Tamil Nadu

South Chennai

22/2011

A.Muthayya - Complainant(s)

Versus

CITI Bank - Opp.Party(s)

P.Chandramohan

01 Nov 2019

ORDER

                                                                             Date of filing      : 24.01.2011

                                                                               Date of Disposal : 01.11.2019

                                                                                  

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHENNAI (SOUTH)

@ 2^ND Floor, T.N.P.S.C. Road, V.O.C. Nagar, Park Town, Chennai – 3.

 

PRESENT: THIRU. M. MONY, B.Sc., L.L.B, M.L.                    : PRESIDENT

TR. R. BASKARKUMARAVEL, B.Sc., L.L.M., BPT., PGDCLP.  : MEMBER

 

C.C. No.22/2011

DATED THIS FRIDAY THE 01^ST DAY OF NOVEMBER 2019

                                 

A. Muthaiah,

S/o. Mr. Angana Thevar,

No.1/282, Palaniamman Kovil Street,

Periya Kovilambakkam,

Chennai – 600 117.                                                        .. Complainant. 

                                                                                                              ..Versus..

 

1. The General Manager,

Citi Bank,

No.2, Club House Road,

Chennai – 600 002.

 

2. The Manager,

Professional Credit Services,

No.2, 3^rd Cross Street,

United India Colony,

Kodambakkam,

Chennai – 600 029.                                                 ..  Opposite parties.

 

Counsel for the complainant           : Mr. P. Chandra Mohan

Counsel for the 1^st opposite party  : M/s. Mohanraj Associates

2^nd opposite party                           : Ex-parte

ORDER

THIRU. M. MONY, PRESIDENT

       This complaint has been filed by the complainant against the opposite parties under section 12 of the Consumer Protection Act, 1986 prays to return of a sum of Rs.50,001/- towards the settlement of credit card account and the statement of accounts and to pay a sum of Rs.4,00,000/- towards compensation for deficiency in service and mental agony with cost to the complainant.

1.    The averments of the complaint in brief are as follows:-

The complainant submits that he is a credit card holder of the opposite party bearing No.5546379578429001 for the limit of Rs.51,000/-. The complainant submits that the opposite party has not given the account statement in proper time.  Hence, the complainant wanted to supply the credit card account and requested the agent of the 2^nd opposite party for settlement of credit card account.  The 1^st opposite party issued settlement letter dated:20.03.2019 for settling the credit card account for a sum of Rs.50,000/-.  The complainant submits that as per the settlement letter he has paid the entire amount by way of 3 cheques drawn on Indian Overseas Bank bearing No.766381 dated:26.03.2009, 766382 dated:24.04.2009, 766383 dated:24.05.2009 for Rs.16,667/- each.  All the three cheque were duly honoured.  Thereby, the complainant duly complied the one time settlement.  The complainant submits that the 1^st opposite party contacted the complainant through phone and stated that there was some balance pending and issued settlement dated:13.01.2010 & 12.02.2010 claiming a sum of Rs.1,31,000/-.  The complainant submits that the opposite parties engaged Gundas who came to the house of the complainant during the night hours and threatened with filthy language and their consequences caused great mental agony.  The opposite parties has not come forward to settle the demands of the complainant.   The act of the opposite parties amounts to deficiency in service and unfair trade practice which caused great mental agony.  Hence, the complaint is filed.

2.      The brief averments in the written version filed by 1^st opposite party is as follows:

The 1^st opposite party specifically denies each and every allegation made in the complaint and put the complainant to strict proof of the same.    The 1^st opposite party states that the complainant availed the credit card facility of the opposite parties bearing credit card No.5546379578429001.  Taking advantage of the usage of the credit card, the complainant misused the credit card and utilized the credit card against the terms and conditions.  The complainant has not paid the credit card amount within the stipulated time and kept arrears.  The 1^st opposite party states that the settlement offer notice issued and the complainant has not paid the amount in proper time and defaulted.  The 1^st opposite party states that the offer letter is only for 30% of the total outstanding is Rs.1,29,456.85/-.  The 1^st opposite party states that the allegation that gundas sent to the complainant’s house is false.  Hence the opposite party bank shows liberal view to the complainant to settle the card account.  As per settlement letter “the amount to be paid on or before 9^th of every month commencing from May 2009.  But the complainant deposit the amount only on 11.06.2009 & 11.07.2009.   Based on that the settlement offered by the opposite party is null and void. Therefore, there is no deficiency in service on the part of the 1^st opposite party and hence, the complaint is liable to be dismissed.

3.     Inspite of receipt of notice, the 2^nd opposite party has not appeared before this Forum and hence, the 2^nd opposite party is set ex-parte.

4.     To prove the averments in the complaint, the complainant has filed proof affidavit as his evidence and documents Ex.A1 to Ex.A6 are marked.  Proof affidavit of the 1^st opposite party is filed and documents Ex.B1 alone is marked on the side of the 1^st opposite party.

5.      The points for consideration is:-

1. Whether the complainant is entitled to get return of a sum of Rs.50,001/- towards the settlement of credit card account and the statement of accounts as prayed for?
2. Whether the complainant is entitled to a sum of Rs.4,00,000/- towards compensation for mental agony and deficiency in service with cost as prayed for?

6.      On point:-

Inspite of receipt of notice, the 2^nd opposite party has not appeared before this Forum either in person or through Counsel hence, the 2^nd opposite party is set ex-parte. The written argument of the 1^st opposite party is filed.   The complainant neither filed written argument nor turned up to advance oral arguments.   Perused the records namely; the complaint, written version, proof affidavits and documents etc.  The complainant pleaded and contended that he is a credit card holder of the opposite party bearing No.5546379578429001 for the limit of Rs.51,000/-.   Further the contention of the complainant is that the opposite party has not given the account statement in proper time.  Hence, the complainant requested to supply the credit card account and requested the agent of the 2^nd opposite party for settlement of credit card account.  The 1^st opposite party issued settlement letter dated:20.03.2019 as per Ex.A1 for settling the credit card account for a sum of Rs.50,000/- which reads as follows:

The total outstanding on your Credit Card account (including linked loans if any) as on 23-MAR-09 is Rs.129456.85

In view of the above, we herewith offer you a special offer as follows:

Amount                         :        Rs.50000.00

Rate of Interest                   :        0.00 %

No. of instalments     :        3

EMI                               :        Rs.16667.00

You can accept this offer and confirm the amount Rs.50000.00 specified above as your liability on your above Credit card accounts(s) by signing this letter and making a minimum payment of Rs.16667.00 by 28-MAR-09.

The remaining 2 Equated monthly instalments of Rs.16667.00 are each payable on or before 9^th day of the month commencing from May 2009”.

Accordingly, the rate of interest is noted as 0.00%.  

7.     Further the contention of the complainant is that as per the settlement letter he has paid the entire amount by way of 3 cheques drawn on Indian Overseas Bank bearing No.766381 dated:26.03.2009, 766382 dated:24.10.2009, 766383 dated:24.05.2009 for Rs.16,667/- each as per Ex.A2.  All the three cheque were duly honoured as per Ex.A4.  Thereby, the complainant duly complied the one time settlement.  Further the contention of the complainant is that the 1^st opposite party contacted the complainant through phone and stated that there was some balance pending and issued letter dated:13.01.2010 & 12.02.2010 claiming a sum of Rs.1,31,000/-  proves the deficiency in service and unfair trade practice.   Further the contention of the complainant is that the opposite parties engaged Gundas who came to the house of the complainant during the night hours and threatened with filthy language and dame consequences caused great mental agony.  Hence, the complainant was constrained to file this case claiming refund of the settlement amount and statement of account with cost and compensation.

8.     The contention of the 1^st opposite party is that admittedly the complainant availed the credit card facility of the opposite parties bearing credit card No.5546379578429001.  Taking advantage of the usage of the credit card, the complainant misused the credit card and utilized the credit card against the terms and conditions.  The complainant has not paid the credit card amount within the stipulated time and kept arrears.  The allegation of issue of credit card statement by the opposite parties is not acceptable.  But on a careful perusal of the records, the 1^st opposite party has not issued the statement of accounts for the months properly.   Mere production of Ex.B1 in this Forum shall not satisfy the balance amount to pay by the complainant in the relevant time.   Further the contention of the 1^st opposite party is that the settlement offer notice as per Ex.A1 issued and the complainant has not paid the amount in proper time and defaulted.  But on a careful perusal of Ex.A1, coupled with Ex.A3 & Ex.A4, the complainant has paid the amount in three instalments and thereby, settled the amount.   Further the contention of the 1^st opposite party is that the offer letter as per Ex.A1 is only for 30% of the total outstanding is Rs.1,29,456.85/-.  But on a conjoint reading of Ex.A1, it is very clear that the opposite party come forward to settle the credit card amount for a sum of Rs.50,000/- in three equal instalments and  the complainant also complied accordingly and paid the amount. 

9.     Further the contention of the 1^st opposite party is that the allegation that gundas sent to the complainant’s house is false.  There is no record also.  But on a careful perusal of records after due payment of the amount according to the settlement letter as per Ex.A1, the 1^st opposite party issued notice claiming a huge amount proves unfair trade practice.  Considering the facts and circumstances of the case this Forum is of the considered view that the opposite parties 1 & 2 are jointly and severally liable to account Ex.A1, settlement letter and the payment made by the complainant and close the credit card No.5546379578429001 and to pay a sum of Rs.10,000/- towards compensation for mental agony with cost of Rs.10,000/- to the complainant.

In the result, this complaint is allowed in part.  The opposite parties 1 & 2 are jointly and severally liable to Account Ex.A1, Settlement Letter and the payment made by the complainant and close the Credit Card No.5546379578429001 and to pay a sum of Rs.10,000/- (Rupees Ten thousand only) towards compensation with cost of Rs.10,000/- (Rupees Ten thousand only) to the complainant.

The above amounts shall be payable within six weeks from the date of receipt of the copy of this order, failing which, the said amounts shall carry interest at the rate of 9% p.a. to till the date of payment.

Dictated  by the President to the Steno-typist, taken down, transcribed and computerized by her, corrected by the President and pronounced by us in the open Forum on this the 01^st day of November 2019. 

 

MEMBER                                                                                PRESIDENT

 

COMPLAINANT SIDE DOCUMENTS:-

Ex.A1	23.03.2009	Copy of offer letter of the opposite parties
Ex.A2	25.03.2009	Copy of details of receipt of cheque
Ex.A3	26.03.2009	Copy of details of receipt of cheque
Ex.A4	11.03.2009	Copy of Statement of Accounts of the Bank who passed the cheque
Ex.A5	13.01.2010	Copy of accounts of debt sent by the 1st opposite party
Ex.A6	12.02.2010	Copy of accounts of debt sent by the 1st opposite party

 

1^ST OPPOSITE PARTY SIDE DOCUMENTS:-  

Ex.B1 (S)

Copy of statement of accounts in duplicate

 

 

 

MEMBER                                                                                                                                                                                          PRESIDENT