CONSUMER DISPUTES REDRESSAL FORUM, KOTTAYAM.
Present
Sri. Santhosh Kesavanath P. President
Sri. K.N. Radhakrishnan, Member
CC No.310/10
Tuesday the 27th day of September,2011
Petitioner : P.A.Varghese
Parackal House,
Pallikunnel,
Pothenpuram PO,
Pampady
2) Annamma Varghese
do-do-do-
(Adv. K.P. Somanatha Panicker)
Vs.
Opposite parties : 1) The Managing Director,
M/s.Integrated Finance Co.Ltd.,
“Vairamas” 112, Thyagaraya Road,
Chennai. 600 017.
2) The Manager,
M/s.Integrated Finance Co.Ltd
Dooor No.28, Niravathu Buildings,
Baker Hills, Middle Street,
Kottayam.
(Adv.Sony Sebastian)
O R D E R
Sri. K.N. Radhakrishnan, Member.
The case of the complainant presented on 7-12-2010 is as follows. The opposite parties are finance company accepting deposits from the public by offering attractive interest rates on the deposits. The opposite party accepted as bond deposit from the complainant on 30-5-2003 for Rs.1,66,000/- (Rupees One lakhs sixty six thousand only) undertaking to pay interest @ 18% per annum for which Bond certificate No.17578 issued to them. The Bond was for 7 years and its date of maturity was on 29-5-2010.
The 2nd opposite party offered to paid the interest regularly to the complainants till the date of maturity of the Bond. On the date of maturity on 29-5-2010, the duly discharged original Bond. receipt was personally handed over to the office of the 2nd opposite party and obtained a receipt but the opposite party did not accept the same. Since the complainants neither received the repayment of Bond nor any response. The complainant directly approached the opposite party on a few occasions for getting the payment. The opposite party was not inclined to make the repayment and its officials were putting off the repayment citing one or other reasons. But the opposite party has not repaid the amount till date. All the opposite parties are jointly and severally liable to refund the amount to the complainant along with interest. There was clear deficiency in service on the part of the opposite parties. Hence this complaint.
The notices were served with the opposite parties. They appeared and filed their version contending as follows. The complaint is not maintainable either in law or on facts. The complainant is not a consumer as per the Consumer Protection Act. The only option if at all open to the complainant is to approach the appropriate Civil Court for proper remedy based on the allegations in the complaint. The 1st opposite party company has filed an application before the Hon’ble High Court of Madras for the approval of a scheme of arrangements/compromise between the opposite party and its deposit holders as company Application No. under Section 391 of the Companies Act 1956. Pursuant to the said application and the Judge’s summons for directions, a meeting of the deposit holders of the opposite party was convened and held in Chennai on 10th August 2005 to consider and if thought fit to approve with or without modification the compromise or arrangement proposed to be made as aforesaid. At the meeting of the deposit holders, the following Resolution was passed by the deposit holders present in person and by proxy representing 79% of the value of the deposits, that is more than3/4th majority. “Resolved that the consent of the deposit holders of the company be and is hereby accorded to the scheme of arrangement/compromise between opposite party and its class of creditors as provided in the notice calling this meeting”.
Further resolved that the Board of Directors of the Company be and are hereby authorized to make and/or consent to the modifications, alterations or amendments in the scheme, which are desired, directed or imposed by the High Court of Judicature at Madras or any other Authority.
The Resolutions are now placed before the Hon’ble High Court of Madras for appropriate orders approving the scheme of arrangement/compromise.
Further the 1st opposite party company has also filed a petition under Section 391(6) of the Companies Act 1956 before the Madras High Court on 3-9-2005 as C.A. No.1409/05 for obtaining an order of stay of the commencement or continuation of any suit or proceedings against the opposite parties and the same is also pending.
In the above circumstances, the complainant being deposit holders are also bound by the above mentioned Resolutions duly passed by over 3/4th majority of the deposit holders, subject to the final decision of the Madras High Court.
The Hon’ble Kerala State Consumer Disputes Redressal Commission, Thiruvananthapuram, has in a similar complaint numbered as CC No.3/2006 filed before it against the opposite party company, passed orders on 30-3-2006 refusing to entertain the complaint holding that if the Hon’ble High Court passes an order accepting the prayer made by the opposite party (the opposite party company herein ) to frame a scheme no purpose will be served by entertaining this complaint on the ground that the parties will be bound by the orders to be passed by the Hon’ble High Court of Madras in the petition filed by the opposite party.
In this circumstance, it is humbly prayed that this Hon’ble Forum may be pleased to dismiss the complaint with costs.
The complainant filed proof affidavit and document which is marked as Ext.A1 to A2. The opposite party filed proof affidavit and documents which are marked as Exts B1 to B5.
Heard both sides. We have gone through the complaint, version, documents and evidences. The case of the complainant is that the opposite party has not refund the F.D amount with interest even after maturity. According to them the opposite parties purposefully withhold the F.D. amount without any reasons. The opposite party has taken a contention that there was a company case pending before the Hon’ble Madras High Court and an SLP was pending before the Hon’ble Supreme Court. According to the opposite parties the 3/4th majority of the deposit holders was submitted a resolution before the Madras High Court. So according to the opposite parties the decision of the Madras High Court is binding to the complainants. Admittedly the complainant had deposited Rs. .1,66,000/- (One lakhs sixty six thousand only)with the opposite party as Fixed Deposit on 30-05-2003. The opposite party has not disputed the deposit. Moreover there was no evidence adduced by the opposite parties to show that there was any stay from the apex courts. There is no reason to kept the consumer complaint pending before this Forum even without any stay from the Higher Authorities. We have no reasons to disbelieve the case of the complainants. We are of the opinion that the case of the complainant is to be allowed.
In the result the complaint is allowed as follows: (1) we direct the opposite parties to pay Rs. 1,66,000/-(Rupees one lakhs sixty six thousand only) with interest @ 12% per annum from the date of deposit till the date of payment as per Ext.A1. (2) We direct the opposite parties to pay Rs..5000/- as costs of these proceedings. All the opposite parties are jointly and severally liable to compensate the complainant. The order shall be complied with within a period of one month from the date of receipt of a copy of this order.
Sri. K.N. Radhakrishnan, Member Sd/-
Sri. Santhosh Kesavanath P. President Sd/-
Appendix
Documents produced by complainant.
Ext.A1-is the copy of Bond certificate No.17578 dtd 29-5-10
Ext.A2-is the copy of lawyer’s notice dtd 18/9/10
Documents produced by opposite parties
Ext.B1-is the copy of Madras High Court Order dtd 19-8-2006
Ext.B2-is the copy of common judgment of Kerala State
Consumer Disputes Redressal Commission dtd 30-11-2006.
Ext.B3-copy of order of the KSCDRC dtd 30-3-2006
Ext.B4-is the copy of power of attorney dtd 14-3-2008
Ext.B5-Copy of order of Supreme Court of India dtd 16/5/08
By Order,
Senior Superintendent.
