Tamil Nadu

South Chennai

141/2009

P.Baburaj Reddi - Complainant(s)

Versus

M/S.SBI Cards & Payments Services Pvt, Ltd., & Another - Opp.Party(s)

M/S.APR Associates

11 Jul 2018

ORDER

                                                                        Date of Filing  : 08.12.2008

                                                                          Date of Order : 11.07.2018

 

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHENNAI (SOUTH)

@ 2^ND Floor, Frazer Bridge Road, V.O.C. Nagar, Park Town, Chennai – 3.

 

PRESENT: THIRU. M. MONY, B.Sc., L.L.B, M.L.                    : PRESIDENT

                 TMT. K. AMALA, M.A., L.L.B.                                : MEMBER-I

 

C.C. No.141/2009

DATED THIS WEDNESDAY THE 11^th DAY OF JULY 2018

                                 

P. Baburaj Reddi,

S/o. Mr. Ponnuswamy Reddiar,

B-22, Appasamy Towers,

No.16, Thyagaraya Road,

T. Nagar,

Chennai – 600 017.                                                     .. Complainant.                                                           

 

..Versus..

 

1. M/s. SBI Cards & Payment Services Pvt. Ltd.,

Having its Registered Office at State Bank House,

No.11, Parliament Street,

New Delhi -110 001.

 

2.  M/s. SBI Cards & Payment Services Pvt. Ltd.,

Credit Card Division,

Post Box No.399,

Anna Salai Post Office,

Chennai – 600 002.                                              ..  Opposite parties.

          

Counsel for complainant           :  M/s. APR ASSOCIATES & another

Counsel for opposite parties    :  Mr. S. Makesh

 

ORDER

THIRU. M. MONY, PRESIDENT

       This complaint has been filed by the complainant against the opposite parties under section 12 of the Consumer Protection Act, 1986 praying to pay a sum of Rs.5,00,000/- towards compensation for mental agony, loss of reputation, illegal and unwanted harassments and unfair trade practice with cost of the complaint.

1.    The averments of the complaint in brief are as follows:-

 The complainant is a credit card holder of the opposite parties bearing No.0004 3175 7502 4260 0904.  The complainant used the credit card for some time and thereafter, stopped using the same because of arbitrary and excess demand of interest by the opposite parties.  Further the complainant submits that on 26.06.2008, the complainant received an Advocate notice from the opposite party calling upon to pay a sum of Rs.26,373.24.  On 03.07.2006, the complainant sent a letter in detail regarding the payment of Rs.17,000/- towards full and final settlement and proposal to surrender the credit card.  Further the complainant submits that the opposite parties forced to pay several amounts.  The complainant also paid all the dues and the opposite parties issued receipt dated:31.01.2007 for Rs.7,000/- with an endorsement as “full & final settlement”.   In the mean time, the opposite parties issued legal notice and harassed the complainant in such a manner.  Further the complainant submits that even after the payment, the opposite party issued notice dated:15.07.2008 calling upon the complainant to pay a sum of Rs.43,137.06 without furnishing any statement of account for which, the complainant also sent due reply.  Since the harassment of the opposite party continued, the complainant filed this complaint.

2.     The brief averments in the written version filed by the  opposite parties is as follows:

The opposite parties specifically deny each and every allegations made in the complaint and puts the complainant to strict proof of the same.   The opposite parties state that the complainant is a chronic defaulter in payment of credit card amount.   Further the opposite parties state that the complainant did not pay the entire amount due to the opposite parties but only made part payments as a result; he is liable to pay all amounts due to the opposite party with all applicable charges, interest etc.   Further the mere endorsements of full and final settlement on such temporary receipts would not tantamount to settlements binding the opposite party.   It is also submitted that the opposite party had never agreed to receive the sum of Rs.17,000/- or any other sum from the complainant as a full and final settlement.   Further the opposite parties state that the complainant has arrears of payment in credit card to the tune of Rs.43,137.06/-.  Further the opposite parties state that the claim of Rs.5,00,000/- of compensation is disproportionate.   Therefore, there is no deficiency in service on the part of the opposite parties.  Hence the complaint is liable to be dismissed.

3.   In order to prove the averments in the complaint, the complainant has filed proof affidavit as his evidence and documents Ex.A1 to Ex.A12 are marked.  Proof affidavit of the opposite parties filed and documents Ex.B1 & Ex.B2 filed and marked on the side of the opposite parties.

4.     The point for consideration is:-

Whether the complainant is entitled to a sum of Rs.5,00,000/- towards compensation for mental agony, loss of reputation and unfair trade practice with cost as prayed for?

5.     On point:-

Both parties has not filed any written arguments.  Both parties has not turned up to advance any oral arguments also.  Perused the records namely the complaint, written version, proof affidavits, documents etc.  Admittedly, the complainant is a credit card holder of the opposite parties bearing No.0004 3175 7502 4260 0904.  The complainant used the credit card for some time and thereafter, stopped using the same because of arbitrary and excess demand of interest by the opposite parties.  But no document filed to prove such excess claim of interest.  Further the contention of the complainant is that on 26.06.2008, the complainant received an Advocate notice from the opposite party calling upon to pay a sum of Rs.26,373.24 as per Ex.A1.  On 03.07.2006, the complainant sent a letter in detail regarding the payment of Rs.17,000/- towards full and final settlement and proposal to surrender the credit card as per Ex.A2. 

6.     Further the contention of the complainant is that the opposite party forced to pay several amounts as per Ex.A3 & Ex.A4.  As per Ex.A9, the complainant paid all the dues and the opposite parties issued receipt dated:31.01.2007 for Rs.7,000/- with an endorsement as “full & final settlement”.   In the mean time, the opposite party issued legal notice and harassed the complainant in such a manner.  Further the contention of the complainant is that even after the payment as per Ex.A9, the opposite party issued notice dated:15.07.2008 calling upon the complainant to pay a sum of Rs.43,137.06 without furnishing any statement of account for which, the complainant also sent due reply.  Since the harassment of the opposite party continued, the complainant without any other option filed this complaint claiming a sum of Rs.5,00,000/- towards compensation for unfair trade practice and mental agony.  But the complainant has not pleaded and proved the proposition for such huge compensation. 

7.     The contention of the opposite parties is that the complainant is a chronic defaulter in payment of credit card amount.  But the opposite party has not produced any statement of accounts to prove such default except Advocate notice without enclosing any statement of account.  Further the contention of the opposite parties is that the alleged full and final settlement by the complainant shall be proved.  Mere issuance of the receipt dated:31.01.2007 Ex.A9 by the opposite parties shall not be treated as full and final settlement.  But the opposite parties has not pleaded and proved under what circumstances Ex.A9 issued except such final settlement and payment.  In this case, as per Ex.A9 receipt, it is very clear that the complainant paid amount towards full and final settlement and a sum of Rs.7,000/- has been received by the opposite parties.  Further the contention of the opposite parties is that the complainant has arrears of payment in credit card to the tune of Rs.43,137.06/-.  But the opposite parties has not produced any document to prove such dues muchless, after the settlement of account.  Further the contention of the opposite parties is that the claim of Rs.5,00,000/- towards compensation is disproportionate.  Considering the facts and circumstances of the case, this Forum is of the considered view that despite the complainant has paid a sum of Rs.7,000/- towards full and final settlement of credit card No.0004 3175 7502 4260 0904, the opposite parties issued repeated notice has not come forward to cancel the credit card which amounts to harassment and unfair trade practice.  Hence, this Forum is of the considered view that the opposite parties shall pay a sum of Rs.10,000/- towards compensation for mental agony with cost of Rs.5,000/-.

  In the result, this complaint is allowed in part.  The opposite parties 1 & 2 are jointly and severally liable to pay a sum of Rs.10,000/- (Rupees ten thousand  only) towards compensation for mental agony with cost of Rs.5,000/- (Rupees five thousand only) to the complainant.

The aboveamounts shall be payablewithin six weeks from the date of receipt of the copy of this order, failing which, the said amounts shall carry interest at the rate of 9% p.a. to till the date of payment.

Dictated  by the President to the Steno-typist, taken down, transcribed and computerized by her, corrected by the President and pronounced by us in the open Forum on this the 11^th day of July 2018. 

 

MEMBER –I                                                                      PRESIDENT

COMPLAINANT SIDE DOCUMENTS:

Ex.A1	26.06.2006	Copy of notice from the opposite party to the complainant
Ex.A2	03.07.2006	Copy of reply notice from the complainant to the opposite party
Ex.A3	19.07.2005	Copy of receipt for the amount paid by the complainant to the opposite party
Ex.A4	19.01.2006	Copy of receipt for the amount paid by the complainant to the opposite party
Ex.A5	01.08.2006	Copy of Invitation to conciliation by the opposite party’s Counsel
Ex.A6	28.08.2006	Copy of reply notice from the complainant to the opposite party
Ex.A7	03.10.2006	Copy of Invitation to conciliation by the opposite party’s Counsel
Ex.A8	12.02.2007	Copy of reply notice from the complainant to the opposite party
Ex.A9	31.01.2007	Copy of receipt for the amount paid by the complainant to the opposite party
Ex.A10	15.07.2008	Copy of demand notice from the opposite party to the complainant
Ex.A11	29.07.2008	Copy of reply notice by the complaint to the opposite party
Ex.A12	29.07.2008	Copy of notice from the opposite party for urgent payment for overdue of card

 

OPPOSITE  PARTIES SIDE DOCUMENTS:  

Ex.B1		Copy of card holder agreement
Ex.B2		Copy of most important Terms and conditions

 

 

MEMBER –I                                                                      PRESIDENT