Date of filing:24.4.2013
Date of Disposal:18.2.2014
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-II::
VIJAYAWADA, KRISHNA DISTRICT.
Present: SRI A. M. L. NARASIMHA RAO, B.SC., B. L., PRESIDENT
SMT N. TRIPURA SUNDARI, B. COM., B. L., MEMBER
SRI S.SREERAM, B.COM., B.A., B.L., MEMBER
TUESDAY, THE 18TH DAY OF FEBRUARY, 2014.
C.C.No.70 OF 2013.
Between :
Smt Penubothu Sudha Rani, W/o Rama Krishna, Hindu, 42 years, R/o D.No.54-18-51, Sunnabattila Centre, Midula Nagar, LIC Colony, Vijayawada – 520 008.
….. Complainant.
And
M/s Shriram Transport Finance Company Ltd., Rep., by its Branch Manager, Near Vinayaka Theatre,Veternary Colony, Vijayawada -8.
…..Opposite Party.
This complaint is coming before us for final hearing on 5.2.2014 in the presence of Sri N.Udaya Kumar, Counsel for complainant and Sri D.Rajasekhar, Counsel for opposite party and upon perusing the material available on record, this Forum delivers the following:
O R D E R
(Delivered by Hon’ble Member Smt N. Tripura Sundari)
This complaint is filed under Section 12 of the Consumer Protection Act, 1986.
1. The averments of the complaint are in brief:
The complainant wanted to purchase a second hand car from the opposite party. The agents of the opposite party approached the complainant and offered to purchase the car on obtaining financial assistance from the opposite party. Believing their words the complainant obtained loan of Rs.1,00,000/- from the opposite party and agreed to pay the said amount in 33 instalments at the rate of Rs.4,494/- commencing from 5th April, 2012 and upto 5th December, 2014., The vendor of the complainant had got finance from one of the branches of the opposite party. The complainant purchased the car from her vendor for a sum of Rs.1,35,000/- by making down payment of Rs.35,000/-. By deducting the 1st instalment for the month of March,2012, the opposite party transferred a sum of Rs.95,506/-to their branch in which the vendor of the complainant got finance. Since then the complainant paid 8 instalments regularly upto December, 2012. While so in the month of January, 2013 the agents of the opposite party refused to receive the instalment amount and demanded to clear the entire loan amount of Rs.1,25,000/- immediately otherwise they will seize the vehicle. Immediately the complainant approached the opposite party and requested to receive the instalment amount and also informed that there is 24 months time to clear the entire loan amount, but the opposite party did not respond for the same and on 8.4.2013 the agents of the opposite party high handedly seized the vehicle of the complainant. The complainant came to know that the opposite party is trying to alienate the vehicle for the low cost to cause loss to the complainant. The complainant hired the vehicle to the Municipal Corporation, Vijayawada. In view of the sudden seizure of the vehicle the complainant sustained loss of Rs.800/- per day towards its rent and also inconvenience to the Municipal Corporation, Vijayawada. The complainant is ready and willing to pay the due instalments. The opposite party without accepting the same high handedly seized the vehicle, which amounts to gross negligence on their part. Hence the complainant is constrained to file this complaint against the opposite party praying the Forum to grant permanent injunction, restraining the opposite party, its men and agents from ever alienating the car bearing No. AP-16-TV-6750 of the complainant; to direct the opposite party to hand over the said car to the complainant; to grant compensation of Rs.1,50,000/- towards causing mental and physical agony to the complainant and to pay costs.
2. The version of the opposite party is in brief:
The opposite party denied all the allegations of the complaint and submitted that the complainant obtained a loan of Rs.1,00,783/- towards loan amount and Rs.47,879/- towards finance charges total agreement value arrived at Rs.1,48,662/-which are payable in 33 monthly instalments being at the rate of Rs.4,869/- for the 1st instalment and at the rate of Rs.4,494/- for the next 31 instalments and at the rate of Rs.4,479/- for the remaining last instalment. The agreement commencing from 5.4.2012 and accordingly she executed the agreement in favour of the opposite party and agreed to abide by the terms and conditions of the agreement. As per the terms and conditions of the agreement the complainant is also liable to pay delayed payment charges, at the rate of 36% per annum on the defaulted instalments. The complainant had paid only a sum of Rs.27,565/- towards the total agreed amount payable by way of instalments. As per account copy of the complainant she is not paying monthly instalments regularly. The complainant is liable to pay a sum of Rs.1,12,680/- including delayed payment charges for the delayed instalments and other incidental expenses. As on 21.5.2013, account copy of the complainant clearly shows that she paid the instalments irregular and she is a chronic defaulter in payment of instalments to the opposite party and she had violated the terms and conditions of the loan-cum-hypothecation agreement and she has not been maintaining the vehicle on road worthy condition. As such the opposite party has taken possession of the vehicle as per the terms and conditions of the agreement after due intimation and requested the complainant to pay the arrears of instalments inspite of several reminders and repeated requests made by this opposite party. As there is no other option to the opposite party, in order to mitigate the loss, the opposite party take the possession of the vehicle. Hence there is no deficiency in service on the part of opposite party towards the complainant and prayed to dismiss the complaint with costs.
3. On behalf of the complainant she gave her affidavit and got marked Ex.A.1 to Ex.A.7 and on behalf of the opposite party Sri Yadala Koteswara Rao, Senior Credit Executive filed his affidavit and got marked Ex.B.1 and Ex.B.2.
4. Heard and perused.
5. Now the points that arise for consideration in this complaint are:
1. Whether there is any deficiency in service or unfair trade practice in seizing the car of the complainant?
2. If so is the complainant entitled for any relief?
3. To what relief the complainant is entitled?
POINTS 1 AND 2:-
6. The complainant’s hire purchase agreement starts from 5.4.2012 as per Ex.A.7 and she paid Rs.4,500/- on 15.5.2012, Rs.4,495/- on 16.6.2012, Rs.4,700/- on 12.7.2012; Rs.4,500/- on 28.9.2012 and Rs.4,500/- on 15.11.2012 under Ex.A.2 to Ex.A.6 respectively. She was irregular in payment of instalments and was defaulted. As the complainant failed to pay regular instalments under hire purchase agreement, the opposite party gave notice under Ex.A.1 dated 8.4.2013 stating that as the complainant failed to pay instalments the opposite party is obliged to take possession of the vehicle. The complainant filed this complaint along with an I.A.133/13 praying the Forum to permit her to deposit monthly instalments from January, 2013 to April, 2013 at Rs.17,976/- and future instalments from May, 2013 every month credit into the A/c of the above CC. The complainant filed another I.A. 134/13 praying the Forum to pass ad-interim injunction restraining the opposite party from ever alienating her car without due process of law. The Forum allowed the I.As and passed an order against the respondent restraining from alienating the vehicle of the complainant. The complainant deposited an amount of Rs.22,470/- on 29.4.2013 in the Forum and the Forum passed an interim order dated 19.6.2013 stating that the interim order shall continue till the vehicle is delivered. The complainant paid instalments of June, 2013 Rs.4,500/- and July, Rs.4,494/-. The complainant filed an IA.135/13 praying the Forum to direct the opposite party to release her vehicle. The Forum allowed the petition and direct the complainant to deposit a sum of Rs.13,482/- towards 3 instalments and another sum of Rs.5,000/- as additional deposit and the opposite party is directed to release the car of the complainant and the complainant is also directed to deposit the further instalments till the completion of the repayment schedule and the opposite party is at liberty to take possession of the vehicle if the complainant fails to deposit instalments. The opposite party filed a memo on 4.7.2013 stating that the opposite party released the vehicle to the complainant on 2.7.2013.
8. The opposite parties says that the complainant obtained a loan of Rs.1,00,783/- towards loan amount and Rs.47,879/- towards finance charges total agreement value is Rs.1,48,662/- which are payable in 33 monthly instalments and she executed the agreement underEx.B.2 in favour of the opposite party and agreed to bind to the terms and conditions of the agreement. She also agreed to pay delayed payment charges at the rate of 36% per annum on the defaulted instalments. As per Ex.B.1 she is not paying monthly instalments regularly.
9. On noticing Ex.B.1, we, the Forum noticed that the complainant paid instalments upto 10.5.2013 and deposit a cheque in favour of the opposite party for an amount of Rs.49,946/- on 24.10.2013. As per Ex.A.7 the loan will be closed by 5.12.2014. After 24.10.2013 there is no representation on behalf of the complainant in this Forum and the opposite party informed that no amount is further paid by her. Therefore we hold that there is no deficiency of service on the part of opposite party towards the complainant and the opposite party is at liberty to proceed as per the terms of the agreement.
POINT No.3:-
10. In the result, the complaint is dismissed without costs.
Typewritten by Stenographer K.Sivaram Prasad, corrected by me and pronounced by us in the open Forum, this the 18th day of February, 2014.
PRESIDENT MEMBER MEMBER
APPENDIX OF EVIDENCE
WITNESSES EXAMINED
For the complainant: For the opposite party:-
P.W.1 P.Sudha Rani D.W.1 Y.Koteswara Rao,
Complainant Senior Credit Executive,
(by affidavit) of the opposite party,
(by affidavit)
DOCUMENTS MARKED
On behalf of the Complainant:
Ex.A.1 08.04.2013 Letter from the opposite party to the complainant.
Ex.A.2 15.05.2012 Receipt issued by the opposite party for Rs.4,500/-.
Ex.A.3 16.06.2012 Receipt issued by the opposite party for Rs.4,495/-.
Ex.A.4 12.07.2012 Receipt issued by the opposite party for Rs.4,700/-.
Ex.A.5 28.09.2012 Receipt issued by the opposite party for Rs.4,500/-.
Ex.A.6 15.11.2012 Receipt issued by the opposite party for Rs.4,500/-.
Ex.A.7 . . Photocopy of loan instalments particulars.
For the opposite party:-
Ex.B.1 21.05.2013 Customer Outstanding Summary.
Ex.B.2 . . Notarized copy of Loan cum Hypothecation Agreement.
PRESIDENT
