IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KOLLAM

DATED THIS THE   23^rd  DAY OF JULY 2022

Present: -        Smt.S.Sandhya   Rani. Bsc, LLB ,Member(President In Charge)

            Sri.Stanly Harold, B.A.LLB, Member

    CC.No.425/2020

Aneesh V.T., 34 years,

S/o Thulaseedharan Pillai B.,

Kothamangalathu Valiya Veedu,

Naduvilakkara, Thevalakkara,

Kollam 690 524.

(By Adv.M.K.Sankaranarayana Pillai)                                          :           Complainant

V/s                                                                                                      

1. Popular Dealers/Finance/

My Popular Marine Products LLP

Popular Towers, Vakayar, Konni,

Pathanamthitta 689 698,

Rep.by its Managing Partner Thomas Daniel,

Indikattil House, Popular Towers,

Vakayar, Konni,Pathanamthitta 689 698.

2. Thomas Daniel,

The Managing Partner,

Popular Dealers/Finance

Indikattil House, Popular Towers, Vakayar,

Konni, Pathanamthitta 689 698.

3. Prabha Thomas,

W/o Thomas Daniel,

Partner,  

Popular Dealers/Finance

Indikattil House, Popular Towers, Vakayar,

Konni, Pathanamthitta 689 698.

4. Rinu Mariam Thomas,

D/o Thomas Daniel,

Partner, 

Popular Dealers/Finance

Indikattil House, Popular Towers, Vakayar,

Konni, Pathanamthitta 689 698.                                     :          Opposite parties

5. Reba Mary Thomas,

D/o Thomas Daniel,Partner,

Popular Dealers/Finance

Indikattil House,  Popular Towers, Vakayar,

Konni, Pathanamthitta 689 698.

6. Riya Mary Thomas,

D/o Thomas Daniel,

Partner, Popular Dealers/Finance

Indikattil House, Popular Towers, Vakayar,

Konni, Pathanamthitta 689 698.

7. The Branch Manager,

Popular Finance/Dealers/

My Popular Marine Products LLP,

Thevalakkara Branch, Thevalakkara

     Kollam.

ORDER

Sri.Stanly Harold, B.A.LLB, Member

            This is a case based on a complaint filed U/s 35 of the Consumer Protection Act 1919.

            The averments in the complaint in short are as follows:-

            The complainant is a NRI originally belonging to above mentioned address.  The 2^nd   opposite party is the Managing Partner of the 1^st opposite party.  The opposite parties 3 to 6 are the wife and children of the 2^nd opposite party and the 7^th opposite party is the Branch Manager of the 1^st opposite party.  The opposite parties 2 to 6 themselves claim to be the partners of business firms in the name and style as Popular Finance and its sister concerns are Popular Traders, Popular Dealers My Popular Marine Products, LLP, popular exports etc.  The profile published in the website claimed that POPULAR FINANCE us a successfully functioning Gold Loan firm established in 1965, by founder chairman T.K.Daniel having the registered office at Vakayar, Pathanamthitta district and is a present group of various business concerns and the entire sister concerns support the parent organization by sought of returning profits regularly and without any break.  The sudden spread  and development of the business firms of the opposite parties achieved public attention and confidence in them to a large extent.  They have opened the branch office at Thevalakkara branch, Kollam and with a cunning intention deputed a person as its branch Manager who is the 7^th opposite party who had high return as willing in the society.  The layman trusted the opposite parties and had entrusted their savings earned by hard work by spending their blood and sweat deposited in the said branch of opposite party.  The complainant also get attracted with regard to the vide publicity through newspaper, electronic media, social media and on direct canvassing with the aid of the agents and the officials of the opposite party they made a strong believe that the opposite parties are reliable and trust worthy private financiers and they are authorized and competent to receive deposits and would return the deposited amount with interest as a when required.  On perusal of the receipt issued by the Popular Finance in the name of Popular Dealers revealed that it is a deposit certificate issued by Popular Dealers.  Opposite parties received the cash as fixed deposit in popular finance.  But without the consent or knowledge opposite parties have convert the money of the complainant as the deposit certificate of a paper firm that is popular dealers.  It is purely unfair trade practice and cheating towards the complainant.  Details of the acknowledgement of the liability in the form of receipt are shown below.

On 26.06.2020 the complainant has approached the 7^th opposite party for withdrawal of the above said amount, but 7^th opposite party was not ready to refund the amount and replied that the amount will be refunded shortly.  Slowly the complainant realized that the financial institutions run by the opposite parties are being closed and customers started preferring petitions to the police and thereafter the police registering cases against the opposite parties and the opposite parties absconded with an intention to flee away to foreign countries.  The police had arrested all the opposite parties and investigation is going on to search and find the huge amounts received and diverted by the opposite parties.  Thereafter the complainant is convinced that the opposite parties were engaged in unfair trade practices and were fraudulent to conduct financial business without proper license or permission from RBI.  The opposite parties cheated the customers who trusted and believed them.  Opposite party deliberately deposited on false promises and forging documents in the name of paper firms.  They have forged and fabricated documents and misappropriated the amount entrusted to them so as to cause unlawful loss to the complaint and unlawful gain to the opposite parties.  There is deficiency in service on the part of the opposite parties as private financiers and the opposite parties failed to comply their service by undertaking and promise to repay the amount with agreed rate of interest.  It is pertinent to note that opposite parties are offered an interest as per the agreement @ 12% until May 2020.  Thereafter they have not paid interest and a total amount due inclusive of interest since May 2020 is Rs.5,25,000/-.  The complainant is also entitled to get the promised rate of interest on the whole amount @ 12% per annum from its date of deposit.  The complainant even before expiry of the respective period shown in the receipt desired to get back the promised amount but the opposite parties was deferred on lame excuses, in spite of repeated contacts and demands by the complainant to the opposite parties in person requested to refund the entire deposit amount by closing the account even prematurely, but the opposite parties were not amenable to return the amount.  Hence the loss and injury caused to the complainant can never be equated.  Hence the complaint.

Notice issued from the Commission returned unserved.  Though notice was  published in  Indian Express Daily and produced a copy of paper publication on that day the opposite parties No.1 to 7 were called absent and set exparte.

Complainant filed proof affidavit by reiterating the averments in the complaint and got marked Ext.A1 document and advanced argument.

Heard the counsel for the complainant per used the records.

The unchallenged averments in the affidavit coupled with Ext.A1 document would establish prima facie that the complainant has deposited Rs.5,25,000/- with the opposite parties 28.06.2019 and is entitled to get the amount along with agreed share of profit with date of effect on that deposit.

The complainant has sworn the complaint as well as in the proof affidavit that he has not drawn interest/ share or profit of the amount got accumulated.  In the circumstances we are of the view that the complainant is entitled to get the amount as per the receipt along with the agreed rate of share of profit with the date of effect of that deposit contribution.

It is crystal clear from the available materials that the complainant has sustained serious mental agony along with a huge financial loss due to the nonpayment of the amount deposited or contributed with agreed share of profit.  So it can be safely agreed with there is deficiency in service and unfair trade practice on the part of the opposite parties and complainant is also entitled to get reasonable compensation for mental agony. 

            In the result complaint stands allowed in the following terms.

1. Directing the opposite parties No.1 to 7 to return the amount covered by Ext.A1 document Rs.5,25,000/- with agreed share of profit at 12% per annum from the date of deposit/contribution till the date of order thereafter the interest of 9% till the date of realization.
2. Opposite parties 1 to 7 are further directed to pay compensation to an amount of Rs.25,000/- and also opposite parties No.1 to 7 are directed to pay Rs.10,000/- with the opposite parties failing to comply with the above direction within 45 days from the date the order.
3. The complainant is entitled to recover the amount covered by relief No.1 to 3 from the opposite parties No.1 to 7 jointly and severally and from their assets.

Dictated to the Confidential Assistant  Smt. Minimol S. transcribed and typed by her corrected by me and pronounced in the  Open Commission this the 23^rd day of  July 2022. 

                                                                                                                 STANLY HAROLD:Sd/-

                                                                                                                     S.SANDHYA RANI:Sd/-

                                                                                                                                                                                        (President I/c)

Forwarded/by Order

                                                                                       Senior superintendent

INDEX

Witnesses Examined for the Complainant:-Nil

Documents marked for the  complainant

Ext.A1            : Original bank receipt

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-Nil