof affidavit of Complainant and Opposite Party are filed Ext.A1 to A6, B1 to B7 and X1 are the documents considered along with the oral testimony of the Complainant and Opposite Party.
9. The case of the Complainant is that she is entitled to get the benefit of the debt waiver scheme. Whereas the Opposite Party contended that the benefit of the scheme extends to the Complainant only up to the limit of Rs.1,00,000/- which was already granted to the Complainant. It is evidenced by the materials in records that crop production credit was granted to the Complainant consisting of Rs.90,000/- for 4.5 acre coffee, Rs.56,000/- for maintenance 1400 pepper wines, Rs.54,000/- for the maintenance of arecanut palm. In total Rs.2,00,000/- was granted to the Complainant and her sister Lalitha. The property consists of a joined one. The application cum appraisal form for Kissan Credit Card Scheme is the Ext.A4 in which there is no averment that the loan consists of working capital but on other hand loan issued is for the maintenance traditional crops. It is admitted by the Opposite Party that the amount of loan issued to the Complainant and her syster Lalitha is short term loan for a period of 36 months and it is to be renewed yearly. It is pertinent to note that the Complainant's land extent comes within the purview of Small Farmers who are entitled to get the benefit of Debt Waiver Scheme. Ext.B3 to B5 are the copy of the circular issued by Reserve Bank of India for the clarification of different loans which comes under the Debt Waiver and Debt Reliefs Scheme. The loan amount availed by the Complainant is unpaid until 29.02.2008 and it was disbursed between 31.03.1997 and 31.03.2007. The loan amount already became over due on 31.12.2007. The clarification on the scheme guidelines is issued by the Reserve Bank of India and also by the Canara Bank Head Office. In the case of the short term production loans the ceiling limit of Rs.1,00,000/- applicable for traditional crops. In this case the loan amount is given for 36 months for the crop developments of Coffee, Pepper and aracanut. There is no specification in the loan application that the amount issued to the Complainant includes working capital. The loan application does not consists of any inscription regarding the working capital. The ceiling limit of Rs.1,00,000/- is applicable to the working capital loan issued for the maintenance of traditional and non traditional cultivation. Ext.B3 to B5 shows all the short term production loans given to the small and marginal farmers for the traditional and non traditional plantation need not include working capital. The short term production loan given to the farmers for the maintenance of traditional and non traditional cultivations does not consists of working capital unless it is specified for the purpose. In an another clarification by the Reserve Bank of India, it is observed that working capital loans are different and distinct. It is true that the Complainant is granted the benefit of Rs.1,10,911/- under the scheme. There is deficiency in service on the part of the Opposite Party in the assignment of the eligible amount that to be waived. The entire loan amount and interest that was to be written off by the Opposite Party providing the benefit of the Debt Waiver Scheme to the Complainant and her sister. The Opposite Party argued that the rulings of the Hon'ble State Commission in appeal No.528/09 Vijaya V/S Mary Joseph is applicable in the instant case against the order of this Forum in CC 106/2008. The facts in that case and this case are not one and the same and the point No.1 is found accordingly.
10. Point No.2:- The outstanding liability of the Complainant till 04.10.2010 is Rs.1,45,657/- which includes the principle and interest. According to the Opposite Party the amount due in KCCS 7450 on 29.6.2010 is Rs.1,24,979/-. The liability of the Complainant is resulted for not waiving the loan amount eligible for the Complainant in Kissan Credit card No.7450. The Opposite Parties has to write off the entire amount due in the loan No. KCCS 7450.
In the result the complaint is partly allowed. The Opposite Party is directed to write off the entire due amount in the account No. KCCS 7450 within one month from the date of receival of this order and there is no order as to cost and compensation.
Pronounced in open Forum on this the day of 30th April 2011.
Date of filing:15.09.2010.
PRESIDENT: Sd/-
MEMBER : Sd/-
MEMBER : Sd/-
/True Copy/ Sd/-
PRESIDENT, CDRF, WAYANAD.
A P P E N D I X
Witnesses for the Complainant:
PW1. Raveendran Complainant.
Witnesses for the Opposite Party:
OPW1. K.K. Chandran Manager, Canara Bank, Sulthan Bathery.
Exhibits for the Complainant:
A1series. Letter. dt:08.01.2010.
A2. Copy of Letter. dt:09.07.2010.
A3. Copy of Power of Attorney.
A4. Copy of Application Cum Appraisal Form for Kisan Credit Card Scheme
(KCCS).
A5. Statement of A/c.
A6. Copy of Agreement and Deed of Hypothecation for Kisan Credit Card.
X1. Copy of the list.
Exhibit for the Opposite Party:
B1. Copy of the Application for renewal under Kisan Credit Card Scheme.
B2. Copy of the Letter of Renewal.
B3. Copy of the Letter. dt:23.05.2008.
B4. Copy of the Letter. dt:30.05.2008.
B5. Copy of the Letter. dt:19.06.2008.
B6. Agriculture Debt Waiver and Debt Relief Scheme 2008 – Clarifications.
B7. Copy of Plaint in O.S. 238/2010.
