Haryana

Ambala

CC/194/2012

ARUN GOYAL - Complainant(s)

Versus

M/S GE MONEY FINANCIAL SERVICES PVT LTD - Opp.Party(s)

K.S.JETLY

30 Sep 2015

ORDER

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, AMBALA.

Complaint Case No.    : 194 of 2012

Date of Institution       :  15.06.2012

Date of Decision         :  30.09.2015

           Arun Goyal, Resident of 709/595, Shakti Nagar, Ambala City.

                                                                                                                           ………Complainant

                                                         Versus

1.         M/s GE Money Financial Services Pvt. Ltd., 401-402, 4^th Floor, Aggarwal, Millenium Tower, E-1, 2-3, Netaji Subhash Place, Pitampura, New Delhi 110034, through its Managing Director.

2.         Branch Manager, M/s GE Money Financial Services Pvt. Ltd., Nicholson Road, Near HDFC Bank, Ambala Cantt.

                                                                                                ……Opposite Parties.

Complaint Under Section 12 of the Consumer Protection Act

CORAM:        SH. A.K. SARDANA, PRESIDENT.

                        SH. PUSHPENDER KUMAR, MEMBER.                       

Present:          Sh.  K.S. Jetly, Adv. counsel for complainant.

                        Ops exparte.                       

ORDER.

                        Complainant has filed the present complaint alleging therein that he availed house loan to the tune of Rs.14.00 lacs in the year 2007 from Ops for construction of his house on plot No.20 Shakti Nagar, Ambala City situated within khasra No.2/14/18 measuring 200 Sq. yards and at the time of advancement  of loan by the Ops, they got signatures of the complainant on a number  of proformas, blank papers and blank cheques etc. but no any document was supplied to him at the  time of execution of loan agreement.   It has been further alleged by complainant that at the time of advancing of loan, it was conveyed to him that interest will  be charged at the rate of 10% per annum on the reducing amount but the Ops started charging interest at floating rate and also raised the rate of interest from 10% to 16.36% per annum in February 2011 and further to 18.60% per annum in November 2011 etc. arbitrarily without any rhyme or reasons. The aforesaid act of the Ops  compelled  the complainant to stop payment of monthly installment and thus the complainant asked  the Ops to supply him the copy of loan agreement  alongwith stipulations, schedule  of payment and detail of payments made till date and also the reasons for charging of interest at floating rate instead of reducing rate but they did not bother. Having no alternative, the complainant served a legal notice upon the Ops but instead of replying to the said legal notice, the Ops started arbitration proceedings without supplying of the above detailed documents resulting into loss to the complainant. The said acts of the Ops caused great mental agony and financial losses to the complainant which amounts to deficiency in service on the part of Ops and thus the complainant prayed for indulgence of this Forum for issuance of a directions to Ops to supply  the copy of loan agreement alongwith stipulations  & details of payment etc.  till date and also requested for directing the Ops to pay a sum of Rs.5.00 lacs towards compensation for causing mental agony & harassment etc.

2.                     Due notices were served upon the Ops through registered post but Ops did not bother to appear as such publication was issued in the Newspaper Dainik Bhasker dated 30.03.2014 for appearance of the Ops before the Forum on 12.05.2014 but despite publication, Ops failed to appear before the Forum on the fixed date & time. As such, they were proceeded against exparte on 12.05.2014.

3.                     To prove his case, complainant has tendered his affidavit as Annexure CX alongwith documents as Annexures C-1 to C-7 and closed his evidence.

4.                     We have heard the counsel for complainant and also perused the case file very minutely.  The main grouse of the complainant is that he was advanced loan by Ops in the year 2007 at the rate of 10% per annum and the interest was to be charged on the reducing side but instead of charging the interest on reducing basis, complainant started charging interest at the floating rate which is against the terms of the agreement as well as RBI Instructions. Further the Ops enhanced the rate of interest intermittently from 10% to 18.60% in November 2011 arbitrarily and without any rhyme or reasons.  Thereafter, the complainant also requested the Ops to supply him details of payments made by him till date alongwith schedule of payment etc. but instead of supplying the same, they started arbitration proceedings for which they have no legal right and the said act of the Ops amounts to deficiency in service and thus the complainant sought appropriate directions to the Ops as per prayer clause.

5.                     After hearing the complainant as well evaluating the documents so tendered by the complainant on the court file, it is very clear that the Ops have started arbitration proceedings against the complainant vide notice dated 28.04.2012 (placed on file Annexure C-7 by the complainant) before one Atul, sole Arbitrator appointed by Ops in the house loan case of the complainant prior to filing of the present complaint and the arbitrator fixed the date of hearing  as 21.05.2012 at 3.30 P.M at Chamber No.345 Civil Wing, Tis Hazari Courts, Delhi-110054  but complainant instead of appearing before the Arbitrator filed the present complaint before this Forum under the provisions of Consumer Protection Act only to counter the proceedings pending before the Arbitrator under the provisions of the Arbitration Act which is neither legal nor justified in the eyes of law rather misuse of the process of law. Further the complainant also failed to submit in his complaint that how much amount he has repaid against the aforesaid loan of Rs.14.00 lacs which is  very material for proper adjudication of the case wherefrom it appears that the complainant  only to save his skin from repayment of the loan has filed the present complaint. Further as per legal proposition enunciated in Section 5 of the Arbitration Act wherein it has been specifically mentioned that “notwithstanding anything contained in any law for the time being in force, in matters governed by this part, no judicial authority shall intervene except provided in this para,” this Forum lacks authority to hear the dispute so raised in the complaint being quasi judicial body. Therefore, in view of the facts narrated above, we are of the view that without evaluating the outcome of arbitration proceedings which were started prior to institution of the present complaint i.e. in April  2012, this Forum is helpless to issue any direction to the Ops.  Hence, we have no option except to dismiss the present complaint with no order as to costs. Copies of this order be supplied to parties concerned, free of costs, as per rules.  File after due compliance be consigned to record room.

Announced:30.09.2015                                                                       

                                                                                                           Sd/-

                                                                                                (A.K. SARDANA)

                                 PRESIDENT                

 

                                                                                                         Sd/-

                    (PUSHPENDER KUMAR)

                                                                                                         MEMBER