Date of filing : 15.04.2016
Date of transfer: 27.06.2022
Date of order : 20.10.2022
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, VELLORE
PRESENT: THIRU. A. MEENAKSHI SUNDARAM, B.A., B.L. PRESIDENT
THIRU. R. ASGHAR KHAN, B.Sc., B.L. MEMBER – I
SELVI. I. MARIAN RAJAM ANUGRAHA, M.B.A., MEMBER-II
TUESDAY THE 20th DAY OF OCTOBER 2022
CONSUMER COMPLAINANT NO. 70/2022
Mrs. A. Sathiya,
Wife of Anbu,
No. 17-B, 8th Cross Street,
Rajamangalam,
Velivakkam,
Chennai – 49. …Complainant
-Vs-
M/s. Sree Gokulam Chit & Finance Co. (P) Ltd.,
Rep. by Manager,
No. 7, Bhavani Nagar Reetery Junction,
Kolathur,
Chennai – 600 099. …Opposite party
Counsel for complainant : Thiru. A. Edin Brough
Counsel for opposite party : Thiru. L. Rajaseekar
ORDER
THIRU. A. MEENAKSHI SUNDARAM, B.A.,B.L. PRESIDENT
This complaint has been filed Under Section 12 of Consumer Protection Act 1986. The complainant has prayed this Hon’ble Commission to direct the opposite party to return the chit amount of Rs.11,150/- and pay a sum of Rs.10,000/- as compensation for the mental agony and also to pay the cost of this complaint.
1.The case of the complaint is briefly as follows:
The complainant approached the opposite party to join in a chit Group No. G-2 F 3123 on 01.03.2014 bearing Ticket No. T.N.R.05 and the complainant had paying the daily subscribe of chit fund amount from the date of joining to till the date he has paid a sum of Rs.11,150/- as subscription. The complainant further state that the said Chit transaction will be terminated on 01.10.2015. Due to financial crises, the complainant was unable to pay the future subscription and the complainant had approached the opposite party requesting to refund the said amount. She had taken efforts to enormous the get bake his amount from the opposite party. But, all her efforts and attempts in securing the amount become ended in futile. She has not in a position to pay the future subscription in respect of the above said chit. He had requested amount repay the said through phone and also inperson. Even after, informed and appraised. But the opposite party for did not returned, the said paid chit amount till this date. Hence, the complainant is constrained to issue a notice dated 22.08.2015 to the opposite party through registered post with acknowledgement due. Even after the said notice sent, the opposite party has not complied with the request of said notice. Therefore, the complainant had no other option except this complaint.
2. The written version of opposite party is as follows:
The opposite party denies all the averments and allegations raised in the complaint save those that are especially admitted herein and puts the complainant to the strict proof thereof. The complainant was one of the subscribers attached to the Kolathur Branch of the opposite party company. The Manager of the Branch is representing the company in this proceeding. The complainant had enrolled herself as one of the subscribers for the chit group bearing No. G2F Ticket No.227/403 having chit value of Rs.2 Lakhs and the said chit commenced on 01.03.2014 having a termination date of 1.10.2015. The chit is for a period of 20 months and the monthly subscription is Rs.10,000/- right from the day of enrolment in the chit group the complainant did not remit the monthly subscription amount regularly and from January 2014 to 24.02.2014 the complainant had remitted a sum of Rs.10,150/- and on 28.02.2014 a sum of Rs.1000/- was remitted and later the complainant has failed to continue the payment and committed default. The averment in the complaint that the complainant unable to pay the future subscription and had approached the opposite party asking for the refund of the amount paid by the complainant is not correct. The complainant was constrained to issue a letter dated 22.08.2015 asking the opposite party to refund the sum of Rs.10,150/- is not correct. The opposite party says that the complainant is a defaulter subscriber to the chit group and the amount remitted by the complainant was adjusted towards the foreman commission and there is no due whatsoever from the opposite party company to the complainant as evasived under section 21(b) of Chit Funds Act. The chit transaction is governed under the Chit Funds Act, 1982 and the act provides for Arbitration under the provisions of the act and any dispute in respect of the Chit transactions ought to be referred to Arbitration. This complaint is not maintainable before this Hon’ble Commission and the complainant is not a consumer as defined under the Act and there is not any consumer dispute in the facts narrated in the complaint. The above said complaint has been filed vexatiously with a malafide intention to claim compensation from the opposite part. Unless this Hon’ble Commission dismiss the complaint the opposite party would be out into service hardship and loss. Therefore, this Hon’ble Commission may be pleased to dismiss the Complaint in liminie.
3. Proof affidavit of complainant filed, Ex.A1 and Ex.A2 were marked. Proof affidavit of opposite party filed. Documents not filed. Written argument of not filed. Written argument of opposite party filed. Oral argument of complainant side heard.
4.The points that of arises for consideration are:
1. Whether there is any deficiency in service on the part of the opposite
party?
2. Whether the complainant is entitled for relief as claimed in the complaint?
3. To what relief complainant is entitled to?
5. Point Nos. 1 & 2:
The complainant joined chit group conducted by the opposite party and she was regularly paid the subscription till date. She has paid a sum of Rs.11,150/- as a subscription amount with the opposite party. The said chit period of the till 1.10.2015. But due to financial crises, she could not continue to pay the future subscription and she wanted to reserve herself from the aforesaid chit transaction and she has also requested the refund of the amount already paid by way of subscription i.e. amounting Rs.11,150/-. Further, the opposite party some or other reason, did not paid the aforesaid subscription amount. She has approached the opposite party personally and explained position also. Even, then the opposite party did not repay the aforesaid payment. Therefore, she has issued legal notice on 22.08.2015, calling upon the refund of the aforesaid amount. Though the opposite party received the aforesaid legal notice, but does not complied with the contention of the notice. Therefore, the complainant filed this complaint. The opposite party in their written version raising preliminary objection stating that in view of the section 21(b) if there is only dispute. The complainant should have approached for Arbitration. Therefore, this complaint is not maintainable.
In this regard, we refer to the Hon’ble State Commission order reported in
(2004)1SCC 305
The Secretary, Thirumurugan, Co-operative Agriculture Credit Society
(Vs)
M. Lalitha (dead) through LRS and others
held that,
existing of Arbitration clause in agreement is no bar to the entertainment of complaint by the Consumer Commission which is an additional remedy under the Consumer Protection Act the same was followed in National Consumer Disputes Redressal Commission, New Delhi Order dated 18.11.2008.
Further, on going through the Section 42 of the Chit Funds Act 1982, the complainant is entitled to get back is full subscription amount. Therefore, in our consider opinion that there is a deficiency in service on the part of the opposite party. Hence, these Point Nos.1 and 2 are decided in favour of the complainant.
6. POINT NO.3: As we have decided in Point Nos.1 and 2 that there is a deficiency in service on the part of the opposite party. The opposite party is hereby directed to refund of Rs.11,150/- (Rupees Eleven Thousand One Hundred and Fifty only) the chit subscription amount paid by the complainant with interest @ 9% p.a. from the 01.10.2015 to till the date of this order and to pay a sum of Rs.25,000/- (Rupees Twenty Five Thousand only) as compensation for deficiency in service and mental agony and also to pay a sum of Rs.25,000/- (Rupees Twenty Five Thousand only) towards cost to the complainant. Hence, this Point No. 3 is also answered accordingly.
7. In the result, this complaint allowed. The opposite party is hereby directed to refund of Rs.11,150/- (Rupees Eleven Thousand One Hundred and Fifty only) the chit subscription amount paid by the complainant with interest @ 9% p.a. from the 01.10.2015 to till the date of this order and to pay a sum of Rs.25,000/- (Rupees Twenty Five Thousand only) as compensation for deficiency in service and mental agony and also to pay a sum of Rs.25,000/- (Rupees Twenty Five Thousand only) towards cost to the complainant, within one month from the date of receipt of this order, failing which the above amounts shall carry interest at the rate of 9% per annum from the date of this order to till the date of realization.
Dictated to the steno-typist transcribed and typed by her corrected and pronounced by us in the open Commission on this the 20th October 2022.
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MEMBER-I MEMBER – II PRESIDENT
LIST OF COMPLAINANT SIDE DOCUMENTS:
Ex.A1 - Pass book of details of Chit and paid daily subscription
Ex.A2-22.08.2015 - Copy of notice sent by complainant to the opposite party
LIST OF OPPOSITE PARTY SIDE DOCUMENTS: -NIL-
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MEMBER-I MEMBER – II PRESIDENT
