Haryana

Yamunanagar

CC/60/2011

Rajesh kalra s/o Madan Lal kalra, - Complainant(s)

Versus

Oriental Bank of Commerce - Opp.Party(s)

Ajaydeep Singh

02 Feb 2017

ORDER

BEFORE THE DISTT.CONSUMER DISPUTES REDRESSAL FORUM YAMUNA NAGAR JAGADHRI

 

                                                                                                Complaint No. 60 of 2011.

                                                                                                Date of Instt. 25.01.2011

                                                                                                Date of Decision:02.02.2017.

 

Rajesh Kalra aged about 32 years son of Madan Lal Kalra, Resident of C/2, 1170 Mahavir Colony, Hanuman Gate, Jagadhri, Tehsil Jagadhri, District Yamuna Nagar.

                                                                                                            ..Complainant

     Versus

1. Oriental Bank of Commerce, through its Branch Manager, Branch Jagadhri, District Yamuna Nagar.
2. Oriental Bank of Commerce, through its Director, E Block, Cannaught Place, New Delhi.
3. Oriental Bank of Commerce, through its Manager, Regional Office, Karnal   ( Haryana).   

 

                ..Respondents

 

BEFORE:         SH. ASHOK KUMAR GARG …………….    PRESIDENT

                         SH. S.C. SHARMA  …………………………MEMBER

           

Present:      Sh. Ajaydeep Singh, Advocate, counsel for complainant. 

                    Sh. Rajiv Gupta, Advocate, counsel for respondents.

ORDER (Ashok Kumar Garg, President).

1.                       Complainant has filed the present complaint Under Section 12 of the Consumer Protection Act, 1986.

2.                      Brief facts of the present complaint, as alleged by the complainant, are that complainant is maintaining his saving bank account bearing No. 05522010004270 with the respondent No.1 (hereinafter respondents will be referred as OPs) since the last 2-3 years. Some time back in the month of June, 2010 the complainant received a call-cum-intimation from the OP No.1 that some debit entries had been taken place from the saving account of the complainant without his consent and further the Op No.1 Bank informed to complainant that due to this reason they are freezing the account of the complainant till the investigation is not over. Even, the OP No.1 instructed the complainant not to issue any cheque from his saving account in the Oriental Bank of Commerce, Jagadhri Branch. Upon this, the complainant made an enquiry regarding this, he was very much shocked to know that an amount of Rs. 51000/- was transferred from the account of the complainant on dated 21.06.2010 through Internet Banking whereas the complainant was totally unaware regarding the transactions. On 24.06.2010, when the complainant approached to the Op No.1 Bank, then he came to know that some fraudulent transactions were made from the complainants account without his knowledge and consent which is totally due to the deficiency in service on the part of the Ops Bank. Thereafter, the complainant requested the OPs Bank to refund the amount of Rs. 51,000/- which was withdrawn without his consent but the official of the OPs Bank firstly lingered on the matter on one pretext or the other and lastly refused to repay the amount of the complainant. A legal notice dated 18.12.2010 was also served upon the OP No.1 to repay the amount of Rs. 51,000/- alongwith interest and other losses suffered by complainant but the OP No.1 did not bother to reply the same. Hence, this complaint.

3.                     Upon notice, OPs appeared and filed its written statement jointly by taking some preliminary objections such as complaint is not maintainable; complainant has not come to this Forum with clean hands. The true facts are that complainant is account holder of OP No.1 Bank under account No. 05522010004270 and enjoying internet banking services with both the facilities  of view and funds transfer. The Net Banking facility can only be undertaken when the user has valid user ID and also valid Login and Transaction password. The Op Bank has implemented strong security measures in the Net Banking System whereby it is ensured that all the data from customer’s system to Net Banking server and vice-a-versa is transferred in encrypted manner. In case of funds transfer through internet banking, the transactions can be undertaken through the following two steps.

i)          After logging in to the Internet Banking site of the Bank through the enquiry password stored in the server in encrypted form, a defined by the customer himself and

ii)         Inputting the transaction password which is also stored in the server in encrypted form, as defined by the customer himself.

As such, the transactions through internet banking are facilitated only after inputting of valid passwords by the customer who only has the custody of these passwords. Without the customer compromising and sharing knowingly or unknowingly his confidential details such as User ID Login and Transaction Password, transfer of funds from his account cannot  happen.  However, customer has not followed our advises sent from time to time for ensuring confidentiality of his Login ID and Login and transaction password for the safety and security of transactions through Net Banking. As per record of the OP No.1 Bank, the transaction through Net Banking in the account of the complainant have been done using valid Net Banking Credentials.

4.                     On 24.06.2010 an e.mail was received by the Mumbai Branch of the Op Bank from D.I.T. Department Head Office, New Delhi of the Op Bank that two suspicious transfers amounting to Rs. 51,000/- has been taken place through Internet Banking application using the complainant’s valid uses ID and password on 21.06.2010 from the account of complainant i.e. Rs. 26,000/- at 9.28:15 hours and Rs. 25,000/- on 21.53:11 hours from the account No. 05522010004270 of the complainant and the Mumbai Office of the bank lodged two complaints with the police on dated 24.05.2010 and 25.06.2010 in respect of the abovesaid transactions against Sh. Ajay S. Yadav and Ashish. R. Shah. On receipt of the intimation of the suspicious transactions and the complaint from the complainant about the said suspicious transactions, the same was duly attended and prompt action was taken by the Bank and the complainant was also duly informed and replied to his quarries vide letter of bank dated 24.06.2010, 04.08.2010 and 14.12.210 and the complainant was requested to provide the bank details of circumstances under which he had discussed his Net Banking Credentials Like Login ID, Login Password and Transaction Password. It has been further mentioned that complainant had also filed a complaint before Banking Ombudsman but the same was dismissed. On merit, contents of the complaint were denied and reiterated the stand taken in the preliminary objections and lastly prayed for dismissal of complaint as there was no negligence or deficiency in service on the part of OP Bank.

5.                     In support of the case, counsel for the complainant tendered into evidence affidavit of complainant as Annexure CX and documents such as Photo copy of registered AD Legal Notice dated 18.12.2010 as Annexure C-1, Photo copy of acknowledgement and postal receipts as Annexure C-2 and C-3, Photo copy of letter from Sahara Security and Manpower Service as Annexure C-4, Photo copy of complaint made to the police Mumbai by the Op Bank dated 25.06.2010 and 24.06.2010 as Annexure C-5and C-6, Photo copy of order of Ombudsman dated 20.09.2010 as Annexure C-7, Photo copy of complaint made to the Ombudsman dated 01.09.2010 as Annexure C-8, Photo copy of complaint made to Op Bank by the complainant on 26.06.2010 as Annexure C-9 and closed the evidence on behalf of complainant.

6.                     On the other hand, counsel for the OPs tendered into evidence affidavit of Sh. V.K.Arora, Branch Manager, Principal Officer, OBC as Annexure RW/A and documents such as Photo copy complaint dated 26.06.2010 as Annexure R-1, Photo copy of Intimation letter dated 24.06.2010 to the complainant as Annexure R-2, Photo copy of complaints made to the police by the Op Bank as Annexure R-3 and R-4, Photo copy of e.mail sent by OBC Bank dated 04.08.2010 as Annexure R-5, Photo copy of order of Ombudsman as Annexure R-6 and R-7, Photo copy of complaint made to Ombudsman as Annexure R-8, Photo copy of e.mail as Annexure R-9, Photo copy of Information under RTI Act as Annexure R-10 and closed the evidence on behalf of OPs.

7.                     It is not disputed that complainant is having a saving bank account bearing No. 05522010004270 with the OP No.1 Bank and using the facility of Internet Banking Services with both the facilities of view and funds transfer.  It is also not disputed that the Net Banking facility can only be undertaken when the user has valid user ID and also valid Login and Transaction password but in the present case it is admitted case of the OPs Bank that OPs Bank itself informed the complainant that OPs Bank has received an e.mail on 24.06.2010 from the Mumbai Branch of the Ops Bank from D.I.T. Department Head Office New Delhi that two suspicious transfers amounting to Rs. 51000/- i.e. Rs. 26,000/- and Rs. 25,000/- has taken place through Internet Banking Application Using the complainant’s valid user ID and Password on 21.06.2010 from the account of the complainant bearing No. 05522010004270. It is also admitted case of the Ops Bank that Ops Bank itself lodged two complaints with the police on 24.05.2010 and 25.06.2010 in respect of the above two transactions against one Sh. Ajay S.Yadav and Ashish. R. Shah. Meaning thereby that Ops Bank had taken criminal action against the culprits much prior to intimation to the complainant as the OP Bank has lodged his complaint with police on 24.05.2010 whereas the complainant was informed after getting the e.mail on 25.06.2010 which is evident from Annexures C-5 & C-6. When the Op Bank was having knowledge in respect of fraud committed by the alleged culprits Ajay S. Yada and Ashish. R. Shah then why the Op Bank has not taken steps to secure the accounts of the account holders of their bank. On the one hand, Op Bank is claiming that Op Bank has implemented strong security measures in the Net Banking System whereby it is ensured that all the data from the system computer system to Net Banking Server and vice-a-versa is transferred in encrypted manner. On the other hand, Op Bank itself has admitted that two culprits namely Ajay S.Yadav and Ashish. R.Shah made the fraudulent transactions from the account holders of the Op Bank and OP Bank itself has lodged the police cases which is duly evident from copy of complaint made to the police Mumbai by the Op Bank dated 25.06.2010 and 24.06.2010 Annexure C-5 and C-6/ R-4 and R-5. Meaning thereby that the Net Banking System of the OP Bank was faulted one due to which some fraudulent transactions were taken place by the culprits. It is not the case of the Op Bank that there was any lapses on the part of the complainant as from the written statement by the OP Bank it is clear that fraudulent transactions were made from the other accounts also not only from the account of complainant. When there was no fault on the part of the complainant then how the complainant can be held responsible for the fraudulent transactions. As such, we have no option except to allow the complaint of complainant.

8.                     Resultantly, we partly allow the complaint of complainant and direct the OPs to credit the amount of Rs. 51,000/- alongwith interest at the rate of 7% per annum from the date of filing of complaint till its realization in the account of complainant. Order be complied within a period of 30 days after preparation of copy of this order failing which complainant shall be entitled to invoke the jurisdiction of this Forum as per law. Copies of this order be sent to the parties concerned free of costs as per rules. File be consigned to the record room after due compliance.

Announced in open court.02.02.2017

                                    (S.C.SHARMA)                                    ( ASHOK KUMAR GARG)

                                     MEMBER                                             PRESIDENT