By. Sri. K. Gheevarghese, President :-

The complaint filed under section 12 of the Consumer Protection Act 1986.
 

The complaint in brief is as follows:- The Complainant is the owner of a Hundai Santro Car No. KL 12C 2067. The purchase of the vehicle was by the finance of the 1^st Opposite Party. The repayment of the loan amount was to be made as per the chart issued. The loan amount was Rs. 2,10,000/- for which an interest of Rs.52,594/- was charged. The mode of repayment was to be in 50 instalments of Rs.5,300/- each. The last instalment scheduled to be paid was on 30.8.2009. The entire amount was closed on 03.08.2009 and the receipts for the payments were issued by the 3^rd Opposite Party. After closing the entire amount the Complainant approached the Opposite Party to get no objection certificate for the cancellation of hire purchase endorsement in the R.C Book. The Opposite Parties are untenable. The no objection certificate was not issued and the cancellation of the hire purchase endorsement was not effected. The 4^th Opposite Party is the Road Transport Authority having the authority to cancel the hire purchase endorsement in the R.C. Book. There may be an order directing the Opposite Party.

1. To issue the no objection certificate to cancel hire purchase endorsement in the Registration Certificate of the vehicle No. KL 12C 2067.

2. The Opposite Parties No.1 to 3 may be directed to give the Complainant of Rs.50,000/- and such other relief which found to fit and proper in this case.

2. The 1^st Opposite Parties filed version and the Opposite Parties No.2 to 4 are declared exparty in this case. The sum up of the version filed by the 1^st Opposite Party is as follows:- The contention of the Complainant that the entire loan amount was closed is nothing but a false statement. On 03.08.2009 the Complainant remitted Rs.18,250/- towards

the loan amount. During that time balance of Rs.1,550/- was yet to be paid by the Complainant beyond the remaining two instalments. The Complainant in short has to pay Rs.25,359/- and as such the due amount is still to be paid by the Complainant. The 1^st Opposite Party is not in a position to issue the no objection certificate which is necessary for the cancellation of hire purchase endorsement.

3. The points in consideration are:-

1. Whether the Opposite Parties are liable to issue the no objection certificate?

2. Relief and cost.

4. Point No.1 and 2:- The Complainant filed proof affidavit Ext.A1 to A5 are the documents produced for the Complainant. The Opposite Parties filed proof affidavit inter alia contending the allegation of the Complainant. Ext.B1 is the documents considered for the Opposite Party. The Complainant and 1^st Opposite Party rendered oral evidence in this case. The case of the Complainant is that the Complainant purchased the vehicle No.KL 12C 2067 under finance of the Opposite Party. The repayment of the hire purchase was to be in 50 instalments and the last due date as per the chart was on 30.8.2009. The entire amount was paid before the scheduled date and no objection certificate which was necessary for cancellation to hire purchase endorsement was not issued. The 1^st Opposite Party is examined as OPW1 it is admitted by the 1^st Opposite Party that the Complainant remitted Rs.2,62,594/- before 03.8.2009. Ext. A2 is the chart and the last due date mentioned in the chart was on 03.08.2009. The Complainant here in already remitted Rs.2,62,594/- before the last due date as per the chart. The 1^st Opposite Party also admitted that the interest charged for the loan amount is in flat rate. The interest for the total sum is calculated in advance and the sum which is to be remitted are divided in to the instalments for the sake of payments in instalments. The matter which is to be decided whether the Complainant remitted the entire loan amount along with interest before last due date. Being done so by the Complainant in this case the Opposite Parties No.1 to 3 are liable to issue the no objection certificate for the cancellation of the hire purchase endorsement in R.C. The contention of the Opposite Parties No. 1 to 3 are that in the remittance of the hire purchase instalments the payments were defaulted. Since the amount is already designed to be paid as in instalments chart if any delay in payment additional interest to be paid by the party.

5. The 4^th Opposite Party is the authority who issued the registration certificate. We are in the opinion that the hire purchase endorsement in the R.C of the vehicle No.KL 12C 2067 is to be canceled for which the Opposite Parties No.1 to 3 have to give no objection certificate which is necessary for the cancellation of hire purchase endorsement in the R.C. Since the entire loan amount is closed by the Complainant.

In the result, the complaint is partly allowed. The Opposite Parties No.1 to 3 are directed to issue the No Objection Certificate to the Complainant for cancellation of hire purchase endorsement in the certificate of registration of the vehicle No. KL 12C 2067. In the absence of No Objection Certificate from the Opposite Parties No.1 to 3, the 4^th Opposite Party is directed to cancel the hire purchase endorsement on the request of the Complainant. The Complainant is also entitled for the cost of Rs.2,000/- (Rupees Two thousand only) from the Opposite Parties No.1 to 3. This is to be complied within one month from the date of receiving this order.

Pronounced in open Forum on this the day of 24^th February 2010.

PRESIDENT: Sd/-

MEMBER : Sd/-

MEMBER : Sd/-

A P P E N D I X

Witnesses for the Complainant:

PW1. Sunil. Complainant.

Witnesses for the Opposite Party:

OPW1. Suneesh Peter. Customer Manager, Mahindra

Exhibits for the Complainant:

A1. Certificate of Registration dt:06.09.2005.

A2. Loan Repayment Schedule.

A3. (20 numbers) Receipts.

A4 (30 numbers) Receipts.

A5. Statement of Account. dt:28.05.2009.

Exhibits for the Opposite Party:

B1. Copy of Loan Agreement. dt:30.7.2005.