BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM AT BANGALORE URBAN

31^st DAY OF AUGUST 2016

O R D E R

SMT. P.K SHANTHA, MEMBER

The complainant has filed this complaint U/s.12 of the Consumer Protection Act, 1986 against the Opposite Parties (herein after referred as OPs) with a prayer to refund the deposit amount of Rs.3,00,000/- along with accrued interest from its maturity date i.e., from 04.07.2014 to till its realization along with interest at the rate of 24% p.a and also direct the OP-1 to pay Rs.2,00,000/- towards loss/damages/compensation for mental agony together with cost of this litigation.

2. The brief averments made in the complaint are as under:

OP-1 is doing business of real estate and infrastructure development and also accepting deposits from the general public.  It is a registered company having its registered office at No.6 community centre, Saket, New Deli-110017.  OP-2 is fixed deposit division of OP-1 having its office at 2nd Floor, plot No.136, phase No.1, Udyog Vihar, Gurgaon, Haryana-122016.

The complainant came to know that scheme (A) – Non cumulative of the OP-1 through a investment planner, whose office was situated nearby to his house, during the year 2011.  OP-1 had advertised the fixed deposit scheme calling the general public to deposit cash in fixed deposit scheme of their company and assured interest at the rate of 12% p.a to fixed deposit amounts exceeding Rs.25,000/- and additional interest of 0.5% p.a to the senior citizens above the age of 60 years.

The complainant having believed the advertisement of OP-1 and recommendation of investment planner deposited Rs.3,00,000/- with OP-1 for three years on 30.06.2011 for that complainant issued cheque bearing No.249296 dated 30.06.2011 drawn on Corporation Bank, Nagarabhavi, Bangalore.  Upon receiving the application and cheque of complainant, OP-1 had issued fixed deposit receipt for Rs.3,00,000/- bearing FDR No.1022867 dated 04.06.2011.  The date of maturity was 04.07.2014.  Interest to the principal amount for the period of 3 years was also paid to complainant through the quarter yearly post dated cheques.

As per the standing instructions of OP-1, one month prior to the maturity date of fixed deposit receipt, complainant had sent the original fixed deposit receipt no.1022867 to OP-2 through registered post on 04.06.2014 and requested them to return the fixed deposit amount of Rs.3,00,000/-.  It was received by OP-2.  Even though maturity date was 04.07.2014, OP did not repay the fixed deposit money to the complainant till 30.08.2014.  As such complainant wrote and sent a letter to the OP-2 requesting them to repay the FDR amount.  But they did not bother to reply it.  As such again the complainant wrote another letter and sent it to OP-2 on 01.12.2014 requesting them to repay his fixed deposit amount with accrued interest from maturity date.  That letter was received by OP-2, but they did not bother to reply it.  As such again complainant wrote and sent another letter to OP-2 to return his fixed deposit receipt amount along with accrued interest or else to face legal action through the registered post on 21.07.2015.  But acknowledgment was not returned to complainant.  As such complainant made written complaint to the Post master, Sunkadakatte, Bangalore, on 12.08.2015.  Thereafter complainant received endorsement from postal authorities to the effect that they had delivered the letter of complainant to OP-2 on 24.07.2015.  Even after that OPs have not returned the fixed deposit amount of complainant or interest from maturity date till now.  But they have sent a copy of form No.8 filed by them before the Company Law Board, New Delhi Branch, New Delhi under section 74(2) of the Companies Act, 2013, which indicated that OP-1 had filed an application before the Company Law Board, New Delhi, seeking extension of time for repayment of deposits.  It was sent through speed post to the complainant.

OPs have not repaid the fixed deposit amount of Rs.3,00,000/- to complainant till now even though maturity date was 04.07.2014.  They have also not paid accrued interest on the fixed deposit amount from 04.07.2014 to till date.  As such complainant has suffered deficiency of service at the hands of OPs.  Under the circumstances, complainant has filed this complaint against OPs for appropriate relief.    

3.  After service of notice, OPs failed to appear before the Forum and were placed ex-parte.

4. OPs failed to contest the matter by filing affidavit evidence.  So as to prove his case, the complainant has filed his affidavit evidence in support of his complaint reiterating the complaint averments and produced copies of documents.

5. The above said assertions of the complaint have remained unchallenged.  OPs neither filed version nor denied the sworn testimony of the complainant.  Under the circumstances, we have no reasons to disbelieve the sworn testimony of the complainant.

6. Let us have a cursory glance at the documents produced by the complainant.  Document No.1 is the copy of advertisement pamphlet by OP-1 advertised the fixed deposit scheme calling the general public to deposit cash in fixed deposit amounts exceeding Rs.25,000/- and additional interest of 0.5% p.a to the senior citizens above the age of 60 years.  Document No.2 is the copy of application of complainant.  Document No.3 is the copy of letter of complainant dated 30.08.2014.  Document No.4 is copy of another letter of complainant dated 01.12.2014 requesting OP-2 to repay the fixed deposit amount with accrued interest from maturity date.  Document No.5 is the copy of letter of the complainant dated 21.07.2015 issued to OP-2 to return his fixed deposit amount along with accrued interest or else to face legal action.  Document No.6 is the notarized copy of registered post dated 21.07.2015.  Document No.7 is the notarized copy of complaint to Post Master by complainant.  Document No.8 is the notarized copy of endorsement of postal authorities to the effect that they have delivered the letter of complainant to OP-2 on 24.07.2015.  Document No.9 is the copy of intimation sent by OP-2 to the complainant.  Document No.10 is notarized copy of postal cover sent by OP-2.  Document No.11 is the copies of cheque details given by OP-1 in respect of FDR towards interest amount dated 01.07.2014 & 05.07.2014.

7. On perusal of oral and documentary evidence of the complainant, it is crystal clear that the complainant has deposited a sum of Rs.3,00,000/- with OPs for a period of three years from 04.06.2011 to 04.07.2014 repayable along with interest at 12% p.a as per document No.1.  But there was no communications from the OPs Company about the payment of principle amount and delayed interest after the maturity date till now.  Hence the complainant wanted to take legal action against the OP Company for the irresponsible and negligent behavior in not responding to any of communication and the nonpayment of payment of principle amount on time and interest from 04.06.2011 to 04.07.2014.

8. The OP did not appear and contest the claim put forth in the complaint.  We have no reason to disbelieve the allegations made in the complaint as well as sworn testimony of the complainant.

9. The conduct of OPs in not refunding the deposit amount of Rs.3,00,000/- and nonpayment of interest on time amounts to deficiency of service.  The non refunding of the fixed deposit amount must have put the complainant to hardship, inconvenience and mental agony.  The OPs absolutely have no reason to withheld the payment of the said amount of Rs.3,00,000/-.  Therefore, we are of the opinion that the OPs shall be directed to refund the said amount of Rs.3,00,000/- to the complainant together with interest at the rate of 12.50% p.a from the date of deposit till the date of maturity and further interest at the rate of 18% p.a from the date of maturity till the date of realization  Further OPs are liable to pay compensation of Rs.10,000/- for deficiency in service together with litigation cost of Rs.2,000/-.  Hence, the complaint of the complainant is partly sustainable and accordingly, we proceed to pass the following:

10. In the result, we proceed to pass the following:

O R D E R

The complaint filed by the complainant is allowed in part.  OPs.1, 2 & 3 are jointly and severally directed to refund Rs.3,00,000/- (Three Lakhs) to the complainant along with interest @ 12.50% p.a from the respective date of deposit to till the date of maturity and also to pay interest @ 18% p.a from the date of maturity to till the date of realization.  Further OPs are directed to pay compensation of Rs.10,000/- to the complainant towards deficiency in service together with litigation cost of Rs.2,000/-

This order shall be complied within 30 days from today.

Supply free copy of this order to both the parties.

(Dictated to the Stenographer, got it transcribed and corrected, pronounced in the Forum on this 31^st day of August 2016)

MEMBER                            MEMBER                     PRESIDENT

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COMPLAINT No.2028/2015

Witnesses examined on behalf of the complainant dated 10.08.2016.

1. Sri.M.S Lingaiah.

                OPs  -  Absent

MEMBER                             MEMBER                       PRESIDENT

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