By: Smt. E.Ayishakutty, Member, (In-Charge of President)
Complainant has taken a loan of Rs. 100000 from opposite party for interest of Rs. 11% by mortgaging his house and its premises of 36.525 cent land. His wife was the co-obligent of the loan. The above loan was availed him on 26/05/2005 for the tenure of 7 years. At the time of sanctioning the loan opposite party assured the complainant that they will not collect any illegal amount and the loan will complete only with in 7 years. But after one year opposite party asked the complainant to pay the entire amount with interest. But complainant couldn't pay the entire amount due to some financial crisis. Then opposite party sent notice under SARFAESI ACT took action against him for recovering the loan. Due to the continuous threats and legal actions of opposite party, complainant closed the loan on 31/10/2009 as per one time settlement. Then the complainant requested opposite party to give the account details of his loan and its payment but opposite party refused to give the details. While he examined the account details later he find out that opposite party had collected a huge amount as excess. Besides lawful interest opposite party had collected Rs.218000 as excess from the complainant. Such act of opposite party amounts deficiency of service on their part. Hence he filed this petition before the Forum alleging deficiency of service on the part of opposite party.
Complainant prays to direct the opposite party to return the amount of Rs. 218000 which opposite party collected from him in the name of loan interest. He also prays to get Rs.250000 as compensation for the mental agony and financial loss along with cost .
Opposite party filed version. They denied all the allegations and averments of the complainant except those which he specifically admitted. Opposite party denied the averments of complainant that the interest rate of the loan is 11%. Opposite party admits the issuance of loan Rs.10 lakhs for interest rate of Rs. 13.5%. He also admits the mortgaging of his land of 36.525 cent including the house as security for the loan. Opposite party states that complainant has violated the conditions of the loan agreement which he had executed with opposite party at the time of availing the loan. He defaulted the payment of installments and hence the loan became NPA category and opposite party issued notice under SARFAESI ACT to the complainant and initiated action to recover the amount from him. The district collector passed order to attach his property. Then he has closed the loan as per one time settlement and opposite party give Rs. 225000 as deduction from the total liable amount. The allegations of the complainant that opposite party had collected Rs.18000 from the account of the complainant after closing the loan is denied by opposite party. He produced the loan agreement executed between opposite party and complainant. The account statements also produced by him. There is no deficiency on the part of opposite party and hence the complaint is to be dismissed with cost of opposite party.
Affidavit in consistence of evidence with document filed by complainant. Ext. A1 and A2 marked on his side. Opposite party filed counter affidavit. Ext. B1(s) marked on behalf of him. Complainant was examined as PW1.
Points for consideration
(i) Whether opposite party is deficient in their service?
(ii) If so what is the relief and cost?
The case of the complainant is opposite party had collected Rs. 2 lakhs from him as additional at the time of closing his loan taken from opposite party . Besides this he also collected Rs. 18000 from the SB account of him after closing the loan account on 31/10/2009. Hence opposite party is liable to return the amount which opposite party had collected as excess interest from him along with cost and compensation. Opposite party content that complainant availed the alleged loan after executing loan agreement with opposite party. But complainant violated the condition of the loan agreement and defaulted the repayment. Hence they issued notice under SARFAESI Act and intitiated revenue recovery proceedings. The district collector passed order to attach his property. Then he closed the loan on 31/10/2009 as per one time settlement. As per the one time settlement opposite party has given deduction of Rs. 225010 from the total amount which he has liable to pay to the opposite party.
On perusal of the document Ext. B1 (s) it is seen that complainant had availed a flexi loan Rs. Ten lakhs from opposite party on 26/05/2005 by executing a loan agreement . Complainant mortgaged 36.58 cent land including his house as security to the loan. As per the agreement the tenure of the loan was 84 months and the rate of interest was 13.5% per annum. Complainant had to pay Rs. 18500 per month towards the loan installment. As per agreement complainant is liable to pay the installment without default. If he defaulted the installment he would have to pay the entire amount together. Complainant admits that he had failed to pay the installments as per agreement. He states that due to the threat and legal action taken by the opposite party he closed the loan on 31/10/2009 as per one time settlement. Complainant has not produced the payment receipt or settlement order or any such documents to prove his case that opposite party had collected 2 lakhs rupees excess at the time of closing the loan. Ext.A1 the SB Account details of complainant show that there was no balance in his account after the date of 14/3/2006. SO there is no possibility to take 18000 from his SB account after the closing of loan on 31/10/2009 as alleged by him Ext. A2, the loan account details produced by him shows no irregularity in the calculation of interest for the loan. Due to defaults of the payment complainant is liable to pay the penal interest also. At the time of availing the loan complainant abide all the conditions of the loan agreement and signed it. Hence we have not seen any grounds to interfere in the matter. In the result the complaint is dismissed. No order to cost,
Dated this 29th day of September , 2012.
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E. AYISHAKUTTY, MEMBER, (In-Charge of President)
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MOHAMMED MUSTHAFA KOOTHRADAN, MEMBER
APPENDIX
Witness examined on the side of the complainant : PW1
PW1 : Moideen Ahamed, complainant
Documents marked on the side of the complainant : Ext.A1to A2
Ext.A1 : SB account details of complainant
Ext.A2 : Loan account details
Witness examined on the side of the opposite party : Nill
Documents marked on the side of the opposite party : Ext. B1
Ext.B1 (s) : Flexi loan agreement.
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E. AYISHAKUTTY, MEMBER, (In-Charge of President)
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MOHAMMED MUSTHAFA KOOTHRADAN,MEMBER
