JUDGEMENT

          Complainant by filing this complaint has submitted that complainant availed of a personal loan from the ops and paid interest and processing charges and other charges and complainant is a retired school teacher who took such personal loan that was sanctioned on 04.05.2007 against Loan Account No.S000168070 for the period of 36 months having EMI of Rs.3,976/-  prior to sanction of such loan the complainant was compelled to sign on few blank documents and to handover few blank cheques all drawn on State Bank of India, Dum Dum Cantonment (Savings A/C No. 10484609936) to be kept as security by the ops.

          At the time of disbursement of loan, op deducted processing fees of Rs.2,750/- and service tax thereupon and op was asked to pay an EMI of Rs.3,976/- per month and that was also noted in the sanctioned paper.  Complainant thereafter paid 17 EMI of Rs.3,976/- each lastly on September-2008 by that manner he paid Rs.67,592/- in total but due to his various financial stringency caused for his wife’s illness could not pay further sum.  Thereafter op through his authorized representative offered for one time settlement of the said loan account and on 03.10.2009 vide letter No.30556, op sent a settlement letter by which it was offered that the loan account shall be settled subject to payment of Rs.25,000/- as full and final payment for closing the said account. 

Accordingly complainant paid the said Rs.25,000/- in cash on 07.10.2009 vide receipt No.PL + 100059 & Book No. PL + 10059 and its Collection Officer Abhijit Ghosh singed the money receipt by endorsing full and final payment from the complainant.  But op did not return the blank security cheques and also has not issued no objection certificate as such complainant sent a letter on 23.11.2010 through his Lawyer’s demanding the same and the said letter was sent by Speed Post.  But again op sent another demand notice on 15.07.2012 through his lawyer calling upon the complainant that his 2 cheques (No.800182 & 800183 dated 11.06.2012) for Rs.3,977/- & Rs.7,954/- on SBI were bounced as such complainant was asked to make payment against that.

Complainant sent another letter dated 30.07.2012 refuting all the allegations and also version of the said letter on the ground that full and final settlement was made on 07.10.2009 and also complainant asked the op to return all blank security cheques.

Subsequently on or before 11.03.2013 complainant was shocked and surprised when ops filed a false case in Gurgaon u/s 138/142 N.I. Act and before that Court on 11.04.2013 he was asked to appear but complainant’s allegations are that when the said loan account No.S000168070 was settled finally on full and final settlement on 07.10.2009 then the act of the op is completely harassing and for some ill motive the said blank cheques were placed only to squeeze more money and it is no doubt unethical and unfair trade practice on the part of the op and practically op have no right to retain and misuse blank security cheques and misuse the same cheques for initiating such sort of case only to harass the complainant when no part of transaction took place after 07.10.2009 i.e. after full and final settlement of the loan account.

In the above circumstances, complainant was compelled to file this complaint for redressal and for passing such necessary order so that op cannot act in such a manner and cannot adopt any unfair trade practice and other matter.

On the other hand op by filing written statement submitted no doubt complainant prayed for present loan of Rs.1,00,000/- on 04.05.2007 for repayment by 36 months subject to payment of EMIs by 36 months having per EMI Rs.3,976/- and truth is that complainant got Rs.71,378/- out of total Rs.1,00,000/- and thereafter op disbursed loan amount of Rs.25,535/- and deducted processing charges of Rs.2,750/- and service tax Rs.337/-.  But op has tried to say that in fact as per statement of account on 09.07.2013 total 16 monthly installment is still outstanding of Rs.25,000/- as claimed to have been paid by the complainant is completely false and forged documents and there is no such receipt issued by the op and for which complainant was not harassed.  Further submitted that op availed of due process of law to recover the due amount and the post dated cheques issued by the complainant towards payment of EMIs were dishonoured.  So, the op approached the court of law to avail justice.  Further this Forum is not the correct Forum to decide this dispute because there is pending criminal case and further this Forum has no jurisdiction to decide it when the outstanding as on the date is Rs.66,702/- and for which no ‘no objection certificate’ was issued.  In the above circumstances, the entire complaint is not tenable and same should be dismissed.

                                          Decision with reasons

After hearing the Ld. Lawyers of both the parties and also considering the entire fact as made out in the complaint and the defence as taken by the op it is clear that complainant took loan of Rs.1 lakh.  Fact remains complainant paid Rs.20 EMIs out of total 36 EMI @ Rs.3,976/- and admitted fact is that there was outstanding of 16 EMIs and when the complainant prayed for full and final settlement of the said balance amount and Collection Officer of India Bulls namely Abhijit Ghosh being Id No. IBFSL – 81820 vide Receipt No.PL + 100059 having Book No.PL + 10059 received Rs.25,000/- on 07.10.2009 from Sankar Nandi and it was customer’s copy it was signed by said collection officer Abhijit Ghosh.  But anyhow op has failed to deny the status of Abhijit Ghosh as collection officer of India Bulls and no doubt complainant has proved the identity card copy of Abhijit Ghosh, Collection Officer of India Bulls including the receipt issued by the India Bulls Credit Service Ltd. which was issued by said Abhijit Ghosh and in respect of those two documents which are marked as Exhibit-3 & 4 , op has nothing to say though they have tried to say that same are not original but has failed to prove the same as invalid one.

But fact remains same are original and op is silent about Abhijit Ghosh due to his status.  So, considering that fact, it is proved that Abhijit Ghosh having Identity No. IBSFL-81820 is collection officer of the op company and said Abhijit Ghosh issued receipt to the complainant on 07.10.2009 in the original collection receipt of India Bulls Credit Service Ltd. and from that receipt, it is clear that complainant paid Rs.25,000/- that was received by the India Bulls Credit Service Ltd. by its Collection Officer and in the said receipt there is seal of India Bulls and signature of Abhijit Ghosh and in that receipt, it is noted that it is paid and full and final settlement.  So, it is clear that complainant’s loan account has been finally settled after last payment of Rs.25,000/- on 07.10.2009.  But anyhow ops have not able to prove that those documents are not genuine and they have also not challenged the status of Abhijit Ghosh, their collection officer.

So, there is no other alternative but to believe that complainant paid full and final settlement amount of Rs.25,000/- on 07.10.2009 to the op and their collection officer Abhijit Ghosh received it and noted on receipt on full and final settlement as paid.

Another fact is that complainant has claimed that at the time of taking loan some blank cheques and documents were taken by the op after collecting his signatures and complainant’s allegations is that same are being used by the bank after full and final payment of the settlement claim of Rs.25,000/- on 07.10.2009 and in this regard we have gathered that no doubt the op used two blank cheques with signature of the complainant bearing Nos.800182 & 800183 dated 11.06.2012 of State Bank of India.  But there was no cause on the part of the op to use such cheques when the entire loan account was finally settled on 07.10.2009 after receipt of Rs.25,000/-. 

So, apparently it is clear for squeezing money by the op from the complainant after full payment of the amount as per settlement on 07.10.2009 op used such blank cheques because there was no scope on the part of the complainant to issue any fresh cheque after that.  So, considering that cheques, it is proved in the custody of op blank cheques with signature of the complainant only to harass the complainant used the same and filed such false criminal case and such an act on the part of the op is no doubt unfair trade practice and that practice is followed by India Bulls in so many cases and that is their business and so the question of bouncing the cheques is no doubt an over act on the part of the op and though op had no legal authority to use such blank cheques of the complainant with signature which were in the custody of the op as security deposit after 07.10.2009.

Most interesting factor is that in the written statement or evidence in chief, op has not denied the status of Abhijit Ghosh the collection officer.  They have also not challenged the said receipt only stating it as forged but it has not been proved by any document.  Abhijit Ghosh is still in their service but he is not produced to deny his signature, hand writing of the said receipt.  He has not been cited as witness by swearing affidavit to deny those receipts. 

So, considering all the above facts we are convinced that op adopted such unfair trade practice, misused those blank cheques with signatures of the complainant for some ill purpose and in the above circumstances we are convinced to hold that complainant’s entire loan outstanding had already been paid as per settlement on 07.10.2009 to the op and their collection officer Abhijit Ghosh and so thereafter op’s have no claim against that loan amount and account but it is their duty to issue no objection certificate but that has not been issued and subsequently false case has been filed against the complainant by using those blank cheques with signatures of the complainant which were in the custody of the op.

In the light of the above observation we are convinced that op has no legal right to claim any amount from the complainant and the loan account being No. S000168070 is treated as finally closed on and from 07.10.2009 and it is also decided that the op cannot any way claim any further amount after closure of entire loan account on 07.10.2009 and cannot use blank cheques with signatures of the complainant which were in the custody of the op but same are being used by the op illegally, immorally and after adopting unfair trade practice and the cases which are being filed by the op against the complainant on the basis of such mal practice practiced by the op is completely found baseless and at the same time such causing complaint is all false and fabricated.

So, in the circumstances op must have to issue no objection certificate to the complainant after returning all unused cheques and documents within one month from the date of this order.

Accordingly the entire complaint is proved beyond any manner of doubt against ops and allegations are proved genuine allegations which are proved from the documents and evidences on record.

Accordingly, the complaint succeeds.

Hence, it is

                                             ORDERED

That the complaint be and the same is allowed on contest with cost of Rs.10,000/- against the op.

Op India Bulls Financial Services Ltd. are hereby directed to issue no dues certificate in favour of the complainant in respect of the loan account No.S000168070 within one month from the date of this order and to take such step for withdrawing false criminal case started against the complainant and further complainant is not liable to pay any further amount and if any claim is made by the op that is not tenable in the eye of law.

For harassing the retired senior citizen teacher by the op and for causing mental pain, financial loss and for causing trouble before this Forum for months together and years together op shall have to pay a sum of Rs.20,000/- as compensation for adopting unfair trade practice and also for causing mental pain and agony to the complainant and for adopting unfair trade practice by the op and to check this habit of the ops, this Forum has imposed punitive damages of Rs.10,000/- which shall be paid by the op to this Forum and it is passed to check and control the unfair trade practice of the ops in future.

Ops are directed to comply the order and to pay entire decretal amount for satisfaction the decree within one month from the date of this order failing which penal proceeding shall be started against them as per provision of section 27 of C.P. Act 1986 and at the same time penal interest @ Rs.300/- shall be assessed till full satisfaction of the decree.