Punjab

Faridkot

CC/20/108

Jasvir Kaur - Complainant(s)

Versus

Laxmi Forex - Opp.Party(s)

G S Chauhan

22 Jun 2022

ORDER

        DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, FARIDKOT

 

C.C. No. :                  108 of 2020

Date of Institution:      31.07.2020

Date of Decision :       22.06.2022

1. Jasvir Kaur wife of Mander Singh;
2. Mander Singh son of Gurcharan Singh,

Both residents of #199, Near Sandhu Palace, Park Avenue, Faridkot through special power of attorney Lovepreet Singh son of Harnam Singh, resident of Village Hassan Bhatti, Tehsil and District Faridkot.

...Complainants

Versus

1. Laxmi Forex, Talwandi Chowk, Near Old Bus Stand, Faridkot through its Managing Director.
2. Aroflot Russian Airlines, 610, Ashoka Estate, New Barkhamba Road, Fire Brigage Lane, Barakhamba, New Delhi-110001.

               ....Opposite parties

Complaint under Section 12 of the

Consumer Protection Act, 1986.

(Now, Section 35 of the Consumer Protection Act, 2019)

 

Quorum:     Smt Param Pal Kaur, Member.

                     Sh Vishav Kant Garg, Member.

 

C.C. No. - 108 of 2020

 

Present:      Sh Gurpreet Singh Chauhan, Ld Counsel for complainant,     

                  Sh Amit Mittal, Ld Counsel for OP-1,

                   Sh Baljinder Singh Brar, Ld Counsel for OP-2.

 

(ORDER) 

( Param Pal Kaur, Member)

                                                          Complainant has filed the present complaint under Section 12 of the Consumer Protection Act, 1986 against Ops seeking directions to OPs to refund Rs.95,000/- alongwith interest and for further directing OPs to pay Rs.50,000/- as compensation for mental agony and  harassment suffered besides Rs.11,000/-as litigation expenses.

2                                                                Briefly stated, the case of the complainant is that on 07.03.2020, complainants procured tickets from OP-1 for travelling from New Delhi to Vancouver for 07.04.2020 and complainant paid Rs.15,000/-to OP-1 on 07.03.2020 and Rs.80,000/-on 09.03.2020 in cash. On 24.03.2020, Government of India ordered a nationwide lockdown for 21 days limiting movement of entire population as a preventive measure against covid-19. It was ordered 14 hour voluntary public curfew on 22.03.2020and thereafter, lockdown was extended and all domestic and international flights were

C.C. No. - 108 of 2020

cancelled.  Nationwide lockdown continued from 25.03.2020 to 31.05.2020. first phase of lockdown was from 25.03.2020 to 14.04.2020 for 21 days; second phase continued from 15.04.2020 to 03.05.2020 for 19 days, third phase persisted from 04.05.2020 to 17.05.2020 and 4^th phase remained from 18.05.2020 to 31.05.2020 for 14 days. During the period of lockdown, flight of complainants was also cancelled. Complainant immediately approached OPs and made request for refund of ticket price i.e Rs.95,000/-. On 30.05.2020, OP-1 contacted complainant over his mobile phone and said that mail has been sent to concerned airline for refund of ticket, but after few days, when complainant approached OP-1 to know about the status of refund, OP-1 refused to do so. Ld counsel for counsel for complainant submitted before the Commission that on 16.04.2020, Ministry of Civil Aviation issued office memorandum vide which they directed all airline operators to refund the full amount collected for all tickets booked during the first phase of lockdown prior from 25.03.2020 to April 2020 for domestic and international air travel. MCA further directed that if a passenger seeks refund for the cancellation of a ticket booked during the first lockdown phase for travel during the second lockdown period from April 15 to May 03, then also the airline is to refund the full amount collected without

C.C. No. - 108 of 2020

the levy of any cancellation charges. Hon’ble Supreme Court also stated that airlines operating both domestic and international flights in India are violating the MCA order which directed that to pay full refund for tickets booked during the covid-19 lockdown period. Complainant has made several requests to OPs to make refund of full amount of tickets, but all in vain. Even legal notice issued by complainant requesting them to refund the entire amount, bore no fruit. All this act of OPs has caused huge harassment and mental agony to complainants. Prayer for  accepting the complaint is made alongwith compensation for harassment and litigation expenses besides the main relief.  Hence, the  instant complaint.

3                                                        The Counsel for complainant was heard with regard to admission of the complaint and vide order dated 06.08.2020, complaint was admitted and notice was ordered to be issued to the OPs.

 4                                                    OP-1 filed written statement wherein it has denied all the allegations levelled by complainant being wrong and incorrect and admitted that tickets were duly booked and confirmed and the price of same were paid to M/s Rab Tour and Travels and after cancellation for flights due to

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lockdown, answering OP requested IATA Agent Rab Tour & Travels for refund of ticket amount, who replied that airline does not allow full refund for  cancelled flights but e-voucher can be issued through airline website and all this was duly intimated to complainant. Again on request of complainant, answering OP-1 sent mail for refund of ticket charges and they again gave Aeroflot offer’s voucher to passenger whose travel plans have been disrupted or cancelled due to covid -19 pandemic and as per offer, voucher will cover the cost of fare and will be valid for three years. It was also intimated to complainant and thus, there is no  deficiency in service on their part. it is further averred that memorandum issued by MCA does not apply upon case of complainant as refund is for those tickets, which were booked during first phase of lockdown i.e from 25.03.2020 to 14.04.2020, but complainant got booked his tickets prior to the period of lockdown on 07.03.2020 and therefore, this order is not applicable in present case. All the other allegations are denied being wrong and incorrect and prayer for dismissal of complaint with costs is made.

5                                              OP-2 also filed reply taking preliminary objections that complaint filed by complainant is false, frivolous and vexatious and this complaint is not maintainable against them as Airlines have never

C.C. No. - 108 of 2020

refused to refund the tickets to complainants. It is admitted that complainants got booked tickets from OP-1 and also admitted that due to lockdown, their flights were cancelled but it is denied that they have ever refused to refund the ticket amount of Rs.95,000/-. It is averred that complainants were falsely informed by OP-1 that OP-2 has refused to refund the ticket of Rs.95,000/-. In fact, till date, complainants have not made any request for refund through their booking agent as required under IATA rules. No direct refund of tickets by agent is permitted under law. It is averred that in terms of IATA agent, if ticket is booked by travel agent, then, refund shall also be processed by travel agent only, but in present case, subject tickets of complainants were booked by M/s RUS AIR, an IATA booking Agent, but no request for refund has even been received through the said booking agent. Being bound by IATA rules, airlines is unable to process the refund. Further averred that tickets were issued by agent RUS AIR IATA code 14362600 and not by Laxmi Forex and all payments for booking of subject tickets was made to RUS AIR and not to OP-1 and as such only RUS AIR is liable to refund the same, but complainant has not made them party in the present case and therefore, complaint is bad for misjoinder of necessary party. However, it is admitted that on 11.05.2020, answering OP

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received an e-mail from and unauthorized agent i.e RAB Tour and Travels regarding refund of amount of subject tickets booked by complainant and in response thereof, OP-2 informed them on 05.05.2020 that answering OP has already informed all its authorized ticketing agents by way of circular that for the affect flights, airline is offering (a) involuntary date change (travel to be completed by 31^st December 2020 and (b) MCO that can be issued through our Delhi City Office. The MCOs can be used during a period of three years from the date of flight departure indicated in the first unused ticket coupon. It is reiterated that there is no deficiency in service on the part of answering OP. All the other allegations and the allegations with regard to relief sought too are denied being wrong and incorrect and prayer for dismissal of complaint with costs is made.

 6                                                To prove his case, Ld counsel for complainant tendered in evidence affidavit Ex.C-W1/A, documents Ex C-1 to C-15 and then, closed the evidence.

7                                        To controvert the allegations of complainant, Ld Counsel for OP-1 tendered in evidence affidavit of Varun Deep Singh as Ex

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OP-1 /10 and documents Ex OP-1/1 to Ex OP-1/9, Ex OP-11 to Ex OP-1/13 and then, closed the same on behalf of OP-1.  Ld Counsel for OP-2 tendered in evidence affidavit of Sergey E Losev, General Managr as Ex OP-2/1 and documents Ex OP-2/2 to 4 and closed the same on behalf of OP-2.

8                                                      We have heard the counsel for complainant and have also carefully gone through the pleadings and evidence produced on record by complainant and OPs.

 9                                                  It is observed that case of the complainant is that on 07.03.2020,  he got booked airline flight tickets from OP-1 07.04.2020 for going from New Delhi to Vancouver and paid Rs.95,000/-in cash. On 24.03.2020, Government of India ordered a nationwide lockdown initially for 21 days which was extended uptil 31.05.2020 and during this period all domestic as well as international flights were cancelled.  Nationwide lockdown continued from 25.03.2020 to 31.05.2020. First phase of lockdown was from 25.03.2020 to 14.04.2020 for 21 days and during the period of lockdown, flight of complainants was also cancelled. Complainant immediately approached OPs and made request for refund of ticket price i.e Rs.95,000/-. An e-mail in this

C.C. No. - 108 of 2020

regard was also sent through OP-1 to OP-2 for refund of ticket, but no refund was paid to complainant. Even legal notice also bore no fruit. Grievance of the complainant is that despite repeated requests, till now, OPs have not refunded the amount of tickets due to which complainants have suffered huge financial loss as well as harassment and mental agony. All this amounts to deficiency in service. On the contrary, ld counsel for OP-1 stressed mainly on the point that ticket charges were paid to M/s Rab Tour and Travels and after cancellation for flights due to lockdown, OP-1 requested IATA Agent Rab Tour & Travels for refund of ticket amount, who replied that airline does not allow full refund for  cancelled flights but e-voucher can be issued through airline website and all this was duly intimated to complainant. And on request of complainant, OP-1 sent mail for refund of ticket charges and they again gave Aeroflot offer’s voucher to passenger whose travel plans have been disrupted or cancelled due to covid -19 pandemic and as per offer, voucher will cover the cost of fare and will be valid for three years. It was also intimated to complainant and thus, there is no  deficiency in service on their part. OP-2 also admitted that tickets in question were booked and due to lockdown, their flights were cancelled but denied that they ever refused to refund the ticket amount of Rs.95,000/-. It is denied that

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OP-2 has refused to refund the ticket, rather till date, complainants have not made any request for refund through their booking agent as required under IATA rules. As per OP-2, no direct refund of tickets by agent is permitted under law. In terms of IATA agent, if ticket is booked by travel agent, then, refund shall also be processed by travel agent only, but in present case, subject tickets of complainants were booked by M/s RUS AIR, an IATA booking Agent, but no request for refund has even been received through the said booking agent. Being bound by IATA rules, airlines is unable to process the refund. Further averred that tickets were issued by agent RUS AIR IATA code 14362600 and not by Laxmi Forex and all payments for booking of subject tickets was made to RUS AIR and not to OP-1 and as such only RUS AIR is liable to refund the same, who is not made them party in the present case. Receipt of e mail dated 11.05.2020 is also admitted from an unauthorized agent i.e RAB Tour and Travels regarding refund of amount of subject tickets booked by complainant and in response thereof, OP-2 informed them on 05.05.2020 that answering OP has already informed all its authorized ticketing agents by way of circular that for the affect flights, airline is offering (a) involuntary date change (travel to be completed by 31^st December 2020 and (b) MCO that can be issued through our

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Delhi City Office. It is reiterated that there is no deficiency in service on their part.

10                                                 Complainant has relied upon document Ex C-7 that is copy of electronic ticket issued by OP-1 for the airlines of OP-2. Ex C-9 is copy of legal notice issued by complainant to OPs regarding refund of cancelled flight ticket charges. It is observed that the action on the part of the airlines, which are operating domestic as well as international flights, in not refunding the full amount for the tickets due to cancellation of flights in the wake of restrictions imposed by the Government of India for COVID19 period, is arbitrary and illegal. Ld Counsel for complainant placed on record copy of circular issued by Government of India office of the Director General of Civil Aviation dated 07.10.2020 wherein it is clearly mentioned that passengers who booked tickets any time prior of lockdown but journey upto 24.05.2020 and cancelled due to COVID-19, they shall be entitled for full refund and airline shall refund the full amount collected without any cancellation charges and refund shall be made within a period of three weeks from the date of cancellation. It also finds mention of judgments passed by Hon’ble Supre Court of India in Pravasi Legal Cell & Ors Vs Union of India & Ors in Writ Petition

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(C) D.No. 10966 of 2020 with Writ Petition (C) No.570 of 2020, Writ Petition (C) No.595 of 2020 and Writ Petition No.952 of 2020 on 01.10.2020 relating to refund on cancellation of air tickets during Covid-19 lockdown.

11                                    Ld counsel for counsel for complainant submitted before the Commission that on 16.04.2020, Ministry of Civil Aviation issued office memorandum vide which they directed all airline operators to refund the full amount collected for all tickets booked during the first phase of lockdown prior from 25.03.2020 to April 2020 for domestic and international air travel without the levy of any cancellation charges. Hon’ble Supreme Court also stated that airlines operating both domestic and international flights in India are violating the MCA order which direction was given to pay full refund for tickets cancelled during the covid-19 lockdown period.

12                                                          We are fully convinced with the evidence, arguments and case law produced by Counsel for the complainant. The complainants have  succeeded in proving their case, therefore, complaint in hand is hereby allowed.  OPs are directed to refund the amount of Rs.95,000/- alongwith interest at the rate of 4% per anum from the date of filing the present

C.C. No. - 108 of 2020

complaint till final realization to complainants and OPs are further directed to pay Rs.5,000/- to complainant on account of compensation for harassment and mental agony suffered by him besides Rs.2,000/-as litigation expenses. Compliance of this order be made within one month from the date of receipt of the copy of the order failing which complainant shall be entitled to initiate proceedings under Section 71 and 72 of Consumer Protection Act. Copy of the order be supplied to parties free of cost. File be consigned to the record room. 

Announced in Commission

Dated: 22.06.2022       

(Vishav Kant Garg)         (Param Pal Kaur)            

Member                              Member