Before The District Forum:Kurnool
Present: Sri K.V.H.Prasad, B.A., LL.B., President
And
Smt C.Preethi, M.A., LL.B., Member
Sri R.Ramachandra Reddy, B.Com., LL.B., Member
Monday 19th day of January, 2004
C.D.No.106/2003
K.Veeranna,
S/o. K.Hussenaiah,
H.No.87/1310-1,
Somisetty Nagar-II,
B.Camp,
Kurnool. . . . Complainant
-Vs-
Liquidator,
The Kurnool Urban Co-Op.,
Credit Bank Ltd,
Kurnool. . . . Opposite party represented by his
Counsel Sri M.Srinivasan.
O R D E R
(As per Smt C.Preethi, Member)
1. The C.D complaint of the complainant is filed under section 12 of C.P.Act, 1986 seeking a direction on the opposite party to pay him RS.2, 400/- share amount with interest of 12% P.A on F.D amount of RS.2,500/- up to 3.4.2003, and costs and compensation.
2. The brief facts of the case of complainant are that the complainant took a loan of RS.50,000/- pleading his house bearing No.18/1316-1 situated in Somisetty Nagar II. The loan was sanction vide loan No.BCL73 LF 1/173 dt 26.5.2000 at 19% interest per annum. In the said loan sanctioned the opposite party deducted RS.2,400/- towards shares, RS.2,500/- towards F.D and RS.17/- towards FF. And paid the residuary amount of RS.45,083/- to the complainant on dt 26.5.2000 vide slip No.3857. The opposite party informed the complainant that the share amount and F.D amount will be repaid along with 12% interest after the complainant clearing the loan of RS.50,000/- within the period of 36 months.
3. The complainant cleared the loan on 15.12.2001, i.e before 18 months. The opposite party paid to the complainant an amount of RS.2.750/- towards F.D interest up to 2001 and RS.283/- towards saving amount totaling RS. 3,033/- on 3.4.2003 vide charge No.132908 but the opposite party did not pay the shares amount of RS.2,400/- and interest of RS.12% P.A up to 3.4.2003 on the F.D amount. The complainant made several request and demands to the opposite party but were in vain, and there is no other way except knocking the does of the Forum.
4. The complainant in support of his case filed his sworn affidavit as evidence and filed a document viz., (1) paying in slip issued by the Kurnool Urban Co-Operative Credit Bank Ltd Kurnool to the complainant dt 26.5.2000 and got it marked as Ex A.1 for its appreciation in this case.
5. In pursuance to the notice of the Forum of this case the opposite party appeared through their standing counsel and filed its written version denying the complaint is not maintainable on facts or on law. Even though it admits that the complainant was sanctioned a loan of RS.50,000/- towards mortgage loan vide No. BCL 93 on 26.5.2000 with 19% interest. An amount of RS.2,4000/- has been deducted towards share capital, RS.2,500/- towards fixed deposit and RS.17/- towards entrance fee. It further submits that he bank did not each any profits in 2000-2001 so paying of devident on share capital doesn’t arise. As the reserve Bank of India, Mumbai rejected the license application of Kurnool urban Co-Operative Credit Bank Ltd vide its order 8.3.2001, the joint register District Co-Operative officer Kurnool has appointed a liquidator to the said Bank vide its proceedings d 26.7.2002 and opposite party has taken charge on 27.7.2002.
6. As per guide lines of Deposit Insurance and credit Guarantee Corporation, Mumbai dt 28.8.2002, the opposite party prepared insurance claim with interest and submitted in D.I.C.G.C on 29.11.2002. The D.I.C.G.C sanctioned the insurance claim and the opposite party in turn disbursed the deposits up to 1.00 lakh to the eligible depositors with interest up 16.3.2001 i.e date of rejection of licence.
7. The complainant was repaid his deposit amount of RS.2500/- with interest of RS.238/- and SB account of RS.295/- and the interest was paid up to 16.3.2001 i.e date of rejection of licence. The share capital will be paid after the principle and interest liabilities are completely discharged.
8. It further alleges that the complainant as per Section 12 (20 of APCS Act 7 of 1964 did not obtain permission from the commissioner for Co-Operation and register of Co-Operative societies A.P.Hyderabad to file this case against the liquidator and also the complainant ought to have served notice on the opposite party under section 60 of CPC.
9. It also submits that there are nearly 1800 depositors and RS.1,47,08,599/- has to be paid towards principal and interest up to 16.3.2001. There is deficiency of asses to against liabilities on 31.3.2002. Share capital and claims against interest will be paid only after the principle and interest liabilities are completely discharge. Therefore the complainant is entitled to the share capital and interest on FD only after discharge of all deposits to the depositors and prays for the dismissal of complaint.
10. The opposite party did not file any documents.
11. Hence the point for consideration is whether the complainant has proved his case against the opposite party alleging deficiency of service:-
12. The complainant alleged that he is entitled to the share capital amount of RS.2,400/- as he availed a loan of RS.50,000/- from the opposite party and re-piad the loan amount within the stipulated time limit and the opposite party is obligated to pay the share capital of RS.2,400/- and F.D amount of RS.2,500/- which was deducted by the Bank at the time of sanctioning the said loan amount from loan amount of the complainant but the opposite party paid only FD amount of RS.2500/- but did not pay the share capital amount of RS,2,400/-. The opposite party taking several pleas in their written version but failed to substantiate the same by placing any relevant cogent material on record and pleas remained as pleas for pleas sake. When already the opposite party paid FD amount of RS.2,500/- nothing prevents them from paying share capital amount to the complainant.
13. The main objection of the opposite party is that the opposite party prepared an insurance claim with interest and submitted to D.I.C.G.C on 29.11.2002 and the D.I.C.G.C sanctioned loan amount of RS.1.00 lakh and in turn the opposite party disbursed to the depositors, but the opposite party did not place any material such as the insurance claim sent to D.I.C.G.C, whether the said claim sent includes complainants name or not and more over the claim of the complainant is for share capital and not for deposit amount and the insurance claim is sent for deposited amount and not for share capital amount so the objection of the opposite party untenable and not sustainable and cannot be accepted.
14. The 2nd objection of the opposite party is that nearly 1800 depositors are there and RS.1,47,08,599/- has to be paid towards principal and interest and there is deficiency of assests and liabilities. It is for the Bank to look into its matter and for the fault of the Bank the complainant cannot be put into loss the 3rd objection of the opposite party is that the complainant is entitled to share capital amount only after the discharge of all deposits of the depositors the objections taken by the opposite party are not acceptable as the opposite party paying the FD amount to the complainant has to pay the share capital amount also. Hence absolutely there is no material on record to show the reasons for not paying the share capital amount to the complainant for want of substantiating material in support of opposite party objections, the act of opposite party in not paying the share capital amount to the complainant is remaining without any justifiable excuse and the said conduct of opposite party is certainly amounting to failure on part of opposite party and there by amounting to deficiency of service and there by entitling the complainant for reliefs sought.
15. In the result and in sum up of the above discussion the complaint is allowed directing the opposite party to pay share capital amount of RS.2, 400/- to the complainant within one month from the date of receipt of this order for compliance in default the opposite party shall pay the above amount with 12% interest from the date of default till realization.
Dictated to the Stenographer, Typed to the Dictation corrected by us, Pronounced in the Open Court, this the 19th day of January, 2004.
MEMBER PRESIDENT MEMBER
