IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KOLLAM

DATED THIS THE   20^th  DAY OF JULY 2022

Present: -        Smt.S.Sandhya   Rani. Bsc, LLB ,Member(President in Charge)

             Sri.Stanly Harold, B.A.LLB, Member

                                    CC.No.390/2020

Varghese Alexander,

Alvindale, Kundara P.O.,

Kollam 691501.                                                            :           Complainant

(By Adv. P.Sajeev Babu)

V/s

1. Popular Traders

              Regd.Office Popular Towers,

         Vakayar , Pathanamthitta

        (Incorporated under the Companies Act 2013),

         689698.

         Rep.by its Managing Partner,: Opposite Parties

        Thomas Daniel.

2. T.Mathunni Panicker,

          Branch Manager,

               Popular Traders,

              Kundara residing at Plavila Thekkathil

              Raju Nivas, Ambipioka 691501.

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 are as follows:-

            The 1^st opposite party is a registered company and 2^nd opposite party is the Manager of the 1^st opposite party Kundara branch. 

            The 1^st opposite party advertised in the newspaper dailies and other publications that the 1^st opposite party is offering interest @ 12% per annum to those who have made deposit in the 1^st opposite party as FD for any particular period with the liberty to withdraw the accrued interest in each and every month by the depositors.  The 2^nd opposite party also personally approached the complainant and made believe the complainant that if the complainant deposit a sum of money as fixed deposit in the opposite party company as Fixed deposit for a particular period the company would pay interest @ 12 % per annum with the liberty to withdraw the accrued interest in each and every month by the complainant.  As attracted by the advertisement made by the 1^st opposite party in the newspaper dailies and other publications and also believed the words of 2^nd opposite party, on 24.07.2020 the complainant deposited Rs.3,00,000/- before the 2^nd opposite party as FD for a period of 12 months and in turn the 1^st and 2^nd opposite parties signed and issued a FD Receipt No.0593013 with A/c No.1020382000239 dated 24.07.2020 for an amount of Rs.3,00,000/- again on the same day the complainant deposited Rs.3,00,000/- before the 2^nd opposite party as FD for a period of 12 months and in turn the 1^st and 2^nd opposite parties jointly signed and issued a FD Receipt No.0593014 and with A/c No.1020382000240 dated 24.07.2020 an amount of Rs.3,00,000/- in the name of the complainant, again on the same day the complainant deposited Rs.3,00,000/- before the 2^nd opposite party as FD for a period of 12 months in in turn the 1^st and 2^nd opposite parties jointly signed and issued a FD Receipt No.0593015 and with A/c No.1020382000241 dated 24.07.2020 an amount of Rs.3,00,000/- in the name of the complainant again on the same day the complainant deposited Rs.3,00,000/- before the 2^nd opposite party as FD for a period of 12 months and in turn the 1^st and 2^nd opposite parties jointly signed and issued a FD Receipt No.0593016 and with A/c No.1020382000242 dated 24.07.2020 an amount of Rs.3,00,000/- in the name of the complainant, in the said FD Receipts the opposite parties agreed to pay interest @ 12% per annum allowing the complainant to withdraw the accrued interest on each and every month.  But the opposite parties failed to do so and now it is seen that the opposite parties had closed their offices.  This is a case in which the complainant availed the service of the opposite parties for consideration but the opposite parties wilfully, illegally 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 of interest of the FD amount in each and every month and also agreed to repay the FD 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 and in that circumstances the complainant are compelled to file this complaint. Hence the complaint.

            Notice issued from the Forum/Commission served and opposite parties are called absent and hence set exparte.

            The complainant filed proof affidavit by reiterating the averments in the complaint and got marked Ext.A1 and A2 series documents.  Heard counsel for the complainant and perused the records.  Ext.A1 is photocopy of the advertisement publication by the opposite party.  Ext.A2 series is the FD receipts bearing No.0593013 with A/c No.1020382000239 dated 24.07.2020 w.e.f. 24.07.2020 for an amount of Rs.3,00,000/- and a period of 12 months and due date is 24.07.2021 of a profit share of 12% and receipt No.0593014 A/c No.1020382000240 dated 24.07.2020 w.e.f. 24.07.2020 for an amount of Rs.3,00,000/- and a period of 12 months and due date is 24.07.2021 of a profit share of 12% and receipt No.0593015 with A/c No.1020382000241 dated 24.07.2020 w.e.f. 24.07.2020 for an amount of Rs.3,00,000/- and a period of 12 months and due date is 24.07.2021 of a profit share of 12% and receipt No.0593016 with A/c No.1020382000242 dated 24.07.2020 w.e.f. 24.07.2020 for an amount of Rs.3,00,000/- in the name of complainant and the nominee is also shown in the above receipts as Susan Varghese.  The above receipts has been issued on same dates of same amount.

            The unchallenged averments in the affidavit coupled with Ext.A1 and A2 series documents would establish prima facie the complainant had deposited Rs.12,00,000/- in his name  on 24.07.2020 for a period of 12 months and the complainant together deposited Rs.12,00,000/- on same date which is 27.07.2020. 

Even though the opposite parties agreed to pay monthly interest on each and every month for the FD amount, @ 12% per annum to the complainant, the opposite parties violated the terms and conditions agreed by them at the time of receiving the fixed deposits.  But thereafter the opposite parties failed to pay the monthly interest to the complainant right from the deposit date, thereupon the complainant made several demands to the opposite parties to pay the arrears of interest along with the FD amount, since there is contractual violation, deficiency in service and also unfair trade practice on the part of the opposite parties.  However the branches of the opposite parties remained closed during Covid 19 Pandemic lock down period.  Though the lock down was lifted they imposed restrictions for the functioning of the branches and those who want to withdraw their deposits were not paid immediately and started deferring payments on lame excuses.  The complainant had approached branch office concerned to get back the amount due but not paid.  Later the complainant realized that the financial institution done by the opposite parties are being closed and customers started lodging complaint before police and on that basis crimes were registered against the opposite parties and hence the opposite parties absconded with an intention to flee away to foreign countries.  Thereafter the Police has arrested the opposite parties and investigation is in progress to search and find the huge amounts received by the opposite parties and diverted.   It is pertinent to note the complainant availed the service of the opposite parties for consideration but the opposite parties willfully, illegally and arbitrarily failed to provide the service to the complainant as they agreed.  On evaluating the entire materials available on record we are of the view that there is deficiency in service and unfair trade practice.

 Though the complainant would claim in the complaint as well as in the proof affidavit that the total amount of Rs.12,00,000/- the complaint.  The complainant is entitled to get promised rate of 12% interest for each investment from the date of investment.  Therefore the complainant is entitled to get an order allowing the realize the amount invested/ deposited along with offered share of interest shown in Ext.A2 series receipts from the date of receipts of till realization.

            In the result complaint stands allowed in the following terms.

Opposite parties are directed to return the amount of Rs.12,00,000/-(Rupees twelve lakhs only) covered by Ext.A2 series receipts with agreed interest @ 12% per annum and a compensation of Rs.50,000/- along with Rs.10,000/- for the cost of proceedings from 27.04.2020 the 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.A2 series receipts along with share of profit  as agreed till the date of complaint and thereafter interest @ 9 % p.a. from the date of order till realization from the opposite parties No. 1 and 2 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  20 ^th  day of  July 2022.   

                                                                                                STANLY HAROLD:Sd/-

                                                                                                        S.SANDHYA RANI:Sd/-

                                                                                                                                                                                            (President I/c)

Forwarded/by Order

                                                                                       Senior superintendent

INDEX

Witnesses Examined for the Complainant:-Nil

Documents marked for the  complainant

Ext.A1            : Photocopy of the advertisement publication by the opposite party.

Ext.A2 series   : Original FD receipts (4 Nos.)

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-Nil