O R D E R
ADV. RAVISUSHA, MEMBER.
The complainant availed a loan of Rs.1,00,000/- from Kollam Development Authority under Middle Income Group Housing Scheme on 4.12.1995.. As per the conditions the loan amount is to be repaid in 168 installments at the rate of Rs.1,467/- per month. The interest of the said loan is at 16% and penal interest at 5% in case of failure of proper payment. The interest at 16% is calculated and added to the principle amount and the amount covered by each installment is fixed accordingly with interest. The complainnant’s allegation is that the opp.party has levied and collected an excess amount of Rs.1,84,309/- The complainant’s request to the opp.party to return the excess amount collected. As the complainant is covered with RR action, the complainant was compelled to remit Rs.3,33,943/- with protest on 20.11.2008. The above amount collected includes illegal collection of interest to interest and that is Rs.1,02,749/- towards defaulted 102 installments. For interest they collected interest again and calculated interest.. Hence the complaint.
Opp.party filed version contenting that the complaint is not maintainable either in law or on facts. Complainant is not a consumer as contemplated under the Consumer Protection Act. The forum has no jurisdiction to adjudicate the dispute relating to a settlement of accounts. Complainant had availed a housing loan of Rs.1,00,000/- on 4.12.1995 under the Middle Income Group Housing Scheme from the Kollam Development Authority. The said loan was granted in four installments. 1st installment of Rs.9,936/- on 30.5.95, 2nd installment of Rs.24,000/- on 4.7.95,3rd installment of Rs.40,067/- on 20.10.1995 and the 4th installment of Rs.26,000/- on 4.12.1995. As per the terms and conditions of the scheme the said loan is to be repaid in 168 consecutive installments of Rs.1,467/- on or before the 10th day of every month. The loanee had remitted an amount of Rs.76,559/- by 52 installments irregularly. Since so further attempt has been made by the complainant to close the loan amount and a registered notice was issued to the loanee on 8/2003 for realizing the loan arrear and further legal steps. But the loanee had no response. In this situation, Kollam Development Authority recommended for R.R. steps to realize the amount of Rs.2,45,775/- as on 2/2004. But, there was no attempt to remit the above RR amount for 4 years. The loanee had to remit the RR amount with common and penal interest for 4 years. On 24.11.1009, loanee approached the Development Wing of Kollam Corporation for closing the loan. Accordingly, on 24.11.2009 loanee was asked to remit an amount of Rs.3,33,943/-. This amount included of Rs.1,49,634/- of 102 defaulted instilments and Rs.20,538/- of 14 balance installments, Rs.1,02,749/- of common interest for 102 defaulted installments, Rs.32,109/- as penal interest of 102 defaulted installments, Rs.32,344/- of previous interest and penal interest, notice charge Rs.205/- tax on interest Rs.2,929/-, inspection charge Rs.150/- There is no deficiency in service from the part of this office and the complainant has not suffered any agony on financial loss. Hence prays for dismissing the complaint.
Points that would arise for consideration are:
1. Whether the complaint is maintainable or not?
2. Whether there is deficiency in service on the part of the opp.party?
3. Reliefs and costs.?
For the complainant PW.1 was examined and marked Exts.P1 and P2
No oral or documentary evidence for the opp.party.
THE POINTS:
Complainant’s case is that the complainant availed a loan of Rs.1,00,000/- from Kollam Development Authority and Middle Income Group Housing Scheme on 4.12.1995. As per the conditions the loan amount is to be repaid in 168 installments at the rate of Rs.1467/- per month. The interest of the said loan is at 16% and penal interest at 5% in case of failure of proper payment. On the basis of RR proceeding the complainant was compelled to remit Rs.3,33,943/- with protest that on 20.11..2008 . Complainant allegation is that the above amount collected includes illegal collection of interest to interest and the opp.party has levied and collected an excess amount of Rs.1,84,309/-
Opp.party’s main contention is that the complainant is not maintainable. Since the matter involved in this case is a dispute relating to a settlement of accounts, this Forum has no jurisdiction to adjudicate this case. Opp.party also admit that the complainant had availed a housing loan of Rs.1,00,000/- and it is to be repaid in 168 installments of Rs.1467/- in each installment. According to the opp.party the loanee had remitted an amount of Rs.76,559/- by 52 installments irregularly and after that the complainant failed to repay the further installment . Hence initiated RR proceedings against the complainant. But the complainant did not remit the RR amount for 4 years. On 24..11..2008 the complainant was asked to remit an amount of Rs.3,33,943/- . The said amount included of Rs.1,49,634/- of 1021 defaulted instalments and Rs.20,538/- of 14 balance instalments, Rs.1,02,749/- of common interest for 102 defaulted instalments, Rs.32,344/- of previous interest and penal interest, notice charge Rs.205/- tax on interest Rs.2,929/- inspection charges Rs.150/-. Opp.parties contention is that there is no deficiency in service from their part and the complainant has not suffered any agony on financial loss and prayed to dismiss the complaint with cost.
The crucial question to be considered in this case is whether the case is maintainable before this forum. Let us examine with the available evidence as to whether the complainant and opp.parties are governed by a contract entered into between them. The complainant in his complaint itself stated that complainant received the amount as per the condition that the loan amount is to be repaid in 168 instalment at the rate of Rs.1467/- per month. The interest is at 16% and penal interest at 5% in case of failure of proper payment. It is argued by the learned counsel appearing for the complainant that the case is maintainable before this forum. The complaint who was examined before this Forum as PW.1 would swear before the forum that “ 168 Xh-W-I-fmbn AS-bv¡-W-sa-¶mWv hz-hØ. IrX-y-ambn Xh-M-IÄ AS-¨nà F¦n ]ng-]-eni AS-bv¡-W-sa-¶mWv hz-hØ ? [Q] [A] agreement hmbn-¨n-«n-Ã. ]ng ]eni hz-hØ Dp. Neither the complainant nor the opp.party produced agreement before this forum. But the above admission of the complainant cuts the very root of his case before this forum alleging deficiency in service and unfair trade practice. According to opp.parties as per the terms of the agreement complainant has to pay monthly charges in 168 monthly installments. The case of opp.party is that the complainant had remitted an amount of Rs.76,559/- by 52 installments only. Since no further attempt has been made by the complainant to close the loan amount, a registered notice was issued to the complainant on 8/2003 for realizing the loan arrear and further legal steps. But after receiving the registered notice the complainant had not response. On such a situation the opp.party recommended for R.R. steps to realize the amount of Rs.2,45,775/- as on 02/2004. Ext. P2 shows that the complainant had remitted the arrears only on 28.7.2008. Ext. P2 along with complaint and deposition of PW.1 prima facie shows that there remaining some disputes between the parties regarding settlement of accounts after receiving loan amount provided by the opp.party, then such dispute does not come in the category of “consumer dispute” and the complainant was always free and is also still free to file civil suit or to seek other available remedy before other appropriate forum than this forum.
In the result, the complaint is dismissed as not maintainable. No order as to cost.
Dated this the 6th day of November, 2012.
I N D E X
List of witnesses for the complainant
PW.1. – Shajahan
List of documents for the complainant
P1. – Copy of Memorandum dated 15.11.2008
P2. – Receipt dated 24.11.2008
