Kerala

Idukki

CC/89/2023

Frijo Francies - Complainant(s)

Versus

Indusind Bank - Opp.Party(s)

15 Feb 2024

ORDER

DATE OF FILING :18/04/2023

IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, IDUKKI

Dated this the 15^th day of February 2024

Present :

              SRI.C.SURESHKUMAR                                               PRESIDENT

              SRI.AMPADY K.S.                                                        MEMBER

CC No.89/2023

Between

Complainant                         : Frijo Francis,

                                                Kunnelpurayidathil House,

                                                Nedumkandam P.O., Nedumkandam

                                                   And

Opposite Parties              :  The Manager,

                                            Indusind Bank Ltd., Chamatharayil Building,

                                            Idukki Kavala, Kattappana.

                                                  (By Adv.Shiji Joseph)

 

O R D E R

SRI.AMPADY K.S., MEMBER

 

This Complaint is filed under S.35 of Consumer Protection Act, 2019 raising the following allegations against opposite party:-

 

1 . Complainant is an Agriculturist.  He purchased a Maruthi Wagon R Car for his use for which he took vehicle loan of Rs.5,00,000/- from the opposite party.  He obtained the loan on condition of remittance of monthly instalments @ Rs.16,140/- and to be paid for 36 months.  He had to pay principal amount of Rs.5,00,000/- with interest Rs.81,000/-.  Tenure of loan was 20/11/2019 to 18/10/2022.  During the Covid period opposite party informed him that moratorium was available for 3 months from 18/03/2020 to 18/05/2020.  He also stated that no interest is payable and on attaining maturity of loan period such amount due for moratorium period to be paid.  This information given by opposite party without any request made by him.  His loan period was over on 18/10/2022 and thereafter he paid Rs.16,140/- each during the months of November, December and January.  On 23/01/2023 he went to the office of opposite party to obtain NOC.  Opposite party said that  40 installments were due and not 36 installments.  He also stated that he has to pay Rs.5,537/- towards penal interest and an amount of Rs.21,500/-  to be paid towards settlement amount.  Copy of new statement was given from the bank.  Bank has withdrawn amount from the cheque given by him towards guaranty on 18/03/2020.  It is their deficiency in service.  On his enquiry they said that it was a technical mistake and moratorium period will be available for 3 months from the next month onwards.  During the lockdown time on 18/06/2020 they submitted his cheque and got returned it.  Besides, on 18/11/2020 it is informed by bank that cheque was returned.  One Akhil Vijayan claimed to be agent of Indusind bank received Rs.16,140/- on 21/11/2020 from him and has given receipt.  But this amount was not credited in the loan account.  Now the bank stated that above amount was credited in March next year.  After receiving the above amount of Rs.16,140/- by the agent of bank, they resubmitted his cheque on 24/11/2020 and got it returned.  Above action is their deficiency in service.  As per the terms of agreement installments had to be paid on 20^th of every month.  But it is directed by bank that amount to be paid on 18^th. On the date of bouncing of cheque there was sufficient balance in his account.

Hence he prayed for the following reliefs.

1 . Direct opposite party to give NOC to him and delete an amount of Rs.21,500/- shown as penal interest, moratorium interest etc.,

Opposite party filed written version on the following lines.

Complainant had entered into a loan agreement bearing No.ELM06244C with opposite party bank on 20/11/2019 and availed finance for an amount of Rs.5,00,000/- for the purchase of a vehicle.  Complainant has agreed to repay the same with interest charges of Rs.81,000/-, totalling Rs.5,81,000/-, in 36 equal monthly instalments payable on or before 18^th day of every month.  Complainant has enabled ECS mode of payment for payment of monthly instalments.

2 . RBI has announced a moratorium facility to all the eligible borrowers on account of the Covid-19 pandemic, vide its circular dated 27^th March  2020.  Accordingly complainant has opted for and availed  moratorium for the period of 18/03/2020 to 18/05/2020.  RBI clearly clarified in the said circular that interest shall continue to accrue for the deferred periods for which the loan borrowers are liable to pay.  Accordingly, the tenure of the complainant’s loan account has been extended to 40 months, starting from 20/11/2019 to 18/02/2023, and the total interest charge has been revised to Rs.97,066.58/- and the total agreement value has been revised to Rs.5,97,069.58/-.  It is denied that officials of opposite party bank has informed the complainant that there is no interest for the moratorium availed by the complainant and further informed to pay same amount instalment for additional three months.  Opposite party bank has clearly clarified the same to complainant.   It is submitted that complainant was well aware that interest will accumulate during the deferred payment during the moratorium period 18/03/2020 to 18/05/2020.  It is true that ECS got bounced for the month of 18/06/2020 due to insufficient fund.

3 . As per RBI Circular dated 26^th October  2020, the bank had also given credit for an ex-gratia payment of Rs.536.60/- to the complainant’s loan  account on 05/11/2020, in compliance with RBI guidelines.

4 . It is true that at the time of availing the loan, the tenure of the loan period was 36 months.  Complainant availed  moratorium during the COVID and tenure of the loan has been extended to 40 months.  It is denied that the complainant has repaid the entire amount, including the amount pending during the moratorium.

5 . It is denied that opposite party bank presented cheque during moratorium period.  Complainant opted moratorium for a period from 18/03/2020 to 18/05/2020.  The following cheques issued by the complainant have been bounced due to insufficient funds, and complainant is liable to pay cheque bounce charges against these cheques.

Sl.No.      Receipt No.      Receipt Date      Mode

•        ZO0070235        18/06/2020            L
•        ZO9084655        18/11/2020            L
•       289828938          18/02/2023            L

6 . It is denied that our employee, Mr.Akhil Vijayan, has collected cash against the bounced cheque and not issued a receipt for this payment.  It is denied that opposite party bank has presented cheque on 24/11/2020.  It is also denied that due date for the regular monthly instalment was 20^th every month.

7 . It is denied that opposite party bank has been reluctant to issue an NOC for the vehicle even after repayment of the entire loan amount.  It is submitted that as on 17/05/2023, an amount of Rs.22,089.57/- is outstanding in the loan account of the complainant, along with an amount of Rs.1699.00 pending towards additional interest.  It is submitted that the moratorium interest and the revised repayment schedule were determined only after considering the total outstanding dues payable by the complainant.  Interest levied by the bank is well within the terms and RBI guidelines and the complainant is bound to abide by the same.  Since  complainant has availed moratorium,  interest payable by the complainant has also increased.  Only upon receipt of the said payment the bank can issue  NOC for cancellation of hypothecation endorsement.

8 . After enjoying the moratorium period, complainant has now chosen to file the present complaint disputing the moratorium given and charges levied against his account.  Complainant does not have any cause of action against the opposite party bank.  All the allegations contained in the complaint are false and baseless and were concocted for the purpose of filing the present complaint.  This opposite party only acted within the four corners of the stipulations of the contract entered into between the parties.  Complainant, who is bound by the terms of the agreement executed by him,  is now ignoring the contract and raising frivolous contentions with an ulterior motive.  Therefore, there is absolutely no deficiency in service, and the complainant is not entitled to any relief in this case.  Hence, the complaint may be dismissed at the expense of the parties.

Hence opposite party prayed for dismissal of complaint with compensatory cost to them.

Though complainant has filed this complaint in person, he has not attended on subsequent posting dates.  He has not taken any steps or tendered evidence.  He filed 4 documents along with complaint.  As he was not present on the date fixed for tendering evidence, documents produced by him were marked as Exts.P1 to P4.  3 documents produced by opposite party were marked as Exts.R1 to R3.  On the date of hearing also complainant was not present and no representation was made for him.  Hence heard the counsel for opposite party.  Continued absence of complainant shows that he is not vigilant in prosecuting the mater.  In the above circumstances, this complaint is disposed of based on materials available on record.

We have examined the rival pleadings and documents produced by the parties.  On a perusal of the same, following points arise for consideration.

 1 . Whether there is any deficiency in service on the part of opposite party?

2 . If so, for what reliefs complainant is entitled to?

3 .  Order to be passed?

Point Nos.1 and 2 considered together

On going through complaint averments, it is seen that his allegations are regarding the increase in loan period, levy of additional amounts towards penal interest and moratorium interest.  He prayed for direction to opposite party for giving NOC and to delete amount demanded towards penal interest moratorium interest etc.  On the other hand opposite party’s contentions are that complainant has to pay total amount of Rs.5,81,000/- including interest Rs.81,000/- in 36 installments to be paid on or before 18^th of every month.  It is also contented that complainant has opted for and availed moratorium for the period from 18/03/2020 to 18/05/2020.  As per RBI circular interest shall continue to accrue for the deferred period and borrowers are liable to pay the same.  Based on the circular complainant’s loan period has been extended to 40 months from 20/11/2019 to 18/02/2023 and the total interest has been revised to     Rs.97, 066.58/- and the total amount has been revised to Rs.5,97,069.58/-.  Opposite party denied the allegation of complainant that they had informed complainant that no interest is payable for the moratorium period.  Opposite party has clearly clarified the point to the complainant and he is aware that interest will accumulate during the deferred period.  Cheque given for the period 18/06/2020 bounced due to ‘insufficient fund’.  Bank has given ex-gratia credit of 536 as per RBI circular in his loan account.  The tenure of loan was increased due to availing of moratorium period.  Opposite party has given a table of 3 cheques bounced on various days.  They totally denied collection of amount by one Akhil Vijayan towards bounced cheque amount and not issued receipt.  As on 17/05/2023 an amount of Rs.22,089.57/- in the loan account along with an amount of Rs.1,699/- pending towards additional interest.  Interest is levied as per terms of interest and guidelines  NOC can be issued only on  payment of above amount.  Present complaint is frivolous one and opposite party prayed for dismissal of complaint.  As per Ext.P1, loan period was 36 months commencing from 18/12/2019 to 18/10/2022.  As per Ext.P2, dated 23/01/2023 shows total instalment amount of Rs.5,97,069.58/-.  Ext.P3 reveals that settlement amount as on 23/01/2023 is Rs.21,500/-.  Ext.P4 is the savings bank account statement for the period 01/11/2020 to 30/11/2020.  Ext.R2 is the loan account statement from 20/11/2019 to 18/02/2023.  From Ext.R3 it is seen that opposite party has charged cheque bouncing charge also.  On a perusal of the Ext.P4 account statement it is seen that though Rs.16,140/- was withdrawn by Akhil Vijayan on 21/11/2020 from savings bank account of complainant, he failed to produce receipt claimed to be given by Akhil Vijayan and also not established that he is the authorised agent of opposite party bank.  Opposite party has denied this transaction.  It is a fact that interest will accumulate for the instalments payable during moratorium period.  On an overall analysis of the documents reveals that opposite party has extended tenure of loan to 40 months and demanded interest for the moratorium period.  Complainant could not establish deficiency in service on the part of opposite  party.  If he is interested in the matter he could have appeared before this Commission and conduct his case.  Complainant could not establish payment in cash to Akhil Vijayan mentioned in complaint.  In the above circumstances, we are of the view that complainant is not entitled to any relief prayed for.  Point Nos.1 and 2 are answered accordingly.

Point No.3

In the light of above discussions and our findings on Point Nos.1 and 2 mentioned herein above, we are of the considered view that  complaint is liable to be  dismissed without any order as to  costs.

In the result, complaint is dismissed without any order as to costs.

Parties shall take back extra copies without delay.

Pronounced by this Commission on this the  15^th day of February 2024.

                                                                                           Sd/-

                                                                            SRI.AMPADY K.S., MEMBER  

                                                                                        Sd/-

                                                               SRI.C.SURESHKUMAR, PRESIDENT

 

APPENDIX

Depositions :

On the side of the Complainant :

Nil

On the side of the Opposite Party :

Nil

Exhibits :

On the side of the Complainant :

Ext.P1 – Loan Sanction statement dated 30/11/2019

Ext.P2 – Loan Statement from 20/11/2019 to 18/02/2023

Ext.P3 – Bank account details for NEFT/RTGS payments

Ext.P4 – SB Account statement from 01/11/2020 to 30/11/2020.

On the side of the Opposite Party :

Ext.R1 – General Power of Attorney dated 08/10/2020

Ext.R2 – Statement of accounts dated 27/05/2023 for the period

               20/11/2019 to 28/02/2023

Ext.R3 – Dealer payment request dated 20/11/2019.

               

                                                                                              Forwarded by Order

  

                                                                                        ASSISTANT REGISTRAR