BEFORE THE DISTRICT CONSUMER FORUM AT NALGONDA
PRESENT: SRI MAMIDI CHRISTOPHER,
PRESIDENT.
SMT.S.SANDHYA RANI,
FEMALE MEMBER.
. . .
THURSDAY, THE NINETEENTH DAY OF DECEMBER, 2019
CONSUMER COMPLAINT No. 56 OF 2019
Between:
Jaheda Begum W/o Patan Jameel Khan, Aged: 50 years,
Occ: Employee, R/o H.No.6-2264, Sri Nagar Colony,
Near: NG College, Nalgonda Town and District.
…COMPLAINANT.
]
AND
Nanesh Finance Corporation, Automobile Financiers, G-7,
Upper Ground Floor, Maheshwari Chambers, 6-3-650,
Somajiguda, Beside: Medinova, Hyderabad-500 082.
…OPPOSITE PARTY.
This complaint coming on before us for final hearing, in the presence of Sri P.Shyam Sundar, Advocate for the Complainant, and the Opposite Party having been called absent, and on perusing the material papers on record, and having stood over for consideration till this day, the Forum passed the following:
ORDER OF THE FORUM DELIVERED
BY SRI MAMIDI CHRISTOPHER, PRESIDENT
1. The Complainant filed this complaint Under Section 12 of Consumer Protection Act, 1986 to direct the Opposite Party to an amount of Rs.10,00,000/- towards compensation with interest and costs.
2. The facts of the case as disclosed from the complaint are as follows:
The Complainant had purchased a Honda City car bearing No.AP-28DC-1294. The cost of the said car being more than Rs.7,00,000/-, the Complainant took financial assistance from the Opposite Party which provided a loan of Rs.3,00,000/- to the Complainant. The
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Complainant agreed to pay the loan in 30 equal installments. The Complainant paid Rs.3,19,002/- in 20 installments till 21/04/2017 and still a balance of Rs.1,59,498/- is due to the Opposite Party. The Complainant was unable to pay the balance amount in time and due to the default of the payment, the Opposite Party seized the said car in the month of November, 2017. The Complainant approached the Opposite Party in the month of January, 2018, that she is ready to pay the balance amount to the Opposite Party, but the Opposite Party gave evasive replies, stating that the car was already sold out to the third parties, without giving any notice to the Complainant. The Opposite Party without feeling any responsibility thrown the blame on one or other employees. The Complainant issued a legal notice through her counsel Sri V.Sathyanarayana Pillai, calling the Opposite Party to receive the balance amount and handover the car or settle the issue within a week from the date of receipt of the legal notice, but the Opposite Party neither gave any reply nor settled the issue. The Opposite Party without informing nor following due procedure of law, sold the car which against the law. The Opposite Party informed that the Complainant had to pay Rs.5,000/- which is pending, after all sale proceedings. The Complainant found that her car was kept on online sites for cheaper price as the Registration Certificate still stands in the name of the Complainant as on the date of filing of this complaint. The Opposite Party misrepresented and gave wrong information that the car was already sold, even when the Complainant is ready to pay the car loan dues. The Complainant approached the seller of the car under OLX site and found that the car reading was tampered from 90,000 kms. to 88,000 kms. and the parts of the car also changed and the Opposite Party trying to sell the car for just Rs.4,50,000/- to
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Rs.4,90,000/-. As such, the Complainant was harassed mentally and physically due to the acts of the Opposite Party. As such, the Complainant filed this complaint claiming compensation of Rs.10,00,000/- from the Opposite Party.
3. The Complainant filed her proof affidavit and marked Exs.A-1 to A-10.
4. In spite of receiving the notice, the Opposite Party failed to appear before this Forum and was called absent.
5. The points for consideration are:
1) Whether there was deficiency of service on the part of the
Opposite Party?
2) Whether the Complainant is entitled for the reliefs prayed for?
3) To what extent?
6. POINT No.1:
The Complainant had purchased a Honda City car bearing No.AP-28DC-1294 by taking a loan of Rs.3,00,000/- from the Opposite Party which and agreed to pay the loan amount in 30 equal installments. The Complainant paid Rs.3,19,002/- in 20 installments till 21/04/2017 and still a balance of Rs.1,59,498/- is due to the Opposite Party. The Complainant was unable to pay the balance amount in time and due to the default of the payment, the Opposite Party seized the said car in the month of November, 2017. The Complainant approached the Opposite Party in the month of January, 2018 and informed that she is ready to pay the balance amount, but the Opposite Party informed that the car was already sold out to the third parties. The Complainant issued a legal notice through her counsel calling the Opposite Party to receive the balance amount and handover the car or settle the issue within a week, but the Opposite Party neither gave any
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reply nor settled the issue. The Opposite Party without giving any notice to the Complainant sold the car which against the law. The Complainant found that her car was kept on online sites for cheaper price even though the Registration Certificate still stands in her name. The Opposite Party misrepresented and gave wrong information that the car was already sold, even when the Complainant is ready to pay the car loan dues. Due to the acts of the Opposite Party, the Complainant suffered mental and physical agony. As the Opposite Party failed to take the balance amount from the Complainant in spite of her request and as the Opposite Party had seized the car of the Complainant without giving any notice to the Complainant, we feel that there is deficiency in service on the part of the Opposite Party.
7. POINT Nos.2 & 3:
The car purchased by the Complainant costs more than Rs.7,00,000/- and the Complainant paid 20 installments, as per Ex.A-6 and the Opposite Party received an amount of Rs.3,19,002/- as on 21/04/2017 and there is an amount of Rs.1,59,498/- due to be paid to the Opposite Party. The Complainant has not purposefully defaulted the payment and was ready to pay the balance amount, but the Opposite Party did not consider the request of the Complainant and on the other hand he tried to sell the car in OLX site for lesser price. Due to the acts of the Opposite Party, the Complainant suffered mentally and physically.
8. In a decision reported in IV (2019) CPJ 570 (NC), the Hon’ble National Commission observed that in case of default in payment of installment, vehicle could have been repossessed by the Respondent only after following due process of law required for this purpose and
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forcible seizure without notice giving opportunity to pay the dues before selling the vehicle constitutes grave deficiency on the part of the Respondent in rendering services to the Complainant, and award compensation of Rs.3,00,000/- towards compensation. In the present case also, the Opposite Party did not follow the due process of law and did not give any notice to the Complainant before selling her car.
9. In view of the above observations of the Hon’ble National Commission and in the light of our findings under Point No.1, we are of the opinion that the Opposite Party is liable to pay an amount of Rs.3,19,002/- which the Complainant paid him towards 20 installments with interest @ 9% p.a. from the date of the complaint till realization, Rs.20,000/- towards compensation for causing mental agony an Rs.2,000/- towards costs.
In the result, the Opposite Party is directed to deposit in this Forum, a sum of Rs.3,19,002/- (Rupees Three Lakhs and Nineteen Thousand and Two only) towards 20 installments paid by the Complainant for purchase of Honda City Car bearing No.AP-28DC-1294 with interest at the rate of 9% p.a. from the date of the complaint, i.e. 18/09/2019 till realization and a sum Rs.20,000/- (Rupees Twenty Thousand only) towards compensation for deficiency of services and causing mental agony and a sum of Rs.2,000/- (Rupees Two Thousand only) towards costs. Time for compliance one month from the date of receipt of this order. Accordingly the complaint is partly allowed.
Dictated to Steno-Typist, transcribed by him, corrected and pronounced by us in the open Forum on this 19th day of December, 2019.
FEMALE MEMBER PRESIDENT
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APPENDIX OF EVIDENCE
WITNESSES EXAMINED
For Complainant: For Opposite Party:
Affidavit of the Complainant. None.
EXHIBITS MARKED
For Complainant:
Ex.A-1: Dt.12/08/2015 Xerox copy of Purchase Agreement.
Ex.A-2: Xerox copy of receipt issued by the
Opposite Party.
Ex.A-3 Dt.14/10/2015 Xerox copy of Receipt for Rs.15,950/-,
issued by the Opposite Party.
Ex.A-4 Dt.14/02/2017 Xerox copy of RTGS/NEFT Receipt,
issued by State Bank of India.
Ex.A-5 Dt.30/05/2009 Xerox copy of Registration Certificate
and Insurance Details of the Car
bearing No.AP-28DC-1294.
Ex.A-6 Dt.03/01/2018 Xerox copy of Settlement Statement.
Ex.A-7 Dt.24/08/2015 Xerox copy of letter issued by the
Opposite Party to the Complainant.
Ex.A-8 Dt.10/06/2019 Postal Receipt.
Ex.A-9 Postal Acknowledgement.
Ex.A-10 Dt.10/06/2019 O/c of Legal notice issued by the counsel
for the Complainant to the Opposite Party.
For Opposite Party:
Nil.
PRESIDENT
DISTRICT CONSUMER FORUM
NALGONDA
