BEFORE THE SOUTH MUMBAI DISTRICT CONSUMER DISPUTES REDRESSAL FORUM,
Puravatha Bhavan, 1st Floor, General Nagesh Marg, Near Mahatma Gandhi Hospital, Opp. M.D. College, Parel, Mumbai – 400 012.
O.No.
Complaint No.SMF/MUM/CC/2014/103
Date of filing : 13/05/2014
Date of Order: 28/11/2017
Mrs. Vilasini Prataprai Mehta (Karta of HUF),
(Widow of Late Prataprai V. Mehta)
C-2, Lucky Towers CHS Ltd.,
M.G. Cross Road No.4,
Behind Patel Nagar, Kandivali (West),
Mumbai – 400 067. ….. Complainant.
V/s.
- Director,
Mumbai General Post Office,
Department Of Post India,
Mumbai – 400 001.
- The Deputy Director (Saving Bank),
Public Provident Fund Account,
Head Office, General Post Office,
Mumbai – 400 001.
- Assistant Deputy Director,
Post Office (Saving Bank -1),
Public Provident Fund Account,
General Post Office,
Mumbai – 400 001. ….. Opposite Party
Coram:
Shri. G.K. Rathod : Hon’ble President
Shri. S.R. Sanap : Hon’ble Member
Appearance : For Complainant – Adv. Shri. Mangesh L. Upadhyay
For Opponent Nos. 1 to 3 - Adv. Shri. N.J. Gonsalves
// JUDGMENT //
PER SHRI. G.K. RATHOD – HON’BLE PRESIDENT
The brief facts of the case are summarized as under :
The Complainant has filed this complaint as has invested the amount being the Karta of Hindu undivided family. The late husband of the Complainant Prataprai V. Mehta by opening Public Provident Fund Account No. 11718 at General Post Office Mumbai by issuing a cheque dtd. 26/3/1997 – 2/4/1997 of Rs. 1,000/-. Thereafter, the Complainant continued to deposit the amount in PPF Account No. 11718 and the Opponent No.3 issued a passbook which is at Annexure A. It is further submitted on 24/3/2012, the amount of Rs. 30,000/- is accounted and entry of the balance is shown of Rs. 17,27,849/-. The Opposite party have paid the interest of Rs.1,37,824/- for the year 1/4/2011 to 31/3/2012 and thus the amount with the interest is shown Rs. 18,65,673/-. For the year 2012-13, the passbook shown the interest zero although the amount of Rs.18,65,673/- is lying in the PPF Account till 21/5/2013, the date of closing account. The Opposite Parties vide cheque No.936804 dtd. 21/5/2013 paid the amount of Rs. 18,65,613/- document is at Exh.B. However, the interest on 1/4/2012 till 21/5/2013 @ 8.8% p.a. applicable on PPF Account remained unpaid. Therefore, the Complainant immediately sent a letter to the Opponent for payment of interest. The Opponent No. 2 sent a reply to the Complainant on 3/8/2013 that interest for the year 2012-13 and interest for the year 2013 is not admissible since the account is HUF Account and the Account has been closed as per the rules on 31/3/2012 . It is further contended that the Complainant has not received any letter before closing the PPF Account on 21/5/2013 that the interest is not admissible from 1/4/2012 onwards nor the Opposite Parties have closed the Account on 31/3/2012 and intimated to the Complainant regarding the rules that HUF account cannot be continued for a further period from 1/4/2012. As also, the Opponents have also not informed the Complainant that the PPF Account completed 15 years on 31/3/2012 and the amount of Rs. 18,65,673/- was lying and retained in the PPF Account from 1/4/2012 till 31/3/2013, and therefore, the Opponent has to pay the interest on that amount for the period from 1/4/2012 till the closer of Account 21/5/2013. Therefore, according to the Complainant, the Opponent has committed deficiency in service and claimed that the Opposite Party Nos. 1 to 3 shall pay interest of Rs. 1,64,179/- for the period from 1/4/2012 to 31/3/2013 and till its realization with interest @8.80% and Rs 1,00,000/- towards the compensation and cost and other expenses.
(2) After receipt of the notice the Opponent Nos. 1 to 3 appeared and filed written statement and denied all the contents in toto. It is contended that the complaint is bad in law for non- joinder of necessary party i.e. Union of India and also not joined all the members of the Complainant H.U.F. which is necessary. It is further stated that PPF Account is a creation of Public Provident Fund Act, 1968 framed thereunder by a notification of the Ministry of Finance, Department of Economic Affairs, New Delhi and from time to time, the Ministry of Finance issued notifications regarding percentage and payment of interest and other matters to govern the fund. Department of Post Office i.e. the Opponent has to follow the orders by issuing its own notification for the staff and the subscriber public. A subscriber is supposed to know the current status of the law concerning PPF Account. Public notices are displayed in the Postal premises and postal staff is ready to guide the public. A PPF Account is opened initially for a period of 15 years, it can be extended for a further period of 5 years under some conditions and the option has to be exercised within one year from the date of maturity of the original Account. It is further contended that the brief history of the case that late Prataprai V. Mehta, Karta of Hindu Undivided Family had opened his Public Provident Fund Account and the Opponent handed over the Pass Book to him and the Passbook was updated duly entering the principal and interest amount upto the maturity period i.e. upto 31/3/2012 and as the Account belonging to the HUF the reinvestment of the same is not admissible and has to be closed. The Complainant inspite of that approached to the Opponent after maturity of PPF Account in the month of May 2013 and his passbook was updated taken the entries for the year 2012-13 when the Account was already matured on 31/3/2012. As per rules, no further interest was admissible on the said HUF Account as there was no entry remained pending for updating after 31/3/2012 and these facts have brought to the notice of the Complainant to close the Account by presenting withdrawal form for closing the account. The Complainant applied for closure in the prescribed form and the account was closed on 21/5/2013 and the Complainant has been paid maturity amount upto 31/3/2012 by cheque issued dtd. 21/5/2013 for Rs 18,65,673/- and the Opponent has corrently paid the amount as per the rules and as per the maturity amount generated by the system and they have also informed that the Complainant is not entitled for any further interest after matured date. The Complainant has sent another letter dtd. 6/7/2013 requesting for release of payment of interest for the financial year 2012-13 and further interest on 1/4/2013 to the date of closure i.e. 21/5/2013 when the Opponent informed him that as per the rule the correct amount is paid to the Complainant. Inspite of that this complaint is filed. Hence, the complaint is liable for dismissed.
(3) Taking into consideration the aforesaid facts and circumstances, the following points arose for my consideration.
Sr.No. | Points | Findings |
1. | Whether there is any deficiency in service and unfair trade practice on the part of the Opponent | No. |
2. | Whether the Complainant is entitled for the relief as claimed? | No. |
3. | What order? | As per final order. |
REASONING :
(4) From the above facts and considering the contents of the complaint, written statement, affidavit evidence written arguments case laws cited by the parties we came to the conclusion that as the account was opened HUF on 26/3/1997 and matured on 31/3/2012, the PPF Account was HUF and the Opponent has already paid the maturity amount of Rs. 18,65,673/- by cheque to the Complainant dtd. 21/5/2013 and in view of the notification /circular and rule and regulations of the Department, the Complainant is not entitled for further interest and therefore, we found that there is no substance in the complaint, hence liable to be dismissed.
(5) With the aforesaid discussion and observations, we proceed to pass the following order :-
//O R D E R//
- The complaint stands dismissed.
- Parties to bear their own costs.
- Certified copy of this order be supplied to both the parties free of costs.
sd/-xxx sd/-xxx
(Shri. S.R. Sanap) (Shri.G.K. Rathod)
Hon’ble Member Hon’ble President
Note:- As the pleadings, affidavit, documents, written arguments of the parties are in English, the order in the proceeding is passed for the better knowledge of the parties in English.
vns
