CC No.1637.2015

Filed on 16.09.2015

Disposed on 24.05.2017

BEFORE THE III ADDITIONAL BANGALORE URBAN DISTRICT

               CONSUMER DISPUTES REDRESSAL FORUM,              

BENGALURU – 560 027.

DATED THIS THE 24^th DAY OF MAY 2017

CONSUMER COMPLAINT NO.1637/2015                                                                                                                                                                                                                                                   

PRESENT:

    Sri.  H.S.RAMAKRISHNA B.Sc., LL.B.

            PRESIDENT

                 Smt.L.MAMATHA, B.A., (Law), LL.B.

                          MEMBER

                                            V/S

ORDER

BY SRI.H.S.RAMAKRISHNA, PRESIDENT                            

1. This Complaint was filed by the Complainant on 16.09.2015 U/s 12 of the Consumer Protection Act, 1986 and praying to pass an Order directing the Opposite Party to repay the deposit amount of RS.93,823/- along with an compounded interest of 10.38% p.a. , to pay compensation of Rs.1,00,000/- and other reliefs. 

2. The brief facts of the complaint can be stated as under:-

In the Complaint, the Complainant alleges that he had opened a Fixed Deposit Account under the Abhyudaya Scheme by depositing an amount of Rs.85,000/- and the Opposite Party-Bank issued a Abyudaya Cash Certificate bearing No.567963 dt.16.11.1993.  The deposit was for a period of 12 months and the maturity value of the Certificate shall be Rs.93,823/- as on 16.11.1994.  After the maturity period of the deposit, he approached Opposite Party-Bank seeking for encashment of the maturity value, but to his surprise, he was been stated that his account is not been traced and he was sent back by stating him to come back after few days.  That the same continued for several years.  That after few years the Complainant approached the Opposite Party-Bank trusting them that his maturity value shall be paid to him, but again he was sent back stating that when his account is traced, they will issue letter to him to come to the Bank and collect the maturity value amount.  Even after a lapse of 22 Years, the Opposite Party-Bank has not issued any letter to the Complainant asking him to collect his maturity value amount.  The Complainant issued a Reminder Letter dt.25.02.2015 to the Opposite Party-Bank seeking to pay his amount due in the Opposite Party-Bank along with interest within a period of 7 days from the date of receipt of notice.  The Opposite Party-Bank issued a reply dt.02.03.2015 stating that since the account is 22 years old, they require more time to trace the account.   Again on 11.04.2015, he issued a Reminder Letter to the Opposite Party-Bank seeking to pay his maturity amount along with interest within 10 days from the date of receipt of notice.  That the Opposite Party-Bank has replied to his letter stating that he shall be paid the maturity value amount of Rs.93,823/-., but they have not stated anything about the interest on the same which the Opposite Party Bank have to bare for the losses suffered by the Complainant.  The Opposite Party-Bank has committed negligence towards the payment of maturity value amount to the Complainant since 22 Years which amounts to deficiency in service.  Due to the Opposite Party-Bank’s negligence and ignorance, the Complainant has suffered damages, injury and loss and hence the Opposite Party-Bank is liable to compensate the losses, damages, mental sufferings, torture and costs suffered by him.  The Complainant issued Legal Notice dt.14.07.2015 through his counsel to the Opposite Party requesting them to repay the deposit amount along with an compounded interest of 10.38% p.a. calculated from 16.11.2014 which amounts to Rs.6,95,074/-within a period of 7 days from the date of receipt of notice.  The Opposite Party has received the same on 17.07.2015 but have neither replied nor repaid the amount to the Complainant.    Hence this complaint.

3. In response to the notice, the Opposite Party put his appearance through his counsel and filed his version.  In his version pleaded that the complaint is barred by Limitation and it is false, frivolous and not maintainable either in law or on facts.  There is an inordinate delay in filing the complaint and there is no cause of action to file the complaint.  Therefore, the complaint is liable to be dismissed and denied that after the maturity period of the deposit the Complainant has approached the Opposite Party-Bank seeking of encashment of the maturity value but to his surprise he has been stated that his account is not been traced and he was sent back to stating him that he should come back after few days and same has been continued for several years and after few years the Complainant approached the Opposite Party-Bank but again he was sent back stating that when his account is traced, Bank will issue letter to him to come to the Bank to collect the maturity value.  After maturity of the said Abhudhaya Cash Certificate the Opposite Party-Bank is always ready to give the maturity amount even though the Complainant never approached the Bank for collecting the amount till 22.05.2015 as well as the Complainant never given instruction to Bank for renewing the said deposit.  The said act of the Complainant clearly shows his negligence regarding the said amount.  The Opposite Party Bank is a reputed banker and it is giving good service to the customer without any deficiency of service and denied that after lapse of 22 Years the Opposite Party-Bank has not issued any letter to Complainant asking him to collect the maturity value amount and the Complainant has issued Reminder Letter dt.25.05.2015 to the Opposite Party Bank seeking to pay his amount due in the Bank along with the interest within a period of 7 days from the date of receipt of notice and the Opposite Party Bank has given a reply dt.02.03.2015 stating that since the account is 22 Years old, Opposite Party Bank requires time.  After lapse of 22 Years, the Complainant has woke up and filed the case before this Hon’ble Forum, even though Opposite Party Bank is always ready to give the maturity amount i.e., Rs.93,823/- to avoid the litigation, but the Complainant even though slept over his right not accepted the amount offered by the Bank.  It is stating that again on 11.04.2015 the Complainant has issued Reminder Letter to Bank seeking to pay maturity amount along with interest and Bank has replied to letter stating that he shall be paid maturity value amount of Rs.93,823/- but not stating anything about the interest.  There is inordinate delay in filing the complaint and the complaint has been filed after lapse of 22 Years and therefore Bank is not liable for negligence of the Complainant and the complaint is liable to be dismissed.   Hence prays to dismiss the complaint.

4. The Complainant, Sri.M.C.Kumaraswamy has been filed his affidavit by way of evidence and closed his side.  On behalf of the Opposite Party, the affidavit of Sri.Praveen Kumar M has been filed.  Heard the arguments of both parties.

5.      The points that arise for consideration are:-

1. Whether the complaint is barred by Limitation ?
2. Whether the Complainant has proves the alleged deficiency in service by the Opposite Party ?
3. If so, to what relief the Complainant is entitled?

6.     Our findings on the above points are:-

                POINT (1):- Negative

                   POINT (2):- Affirmative

                POINT (2):- As per the final Order

REASONS

7.   POINT NO.1:- The learned Counsel for the Opposite Party Bank argued before us, the complaint is barred by time, admittedly the date of maturity of Abhyudaya Cash Deposit is on 16.11.1994.  The Complainant filed this complaint, after a lapse of 22 Years and he has never approached the Bank for collecting the maturity amount, thereby the complaint is barred by time.  Therefore, on this ground itself, the complaint is liable to be dismissed. 

8. On the other hand, the learned Counsel for the Complainant argued that the complaint is in time, it is not barred by time, since after the maturity date i.e, on 16.11.1994. The Complainant approached the Opposite Party-Bank for encashment but Opposite Party Bank failed to pay the maturity value.  On the ground that the account is not traced and sent back the Complainant go and come after few days, even in spite of request and demand made by the Complainant, the Opposite Party-Bank failed to pay the maturity value.  For that reason, the Complainant issued a Reminder Letter on 25.02.2015 to the Opposite Party Bank demanding to pay his due amount along with interest within 7 days from the date of receipt of notice.  The Opposite Party Bank issued a reply to this Reminder Letter on 02.03.2015 stating that since the account is 22 years old, they require more time to trace the account. The Complainant issued a Reminder Letter on 11.04.2015 to the Opposite Party Bank demanding to pay his maturity amount along with interest within 10 days from the date of receipt of notice. That the Opposite Party Bank has replied to this letter stating that they shall paid the maturity value amount of Rs.93,823/-, but have not stated anything about the interest on the same which the Opposite Party Bank have to bare for the losses suffered by the Complainant.   The cause of action is of continue one but not as on 16.11.1994, thereby the cause of action to file this case will be on 11.04.2015 within 2 Years from the date, that day the Complainant filed this complaint, thereby the complaint is within time and not barred by time.  With this argument and on perusal of record, it reveals that the Complainant had taken Abhyudaya Cash Certificate by depositing an amount of Rs.85,000/- with Opposite Party-Bank on dt.16.11.1993 and the maturity date is 16.11.1994 and maturity value of Rs.93,823/-.  The Complainant after maturity date approached Opposite Party-Bank seeking for encashment of the maturity value, but the Opposite Party Bank failed to pay the maturity value.  For that reason, the Complainant issued a Reminder Letter on 25.02.2015 along with copy of Abhyudaya Cash Certificate to the Opposite Party Bank on 02.03.2015 issued reply stating that the deposit receipt, they require some more time to verify their records, since the account is 22 Years old and inform you in due course. The Opposite Party-Bank had not sent any information, for that reason the Complainant issued again Reminder on 11.04.2015, to this Reminder the Opposite Party Bank issued a Reply on 07.07.2015.   As per the sanction dt.26.06.2015, they are permitted to pay the maturity proceeds of the said deposit amounting to Rs.93,823/- subject to producing the original deposit receipts, but they have not mentioned regarding the payment of interest.  From this it is clear that the cause of action is of continue one i.e., on 16.11.1994 to 07.07.2015 i.e, the reply given by the Opposite Party Bank for payment of maturity value of the Abhyudaya Cash Certificate within 2 Years from 07.07.2015 the Complainant filed this complaint, thereby the complaint is not barred by time argued by the learned Counsel for the Opposite Party.  Hence, this point is held in Negative.

9. POINT No.2:- As looking into the averments made in the complaint and version filed by the Opposite Party, it is not in dispute that the Complainant had fixed deposit amount under the Abhyudaya Scheme of Abyudaya Cash Certificate bearing No.567963 dt.16.11.1993 for a sum of Rs.85,000/- and the said Abyudaya Cash Certificate will be matured on 16.11.2014 and the maturity value is of Rs.93,823/-.

10. It is further case of the Complainant, the Complainant after the maturity period of the deposit, he approached the Opposite Party-Bank seeking for encashment of the maturity value, but to his surprise, he was been stated that his account is not been traced and he was sent back by stating him to come back after few days.  That the same continued for several years.  That after few years the Complainant approached the Opposite Party-Bank trusting them that his maturity value shall be paid to him, but again he was sent back stating that when his account is traced, they will issue letter to him to come to the Bank and collect the maturity value amount.  Even after a lapse of 22 Years, the Opposite Party-Bank has not issued any letter to the Complainant asking him to collect his maturity value amount.  The Complainant issued a Reminder Letter dt.25.02.2015 to the Opposite Party-Bank seeking to pay his amount due in the Opposite Party-Bank along with interest within a period of 7 days from the date of receipt of notice.  To this Reminder, the Opposite Party Bank issued Reply dt.02.03.2015 stating that since the account is 22 years old, they require more time to trace the account.  The Complainant again on 11.04.2015, he issued a Reminder Letter to the Opposite Party-Bank seeking to pay his maturity amount along with interest within 10 days from the date of receipt of notice.  That the Opposite Party-Bank has replied to his letter stating that he shall be paid the maturity value amount of Rs.93,823/-., but they have not stated anything about the interest on the same which the Opposite Party Bank have to bare for the losses suffered by the Complainant.  Thereby, the Opposite Party-Bank has committed negligence towards the payment of maturity value amount to the Complainant since 22 Years which amounts to deficiency in service. In order to substantiate this, the Complainant in his sworn testimony, reiterated the same and also produced the Abyudaya Cash Certificate which clearly indicates that the Complainant deposited Rs.85,000/- with Opposite Party Bank on 16.11.1993 and the maturity date is on 16.11.1994 and maturity value of Rs.93,823/-.  The Complainant after maturity date approached Opposite Party Bank for encashment but Opposite Party Bank fails to pay the maturity value to the Complainant.  On the ground that the account is not transferable and they require some time to trace the account.  This evidence of the Complainant has not been challenged by the Opposite Party Bank and further the Complainant to substantiate his case he had produced the Reminder Letter dt.25.05.2015.  To this Reminder Letter, the Opposite Party Bank issued Reply on 02.03.2015 requesting some more time to verify the records.  This clearly goes to show that if at all the Complainant have not approached the Opposite Party Bank demanding for payment of the maturity value of the Cash Certificate what is necessary for the Opposite Party Bank to issue reply stating that they require some time. In that circumstances, the Opposite Party Bank ought to have pay the maturity value.  Thereafter the Complainant also issued another Reminder on 11.04.2014 for this they replied, they will ready to pay only maturity value of Rs.93,823/- thereby, it clearly goes to show that there is negligence on the part of the Opposite Party Bank. If the Complainant is not approached the Opposite Party Bank and demanded for maturity value they could continue the Abyudaya Cash Certificate for renewing the same and to that extent they could not issue letter to the Complainant whether he is willing to renew the same or to withdraw the maturity amount but the Opposite Party Bank have not done.  Therefore, it is not proper to accept the defence taken by the Opposite Party Bank.  The Complainant is not approached the Opposite Party Bank for collecting the maturity value amount till 12.05.2015 and further except denial of the Opposite Party Bank, they have not placed any evidence.  To substantiate their defence that the Complainant never approached to collect the maturity amount till 22.05.2015, thereby it is crystal clear that the Opposite Party Bank had negligent towards payment of the maturity amount.  It amounts to deficiency of service and due to their negligence it cause monitory loss as well as mental agony to the Complainant.   Hence, this point is held in the Affirmative.  

11. POINT NO.3:- In the result, for the foregoing reasons, we proceed to pass the following order:

ORDER

The complaint is allowed holding that there is deficiency of service by the Opposite Party.

The Opposite Party is directed to pay sum of Rs.93,823/-with interest at 10% p.a. from 16.11.1994 till the date of payment.

The Opposite Party is directed to pay sum of Rs.3,000/- as cost to the Complainant. 

 Supply free copy of this order to both the parties. 

 (Dictated to the Stenographer, got it transcribed and corrected, pronounced in the Open Forum on this, 24^th day of May 2017)

         MEMBER                                            PRESIDENT

LIST OF WITNESSES AND DOCUMENTS

 Witness examined on behalf of the Complainant:

1. Sri.M.C.Kumaraswamy, who being Complainant has filed his affidavit.

 List of documents filed by the Complainant:

1. Abhyudaya Cash Certificate
2. Request Letter dt.25.02.2015
3. Reply Letter dt.02.03.2015
4. Request Letter dt.11.04.2015
5. Reply Letter dt.07.07.2015
6. Legal Notice dt.14.07.2015
7. Receipt and Acknowledgement

Witness examined on behalf of the Opposite Party:

1. Sri.Praveen Kumar M, the Chief Manager of the Opposite Party.

List of documents filed by the Opposite Party:

                          –NIL-

 MEMBER                                         PRESIDENT