Orissa

Cuttak

CC/58/2016

Ranjeet Kumar Jena - Complainant(s)

Versus

Cholamandalam Investment & Finance Ltd - Opp.Party(s)

B M Mohapatra

16 Jan 2017

ORDER

IN THE COURT OF THE DIST. CONSUMER DISPUTES REDRESSAL FORUM,CUTTACK.

C.C No.58/2016

        Ranjeet Kumar Jena,

        Vill:Bara Sailo Patasundarpur,

        PO/P.S:Govindpur,Dist:Cuttack.                                                                                 … Complainant.

 

Vrs.

1.       State Head,

     Cholomandalam Investment & Finance Ltd.,

     At:Lewis Road,Annapaurna Complex,

     Bhubaneswar,Dist:Khurda..

 

2.      Branch Head,  

     Cholomandalam Investment & Finance Ltd.,

     At:Mahanadi Vihar,Biswal Complex,

     P.S:Chauliaganj,Dist:Cuttack.

 

3.      R.T.O,Cuttack,

     Dist:Cuttack.                                                                                                                  … Opp. Parties.

 

Present:               Sri Dhruba Charan Barik,President.

Sri Bichitrananda Tripathy, Member.

Smt. Sarmistha Nath, Member.

 

Date of filing:    29.04.2016

Date of Order:  16.01.2017

 

For the complainant:      Mr. B.M.Mohapatra,Advocate & Associates..

For the O.Ps               :      Sri .K.Pattnaik,Advocate & Associates.

 

Mr. Bichitra Nanda Tripathy, Member.

The complaint is against deficiency in service on the part of O.Ps (1 & 2).

1.  In short the complaint is as follows:

1. The complainant availed a loan from the O.P Finance Company amounting to Rs.3,00,000/- to purchase a vehicle to earn his livelihood vide Loan A/c No.XVFPBNR 00000848561.  The said loan was repayable in 48 installments w.e.f 8.11.2012 to 8.8.2016.
2. Out of total loan amount of Rs.3,00,000/- + interest the complainant had repaid about Rs.2,97,784/- towards E.M.I as on the date of seizure.
3. The vehicle was registered with R.T.O,Cuttack vide Regd. No.OD-05-9769.  The complainant had purchased accessories worth Rs.50,000/- and had also paid towards tax, insurance etc. amounting to Rs.91,000/- for the said vehicle (TATA ACE).
4. The O.P finance Company on 14.4.2016 seized the above vehicle at about 3 P.M. from Manguli  Chhack without giving any prior notice, since some installments were in default.

 

5.  The complainant approached the O.P Finance Company to release his vehicle but in vain.

 

6. Finding no other alternative the complainant took shelter of this Hon’ble Forum.  He has prayed to direct the O.ps to release his vehicle and also to pay the following amount.

1. For mental agony and harassment                           Rs.25,000/-
2. Loss of personal prestige                                              Rs.25,000/-
3. Cost of litigation                                                               Rs.10,000/-
4. Compensation for unfair trade practice                 Rs.40,000/-

Total:     Rs.1,00,000/-

5. He has also prayed to pay Rs.1200/- per day to the complainant if delay made in releasing the vehicle.
6. He has also prayed to supply him a copy of loan agreement.  He has also prayed to declare the above seizure as null and void and to direct the  O.Ps not to sell the vehicle and to release the vehicle as per one time settlement as per law and not to take any coercive action against the complainant.

 

7. On 23.4.2016 the complainant filed a misc. petition and prayed to direct the O.Ps regarding stay on sale/transfer of the said vehicle and also for release of the said vehicle.
8. On 5.5.2016 this Hon’ble Forum vide its order directed the O.Ps to release the said vehicle after receiving the up-to-date E.M.Is up to the date of seizure.

2. The O.Ps vide their written statement dt.22.8.2016 has intimated as follows:-

1. That as on date of repossession of the vehicle. i.e. 14.4.2016 the complainant had defaulted in paying installments amounting to Rs.1,02,282/-.  Other over dues were also payable by the complainant amounting to Rs.1,01,282/- excluding 4 nos. of future E.M.Is which were also payable by the complainant.
2. That the complainant had availed a loan of Rs.2,97,150/- vide loan cum hypothecation agreement No.XVFPBNR 00000848561 repayable in 45 nos. of E.M,Is during the period from 10.12.2012 to 10.8.2016.
3. It is learnt from the Accounts statement and repayment schedule as sub mitted by the O.Ps vide Annexure A & B that the E.M.Is were @ Rs.9086/-.  It is also learnt that as on 10.4.2016 41 E.M.is were due for payment and 4 E.M.Is were payable after 10.4.2016 i.e. during May to August,2016.

 

3. We have gone through the case in details, have heard the learned advocates and perused minutely the documents as submitted by the complainant and also as well by the O.ps.  We have observed as follows:-

1. The complainant had availed a loan from the O.Ps amounting to Rs.2,97,150/-.  The said loan was repayable in 45 E.M.is @ Rs.9086/- per E.M.,I during the period from 10.12.12 to 10.8.2016.
2. As on 10.4.2016, 4 installments were due and rest 4 installments were payable during May to August,2016.
3. The rate of interest charged by O.Ps is 17.72% P.A whereas rate of additional interest is 48% p.a.
4. Copy of loan agreement was not supplied to the complainant and the said loan agreement was given in the Forum during hearing.
5. The exact amount repaid by the complainant is Rs.2,70,244/- as learnt from Account statement as submitted by O.Ps vide Annexure-A.
6. From the final call letter of the O.Ps (Annexure-C) it is also learnt that as on 13.04.2016 over dues of installments amounting to Rs.1,02,282/- and additional finance charges amounting to Rs.1,01,191/- thus a total amount of Rs.2,03,473/- was payable by the complainant excluding 4 nos. of E.M.Is payable during the period from May to August,2016@ Rs.9086/- P.M.
7. It is intimated vide the written version of the O.Ps that vide Annexure-C the complainant was intimated to repay the dues as shown there within a period of 7 days failing which the O.ps shall take recourse to law in accordance with the agreement.
8. The Annexure-C (final call letter to the customer) was issued on 13.04.2016.  There is no proof that the O.Ps have served this letter on the complainant since there is no acknowledgement of the complainant/no proof that such a letter was posted to the complainant through post office/speed post.  But the vehicle was seized on 14.04.2016.
9. On 5.5.2016 this Hon’ble Forum had passed an interim order to release the said vehicle on payment of up-to-date E.M.Is up to the date of seizure but the O.Ps have kept  quite on the matter.
10. The O.Ps have not furnished copy of any other letter/intimation served on the complainant prior to seizure of the vehicle other than the notice issued on 13.04.2016 and the vehicle was seized on 14.04.2016.
11. It is important to record it here that the O.Ps have seized the vehicle on 14.04.2016 where as they have issued the final notice on the complainant on 13.04.2016 wherein the O.Ps have allowed the complainant to repay the dues within 7 days. Since O.Ps have seized the vehicle on 14.4.2016 without allowing 7 days time to the complainant, such an action of the O.Ps is illegal.
12.  O.Ps are also silent regarding the status of the vehicle after seizure.  From the documents filed by the O.Ps, no where O.Ps have stated whether the seized vehicle is sold or still lying in their stock yard.

4. Depending upon the facts and circumstances as stated above, we conclude that the O.Ps are at fault for not intimating the complainant before seizure of the vehicle and not responding to order of this Hon’ble Forum dt.05.05.2016.

 

           ORDER

                                To meet the ends of justice, the O.Ps will deliver the vehicle to the complainant on receipt of the following amount:

1. Defaulted installments                                    Rs.1,02,282/-
2. Other over dues                                               Rs.1,01,191/-
3. 4 Nos. of future E.M.Is Rs.9086x4             Rs.    36,344/-

Total:                                     Rs.2,39,817.00

The O.Ps will not charge anything more since they have not released the vehicle as per the order of this Hon’ble Forum dt.5.5.16.  The O.Ps will also pay a sum of Rs.80,000/- to the complainant as compensation towards mental agony, harassment etc.  The O.ps will also pay additional sum of Rs.10,000/- towards cost of litigation.

The above noted payments shall be made to the complainant within 45 days of receipt of this order, failing which the complainant is at liberty to take shelter of this Court under C.P.Act,1986.

Typed to dictation, corrected and pronounced by the Hon’ble Member in the Open Court on this the 16^th day of January,2017 under the seal and signature of this Forum.

 

   (Sri B.N.Tripathy )

                                                                                                                         Member.

 

                                                                                                                 (Sri D.C.Barik)

                                                                                                                    President.

                                                                                                             (Smt. Sarmistha Nath) 

                                                                                                       Member(W).