BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM

VAZHUTHACAUD, THIRUVANANTHAPURAM.

PRESENT

SRI. G. SIVAPRASAD : PRESIDENT

SMT. BEENAKUMARI. A : MEMBER

SMT. S.K.SREELA : MEMBER

C.C. No. 69/2008 Filed on 10.04.2008

Dated : 31.05.2010

Complainant:

1000. Nazarudeen, Nazar Manzil, Mangad P.O, Kollam.

(By adv. M Ziad)

Opposite parties :

1. General Manager, GMAC Financial Services India Ltd., Arihant e-park, II Floor, 117/1, Lattice Bridge Road,

   Adayar, Chennai – 600 020.

    

2. The Manager, GMAC Financial Services India Ltd., 1^st Floor, DTC Towers, S.S. Kovil Road, Thampanoor,

   Thiruvananthapuram-20.

    

3. The Manager, GMAC Financial Services India Ltd., No. 39/6340, 1^st Floor, Cheloor Buildings, Ravipuram,

   Cochin-16.

This O.P having been taken as heard on 21.04.2010, the Forum on 31.05.2010 delivered the following:

ORDER

SMT. BEENAKUMARI.A: MEMBER

On 11.07.2001, the complainant has availed a hire purchase finance of Rs. 4 lakhs from the opposite parties for purchasing of Ford Ikon diesel car. As per the hire purchase agreement the term of repayment of the above loan is forty eight monthly instalments of Rs. 11,380/- and the complainant remitted the monthly instalments in time without any delay. And before availing financial service the opposite party convinced the complainant that there is no hidden charges in the above loan. And after closing the above loan the complainant had demanded the opposite parties for termination letter and “No Objection Certificate” of the above said vehicle by sending a letter dated 13.03.2006 to the Ernakulam branch office. But the opposite parties did not respond for the same. Whileso the complainant was caused to receive a notice dated 03.03.2008 from the 1^st opposite party illegally demanding an exorbitant amount of Rs. 74,777/- as overdue charges of the above loan. The complainant again contacted the opposite party and enquired the issuance of the above said notice, but the opposite parties were reluctant to consider the request of the complainant. The illegal demands with respect of cheque bounce charges, late payment charges and other charges etc. are highly illegal and the non-issuance of N.O.C is amounting to clear deficiency in service on the part of the opposite parties. Even after closing the hire purchase finance by the complainant, the non-issuance of N.O.C and refusal of termination letter is amounting to unfair trade practice and offence. Complainant claims Rs. 10,000/- as compensation for the act of the opposite party.

The opposite parties in this case accepted notice from this Forum and entered appearance, but they did not file version. Hence opposite parties remained exparte.

The points that arise for consideration are:-

1. Whether there is any deficiency in service endured by the opposite parties?

2. Whether the complainant is liable to pay the amounts as per Ext. P2 notice?

3. Whether the opposite parties are liable to pay compensation and costs?

    

Points (i) to (iii):- The complainant in this case filed affidavit and produced 4 documents. The documents produced by the complainant are marked as Exts. P1 to P4. Ext. P1 is the copy of notice dated 13.03.2006 issued by the complainant to the opposite parties, demanding termination paper. Ext. P2 is the demand notice dated 03.03.2008 of Rs. 74,777/- issued by the opposite parties to the complainant. Ext. P3 is the details of payment made by the complainant to the opposite parties. Ext. P4 is the Termination value statement issued by the opposite parties. As per this document termination value is seen as Rs. 74,309/-. In this case, the complainant argued that as per the terms of loan, repayment is 48 monthly instalments of Rs. 11,380/- and the complainant paid all the instalments. The complainant proved that contention by Ext. P3 documents. As per Ext. P4 last payment date of the loan is 01.06.2005, but the complainant had closed the loan on 21.02.2006 i.e; seven months delay had occurred. But as per Ext. P2 demand notice the opposite parties demanded the complainant to pay Rs. 74,777/- on various heads. As per the complainant that demand is illegal and the complainant is not liable to pay that amount since at the time of availing the loan the opposite parties never disclosed the other repayment terms and conditions of the said loan. The opposite parties in this case never turned up to defend the case of the complainant. Complainant has succeeded in establishing his case and hence we find that the complainant is not liable to pay the illegal demands of the opposite parties as per Ext. P2 notice. Further the complainant is found entitled for an amount of Rs. 5,000/- towards compensation for the deficiency in service on the part of opposite parties. Hence the complaint is allowed.

In the result, the opposite parties are directed to issue termination letter and “No Objection Certificate” etc. of the vehicle (Ford Ikon diesel) to the complainant. The opposite parties shall also pay Rs. 5,000/- towards compensation and Rs. 1,500/- towards costs of the proceedings. Time for compliance one month from the date of receipt of this order. If the opposite parties failed to comply the order within time the opposite parties shall pay interest @ 12% to the entire amount above mentioned.

A copy of this order as per the statutory requirements be forwarded to the parties free of charge and thereafter the file be consigned to the record room.

Dictated to the Confidential Assistant, transcribed by her, corrected by me and pronounced in the Open Forum, this the 31^st day of May 2010.

BEENAKUMARI. A : MEMBER

G. SIVAPRASAD : PRESIDENT

S.K. SREELA : MEMBER

jb

C.C. No. 69/2008

APPENDIX

I COMPLAINANT’S WITNESS :

NIL

II COMPLAINANT’S DOCUMENTS :

P1 - Copy of notice dated 13.03.2006 issued by the complainant to

the opposite parties.

P2 - Demand notice dated 03.03.2008 issued by the opposite

parties to the complainant.

P3 - Details of payment made by the complainant to the opposite

parties.

P4 - Copy of termination value statement.

III OPPOSITE PARTY’S WITNESS :

NIL

IV OPPOSITE PARTY’S DOCUMENTS :

NIL

PRESIDENT