DATE OF FILING : 22/12/2009
BEFORE THE CONSUMER DISPUTES REDRESSAL FORUM, IDUKKI Dated this the 30th day of July, 2010
Present: SRI.LAIJU RAMAKRISHNAN PRESIDENT SMT.SHEELA JACOB MEMBER SMT.BINDU SOMAN MEMBER
C.C No.250/2009 Between Complainant : K.V. Mathew, Kalathoor House, Pottenkadu P.O., Idukki District. (By Adv: V.M. Joymon) And Opposite Parties : 1. The Deputy General Manager, SBT Zonal Office, SBT, Panampally Nagar, Ernakulam - 36. 2. The Manager, SBT, Pottenkadu Branch, Pottenkadu P.O., Idukki District. (By Adv: Babichen V. George)
O R D E R
SRI. LAIJU RAMAKRISHNAN (PRESIDENT)
The complainant who is a cancer patient, is working as a coolie for his daily bread. He is having 75 cents of land at Pottenkadu kara. The petitioner availed a loan of Rs.50,000/- from the Pottenkadu branch of the SBT, for agricultural purpose on 1.8.2003 by pledging the original patta of the said land. His wife was affected with kidney disease and his three daughters are studying. Due to treatment expenses of his wife he was not able to repay the loan promptly and it became due from 2006 onwards. The loan was duly repaid and renewed up to 2006, without any due. But the opposite party never included the loan of the complainant in the Debt Waiver and Debt Relief Scheme declared by the Government. The complainant filed several complaints against the same to the higher authorities and so, on 15th April, 2009, a letter was received from the Manager, RBI, stating that the complainant is entitled to get the benefit of Agricultural Debt Waiver and Debt Relief Scheme declared by the Government. When the complainant approached the 2nd opposite party with this letter, they have misbehaved and threatened the complainant that his property will be attached if the loan is not paid. They have also threatened that they will call the police to arrest the petitioner. Later a demand notice was issued from the opposite party stating that the complainant has paid Rs.8,104/- to the opposite party bank on 22.9.2007 in his account No 57066116100. It is also stated that another loan was given to the complainant on 19.11.2009 for an amount of Rs.8,104/- in another account, and Rs.3,669/- is due in that account. The complainant never started any other account with the opposite party bank, never availed any other loan other than the 50,000/-or never paid any amount in any other account. When he applied for getting the benefit of the Debt Waiver and Debt Relief Scheme of 2008, it was replied by the opposite party on 27.8.2008 stating that there is no due in the loan account of the complainant on 31.12.2007 and so the complainant is not eligible for the same. But a letter was received from the 2nd opposite party on 24.7.2007 to the complainant stating that Rs.14,910/- is due in his account. It was not able to pay by the complainant because of the treatment expenses. So the complainant is entitled for the benefit of the scheme. A false account was created in the name of the complainant as account No.67045295427, a loan was sanctioned in that account for Rs.8,104/- and that amount has been entered into the account of the complainant which is 57066116100. So the eligible benefit from the Scheme was denied by them. A notice was received on 16.11.2009 demanding the complainant to pay Rs.33,526/- in the account of 57066116100. Hence the petition is filed for getting the benefits under the scheme declared by the Government.
2. As per the written version of the opposite party, the complainant is not prompt in repayment of loan availed from the opposite party. The complainant availed Agricultural Term Loan for Rs.50,000/- on 1.8.2003 which was repayable within by 7 years. The opposite party never purposely excluded the complainant from the Debt Waiver and Debt Relief Scheme, 2008, declared by the Government. The above loan is availed under Kissan Gold Card (Agricultural Term Loan). The opposite party never misbehaved to the complainant or never threatened him. The repayment of loan of the complainant was divided into 14 half yearly instalments for the loan amount plus interest for a period of seven years. The land (area) covered by the loan was declared as calamity affected for the year with effect from 1st April, 2003 to 31.3.2006, so the bank decided to rephase those Agricultural Term Loan operating in the above said years. For that purpose the defaulted portion of the complainant's original account 57066116100 was rephased into new account bearing No.67045295427 for an amount of Rs.8,104/-, on 22.9.2007 with the consent of the complainant. According to Debt Waiver Scheme, only defaulted portion that is rephased is eligible for the Debt Waiver. The bank totally waived Rs.8,104/- along with the interest and charges to the complainant as per letter dated 3.2.2009. The defaulted portion for which the complainant is eligible for Debt Waiver is already rephased and fully settled in favour of the complainant. He is not eligible for any other relief. The complainant is a chronic defaulter in his account. The debt relief schemes are uniformly applied by the opposite party to all the customers as per the present norms of bank as well as the rules and regulations of Reserve Bank of India. So there is no deficiency in the part of the opposite party.
3. The point for consideration is whether there was any deficiency in service on the part of the opposite parties, and if so, for what relief the complainant is entitled to?
4. The evidence consists of the oral testimony of PW1 and Exts.P1 to P13 marked on the side of the complainant and oral testimony of DW1 and Exts.R1 to R13 marked on the side of the opposite parties.
5. The POINT :- The complaint is filed for getting benefit of Debt Waiver and Debt Relief Scheme declared by the Government for Agricultural loans. The complainant availed Rs.50,000/- from the 2nd opposite party on 1.8.2003. The complainant is examined as PW1. Ext.P1 is the copy of the loan pass book. PW1 is a cancer patient and his wife was also affected with kidney disease, three of his daughters were also studying. So due to the heavy treatment expenses, he was not able to repay the loan promptly and it became due. Ext.P3 is the copy of the letter issued from the opposite party bank on 24.7.2007 stating that an amount of Rs.14,910/- is due in the account of the complainant. Ext.P4 is another letter received from the opposite party bank on 16.11.2009 stating that his loan is due for an amount of Rs.33,526/-. Ext.P5 is a letter received from the opposite party demanding Rs.3,669/- from the complainant in the loan account ATL 67045295427, the loan amount is Rs.8,104/-. PW1 applied for including his loan in the Debt Waiver and Debt Relief Scheme declared by the Government, but the 1st opposite party replied stating that he is not eligible for the same because his loan was not due on 31.7.2007. So the complainant filed several complaints to the higher authorities of the bank because the 2nd opposite party misbehaved and threatened the complainant when he approached the 2nd opposite party for getting the benefit as per the Scheme of the Government. Ext.P6(a) is the complaint given to the Zonal Office of the SBT against the 2nd opposite party, and the reply from the Zonal Office is Ext.P6(b). Another complaint was given to the Grievances Redressal Officer, SBT, against the act of the 2nd opposite party. Copy of the same is marked as Ext.P7 and the reply from the Deputy General Manager is also produced. A complaint was given to the Banking Ombudsman, Thiruvananthapuram, against the 2nd opposite party, copy of the same is marked as Ext.P8(a) and copy of the reply for the same is marked as Ext.P8(b). At last the complainant approached RBI and as per the reply from the Assistant Manager, RBI, it is stated that the complainant is eligible for the benefit under Agricultural Debt Waiver and Debt Relief Scheme, 2008 and it is also directed to approach the concerned bank for further action. Ext.P13 is the reply from the RBI dated 15th April, 2009. The complainant approached the opposite party but they denied the same. The opposite party is examined as DW1. As per DW1, when the complainant's loan was became due, the land covered by the loan of the complainant was declared as a natural calamity affected for the years with effect from 1st April 2003 to 31st March, 2006. So the bank decided to rephase those Agricultural term Loan accounts operating the above said years. For that purpose the defaulted portion of the complainant's original account 57066116100 was rephased into a new account bearing 67045295427 with an amount of Rs.8,104/- on 22.9.2007 with the consent of the complainant. The statement of account of the 1st account 57066116100 of the complainant is marked as Ext.R1 and that of the rephased account 67045295427 is marked as Ext.R2. That matter was duly informed to the complainant, a letter was given to the complainant on 12.9.2007 to approach the bank for the rephasement facility. Ext.R4(b) is the copy of the Hypothecation agreement given by the complainant to the opposite party for the rephasement of an amount Rs.8,104/-. According to the Debt Waiver Scheme, only defaulted portion is eligible for the debt waiver and the benefit given for the total amount along with all interest as per the letter dated 3.2.2009. Ext.R11 is the copy of the certificate from the opposite party bank stating that the complainant has given a waiver of Rs.10,452/- as per the Scheme. And the circular issued from the Government as per the Scheme is marked as Ext.R12. Ext.R10 is the copy of the letter written to the Zonal Office by the Branch Manager giving the details of the benefit given to the complainant as per the Scheme.
As per the complainant, he is entitled for the Debt Waiver and Debt Relief Scheme declared by the Government and that was not given by the opposite party. The opposite party replied stating that his loan was not due on 31.12.2007 and he was not entitled for the same as per Ext.P2 letter. But the complainant received a letter from the opposite party on 16.11.2009 stating that he is having a due of Rs.33,526/- on his account and another letter was received from the opposite party on 19.11.2009, Ext.P4, revealing that Rs.3,669/- is due in another account as ATL 67045295427. A notice was received on 24.7.2007 stating that Rs.14,910/- is due to the opposite party bank, which is Ext.P3. So the opposite party itself issued notices to the complainant stating that the loan was due. The complainant never started another account of such ATL 67045295427 from the opposite party. Never availed any loan or any other account other than the account No.57066116100. The complainant never gave any consent to the opposite party to start any other account or no signature was affixed. But as per the opposite party, the complainant's loan was rephased on 22.9.2007, by including the area in natural calamities affected area and another account was started as account No.67045295427. The due amount was entered into that account as Rs.8,104/- as a fresh loan. When the Scheme was declared by the Government for Debt Waiver and Debt Relief, there was no due in the loan account, there was only due on the rephased account and that loan was included in the Debt Waiver and Debt Relief Scheme, so an amount of Rs.10,452/- was waived as per the Scheme. Ext.R11 certificate shows the same. That was done on 28.1.2010. The rephased loan was done with the consent of the complainant, letter was given to the complainant and the complainant himself signed in the consent letter and also in an agreement for rephasement which are Ext.R3, Ext.R4 and Ext.R4(b) respectively.
As per the cross examination of the learned counsel of the opposite party, PW1 replied that he never knows about the rephasement of the loan, he is not having any account like ATL 67045295427, he never signed any papers for the same. And the complainant is not aware of the fact that whether he has given benefit under Debt Waiver Scheme. No notice was given to the complainant for the same. As per the opposite party, Ext.R4(a), copy of the consent given by the complainant, for rephasement and it is signed by the complainant. An agreement also signed by the complainant. But these Ext.R4 (a) & (b), both are printed papers which are kept by the bank in which the name of the complainant, account number and signature are written in ink. The amount is also written in ink. As per the complainant, he never signed in the papers for rephasement, he is an illiterate and he do not know to read English. It may be true that the complainant may have signed in the papers showed to him and he may not know the contents of the papers. No registered notice was given to the complainant by the opposite party bank for intimating the rephasement. As per the opposite party, they have started a new account in favour of the complainant and due amount was transferred into that account as rephasement. But we think that if a loan is rescheduled, the interest on the due account will be calculated together with the principle amount and a fresh loan will sanction with that amount. Here, the opposite party started another account with the due amount. If the rephasement was done, by calculating the loan amount plus interest as a fresh account and the loan was renewed, that amount might be included in the Debt Waiver Scheme of the Government. Here, the opposite party given notice to the complainant stating that both loan accounts were due and an amount of Rs.14,910/- was due on 24.7.2007, as per Ext.P3, Rs.33,526/- was due on 16.11.2009 as per Ext.P4. So it is very clear from Ext.P4 letter that the complainant's loan account 57066116100 was due for an amount of Rs.33,526/- on 16.11.2009. But the opposite party have given the benefit only on the rephased account and not in the prime account. As per Ext.P13, the order from the RBI, the complainant is eligible for the benefit under Agricultural Debt Waiver and Debt Relief Scheme, 2008 and directed to approach the bank for further action. So the complainant several times approached the Bank Manager, but he threatened the complainant and also misbehaved against him. So PW1 filed several complaints against the opposite party to the Zonal Office, Banking Ombudsman, to the Redressal Office of the bank, and also to the General Manager. A letter was received from the Head Office, SBT, Thiruvananthapuram, written by the Chief Manager, dated 17.1.2009 directing to look into the grievances of the complaint and also to reply to the RBI, Ext.R6 (b) is the copy of the same. It was done as per the letter from the Assistant Manager RBI, on receiving the complaint of the complainant. Another reference from the Assistant General Manager, SBT, Zonal Office was given to the SBT, Pottenkadu branch on 23rd January, 2009, against the complaint of Mr.Mathew, which is Ext.R6 (e). Another letter from the Deputy General Manager (Operations), which is Ext.R6 (c), to the Assistant General Manager, SBT, Zonal Office to take urgent action for the complaint of the complainant. So a series of complaints were given by the complainant to several higher authorities of the 2nd opposite party, even to the RBI and Banking Ombudsman. But the opposite party denied to give the benefit under the Agricultural Debt Waiver and Debt Relief Scheme to the complainant even there is a specific direction from the RBI as per Ext.P13. So the complainant filed a complaint before this Forum on 22.12.2009. Only after that on 28.1.2010, a certificate for Debt Waiver and Debt Relief Scheme was issued from the bank or benefit was given to the complainant and it was only for an amount of Rs.8,104/- and its due interest. Ext.R11 is the copy of the same. Ext.R10, letter written by the Branch Manager to the Zonal Office, stating that it was done as per the letter from Zonal Office dated 20.1.2010 and the payment was done only on 28.1.2010. So the complainant got the benefit of Rs.8,104/- with interest only on 28.1.2010, as per the direction of the Zonal Office, after filing complaint before this Forum. So it is a gross deficiency from the part of the opposite party.
The Agricultural Debt Waiver and Debt Relief Scheme, 2008, notified by the Government of India/RBI which is introduced exclusively for agricultural loan and those people who are not able to repay the loan. Here the complainant who is a poor 'coolie', a cancer patient, was not able to repay the loan on time but he was renewing in time. Ext.P11 is the certificate issued from Amrita Institute of Medical Science and Research Centre, from the Department of Urology, by Dr. Ginil Kumar, certifying the disease of the complainant. His wife was also affected with kidney disease and due to treatment expenses, he was not able to repay the loan in due time. Ext.P12 is the copy of the ration card of the complainant which shows that he is having three daughters who are studying. The complainant applied for an educational loan for his children, but that was denied by the opposite party and advised to repay the existing loan. Ext.P10 is the copy of the letter issued from the 2nd opposite party to the complainant stating the same. It is also admitted by the 2nd opposite party that the area was calamity affected area. So the complainant is a person who entitled for the Debt Waiver and Debt Relief Scheme declared by the government and there is a specific order from the RBI, Ext.P13, for the same. But the opposite party never given the benefit as per the order from the government. But the 2nd opposite party harazzed and threatened the complainant when he approached for the same. So the complainant suffered a lot by the act of the 2nd opposite party and he filed several complaints to the higher authorities of the 2nd opposite party.
As per Ext.R12 circular, issued from the government in clause No.4. Eligible amount, 4(1) (b), in case of an investment loan, the instalments of such loan that are over due (together with applicable interest on such instalments) if the loan was : ( i ) disbursed up to March 31, 2007 and overdue as on December 31, 2007 and remaining unpaid until February 29, 2008; ( ii ) restructured and rescheduled by banks in 2004 and in 2006 through the special packages announced by the Central Government; and ( iii ) restructured and rescheduled in the normal course up to March 31, 2007 as per applicable RBI guidelines on account of natural calamities.
As per clause No3.7 (3), In the case of a farmer who has obtained investment credit for allied activities where the principal loan amount does not exceed Rs.50,000/- he would be classified as “small and marginal farmer” and, where the principal amount exceeds Rs.50,000/- he would be classified as 'other farmer', irrespective in both cases of the size of the land holding, if any. As per clause No.5. Debt Waiver 5.1. In the case of a small or marginal farmer, the entire 'eligible amount' shall be waived. Hence the petition allowed. The 2nd opposite party is directed to include the entire amount of the complainant's agricultural loan as per account No.57066116100 in the Agricultural Debt Waiver and Debt Relief Scheme declared by the government as per Ext.R12 circular dated 27th May, 2008. The 2nd opposite party is also directed to pay Rs.5,000/- as compensation and also Rs.2000/- as cost of this petition to the complainant within 30 days of receipt of a copy of this order failing which the amount shall carry 12% interest per annum from the date of default.
Pronounced in the Open Forum on this the 30th day of July, 2010.
SRI. LAIJU RAMAKRISHNAN (PRESIDENT)
SMT. SHELA JACOB (MEMBER)
SMT. BINDU SOMAN (MEMBER)
APPENDIX
Depositions : On the side of the Complainant : PW1 - Mathew Varghese On the side of the Opposite parties : DW1 - Pradeep Kumar. K. Exhibits : On the side of the Complainant : Ext.P1 - Copy of the Kisan Gold Card-cum- Pass Book (loan pass book) of the complainant. Ext.P2 - Letter from the Deputy General Manager, SBT Zonal Office, Ernakulam to the complainant. Ext.P3 - Copy of the letter issued from the opposite party on 24.7.2007 to the complainant. Ext.P4 - Letter from the opposite party to the complainant dated 16.11.2009. Ext.P5 - Letter form the opposite party to the complainant dated 19.11.2009. Ext.P6(a) - Copy of the complaint given by the complainant dated 30.12.2008 to the Deputy General Manager, SBT, Zonal Office, Ernakulam. Ext.P6(b) - The reply letter for Ext.P6(a) complaint dated 20.2.2009. Ext.P7 - Copy of the complaint given by the complainant dated 15.1.2009 to the Grievances Redressal Officer SBT, Head Office, Thiruvananthapuram and reply for the same dated 19.1.2009. Ext.P8(a) - Copy of the complaint given by the complainant to the Banking Ombudsman, Thiruvananthapuram, dated 2.1.2009. Ext.P8(b) - The reply letter from the Banking Ombudsman dated 12.1.2009 for Ext.P8(a) complaint.
Ext.P9 - Copy of the statement of accounts of the complainant's account No.57066116100 issued by the opposite party. Ext.P10 - Letter from the opposite party to the complainant dated 19.8.2006. Ext.P11 - Copy of the certificate issued by Dr.Ginil Kumar, Amrita Institute of MedicalSciences and Research Centre, dated 31.5.2003. Ext.P12 - Copy of the Ration Card of the complainant. Ext.P13 - Letter the Assistant Manager, RBI, India, to the complainant dated 15.4.2009. On the side of the opposite party : Ext.R1 - Copy of the statement of accounts of the complainant's account No.57066116100 issued by the opposite party. Ext.R2 - Copy of the statement of accounts of the complainant's account No.67045295427 issued by the opposite party. Ext.R3 - Copy of the letter issued by the opposite party to the complainant dated 12.9.2007. Ext.R4(a) - Copy of the letter from the complainant to the opposite party dated 22.9.2007. Ext.R4(b) - Copy of the Hypothecation agreement dated 22.9.2007. Ext.R5 - Letter from the Deputy General Manager, SBT Zonal Office, Ernakulam to the complainant. Ext.R6(a) - Copy of the letter from the complainant to the Banking Ombudsman, dated 2.1.2009. Ext.R6(b) - Copy of the letter from the Chief Manager, SBT Head Office, Thiruvananthapuram to the opposite party dated 17.1.2009. Ext.R6(c) - Copy of the letter from the Deputy General Manager (Operations) to the Assistant General Manager, SBT, Zonal Office, Ernakulam, dated 19.1.2009. Ext.R6(d) - Copy of the letter from the Deputy General Manager (Operations) to the 2nd opposite party dated 19.1.2009. Ext.R6(e) - Copy of the letter from the Assistant General Manager, SBT, Zonal Office, Ernakulam to the 2nd opposite party, dated 23.1.2009. Ext.R7 - Copy of the letter from the 2nd opposite party to the Assistant General Manager – V, SBT, Zonal Office, Ernakulam, dated 3.2.2009. Ext.R8 - Copy of the letter from the 2nd opposite party to the complainant dated 9.12.2009. Ext.R9 - Copy of the letter from the Assistant General Manager to the 2nd opposite party dated 20.1.2010. Ext.R10 - Copy of the letter from the 2nd opposite party to the Assistant General Manager, SBT, Zonal Office, dated 28.1.2010. Ext.R11 - Copy of the certificate for Debt Waiver and Debt Relief Scheme, issued by the 2nd opposite party dated 28.1.2010. Ext.R12 - Copy of the circular issued by the Government about the Agricultural Debt Waiver and Debt Relief Scheme, 2008. Ext.R13 - Copy of the circular about the Agricultural Debt Waiver and Debt Relief Scheme, 2008 - Additional clarifications from Ministry of Finance.
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