Punjab

Faridkot

CC/15/131

Harpinder Singh - Complainant(s)

Versus

Fullerton India Credit Company Ltd. - Opp.Party(s)

Ashu Mittal

08 Dec 2015

ORDER

     DISTRICT  CONSUMER   DISPUTES   REDRESSAL   FORUM,   FARIDKOT

 

Complaint No. :      131

Date of Institution : 8.09.2015

Date of Decision :    8.12.2015

 

Harpinder Singh aged 27 years s/o Angrej Singh r/o Near Unique Public School, Kotkapura, Tehsil Kotkapura, District Faridkot.

                                                                                                ...Complainant

Versus

1. Fullerton India Credit Company ltd, Ground Floor, Shop No. 8, Guru Nanak Colony, Opposite Medical College, Faridkot.

2. Fullerton India Credit Company Ltd, 3^rd Floor, Old No. 307,New No. 165, Megh Towers, Poonmalee High Road, Maduravoyal, Chennai-600095 through its MD........ OPs

    

   Complaint under Section 12 of the

   Consumer Protection Act, 1986.

    

   Quorum:     Sh. Ajit Aggarwal, President,

   Smt Parampal Kaur, Member,

   Sh P L Singla, Member.

   Present:       Sh Ashu Mittal, Adv. Ld Counsel for Complainant,

   OPs  Exparte.

    

   (Ajit Aggarwal, President)

                      Complainant has filed the present complaint under Section 12 of the Consumer Protection Act, 1986 against OPs seeking directions to them to withdraw the demand of penal interest of Rs 3584/-and for further directing them to pay Rs 20,000 as compensation for harassment and financial loss besides litigation expenses.

   2                                  Briefly stated, the case of the complainant is that complainant took loan of Rs 50,000/- from OPs and OP-1 took signatures of complainant on some printed forms. At that time, complainant requested them that it is not possible for him to visit  their office and on this, OPs assured complainant that there would be no need for him to visit their office as they have taken signatures of complainant on form of ECS. OP-1 also took 5 cheques from the complainant. It is contended that at the time of giving loan to complainant, OPs did not give him copy of  loan agreement and OP-1 told complainant that complainant would have to pay Rs 87,084/- by way of 36 instalments of Rs 2418/-each. In January 2014, OP-1 told complainant that ECS is not working and employee of OPs took instalment cash in hand and assured complainant the employees of OPs would take instalment by themselves in future.  Thereafter, sometimes employee of OPs used to come take instalments and sometimes complainant got deposited the instalment by going to their office. In the month of July, employee of OPs did not visit their house to take instalment and when he visited his place in the month of August, complainant offered him instalment for two months, but he took instalment for only one month and now, OPs are demanding penal interest of Rs 3584/-. Complainant made request to OPs that he has been paying his instalments regularly and they should not charge penal interest to him, but all in vain, but OPs sent message regarding deposit of penal interest to him on his mobile phone. This act of OPs has caused great harassment and mental tension to complainant, which amounts to deficiency in service and unfair trade practice. Complainant has prayed for directing OPs to withdraw the illegal demand of penal interest and to pay compensation of Rs.20,000/- besides cost of the complaint. Hence, the complaint.

   3                                                The Counsel for complainant was heard with regard to admission of the complaint and vide order dated 27.08.2015, complaint was admitted and notice was ordered to be issued to the opposite parties.

   4                                            Notice was issued to OP-1 through Process Server, but OP-1, but Op-1 did not appear in the Forum either in person or through counsel on date fixed for defending the case and after long waiting up till 4.00 pm, OP-1 was proceeded against exparte vide order dt 20.10.2015. Notice containing copy of complaint was issued to OP-2 through RC on 24.09.2015, which did not receive back. Statutory period expired and as none appeared in the Forum on behalf of OP-2, therefore, OP-2 was also proceeded against ex parte vide order passed by this Forum on dt 28.10.2015.   

   5                                                 The complainant tendered in Ex parte evidence, his affidavit Ex.C-1 and documents Ex C-2 and Ex C-19 and then, closed his evidence.

   6                                            Ld Counsel for complainant in his exparte arguments contended that complainant took loan of Rs 50,000/-from OPs from their Branch Office/Op-1 who took signatures of complainant on some printed forms. As per agreement, the complainant had to repay the loan in 36 instalments of Rs 2418/- each and total Rs 87,048/- i.e Principal alongwith interest. However, OPs did not give any copy of loan agreement to complainant. The complainant requested OPs that as he is in job so, it is not possible for him to visit the office of OPs every month to pay instalments. On it, OP-1 assured that they will collect the instalment directly from bank in the form of ECS and they took signatures of complainant on the form of ECS and also took 5 cheques from the complainant. In January 2014, Op-1 told complainant that ECS is not working so, their employee took the instalment in cash from him at his residence. The complainant was paying the instalments regularly and sometimes the employee of OP-1 collected the instalment from complainant at his home and sometimes, complainant himself deposited the instalment at the office of OP-1. In July 2015, the employee of OP did not visit to take the instalment and he visited in August 2015, for instalment, the complainant offered for two instalments for the month of July and August 2015, but he took only one instalment. When complainant visited OP-1 to deposit the 2^nd instalment, OPs demanded Rs 3,584/-as penal interest from complainant, which is altogether illegal. As the complainant has paid all the instalments till date in time and never defaulted in the payment of instalment of loan. The copies of receipts regarding payment of instalments from January 2014 to September 2015 are Ex C-2 to 19. From it, it is clear that complainant paid all the instalments in time and never defaulted in making payment. Now, demand of OPs for penal interest is illegal as he has paid all the instalments in time. This act of OPs amounts to deficiency in service and trade mal practice and due to this act of OPs, complainant has faced inconvenience, harassment and mental agony. Ld counsel for complainant has prayed that OPs may be directed to withdraw the demand of penal interest and also for compensation and litigation expenses.

   7                                                        We have heard the exparte arguments of complainant and also gone through the record on file. The case of complainant is that he took loan from OPs, which he was to pay in 36 instalments and he was paying all the instalments in time. In July, 2015, the employee of OPs did not visit him to collect the loan instalment and in August, 2015, he offered them two instalments for both July and August, but they refused to take the instalment for the month of July, 2015 and demanded penal interest of Rs 3584/-, which is altogether illegal.

   8                                          We have carefully gone through file. Complainant has produced receipts regarding payments of instalments of loan from January 2014 to September 2015 as Ex C-2 to 19. From it, it is clear that complainant is regularly paying all the instalments of the loan in time and never defaulted in making payment of instalment. Amount of instalment is Rs 2418/-, but complainant is paying Rs 2420/- per month. Under these circumstances, the demand of OPs for penal interest is not genuine and is illegal. Therefore, in these circumstances, the present complaint is hereby allowed. Opposite Parties are directed to withdraw demand of penal interest and to deposit the instalments of complainant as earlier fixed between them without charging any penal interest. Complainant is also directed to deposit all the instalments in time in future. OPs are further directed to pay Rs 2000/- to complainant as litigation expenses. Compliance of this order be made within one month from the date of receipt of the copy of this order. Copies of order be supplied to the parties free of costs under the rules. File be consigned to record room.

   Announced in Open Forum

   Dated : 8.12.2015

                                  Member            Member                  President

    (P Singla)          (Parampal Kaur)     (Ajit Aggarwal)