Brief facts of the case as narrated in the complaint are that being allured the offer of Future Big Bazar Group the complainant obtained a Credit Card bearing No. 4207399065782160 from the OP SBI Cards & Payment Services Pvt. Ltd. Subsequently, the OP enhanced the credit limit. That on 13.08.2019 at about 1.09 P.M. Complainant received SMS on his mobile phone from the OP that an amount of Rs. 26,700/- is likely to be transferred within 72 hours in the SB Account No. 366901500959 from his card number ended with last four digit ….2160 at his request. Complainant immediately directed the OP not to give any eredence of such transaction and also requested to block the card. The aforesaid mischief was averted timely due to his intervention. OP flouted such direction and issued two new cards ended with last two digit …. 79 & ….00 without his instruction and/or request although the blockage of previous card continued to exist. Complainant vide e-mail dated 23.08.2019 raised objection with regard to issuance of new credit cards and also denied to pay any reactivation and annual charges. On 25.08.2019 at about 12.02 A.M. complainant received a SMS in his mobile phone regarding similar fraudulent intimation of Easy Money Draft of Rs. 26,700/- on un-activated card ending with last four digit …9479 and such amount to be transferred to SB Account No. 366901500959 within 72 hours. Complainant immediately requested the OP to block all credit cards vide e-mail dated 25.08.2019 and to stop payment in the aforesaid fictions account. Despite e-mail dated 25.08.2019 credited a sum of Rs. 26,700/- to the fictitious account. The incident of fraudulent transaction was reported to the Joint Commissioner of Police, Cyber Crime Cell for redressal. The OP did not redress his grievance and also reluctant to review his e-mail dated 25.08.2019. On the contrary, the OP demanded Rs. 31,118.47 from him. OP without verifying OTP message allowed fraudulent transaction. Being aggrieved the activities of the OP, complainant approached the commission by way of consumer complaint. OP contested the case by filing WV. In their WV, OP denied all material allegations, inter alia that as per card holder agreement there is an arbitration clause, which stipulates that in all event of dispute/difference between the card holder & the OP the same shall be resolved by appointment of a sole arbitrator and the OP shall have the power to appoint arbitrator. Thus, the commission has no jurisdiction to entertain the complaint. OP had issued SBI card bearing No. 000420739906578216 to the complainant on receiving his application in the month of December, 2016 and the transaction amount of Rs. 26,700/- was debited on 25.08.2019. They have done their internal investigation and found that the complainant changed his password on 10.08.2019 and the complainant had shared his card credentials and OTP details with third party. Easy Money Draft worth Rs. 26,700/- was booked on 25.08.2019 through the online account of the complainant and the amount has been successfully transferred through NEFT on Account No. 366901500959 of ICICI Bank. Thus, the liability of the said transactions lies with the complainant. OP never shares the crucial information on SBI card to else one. SBI Card of the complainant is inactive and complainant is liable to pay dues of Rs. 45,108.62 to the OP. There is no deficiency of service and unfair trade practice on the part of the OP as alleged. Hence, the OP has prayed for dismissal of the complaint case with exemplary costs. Both parties have filed their E/chief supported by an affidavit. They have also filed written arguments. We have heard the learned counsel for the parties and have also carefully perused the pleadings of the parties and documents on record. Upon hearing of the respective parties and on perusal of the record, there is no dispute that the OP issued a credit card bearing No. 4207399065782160 to the complainant on the basis of his application and a transaction of Rs. 26,700/- through his card number ended with last four digit …2160 was done in the SB account No. 366901500959 of ICICI Bank. The main issue that requires consideration in the matter is whether it is the duty of the OP to play any meaningful role in the matter when their own customer has reported them about the alleged fraudulent transaction form his Credit Card. The Bank has simply taken the plea that any Card absent (Online/IVR) transaction cannot be done without confidential details of the Card i.e. Card expiry, date CVV wherein and the OP always advised their card holders not to share their card details to any third party. On completion of investigation, the OP closed the complaint of the complainant. Complainant shared his card details to third party and transactions were conducted thereafter. The Ld. Advocate for the OP has contended that transfer of money from the Credit Card account of the complainant could not have been possible unless the complainant had parted with his card details to someone or he himself operated the account. He has further submitted that complainant had full knowledge of the online activities and the complainant himself changed his contact details. In the case of State Bank of India – Vs – Dr. J.C.S Kotaky reported in III (2018) CPJ 193, it was observed by the Hon’ble NCDRC that once specific POS number had been given in message received from Bank itself to establishing contract with person or merchant establishment in possession of said POS, but nothing of that sort was done by the Bank. Complainant vide e-mail dated 13.08.2019 informed the OP regarding fraudulent transaction ended with last four digit ……2160. Thus, the Bank is liable to make good to the loss. In the case of the Regional Manager, Indian Overseas Bank & Anr. –Vs- Abhishek Chowdhury decided on 25.02.2019 in First Appeal No. A/1238 of 2017 the Hon’ble SCDRC has been pleased to observe that defect of Indian Banking System; hopeless customers are robbed of their hard earned money every now and then. In such circumstances, without providing sufficient proof banks cannot be allowed to pass the buck upon the customers. It is true those in terms of circular No. DBOD.Leg.BC.76/09/07/005/2017-18 dated 06.07.2018 of RBI, the burden of proof in case of customer liability in case of unauthorized electronic banking transaction lies on the bank. That without placement of any proof. The OP held that fraudulent transaction as sacrosanct and shifted own of liability upon the complainant denying the compensation ought to have been given to the complainant as envisaged in aforementioned circular. The RBI taken into account in to risk arising out of unauthorized debits to customer account owing to fraud etc. and time to time instructed the banks to formulated the policy or policies regarding the mechanism for compensating the customers for the unauthorized transaction and also prescribed the timelines for effecting such compensation. In the instant case, on 13.08.2019 at about 1.09 PM complainant received SMs on his mobile phone that an amount of Rs. 26,700/- is likely to be transferred within 72 Hrs in the SB account No. 366901500959 from his card number ended with last four digit ……………2160 at his request and immediately the complainant directed the OP not to give any eredence of such transaction and also requested to block the card but the OP violated the instruction of the complainant and did not block the card ended with last four digit……………2160. That being the case, it is clear that some third person by foul pay has unauthorsidly withdrawn the amount of Rs. 26,700/- from the credit card account of the complainant as the money has been wrongly withdrawn from the account of the complainant, the OP Bank who are in banking business and earning profit out of it are liable to make good his loss. Thus, the OP bank cannot wash their hands off from the whole episode. In our view, the complainant is not oblige to go to for arbitration and he is free to approach this commission and the commission is authorized to adjudicate the present case and the existence of and arbitration clause in the agreement does not affect the jurisdiction of this commission. Keeping in view of the facts of the present case and the extensive law as discussed above, we direct the OP to reverse a sum of Rs. 31,118. 87/- to the credit card account of the complainant which fraudulently withdrawn along with compensation as per following arrangement:- 1. An interest @ 6 % p.a. calculated from the date on which the fraud transaction was committed till 14.09.2022 (being the date of the present judgment); 2. The rate of interest payable as per the aforesaid clause (1) is subject to the condition that the OP pays Rs. 31,118.87/- on or before 17.10.2022. 3. Being guided by the principles as discussed above, in case the OP fails to refund the amount as per aforesaid clause (1) on or before 17.10.2022, the entire amount is to be refunded along with an interest @ 9 % p.a. calculated from the date of fraud transaction by the OP till the actual realization of the amount. In addition to the aforesaid and taking into consideration of the facts of the present case, the OP is directed to pay a sum of:- - Rs. 30,000/- as cost for mental agony and harassment to the complainant; and
- The litigation cost to the extent of Rs. 10,000/- .
Dictated & Corrected by President Member (L) Member (M) President | 
