District Consumer Disputes Redressal Commission ,Faridabad.
Consumer Complaint No.491/2020.
Date of Institution: 22.12.2020.
Date of Order: 19.07.2022.
Dinesh Sharma aged about 32 years son of Shri Shiv Dutt Sharma R/o House No. DC-1153, Dabua Colony, NIT, Faridabad, Haryana – 121001.
…….Complainant……..
Versus
M/s. Hinduja Leyland Finance, Branch Office: A27-J, sEctor-16, Noida 201301, District Gautambudh Nagar, through its Branch Manager/Authorized Signatory.
Corporate office:-
27A, Developed Industrial estate, Guindy, Chennai – 600032 Tamilnadu, through its Director.
…Opposite party……
Complaint under section-12 of Consumer Protection Act, 1986
Now amended Section 34 of Consumer protection Act 2019.
BEFORE: Amit Arora……………..President
Mukesh Sharma…………Member.
PRESENT: Sh. Devender Singh, counsel for the complainant.
Sh. Sagar Bhatia, counsel for opposite party.
ORDER:
The facts in brief of the complaint are that the complainant purchased a two wheeler (Scooty Honda Activa) from Regent Auto Link Pvt. Ltd., Plot No.12A, Sector15A, Mathura Road, Faridabad, where the opposite party provided the loan service to the purchasers of vehicles and the complainant availed two wheeler loan vide contract NO. DHFAFATW00009 from the opposite party to purchase vehicle (Honda Scooty Activa) bearing registration NO. HR-51-BG-0576. The complainant had paid the entire EMIs to the opposite party and cleared the loan amount with interest and then the opposite party issued form No.35 for cancellation of hypothecation entry from the record of RC of said vehicle and letter dated 14.09.2017. Accordingly, the complainant submitted requisite document with the Vehicle Registration Authority for cancellation of said HP and accordingly, department had issued fresh RC by cancelling the HP entry. Thereafter the complainant checked his CIBIL record on dated 06.10.2018 and found that the opposite party in an illegal manner entered the name of the complainant in CIBIL and showing Rs.1/- as balance of above paid loan . The complainant requested the opposite party several times to update the said false CIBIL status and to remove the endorsement/entry of CIBIL from the status/account of the complainant and to give clearance of CIBIL to the complainant and even thereafter, the complainant sent an email dated 08.10.2018 and the opposite party sent reply on dated 10.10.2018 in which mentioned that “Loan Cibil correction has been successfully updated”. Thereafter the complainant also approached the opposite party at its local office and the opposite party had issued further “No Due Certificate on 11.10.2018. The complainant applied for loan of Rs.40,00,000/- with OBC (now PNB) for his business purposes, then officials of bank told the complainant that the name of the complainant was in CIBIL hence, the bank could not sanction the loan without removing the name from CIBIL Status. In this way, the opposite party had committed fraud, cheating with the complainant. (copy of cibil status dated 29.11.2018). The complainant again and again approached the opposite party but the opposite party misguided the complainant and ignored the matter. The complainant sent a legal notice dated 27.07.2020 through registered post to the opposite party but all in vain. The aforesaid act of opposite party amounts to deficiency of service and hence the complaint. The complainant has prayed for directions to the opposite party to:
a) clear/clean the status of CIBIL of the complainant in all respects from the loan account of bearing contract No. DHFAFATW00009 in respect of vehicle loan of Honda Scooty Activa bearing registration NO. HR-51-BG-0576..
b) pay Rs.4,00,000/- as compensation for causing mental agony and harassment .
c) pay Rs.21,000/ - as litigation expenses .
2. Opposite party put in appearance through counsel and filed written statement wherein Opposite party refuted claim of the complainant and submitted that the opposite party had to inform about the payment Received and Outstanding payment to Authorized Agency maintaining Credit Information of every borrower. In present case, The opposite party informed Trans Union CIBIL Ltd., about the payment received and Overdue amount of Rs.1.00 in April 2017. It was submitted that on the request of the complainant, the opposite party updated the CIBIL information about the loan No. DHFAFATW00009 of the complainant, by informing TRansUnion CIBIL Ltd and he said agency updated the same in CIBIL record. The complainant has placed on court file the TransUnion CIBIL Report dated 15.02.2019 reflecting Current Balance as Zero in respect of Loan taken from the opposite party. As such, there was no negligence or deficiency in service on the part of the opposite party about timely updating CIBIL Agency . It was submitted that the complainant has placed on record CIBIL Report dated 29.11.2018 , as Annexure C-8 B of another agency i.e. CRIF High Mark which did not reflect the updation made by the TransUnion CIBIL Ltd. Thus, if CRIF High Mark continued to show the previous tatus of Oversue amount despite the same updated in CIBIL Report by TransUnion CIBIL Ltd., then there was solely fault or negligence on the part of the said agency.Opposite party denied rest of the allegations leveled in the complaint and prayed for dismissal of the complaint.
3. The parties led evidence in support of their respective versions.
4. We have heard learned counsel for the parties and have gone through the record on the file.
5. In this case the complaint was filed by the complainant against opposite party – M/s. Hinduja Leyland Finance with the prayer to : a) clear/clean the status of CIBIL of the complainant in all respects from the loan account of bearing contract No. DHFAFATW00009 in respect of vehicle loan of Honda Scooty Activa bearing registration NO. HR-51-BG-0576. b) pay Rs.4,00,000/- as compensation for causing mental agony and harassment . c) pay Rs.21,000/ - as litigation expenses .
To establish his case the complainant has led in his evidence Ex.CW1/A – affidavit of Dinesh Sharma, Exs.C-1 – letter dated 14.9.2017, Ex.C-2 – Form -35, Ex.C3 – RC, Ex.C-4 – CIBIL entry, Ex.C-5 & C6 emails, Ex.C-7 – letter dated 11.10.2018 regarding No Dues Notification till date., Ex.C-8 – CIBIl status, Ex.C-9 – legal notice, Ex.C-10 & C-11 – legal notice,, Ex.C-12 & 13 – Track reports.
On the other hand counsel for the opposite party strongly agitated and opposed. As per the evidence of the opposite party, Ex.RW1/A – Affidavit of Shri Dhruve Chander Bharti, Product Executive –Haryana….Office No. 401, Ist floor Sachdeva Corporate, Tower Plot No. 17 Karbardooma Community Center, Delhi,, Ex.R-1 – Authority letter.
6. In this case, the complainant purchased a two wheeler (Scooty Honda Activa) from Regent Auto Link Pvt. Ltd., Plot No.12A, Sector15A, Mathura Road, Faridabad, where the opposite party provided the loan service to the purchasers of vehicles and the complainant availed two wheeler loan vide contract NO. DHFAFATW00009 from the opposite party to purchase vehicle (Honda Scooty Activa) bearing registration NO. HR-51-BG-0576. It is evident from Ex.C1 to C3 in which the complainant had paid the entire EMIs to the opposite party and cleared the loan amount with interest and then the opposite party issued form No.35 for cancellation of hypothecation entry from the record of RC of said vehicle and letter dated 14.09.2017. Accordingly, the complainant submitted requisite document with the Vehicle Registration Authority for cancellation of said HP and accordingly, department had issued fresh RC by cancelling the HP entry. As per CIBIl Entry record on dated 06.10.2018 vide Ex.C4, the opposite party in an illegal manner entered the name of the complainant in CIBIL and showing Rs.1/- as balance of above paid loan. The complainant requested the opposite party several times to update the said false CIBIL status and to remove the endorsement/entry of CIBIL from the status/account of the complainant and to give clearance of CIBIL to the complainant and even thereafter, the complainant sent an email dated 08.10.2018 vide Ex.C5 and the opposite party sent reply on dated 10.10.2018 in which mentioned that “Loan Cibil correction has been successfully updated”. Opposite party had issued “No Due Certificate on 11.10.2018 vide Annexure C7. The complainant applied for loan of Rs.40,00,000/- with OBC (now PNB) for his business purposes, then officials of bank told the complainant that the name of the complainant was in CIBIL hence, the bank could not sanction the loan without removing the name from CIBIL Status. In this way, the opposite party had committed fraud, cheating with the complainant vide cibil status dated 29.11.2018 .
7. After going through the evidence led by both the parties, no doubt, opposite party is a deficient in service and the complainant should be compensated with the huge amount of Rs.1,00,000/- in lumpsump with costs and harassment and it will be a lesson to the Finance company i.e. opposite party – M/s. Hinduja Leyland Finance because of this only the loan of the complainant was denied of Rs.40,00,000/-. It creates bad reputation of a business man in the society. Hence, the complaint is allowed.
8. Opposite party is directed to pay a sum of Rs.1,00,000/- as compensation for causing mental agony and harassment alongwith litigation expenses. Compliance of this order be made within 30 days from the date of receipt of copy of this order. Copy of this order be sent to the parties concerned free of costs. File be consigned to the record room.
Announced on:19.07.2022 (Amit Arora)
President
District Consumer Disputes
Redressal Commission, Faridabad.
(Mukesh Sharma)
Member
District Consumer Disputes
Redressal Commission, Faridabad.
