Circuit Bench Siliguri

StateCommission

CC/24/2019

VIJAY LAXMI AGARWALA - Complainant(s)

Versus

M/S HARLEY FOOD PRODUCTS PVT LTD & OTHERS - Opp.Party(s)

RAJAT CHAKRABARTI

19 May 2022

ORDER

SILIGURI CIRCUIT BENCH
of
WEST BENGAL STATE CONSUMER DISPUTES REDRESSAL COMMISSION
2nd MILE, SEVOKE ROAD, SILIGURI
JALPAIGURI - 734001
 
Complaint Case No. CC/24/2019
( Date of Filing : 26 Jun 2019 )
 
1. VIJAY LAXMI AGARWALA
W/O- OM PRAKASH AGARWAL, R/O-MATELLI BAZAR, P.S-MATELLI, PIN-735223
JALPAIGURI
WEST BENGAL
...........Complainant(s)
Versus
1. M/S HARLEY FOOD PRODUCTS PVT LTD & OTHERS
REGISTERED OFFICE AT- 502, SUNDRAM PLUS, ATHUGAR MAHALLO, OPPOSITE CENTRAL BANK OF INDIA, NANPURA, SURAT, GUJARAT-395002
GUJARAT
2. HARLEY HOUSEWARE INDIA PVT. LTD.
REGISTERED OFFICE AT- B-18 AAGAM ROW HOUSE, NEAR TERAPANTH BHAVAN, CITY LIGHT ROAD, SURAT, PIN-395007
GUJARAT
3. SOUMIK DULAL MITRA
C-1102, KRISH ENCLAVE, NEAR TERAPANTH BHAVAN, CITY LIGHT ROAD, SVR COLLEGE, SURAT, PIN-395007
GUJARAT
4. PIYALI SOUMIK MITRA
C-1102, KRISH ENCLAVE, NEAR TERAPANTH BHAVAN, CITY LIGHT ROAD, SVR COLLEGE, SURAT, PIN-395007
GUJARAT
............Opp.Party(s)
 
BEFORE: 
 HON'BLE MR. Subhendu Bhattacharya PRESIDING MEMBER
 HON'BLE MR. Amal Kumar Mandal MEMBER
 
PRESENT:
 
Dated : 19 May 2022
Final Order / Judgement

  The complainant case Under Section CP Act, 1986 in brief is that,

  1. The complainant Vijay Laxmi Agarwala, Wife of Om Prakash Agarwala, was operating a business as her only livelihood from S.F Road, Siliguri having no other source of income and was running its establishment on the earnings from such business by purchasing, goods and borrowing services from the defendants now ceased to exit and closed down its business operation due to deficiency of service and / or unfair trade practice of the defendants / OP. The complainant entered into an agreement at siliguri with the defendant No. 1, M/S Harley food product Pvt. Ltd (signed) and executed by defendant no 3 on behalf of defendant No: 1) on 04.07.2018 for operating under it as the clearing and forwarding agent (CNF Agent) and super stockiest at Siliguri S.F Road, for storage and distribution of Harley food products and to earn its in the Siliguri Market.
  2. The agreement was executed and singed on 04/07/2018 and the complainant being the super stockiest and CNF Agent had furnished a security deposit of Rs. 15,00,000,00 in favour of M/s Harley Food products pvt. Ltd.
  3. That the complainant started storing the products of Harley Foods products Pvt. Ltd at its Go-down / warehouse at Siliguri and the said defendant company started its business operation of selling its food products through its whole seller or distributors in and around Siliguri Town.
  4. The complainant being the CNF Agent took adequate care for the protection of products stored in warehouse from theft, Fire, burglary, rats, waters, contamination etc.
  5. The last purchase by the complainant was on 09/02/2019 amounting to Rs. 3.79.913.86 and after that the company suddenly stopped it business activities at Siliguri through its CNF Agent.
  6. That the complainant suffered a huge business loss for such activities on the part of OP company and requested the OP company to continue its business operation though the OP did not pay any heed to the request made by the complainant.
  7.  On 05/03/2019 the complainant debited the company account to the tune of Rs, 10000.00 as employee salary and again on 31/03/2019 the complainant debited account of the defendant company for salary to Employee amounting to Rs. 7232.00. on the same date the complaint also debited Rs. 40000.00 as reimbursement of remuneration and rest. 45000.00 as interest on Security Deposit also debited Rs. 546350.00 as damage goods lying in the go down of the complaint again on the said date 31/03/2019 the complainant paid Rs. 75000.00 each. It is also to be noted that said company also debited Rs. 45000.00 as money embezzled by company person and for damage goods lying with the distributors amounting to Rs. 352500.00. Total debit was, Rs. 12,65,902,.00 which still pending and dues from the OP company.  
  8. That several emails were sent by the complainant i.e., on behalf of the proprietorship farm Maa Vaishno Agencies regarding the grievances of the said complainant as it was not possible for the complainant under the supervision of the Company i.e., M/S Harley food products as the said company was not cooperative with its super-stock list cum C & F Agent and there was no coordination neither there was any fruitful communication between the two.
  9. That out of several mails suddenly the complainant received on email for the chief managing director of the company in which the said director informed to all business associates that due to unavoidable circumstances the name of the company is going to change from “HARLEY FOOD PRODUCTS PVT LTD” to “HARLEY HOUSEWARE(INDIA) PVT LTD” and also it was informed that henceforth all transaction with all business associates would be carried out through the new company.
  10. That when a new company is incorporated the new corporate identity number is assigned through the ROC and this is a unique number which does not match with any other corporate identity number (CIN). The “HARLEY FOOD PRODUCT PVT LTD” has a CIN number U15400GJ2013PTC076005 and the “HARLEY HOUSEWARE (INDIA) PVT LTD” has a CIN number U36935GJ2015PTC082146.
  11. That the chief managing director, Mr. Soumiik Mitraa on behalf of Harley food product pvt. ltd sent a mail to the complainant firm on 11/04/2019 mentioning  that the business and production of Harley’s product in East India was started by the end of July 2018 and the company achieved to sustain its credibility through its associate and the company was selling its products with satisfaction of the consumers and a good brand value was created within such short period of time but due to the sudden increase the price of potato which was the main raw material of the products, marketed and sold by the company, the company had to purchase the raw material in a high price and due to the set back the company could not clear all dues and responsibility within time.
  12. The complainant proprietorship farm i.e., Maa Vaishno Agencies communicated its mother company i.e., Harley food product Pvt. Ltd. and requested both of its director that is 1. Soumiik Dulal Mitraa and 2. Piyali Soumiik Mitraa regarding the unsolved issues pending at the end of the complainant farm who was operating under it as super- stockiest and C&F agent at Siliguri S.F Road, opposite Maharaja Hotel 734005.
  13. That the unsolved issues which the company was the serious nature while the old stocks of the company which were about to expire or already expired kept in the ware house of the complainant for the long time and inspite repeated demand and request by the instant complainant, the mother company i.e., Harley food product PVT. Ltd., did not pay any heed to it neither took any action to regularize the marketing of the products through sells representatives. Also, the expire or short expiry good ware not taken by the company resulting in a huge financial loss for the instant complainant.
  14. The it will be worth mentioning that the mother company that a Harley Food Product Pvt Ltd was previously known as Humpty Dumpty Food product Pvt Ltd. the corporate identification number (CIN) was U15400GJ2013PTC076005 and again it issued notices to all comserned that it has changed its name as Harley Houseware Prv Ltd. the corporate identification number – U36935GJ2015PTC082146.
  15. That due to irresponsible attitude of the mother company i.e., m/s Harley Food Product Pvt Ltd. and the new incorporated company i.e., Harley Warehouse Pvt Ltd. the complainant mentioned above passed very pathetic time while the complainant firm incurred huge business loss and also lost its reputation in the market. The complainant firm requested several times to the mother company to take prompt action regarding the expire and short expiry goods, regarding the payment of his employees and the rent of godown and warehouse which is engaged since last six months and the complainant firm has to pay the dues own its part including salary and rent of the godown. The business operation of the complainant firm is ceased since last six months and it has to face various claims out of this dispute arising out of this irresponsible conduct of the company.

 

So, the complainant by this consumer complaint prays for the following reliefs

  1. Claim for Rs. 15,00,000 which was paid by the firm to M/S Harley Food Product Pvt. Ltd. as security deposit and duly received by the company.
  2. Remuneration and expenditure to be paid by M/S Harley Food Product to the complainant firm as per annexure 1 for last five months (40,000/ month) that is Rs. 2,00,000.00 regarding go-down.
  3. Interest on security deposit pending at the rate of 6% per/annum on Rs. 15,00,000 applicable for 8 months that’s Rs. 60,000.00
  4. Compensation for damage goods lying godown amounting to Rs. 5,46,350.00
  5. Compensation for trade schemes amounting to Rs. 1,90,820.00   
  6. Compensation for festive dhamaka distributer scheme Rs. 1,00,00.00
  7. Money embezzled by company person Rs.46,000.00
  8. Further damaged goods lying with the distributer Rs. 3,52,000.00
  9. Compensation for loss of business reputation and compensation for mental agony Rs. 8,00,000.00
  10. Cost of the litigation Rs. 75,000.00

Total claim of Rs. 38,69,170.00

The complainant case was admitted on its merit and notice was sent to the address of OPs.

OP No. 2 and 3 as per postal website report received notice of the case on 31/07/2019.

Notice of OP Number 1 and 4 through post return unserved as addressee left.

So, the complainant was asked to cause service of notice upon them through paper publication and complainant has complied the order.

OP No. 1 to 4 did not contest the case. So, the case is heard exparte.

Points of decisions: -

  1. It is consumer complainant maintainable?
  2. Has the complainant any cause of action?
  3. Is the complainant entitled to get relief/ relives as prayed for?

Decision with reasons: -

Point Number 1 to 3

All the points are taken up together for discussion and adjudication in terms of the merit of this case.

On perusal of business agreement between the parties to the case dated 04.07.2018 it is revealed that the complainant farm in order to conduct the business terms that with the opposite parties deposited  Rs. 15,00,000/- in Favour of M/S Harley Food Products Pvt. Ltd and in accordance to the conditions and terms of agreement, the complainant started storing the products of Harley Foods Products Pvt. Ltd at its Go-Down/ Warehouse at Siliguri and the said defendant company started its business operation of selling its food products through its whole seller or distributors in and around Siliguri Town.

The complainant being the CNF Agent took adequate care for the protection of products stored in warehouse from theft, Fire, burglary, rats, waters, contamination etc.

The list of documents shows that the last purchase by the complaint was on 09/02/2019 amounting to Rs. 3.79,913.86 and after that the company suddenly stopped it business activities at Siliguri through its CNF Agent.

The documents produced by the complaint has shown that the complaint suffered a huge business loss for such activities on the part of company and requested the OP. Company to continues its business operation through the complainant but the OP did not pay any heed to the request made by the complainant Maa Vashnav agencies.

On 05/03/2019 the complaint debited the company account to the rune of Rs. 10000.00 as employee salary and again On 31/03/2019 the complaint debited account of the defendant company for salary to Employee amounting to Rs.7232.00 on the same date the complaint also debited Rs. 40000.00 as reimbursement of remuneration and RS.45000.00 as interest on Security Deposit Rs.546350.00 as damage goods laying in the go-down of the complaint again on the said date31/03/2019 that complaint made a debit note Rs.119820.00 and Two Festive Dhamaka of Rs.25000.00 and Rs. 75000.00 each. IT is also to be noted that said company also debited Rs.45000.00 as money embezzled by company person and for damage goods laying with the distributors amounting to Rs.352500.00. Total debit was Rs.12,65,902.00 which still pending and dues from the OP company.

So, on going through the entire pleadings of complaint, supported by oral and documentary evidences, it has become crystal clear that a business relation ship was subsisted between the complainant and the OP. The complainant in terms of bilateral agreement has spent huge amount to continue the business activities while the OP sides, has discontinued the business activities they have undertaken to preform by executing the agreement. Causing sustained of Monitory loss of the Complainant which should be properly compensated by the O.P. sides and the provisions of C.P Act,1986 has casted upon a duty to them to make out the said financial loss of the complainant suffered by the complainant in consequence of deficiency of service on the Part of Op sides.

So, in the context of the Provisions of C.P. Act, 1986, the complainant has right cause of action to institute the consumer case and well entitled to get the compensations.

            Thus, all the points are settled in favour of the complainant.

   Hence it is ordered,

That the in instant consumer complaint is hereby allowed exparte against OP No 1 to 4 with cost.

The OP No 1 to 4 are jointly and severally liable to pay the complainant within 45 days from this day as follows:-

  1. Rs. 15,00,000/- the security deposit
  2. Compensation to the tune of Rs. 5,00,000 for the loss of damaged goods, remuneration and expenditure incurred by the complainant.
  3. Compensations9 of Rs. 2,00,000/- for harassment Mental agony subbered by the complainant
  4. Compensation for loss of interest over security deposit to the tune of Rs.50,000/-
  5. Litigation cost of Rs. 10,000/-                                                                                                                                                                 if the O.P sides of this case failed to comply the order of this commission within the stipulated time Framed, interest @6% P.A. will be imposed upon the entire awarded money.

Let a copy of Final Order be supplied to the complainant and the complainant be asked to collect the Free copy of Judgement of the OP sides and communicate it at her own instance to the OP sides and in case of execution of the Final Order, the complainant shall have to satisfy that the Final Order has duty communicated to the OP sides.

 
 
[HON'BLE MR. Subhendu Bhattacharya]
PRESIDING MEMBER
 
 
[HON'BLE MR. Amal Kumar Mandal]
MEMBER
 

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