IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KOLLAM

DATED THIS THE    25^th  DAY OF FEBRUARY 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.267/20

George Mathew,

S/o T.Mathai

Mulamoottil Palavila Reji Bhavan,

Kundara, Kollam 691 501.:         Complainant

(By Adv.S.Riyas &Adv.Saju George)

V/s

1.   Popular Dealers,

                  Popular Towers, Vakayar P.O.,

                 Pathanamthitta rep.by its Managing partner

                 Mr.Thomas Daniel @ Roy Daniel:Opposite parties

2.      Mr.Thomas Daniel @ Roy Daniel,

              Managing Partner, Popular Dealers,

              Popular Towers, Vakayar P.O.,

             Pathanamthitta.

3.      T.Mathunni Panicker,

                     Kaleelil Plavila Raju Bhavan,

                     Ambipoika, Kundara P.O.,

               Kollam.

4.      Y.Mathew Panicker,

                   Manager, Popular Dealers, Kundara

                   Pallimukku Branch, Kundara, Kollam

                   residing at Mathews Bhavan,

                 Punnamukku, Perumpuzha P.O.,

                  Kundara, Kollam.

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:-

          The complainant is a teacher and now he is permanently residing in the address shown above.  The 1^st opposite party is a partnership firm having its registered office at Vakayar, Pathanamthitta and branches at various places including Kundara, Kollam district.  The 2^nd opposite party is the managing partner of the 1^st opposite party, the 3^rd opposite party is the Branch Manager of the 1^st opposite party’s Kundara branch and 4^th opposite party was the Manager of the 1^st opposite party at Kundara branch from the very inception till 2019.  The complainant had made the deposit mentioned hereunder during the tenure of the 4^th opposite party as the manager of the Kundara branch.

          The 4^th opposite party had approached the complainant describing that his branch is receiving deposits from the public and assured that the amount deposited in the 1^st opposite party firm is secured and that the deposit amount would fetch a profit share/interest @ 16.67 % p.a.  He further assured the complainant that the deposit amount with profit share/interest for the deposit amount shall be given to the depositors either on its maturity or on demand with fail.  The 4^th opposite party further assured complainant that the 1^st opposite party is a highly reputed financial institution having several years experience and that the amount assured is guaranteed.  Moreover he assured the complainant that they are ready and willing to return the deposit amount either on its maturity or on demand.   The 4^th opposite party was discharging his duties as the branch manager as per the direction of the 1^st and 2^nd opposite parties.

          Believing the representation made by the 3^rd and 4^th opposite parties as true and genuine, the complainant had deposited an amount of Rs.1,00,000/- vide receipt No.0123839(A/c No.1029991705445) dated 10.10.2017.  The period of the said deposit is 72 months and the profit share is 16.67% p.a.  While so the complainant got the knowledge that the opposite parties committed gross financial irregularities in respect of the deposits made by the complainant and other depositors.  The complainant went to the office of the 1^st opposite party at Kundara on 28.08.2020 demanding the deposit amount.  Therefore it was revealed that the Kundara Pallimukku branch of the 1^st opposite party was closed and 3^rd opposite party was found absconding.  The complainant had enquired about the opposite parties and thereupon it was revealed that the opposite parties had misappropriated amounts of the depositors including the complainant and thereafter they absconded by closing all the branches.  The opposite parties are bound to pay the agreed rate of 16.67% as interest/profit share for the deposit amount Rs.1,00,000/- as per the terms of the deposit without fail.

          Immediately the complainant had preferred a complaint in respect of the above matter before the SHO, Kundara police station.  The police had already started investigation in respect of the complaint made by the complainant and other depositors.  The receipts herein produced is duly issued by the opposite parties 2 to 4 on behalf of the 1^st opposite party and hence all the opposite parties

are jointly, severally and vicariously liable to indemnify the complainant for the deposit amounts with stipulated profit share/interest.  The act of the opposite parties amounts to deficiency in service and unfair trade practice.  Due to the act of the opposite parties, the complainant had suffered financial loss, mental agony and hardship which cannot be compensated in terms of money.  The complainant is entitled to get a total deposit amount of Rs.1,00,000/- with agreed profit share/interest till the date of realization as per the deposit receipts and the complainant is entitled to realize Rs.50,000/- as compensation from the opposite parties and they are legally bound and liable to pay the said amount to the complainant. 

          The complainant convinced the opposite parties were engaged in unfair trade practice and were fraudulently conducted financial business without proper license or permission from RBI.  The opposite parties were deliberately mislead the public with false claims and they were deliberate to cheat customers who trusted them.  They had deliberately received deposits on false promises and forging documents in the name of firms.  They have forged and fabricated documents and misappropriated the amount entrusted to them so as to cause unlawful loss to the complainant and unlawful gain to the opposite parties.  The complainant had contacted the opposite party after expiry of the respective period shown in the receipt in person and requested to refund the entire deposits amount by closing all accounts even prematurely but the opposite parties were not ready to return the amount so that the loss and injury caused to the complainant can never be equated.  Hence the complaint. 

          Notice issued from the Forum/Commission return unserved stating that the  whereabouts the opposite parties are not known.  Hence notice was served effecting paper publication.  The opposite parties 1 to 4 were called absent and hence set exparte.  The complainant filed proof affidavit by a reiterating averments in the complaint and got marked Ext.P1 and P2 documents.  Heard counsel for the complainant and perused the records.  Ext.P1 is the original fixed deposited receipt for Rs.1,00,000/- bearing No.0123839(A/c No.1029991705445) dated 10.10.2017.  Ext.P2 is the copy of the details of complaint filed at the police station, Kundara.

          The unchallenged averments in the affidavit coupled with Ext.P1 and P2 documents would establish prima facie that complainant Sri.George Mathew had deposited Rs.1,00,000/- on 10.10.2017 in his name.  It is clear from Ext.P1 document that the opposite parties have promised 16.67% share of profit and the maturity date is 10.10.2023.    The unchallenged averments in the affidavit would go to show that the opposite parties have misappropriated the entire amount deposited by the customer including the complainant and thereafter closed the branch office and absconded without repaying the amount deposited or its share of profit to the depositors.  It is further clear from Ext.A2 that the complainant has preferred a police complaint regarding misfeasance  malfeasance and nonfeasance of the opposite parties.   Hence there is deficiency in service and unfair trade practice on the part of the opposite parties.  In the circumstances the complainant is entitled to get an order directing the opposite party to pay Rs.1,00,000/- deposited along with the offered share of profit shown in Ext.P1 receipt from the date of receipt of the amount till the date of order and thereafter interest @ 9 % per annum till the date of payment.

          In the result complaint stands allowed in the following terms.

          Opposite parties 1 to 4 are directed to return the amount covered by Ext.P1 receipt to the complainant along with agreed share of profit/interest from the respective date of deposit/ investment within 45 days from the date of receipt of a copy of this order failing which the complainant is at liberty to recover the amount covered by Ext.P1 receipt along with agreed share of profit from the date of investment till the date of order and thereafter interest @ 9 % p.a. from the date of order till realization from the opposite parties No.1 to 4 jointly and severally and from their assets.

Dictated to the Confidential Assistant  Smt. Minimol S. transcribed and typed by her corrected by me and pronounced in the  Open Commission this the 25^th  day of  February 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.P1             : original fixed deposited receipt for Rs.1,00,000/- bearing No.0123839

                       (A/c No.1029991705445) dated 10.10.2017.

Ext.P2             : copy of the details of complaint filed at the police station, Kundara.

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-Nil