IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KOLLAM
DATED THIS THE 30th DAY OF NOVEMBER 2022
Present: - Sri. E.M.Muhammed Ibrahim, B.A, LLM. President
Smt.S.Sandhya Rani. Bsc, LLB ,Member
Sri.Stanly Harold, B.A.LLB, Member
CC.No.06/2022
Santhosh Yohannan(Santhosh Y),
S/o Yohannan, Santhosh Bhavan,
Hospital Junction, Kundara, Kollam. : Complainant
(By Adv. K.Abdul Shahan)
V/s
- Popular Dealers (Popular Finance)
Rep.by its Managing Partner, Thomas Daniel
Regd.Office, Popular Towers,
Vakayar , Pathanamthitta
- T.Mathunni Panicker,53 years,
Branch Manager , Popular Finance,
Popular Dealers, Kurian Swarga Auditorium,
Perumpuzha P.O., Perumpuzha Branch,
Residing at Plavila Thekkathil,
Raju Nivas, Ambipoika P.O.,
Kundara, Kollam 691501. : Opposite parties
ORDER
Sri.Stanly Harold, B.A.LLB, Member
This is a case based on a complaint filed U/s 35 of the Consumer Protection Act 2019.
The averments in the complaint in short are as follows:-
1st opposite party is a proprietary firm in the name and style, Popular Dealers, represented by its Managing Partner, Thomas Daniel. The 2nd opposite party is the Branch Manager of Popular Finance and Popular Dealers, Kundara Branch. The 1st opposite party advertised in the newspaper dailies and other publications that the 1st opposite party is offering interest @ 12% per annum to those who have made deposit in the 1st opposite party as fixed deposit or any particular period with the liberty to withdraw the accrued interest in each and every month or quarter year by the depositors. The officials of the 1st opposite party also personally approached the complainant and made him to believe that if the complainant deposit a sum of money as fixed deposit in the opposite parties company for a particular period the company would pay interest @ 12% per
annum with liberty to withdraw the accrued interest in each and very month or quarter year by the complainant. They further assured that on maturity of the said deposits or on demand, the deposit amount with accrued interest would be returned to the depositors without fail. They also assured that the 1st opposite party is a highly reputed financial institution having several years experience and that the amount deposited is secured and the maturity amount assured is guaranteed.
As attracted by the advertisement made by the 1st opposite party in the newspaper daily and other publications also believing the words of opposite parties, the complainant deposited Rs.6,00,000/- on 10.07.2017 before the 2nd opposite party as fixed deposit for a period of 72 months and in turn the opposite parties issued a fixed deposit receipt No.0117938(A/c No.1029991800970/12) on 10.07.2017 for an amount of Rs.6,00,000/- in the name of complainant. In the said fixed deposit receipt, the opposite parties agreed to pay interest @ 12% per annum and also agreed to repay the fixed deposit amount on the maturity dates or on demand shown in the fixed deposit certificate.
As soon as complainant made the fixed deposit before the opposite parties, the complainant became the consumer of the opposite parties. They agreed to release the amount along with interest covered by the fixed deposit certificates to the complainant on or before 10.07.2023. But thereafter the opposite parties failed to pay the interest to the complainant. Thereafter upon the complainant made several demands to the opposite parties to pay the arrears of interest along
with the fixed deposit amount to the complainant, but they failed to do so. While so the complainant came to understand that the opposite parties committed gross financial irregularities in respect of the deposits made by the complainant and other depositors. The act of the opposite parties are the clear case of contractual violation, deficiency in service and also unfair trade practice on the part of the opposite parties. Now it is seen that the opposite parties had purposefully closed their offices. There after the complainant had preferred complaints before
the police authorities. All the opposite parties are jointly, severally and vicariously liable to indemnify the complainant. This is a case in which the complainant availed the service of the opposite parties for consideration but the opposite parties willfully, legally and arbitrarily failed to provide the service to the complainant as they agreed. It is most respectfully submitted that the opposite parties agreed and guaranteed the prompt payment interest of the fixed deposit amount in each and every month and also agreed to repay the fixed deposit amount on maturity or as and when the complainant makes the demand. But the opposite parties failed in their service as they had guaranteed, so the above said act and conduct of the opposite parties are a clear case of deficiency in service towards the complainant and also a clear case of contractual violation and also unfair trade practice and the opposite parties are illegally withholding the money of the complainant for their illegal enrichment. Hence the complaint.
Notice issued to the opposite parties returned unserved. So paper publication was effected. The opposite parties failed to appear and accordingly they were set exparte. The complainant filed chief affidavit in lieu of chief examination and reiterated the averments in the complaint and got marked Exts.A1 and A2 documents. Ext.A1 is the True copy of Power of Attorney.
Ext.A2 is the original fixed deposit receipt No.0117938 for Rs.6,00,000/- dated 10.07.2017. Heard the learned counsel for the complainant. Perused the records.
On the basis of uncontroverted testimony of the complainant copuled with Ext.A1 and A2 documents it can be safely concluded that the complainant has established his case warranting the relief sought for. The materials available on record would indicate that the complainant had approached the opposite parties and repeatedly demanded for the withdrawal of his deposit. But the opposite parties were not ready to return the principal amount. It is evident that the opposite parties are illegally withholding the money of the complainant for their illegal enrichment and thereby refrained from their contractual obligations which clearly proves the deficiency in service and unfair trade practice. In the result we are of the view the complaint is only to be allowed and the complainant is entitled to realize Rs.6,00,000/- together with interest @ 12% per annum till 29.12.2021 and compensation of Rs.50,000/- and Rs.15,000/- as the costs of the proceedings from the date of the complainant till realization.
In the result complaint stands allowed in the following terms:-
- The opposite parties 1 and 2 are directed to pay Rs.6,00,000/- as per Ext.A2 fixed deposit receipt with interest @ 12% per annum from 29.12.2021 till realization to the complainant.
- The opposite parties 1 and 2 are further directed to pay Rs.10,000/- as compensation and also directed to pay costs of Rs.5,000/- to the complainant.
- The opposite parties 1 and 2 are directed to comply with the above directions within 45 days from today failing which the complainant is
entitled to recover Rs.6,10,000/- with interest and costs from the opposite parties No.1 and 2 jointly and severally from their assets both movable and immovable.
Dictated to the Confidential Assistant Smt. Minimol S. transcribed and typed by her corrected by me and pronounced in the Open Commission this the 30th day of November 2022.
STANLY HAROLD:Sd/-
E.M .MUHAMMED IBRAHIM:Sd/-
S.SANDHYA RANI:Sd/-
Forwarded/by Order
Senior superintendent
INDEX
Witnesses Examined for the Complainant:-Nil
Documents marked for the complainant
Ext.A1 : True copy of Power of Attorney
Ext.A2 : The original fixed deposit receipt No.0117938 for Rs.6,00,000/- dated
10.07.2017.
Witnesses Examined for the opposite party:-Nil
Documents marked for opposite party:-Nil
