By Sri. P. Raveendran, Member:-

The Complainant is the owner of vehicle No. KLZ 9405. When the Complainant was in need of money, he approached 1^st Opposite party at his agency office at Mananthavady. The 1^st Opposite Party lend an amount of Rs.60,000/- to the Complainant. As a security for the loan the 1^st Opposite party took the registration certificate of the vehicle KLZ 9405. The loan transaction was on 15.01.2002. As per the loan transaction the Complainant was remitted 1,21,010/- towards the loan. Thereafter the Complainant was contacting the 1^st and 3^rd Opposite parties for getting the loan papers. He had sent letters to the 1^st Opposite party requesting to return the loan papers. The last letter was on 12.03.2010. The act of the Opposite Party ie retaining the loan papers, R.C and blank signed cheques amounts to deficiency in service. It is just and necessary that the 1^st Opposite Party be ordered to issue clearance certificate of KLZ9405. If the Opposite Party decline to issue the clearance of vehicle No. KLZ 9405 along with canceling the endorsement, the 2^nd Opposite Party may be directed to cancel the endorsement in respect of vehicle No. KLZ 9405. Hence it is prayed that the Forum may be pleased to direct the 1^st Opposite Party to issue clearance certificate of vehicle No. KLZ 9405 with no objection certificate for canceling the liability ie endorsement in R.C and in case he decline to do so direct Opposite Party No.2 to cancel the endorsement in the R.C of vehicle No. KLZ 9405 of the Complainant.

2. Notices were served on the Opposite Parties. Opposite Party No.2 filed version. 1^st and 3^rd Opposite Party have not filed their version, hence they are set exparte. In the version of 2^nd Opposite Party he stated that the vehicle No. KLZ 9405 is a LMV Tractor mounted with compressor registered in the name of Complainant with effect from 23.8.2000 and is having hypothecation with 1^st Opposite Party. As per section 51 (3) of MV Act application for cancellation of the H.P. Endorsement in the R.C is to be made in form 35 duly signed by agreement parties. In this case no application for cancellation of H.P Agreement is received.

3. Considering the complaint and version the following points are to be considered.

1. Whether there is any deficiency of service on the part of the Opposite Parties?

2. Relief and cost.

4. Point No.1:- To prove Complainant's case he has produced his chief affidavit and

marked Ext.A1 to A3, in addition to the complaint. Ext.A1 is the photo copy of the R.C which shows that the Complainant is the R.C Owner of vehicle No.KLZ 9405 and the same is hypothecated with 1^st Opposite party. Ext.A2 is the Copy of receipts issued by 1^st Opposite Party to the Complainant for Rs.88,000/- from 06.03.2002 to 07.05.2004. Ext.A3 is the photocopy of D.D for Rs.33,000/- taken in the name of 1^st Opposite Party on 21.03.2005. On perusing the above document it is clear that the applicant has paid Rs.1,21,000/- from 06.03.2002 to 21.03.2005. In spite of repeated letters from the Complainant, 1^st Opposite Party has not issued the clearance certificate in respect of vehicle No. KLZ 9405 with N.O.C. That is the deficiency of service on the part of 1^st Opposite Party. Point No.1 decided accordingly.

5. Point No.2:- The Complainant is entitled to get N.O.C from 1^st Opposite Party to cancel H.P in the R.C of the vehicle No.KLZ 9405. If 1^st Opposite Party is not issuing the N.O.C within prescribed time, the Complainant is entitle to cancel the H.P endorsement in the R.C.

In the result the complaint is allowed and 1^st Opposite Party is directed to issue No Objection Certificate and Clearance Certificate in respect of vehicle No. KLZ 9405 within 30 days of receipt of this order. If 1^st Opposite Party is failed to issue No Objection Certificate within 30 days, 2^nd Opposite Party is directed to cancel the H.P endorsement in the R.C of vehicle No. KLZ 9405 of the Complainant. No order as to cost and compensation.

Pronounced in open Forum on this the day of 28^th September 2010.

Date of filing: 09.06.2010.

PRESIDENT: Sd/-

MEMBER : Sd/-

MEMBER : Sd/-

A P P E N D I X

Witness for the Complainant:

Nil.

Witness for the Opposite Parties:

Nil.

Exhibits for the Complainant:

A1. Copy of Certificate of Registration.

A2 series (14 number) Receipt.

A3. Copy of Demand Draft. dt:21.03.2005.

Exhibits for the Opposite Parties:

Nil.