Punjab

Fatehgarh Sahib

CC/82/2016

Buta Singh - Complainant(s)

Versus

Equitas Finance Pvt Ltd - Opp.Party(s)

Sh Gurjeet Singh Marwa

16 Jan 2017

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, FATEHGARH SAHIB.

Consumer Complaint No.82 of 2016

Date of institution: 17.08.2016  

 Date of decision :          16.01.2017

Buta Singh S/o Sh. Gulzar Singh R/o H.No.95, Sector 11, Amloh, Tehsil Amloh, District Fatehgarh Sahib.

……..Complainant

Versus

1. Equitas Finance Private Limited, BMM-377, 2^nd Floor, Phase-11, Mohali, Chandigarh(Punjab) through its authorized signatory.
2. Equitas Finance Private Limited through its authorized agent Harpreet Singh( 81466-23093) having its office near Railway Road, Mandi Gobindgarh, Tehsil Amloh, District Fatehgarh Sahib.(Party Deleted vide order dated 14.10.2016)

…..Opposite Parties.

Complaint under Sections 12 to 14 of the Consumer Protection Act 1986

Quorum

  Smt. Veena Chahal, Member                                                                      Sh. Amar Bhushan Aggarwal, Member

 

Present : Sh.G.S.Marwa, Adv.Cl. for the complainant.

              OP No.1 exparte.

                       OP No.2 deleted.

 

ORDER

By Amar Bhushan Aggarwal, Member

                      Complainant, Buta Singh S/o Sh. Gulzar Singh R/o H.No.95, Sector 11, Amloh, Tehsil Amloh, District Fatehgarh Sahib, has filed this complaint against the Opposite parties (hereinafter referred to as “the OPs”) under Sections 12 to 14 of the Consumer Protection Act 1986. The brief facts of the complaint are as under:

2.                   The complainant purchased a TATA LPT 1109 bearing registration No.PB-11BN-5597, Engine No.497TC92AWY804288, Chassis No. MAT457403D7B02641, model 2013 and got financed the same from the OPs by taking loan of Rs.7,50,000/-. At the time of obtaining the loan, the amount of monthly installment was fixed as Rs.19,970/-. The interest was fixed @ 7% P.A for 47 months but the OPs has been receiving the interest at the rate of 14% p.a. illegally, which is not as per the terms and conditions of the loan agreement. At the time of obtaining the loan, it was assured by the agent of the OPs that in case complainant pay first 10 installments of said loan to the tune of Rs.24,000/- per month, then the remaining installments will become Rs.16,000/- per month. Accordingly the complainant paid 9 installments at the rate of Rs.24,000/- per month, totally paid Rs.2,14,500/- against the said loan. After paying the said installments the complainant demanded copy of loan account sheets from the OPs and the agent of the OPs regarding decreasing the loan installment from Rs.19,970/- to Rs.16,000/- but they started lingering on the matter on one pretext or the other. Then the complainant stopped to pay the loan installments due to non supply of loan account sheets. Thereafter on 22.06.2016 the agents of the OPs illegally and forcibly took the possession of the said vehicle of the complainant. The complainant requested the OPs to release the truck as he has to supply the clothes(Blankets), which were loaded in the said vehicle, within proper time. But the OPs did not listen to the genuine requests of the complainant. Due to the said act the complainant had to suffer a huge financial loss and irreparable injury as he did not supply the clothes to the party concerned within time. The complainant served a legal notice dated 12.07.2016 upon the OPs to hand over the vehicle in question to the complainant but in vain. The OPs issued a letter dated 07.07.2016 regarding depositing the balance loan amount after taking the custody of the said vehicle illegally and forcibly without taking the permission of any appropriate authority/Court.  The OPs supplied the loan data sheet after receiving the legal notice and it has been mentioned in the said sheet that the installment of said loan is Rs.23,970/- per month for 47 months. It is further stated that the complainant always remained ready and willing to pay the above said installments to the OPs at the interest rate of 7% p.a. as assured by the agent of the OPs. The act and conduct of the OPs amounts to deficiency in service and unfair trade practice on their part. Hence, this complaint for giving directions to the OPs to hand over the said vehicle to the complainant and further to pay Rs.10,000/- as cost of proceedings, Rs.1,00,000/- as damages including punitive damages.

3.                   Notice of the complaint was issued to the OPs but OP No.1 chose not to appear despite service to contest this complaint. Hence, OP No.1 was proceeded against exparte. Notice sent to OP No.2 was received back with the report of "incomplete address".  The Ld. counsel for the complainant made a statement that the complainant has no other address of OP No.2 and requested to delete OP No.2 from the array of the parties. Accordingly, OP No.2 was deleted from the array of parties vide order dated 14.10.2016.

4.                   In order to prove his case the complainant tendered in evidence his affidavit Ex. C-1, copy of inventory of items in vehicle Ex. C-2, deposit slip dated 25.08.2015 Ex. C-3, legal notice Ex. C-4, postal receipt Ex. C-5, copy of letter regarding intimation of taking custody of the vehicle Ex. C-6, copy of final data sheet Ex. C-7 and closed the evidence.

5.                   OP No.1 was given due notice and summons were duly served upon OP No.1 as per tracking report of postal department. OP No.1 did not appear before this Forum during the pendency of the complaint. Non-appearance of OP No.1 is nothing but an admission from its own side.

6.                   The Ld. counsel for the complainant argued that a loan amount of Rs.7,50,000/- was taken from the OP in June 2015. Against the sanctioned amount of Rs.7,50,000/- only Rs.7,01,648(Rs. Seven Lakh one thousand six hundred and forty eight) were disbursed. No loan documents/agreement was supplied. It was agreed to pay Rs.19,970/- as monthly installment starting from August 2015 and total amount was to be paid in 47 installments and the rate of interest agreed upon was 7% p.a. for 47 months. A total of Rs.2,14,500/-(Rs. Two lakh fourteen thousands and five hundred) was paid upto April 2016. The complainant had been asking for the details of the loan account and copy of the loan agreement, which were never supplied, in the absence of which the complainant could not deposit the loan installments of May 2016, since the installment amount was to be reduced after payment of 10 installments. But instead of supplying the loan agreement, the truck was impounded on 22.06.2016 illegally and forcible and without following any procedure. The truck was loaded with blankets at that time, which were to be supplied in time. As a result of non-supply of the blankets, the complainant had to suffer a lot both financially and mentally.

7.                   A legal notice dated 12.07.2016 was served on OP. As a result intimation  regarding taking custody of the vehicle  and loan account was received. It is clear from the loan account that Rs.7,50,000/- was sanctioned and Rs.7,01,648/- was paid to the complainant. First due date of installment was 13.08.2015 and last due date was 13.06.2019. But the truck was impounded on 22.06.2016 even when the installments were being paid regularly. The OP has thus committed grave deficiency in service and indulged in unfair trade practice. The Ld. counsel pleaded for acceptance of this complaint and penalizing the OP with heavy cost beside giving the possession of the vehicle.

8.                   After hearing the Ld. counsel for the complainant and going through the pleadings, evidence produced, written submissions and the oral arguments, we are of the opinion that it is established from the sworn affidavit, Ex. C-1, of the complainant and other documents that the OP has committed serious deficiency in service and unfair trade practice by not providing the loan agreement, not disclosing the rate of interest and loan details. And also not providing any opportunity to deposit the amount due if any. From Ex. C-7, which was supplied to the complainant after issue of legal notice, it is clear that loan amount of Rs.7,50,000/- was sanctioned and Rs.7,01,648/- was paid to the complainant. There are no details of the balance amount of Rs.48,352/-. In the letter dated 07.07.2016( Ex. C-6) issued to the complainant, initial amount has been shown as Rs.7,37,765/-, bank charges of Rs.6,135/- and other charges of Rs.10,000/- has also been shown. On what account they have been charged? When an amount of Rs.7,01,648/- has been paid as loan, then how come the initial amount is Rs.7,37,765/-. These are other unfair trade practices being indulged in by the OP.

9.                   Since OP No.1 did not appear before this Forum during the pendency of the complaint, inspite of the proper & effective service of notice, the statement of the complainant submitted in the form of sworn affidavit has been taken to be true that monthly installment of loan was fixed as Rs.19,970/- p.m. and rate of interest was 7% and that if 10 installments @ 24,000/- p.m. were deposited, then the installment amount shall be reduced to Rs.16,000/- p.m.

10.                 Accordingly, in view of the aforesaid discussion, we find that the OP has committed deficiency in service by impounding the truck illegally and forcibly without following the proper procedure and indulged in unfair trade practice by not providing the details of the loan account and loan agreement. Hence, we accept this complaint and direct the OP :-

a)    To hand over the truck bearing registration No.PB-11BN-5597, TATA LPT 1109,  Engine No.497TC92AWY804288, Chassis No. MAT457403D7B02641, Model 2013 along with all the original documents relating to the said vehicle after receiving the normal due installments in six equal monthly installments without charging any penalty or other charges, after giving him the loan agreement, loan account and rate of interest charges etc.

b)    To pay to the complainant Rs.40,000/-  as compensation for mental agony and harassment caused to the complainant and also depriving the complainant to earn his livelihood since June 2016.

c)    To pay Rs.10,000/- as cost of litigation.

            The OP is further directed to comply with the order of this Forum within 45 days from the date of receipt of certified copy of the order. In case the OP fails to comply the same within the stipulated period the OP shall be liable to pay interest @ 9 % p.a. on the awarded amount to the complainant till realization.

11.                 The arguments on the complaint were heard on 04.01.2017 and the order was reserved. Now the order be communicated to the parties. Copy of the order be sent to the parties free of cost and thereafter the file be consigned to the record room.

Pronounced

Dated: 16.01.2017                                                         (Veena Chahal)

                                                                                           Member

                                                                                     (A.B.Aggarwal)

                                                                                          Member