Chandigarh

DF-II

CC/206/2019

Ashok Kumar Garg - Complainant(s)

Versus

Kotak Mahindra Bank Ltd., - Opp.Party(s)

In Person

21 Jun 2019

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-II, U.T. CHANDIGARH

 

Consumer Complaint  No	:	206 of 2019
Date  of  Institution	:	05.04.2019
Date   of   Decision	:	21.06.2019

 

 

 

 

 

Ashok Kumar Garg son of Sh.C.L.Garg, Resident of House No.3280, Second Floor, Sector 35-D, Chandigarh 160022

 

             …………….Complainant

 

Versus

 

Kotak Mahindra Bank Ltd., Retail-Asset Reconstruction Department, Plot No.7, 7^th Floor, Sector 125, NOIDA 201313 through its authorised representative.

Branch Office: Kotak Mahindra Bank Ltd., SCO No.153-154-155, Sector 9-C, Madhya Marg, Chandigarh 160017

 

………. Opposite Party

 

BEFORE:  MRS.PRITI MALHOTRA    PRESIDING MEMBER

                    MR.RAVINDER SINGH     MEMBER

           

Argued by :- Complainant in person.

 Opposite Party exparte.

 

RAVINDER SINGH, MEMBER

 

                    The case of the complainant is that in June, 2017, he was denied car loan by State Bank of Patiala, Sector 35-D, Chandigarh for the reason that his CIBIL Record is not good, as such, he availed the loan from ICICI Bank.  It is averred that the complainant got his CIBIL Report and sent mail to CIBIL that the Credit Card Account bearing No.5425051305411349 (R1CP210165) PHOENIX ARC does not belong to him, but a mail from CIBIL on 20.5.2018 suggested him to get in touch with PHOENIX ARC PRIVATE LIMITED for required correction (Ann.C-2 & C-3).  The complainant took the matter with Opposite Party Bank and sent email that their demand for outstanding amount of Rs.10,096/- is not correct as the Credit Card Account bearing No.5425051305411349, against which such demand has been made by it, do not belong to him as no such credit card was ever issued to him.  The statement sent by the OP Bank also do not show any relations with the complainant. It is stated that the complainant received email on 26.3.2019 from Kotak Mahindra Bank/OP for payment of Rs.4038/- as full & final payment against the outstanding amount of Rs.10,096/- (Ann.C-13).  It is submitted that the complainant apprised the Kotak Mahindra Bank/Opposite Party that the demand made by it from the complainant against Credit Card bearing A/C No.R1CP210165 (Credit Card A/C No.5425051305411349) is wrong as no such card was ever issued to him. Thereafter, the matter was taken up with Banking Ombudsman, Chandigarh, but to no avail.  Hence, this complaint has been filed alleging the above act of Opposite Party as gross deficiency in service as well as indulgence into unfair trade practice.

 

2]       Notice of the complaint was sent to the Opposite Party. However, it did not turn up despite service of notice sent through regd. post on 12.4.2019, hence the Opposite Party was proceeded exparte on 16.5.2019.

 

3]       Complainant led evidence in support of his contentions.

 

4]       We have heard the complainant in person and carefully perused the entire record.

 

5]       The Phoenix ARC Private Limited vide its email letter dated 22.5.2018 (Ann.C-5) addressed to Ashok Gag, complainant, has stated that Credit Card Account bearing No.5425051305411349 was taken by the complainant from Royal Bank of Scotland formerly ABN Amro Bank.  The entire credit card transaction/personal loan accounts/outstanding liabilities whatsoever transferred by Royal Bank of Scotland in favour of Phoenix ARC Private Limited vide Deed of Assignment dated 30.4.2012 authorizing it to recover the outstanding dues/initiate legal proceedings against the defaulters.  It has been stated that Kotak Mahindra Bank Limited has been appointed by Phoenix ARC Pvt. Ltd., as its associates to assist recovery proceedings.

 

6]       After careful examination of Statement of Account regarding Credit Card Account bearing No.5425051305411349 (Ann.C-11), it has been noticed that the amount of Rs.10096/- was outstanding as on 8.7.2006.  The Opposite Party/Kotak Mahindra Bank Ltd., nor Phoenix ARC Private Limited has taken any step to effect recovery of any amount, if due any, from the complainant since July, 2006.  The Opposite Party vide email dated 26.5.2019   (Ann.C-13) offered the complainant to pay only Rs.4038/- as full & final settlement of accounts against the alleged outstanding claim of Rs.10,096/-.

 

7]       The complainant has categorically denied the issuance of Credit Card No.5425051305411349 by the Opposite Party. 

 

8]       The Opposite Party was issued notice of the complaint, but despite service, they did not appear before this Forum to clarify the facts and refute the claim of the complainant in the present complaint.

 

9]       The Phoenix ARC Private Limited has just acquired the right of outstanding dues against the defaulter of Royal Bank of Scotland.  There is no privity of contract or transaction between the complainant and Phoenix ARC Private Limited or Kotak Mahindra Bank Limited/Opposite Party. 

 

10]      The Phoenix ARC Private Limited or Kotak Mahindra Bank Limited/Opposite Party, which have never lend any amount to the complainant, have no legal right to initiate or to claim any amount, after an inordinate delay of 12 years.  The Phoenix ARC Pvt. Limited could have recover the amount if there was any due against the complainant within 3 years from 8.7.2006, on which date the amount of Rs.10,096/- has been shown to be outstanding.  Moreover, the Phoenix ARC Pvt. Limited has acquired rights only on 30.4.2012 and as such have no legal right to recover said amount from the complainant, which is barred by law of limitation as prescribed under Article 21 of Schedule in The Limitation Act, 1963.

 

11]      Keeping into consideration the facts, as discussed in the preceding paragraphs, the claim of the Opposite Party for any outstanding dues against Credit Card No.5425051305411349 is untenable and hence quashed. Accordingly, the complaint is allowed with direction to the Opposite Party to update the status of the complainant with CIBIL as “No Outstanding” against Credit Card No.5425051305411349. No order as to cost and compensation.

         This order shall be complied with by Opposite Party within 30 days from the date of receipt of copy of this order.

 

         Certified copy of this order be sent to the parties, as per rules.

Announced

21^st June, 2019                                                                      

Sd/-

                                                                    (PRITI MALHOTRA)

PRESIDING MEMBER

 

Sd/-

(RAVINDER SINGH)

MEMBER