PRESIDENT, DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, SAMBALPUR
Consumer Complaint No.- 178/2024
Present-Dr. Ramakanta Satapathy, President,
Sri. SadanandaTripathy, Member,
Baijanti Suna,
W/O- Late Bhakta Suna,
R/O-Bahabal, PO-Jhariyal, PS-Sindhekela,
Dist-Bolangir, Odisha. ….…......Complainant.
Vrs.
Cholamandalam Investment and Finance Company Limited,
Panchgachia, Hero Honda Showroom Building, Ps-Ainthapali,
Dist-Sambalpur-768006, Odisha. ....……….Opp. Party
Counsels:-
- For the Complainant :- Sri. A.K.Tripathy & Associates
- For the O.P. :- Sri. A.K.Sahoo & Associates
Date of Filing:28.05.2024, Date of Hearing :03.09.2024, Date of Judgement :08.10.2024
Presented by Dr. Ramakanta Satapathy, PRESIDENT
- The case of the Complainant is that deceased husband of the Complainant availed a Bolero XL Model Pick up vehicle bearing Regd. No. OD-15W-0768 on loan basis vide agreement No. XVF PSBR 00005327846. On 18.01.2023 the vehicle was authorised for Rs. 9,37,836/- and Rs. 8,85,430/- disbursed for 60 EMIs. The EMI fixed was Rs. 21,650/- after deduction of Rs. 52,426/- to-wards cost of processing service charge, insurance etc.
Due to sudden health problem the borrower husband was admitted in hospital from 12.09.2023 to 10.10.2023 and ultimately died on 10.11.2023 in his village. For such difficulty instalment for Oct. 2023 could not be paid. After obtaining death certificate Complainant went to O.P. for issuance of NOC as insurance amount of Rs. 6774/- was paid at the time of finance O.P. refused and asked to deposit rest instalment amount.
On 04.04.2024 the O.P. forcibly and illegally seized the vehicle and on 17.05.2024 demanded Rs. 10,04,132.15P and said to foreclose loan account on 18.05.2024.
Vide order dated 28.05.2024 this Commission directed the O.P. not to take any coercive step and to hand over the vehicle within three days in I.A. No. 10/2024. Thereafter the Complainant filed Misc. Application No. 2/2024 alleging violation of the Commission order.
- The O.P. in reply submitted that Bhakta Suna executed contract No. XVFPSBR 00005327846 and loan was disbursed on 18.01.2023. The EMIs fixed for 60 months from 20.02.2023 to 20.01.2028 for finance amount. Rs. 9,37,876/-. The borrower failed to repay in time for commercial purpose vehicle has been purchased. The complaint is subject matter of Arbitration Act, 1996 Bhakta Suna was insured for personal accident on premium of Rs. 3226 for accidental death benefit of Rs. 4,50,000/- and LIC Premium amount of Rs. 6774/- for death benefit of Rs. 2,33,335/- of the co-borrower. Bhakta Suna is not covered under the LIC policy covering Rs. 2,33,335/-.
An amount of Rs. 1,73,200/- is laying outstanding excluding over dues. The complaint is liable to be dismissed.
In reply to interim order dated 28.05.2024 the O.P. submitted that the Complainant not repaid the instalments in time. After repossession of the vehicle the Complainant informed about death of her husband. An amount of Rs. 1,73,200/- is lying outstanding. Bhakta Suna is not covered under insurance.
- Perused the documents filed by both the parties. The Complainant challenged the forcible seizure of the vehicle from the Complainant at Sindurpank. The O.P. in reply submitted that repossession of the vehicle made following due procedure of law. The O.P. failed to submit the documents, like demand notice & seizure list. The O.P only submitted the letter of intimation to Sadar Police Station, Sambalpur,
The O.P. not followed due procedure of seizure only for that reason all the documents relating to seizure has not been filed. It amounts to deficiency in service of the O.P.
- This Commission passed order for delivery of the vehicle within three days but it was not handed over. The Complainant filed the Misc. case regarding violation of Commission order. Till date the O.P. not handed over the vehicle which is a clear violation of the order of the Commission.
- It is the admission of both the parties that till 14.06.2024 an amount of Rs. 9,52,600.44P is lying outstanding against the borrower and the net receivable is Rs. 2,24,268.60p. The Complainant went to the O.P. for grant of NOC but the O.P. failed to observe the formalities. As legal-heir of deceased borrower it was the duty of O.P. to take steps for change of ownership and insurance then rephasement of the loan account. The procedures were not followed. It is not only a loss to the Complainant but also it is a loss of O.P. as the total outstanding is blocked.
- Taking into consideration the life insurance part from the submission of O.P. it is clear that Bhakta Suna insured for personal accident and life insurance coverage was for the Complainant, co-borrower amounting to Rs. 2,33,335/-. The said insurance coverage is not meant for the deceased Bhakta Suna. Accordingly, the complaint is not entitled for the same.
Taking into consideration the circumstances of the case following order is passed:
ORDER
The complaint is partly allowed against the O.P. The Complainant is liable to pay the unpaid instalments with interest as agreed. The O.P. is directed to issue NOC infavour of Complainant so that the R.C. Book and insurance paper shall be up-dated. Further the loan outstanding needs to be rephased. The O.P. is to hand-over the vehicle No. OD-15W-0768 within one month of this order. For violation of Commission order a fine of Rs. 50,000/- is imposed on the O.P. u/s 72 of the C.P. Act, 2019. The O.P. is to deposit the amount in Consumer Welfare Fund of the district of Sambalpur.
Order pronounced in the open court on 08th day of Oct. 2024.
Supply free copies to the parties.
