Shri B. Mukhopadhyay, President.   

This is an application u/s.12 of the C.P. Act, 1986.

            Complainant by filing this complaint has submitted that he took a loan from the OP Bank and OP Bank issued a personal loan being A/c. No.LPCL 00011970065 for an amount of Rs.4,39,000/- subject to its repayment by equal 36 instalments having monthly instalment of Rs.13,242/-.  But at that time OP did not supply the terms and condition of the loan agreement but only collected signature and also collected some cheques by procuring its signature on the blank cheques.  And, in fact, the rate of interest was also not informed though complainant prayed for supplying those copies of agreement terms of personal loan agreement but nothing was supplied which is completely unfair trade practice and unjust one.  Thereafter, complainant approached OP for 6 months moratorium and deduction of EMl of Rs.3,500/- by extending tenure suitably.  But that was unHEARD but anyhow the complainant tried to get the entire papers from the OP but OP did not render proper service and also did not return the blank cheques and in the above circumstances, for negligent manner of service on the part of the OPs and for unfair trade practice complainant has prayed for direction for returning blank cheques issued from the complainant Bank A/c. No.627701130222 of ICICI Bank Ltd. Vivekananda Road Branch and for producing the said cheques and blanked signed agreement.

          On the other hand OP by filing written version submitted all allegations are false, fabricated.  There is no question of taking any blank cheque and as a matter of fact the copy of agreement was handed over to the complainant alsong with welcome kit and on the contrary the complainant did not paid EMI properly and adopted a path to create such as relief from the Forum so that the complainant may not pay outstanding balance of Rs.1,78,647/- as on 20-02-20-10 and further submitted that there is no cause of action to file and the complaint should be dismissed.

Decision with Reasons

On proper consideration of the entire materials on record and further considering the entire facts it is undisputed fact that the complainant took personal loan from the OP and OP has admitted that at the time of taking loan he was aware of the fact that he shall have to pay EMIs @Rs.3,500/- but it is equally true that OP took blank cheques with signature of the complainant. But such sort of process as adopted by the OP Bank in all the cases is unfair as per provision of Section 5 of the N.I. Act, and blank cheques with signatures cannot be collected by any Bank Authority or any office or by any person but in this case it is proved that OP collected 36 cheques blank with signature of the complainant and that may be used by the OP if complainant fails to clear his loan amount and this is the practice of the ICICI and some other private bank and no doubt OP has no legal right to use those cheques in future for using it to clear the outstanding balance of the complainant in all respect of the present loan account.  At the same time it is fact that complainant was not supplied with total papers which is evident from the fact that in this case OP has not supplied the original copy of the loan agreement and other terms and considering the present situation and also the version of the OP we are confirming that the OP shall not be permitted to use any cheque for encashment in all respect of A/c. No.627701130222 of ICICI Bank Ltd. Vivekananda Road Branch for satisfy the outstanding dues in respect of the loan account. And to that effect only the order may be passed because complainant has not prayed for any other relief.

          After applying our judicial conscience and also considering the provision of Section 5 of the N.I. Act we find that ICICI Bank or any private bank or any bank have no legal right to secure blank cheques with signature from the customers after procuring signatures and in this case no doubt we are confirmed that OP Bank collected blank cheques with signatures of the complainant at the time of releasing loan and it is their business and in such a fashion they are making so many customers accused by proceeding u/s.138 of the N.I. Act.

          No doubt the complainant has his very legal right in view of the fact the OP is trying to misuse the said cheques for adjustment of loan and for other purpose knowing fully well that in the meantime in the said account of the complainant there is no such fund and in the above situation we are confirmed that OP Bank has no legal authority to use the said cheque by filling up by them or for using it to realise the outstanding balance when legal procedure is there for the OP who shall have to follow it.

          In the light of the above observation we are allowing the prayer of the complainant against the OP.

Hence,

Ordered

That the complaint be and the same is allowed on contest with a cost of Rs.1,000/-(Rupees One thousand only) against the OP ICICI Bank and OP is directed not to use any cheque of Bank A/c. No.627701130222 of ICICI Bank Ltd. by any means whatsoever and if same are used in that case OP shall be imposed a penalty of Rs.1,00,000/-(Rupees One lakh only).  So, OP shall be more cautious about that and if any cheque in respect of the above account is in the custody of the OP, OP shall have to cancel it and produce before this Forum at once.