IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KOLLAM

DATED THIS THE    31^st  DAY OF JANUARY 2023

Present: -    Smt.S.Sandhya   Rani. Bsc, LLB ,President(I/C)

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

CC.No.128/2022

Mathai Y.,

Punnavila Kizhakkathil

Ambipoika, Kollam691501.                               :        Complainant      

(By Adv.P.Sajeev Babu)

V/s

1. Popular Traders

        Thomas Daniel, Managing Partner,

             Regd.Office Popular Tower,

      Vakayar P.O., Konni,

       Pathanamthitta 689 698                          :          Opposite Parties

2. Y.Mathew Panicker,

             Former Branch Manager

             Mary Rani Trading LLP

            Kundara, Residing at Maliyekkal Mathew Bhavan,

           Punnamukku, Perumpuzha P.O.,

3. T.Mathunni Panicker,

        Branch Manager, Mary Rani Trading LLP

             Kundara residing at Plavila Thekkathil

        Raju Nivas Ambipoika                                                

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 2019.

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

The 1^st opposite party is the Managing Partner of the financial institution with name and style Popular Traders.  2^nd opposite party is the former Manager and 3^rd opposite party is the present manager of Kundara Branch of the 1^st opposite party.  The 1^st opposite party has advertisement through  in medias  and newspaper dailies and other publications that the 1^st opposite party is offering interest @12% per annum to those who have made deposit in the 1^st opposite party financial institution for any particular period with the liberty to withdraw the accrued interest in each and every month or annually or on the maturity period, by the depositors.  The 2^nd and 3^rd opposite parties  have also personally approached the complainant and made believe the complainant that if the complainant deposits sum of money as fixed deposits in the opposite parties financial institution as fixed deposit for a particular period the opposite party would pay interest @ 12% to withdraw the accrued interest along with the fixed deposits at the time of maturity.  Believing the representation made by the opposite parties 3^rd and 4^th opposite parties true and genuine.  The complainant has deposited 5 fixed deposits on various dates before the 1^st opposite party financial institution the 1^st and 2^nd opposite parties signed and issued fixed deposit receipts.  As soon as the complainant made the fixed deposits before the opposite parties the complainant would become the consumer of the opposite parties.

On 20.10.2020 complainant came to know that the opposite parties are not returning back the fixed deposit amount and regular monthly interest to the subscribers as done in the previous years.  While so the complainant get the knowledge that the opposite parties have  committed gross financial irregularities in respect of the deposits made by the complainant and other depositors.   The complainant made several demands to the opposite parties to pay the arrears of interest and also to return the principal fixed deposit amount.  After a mediation the opposite parties assured that the entire amount along with interest will be dispersed within 30.06.2021.  Complainant went to the office of the 1^st opposite party at Kundara demanding the deposit amount.  Therefore it was revealed that the branch office at Kundara was closed and 2^nd and 3^rd opposite parties found

absconding.  The complainant had enquired about the opposite parties and thereupon it was revealed  that the opposite parties have misappropriated the amounts of the depositors  including the complainant and thereafter they absconded by closing all the branches.  The opposite parties are bound to pay the agreed rate of 12% as interest profit share for the deposit amount for 5,00,000/- as per the terms of the deposit without fail.  The complainant had convinced that the opposite parties were engaged in unfair trade practice and were fraudulently contacted financial business without proper license were permission from RBI.  The opposite parties were deliberately misleaded the public that the false claims and they were deliberate to cheat customers who trusted them.  They have deliberately received deposits false promises and forging  documents in the name of firms.  They have forged and fabricated documents and misappropriated the amount interested to them so as to cause unlawful loss to the complainant and unlawful gain to the opposite parties.  Hence the complaint. 

As notice issued from this Commission was returned unserved paper publication was effected against the opposite parties.  But the opposite parties failed to appear and accordingly they were set exparte.  Complainant filed proof affidavit in lieu of examination in chief by reiterating the averments in the complaint and got marked Exts.A1 to A6 documents.

Heard the counsel for the complainant and perused the records.  Ext.A1 is the photocopy of the advertisement.  Ext.A2 is the original fixed deposit receipt No.0568235.  Ext.A3 is the original fixed deposit receipt No.0575983.  Ext.A4 is the original fixed deposit receipt No.05882808.  Ext.A5 is the original fixed deposit receipt No.0593034.  Ext.A6 is the original fixed deposit receipt No. 0593035. 

The unchallenged averments in the affidavit coupled with Exts.A1 to A6 documents would establish that the complainant has the deposited 5 deposits in his name before the 1^st opposite party on various dates.  It is also made clear from the available records the opposite parties have misappropriated the entire amount deposited by the customers including the complainant and thereafter closed the branch office and absconded without repay the amount deposited or its share of profit to the depositors.  Hence there is deficiency in service and unfair trade practice on the part of the opposite parties.  In the circumstances the complainant is entitled to get an order directing the opposite party to pay Rs.5,00,000/-deposit along with the offered share of profit shown in Ext.A2 to A6 receipts from the date of receipt of the amount till the date of order and thereafter interest @ 12% per annum till the date of payment.

          In the result the complaint stands allowed in the following terms:-

1. The opposite parties 1 to 4 are directed to return the amount covered by Ext.A2 to A6 fixed deposit receipts to the complainant along with agreed share of profit /interest from 20.10.2020

2. The opposite parties are also directed to pay compensation of  Rs.10,000/- and costs Rs.5,000/- to the complainant.

3. Opposite parties are directed to comply with the above directions within 45 days from today failing which the complainant is at liberty to recover the same from the opposite parties No.1 to 3 jointly and severally and from their assets both movable and immovable.

Dictated to the Confidential Assistant  Smt. Minimol S. transcribed and typed by her corrected by me and pronounced in the  Open Commission this the   31^st  day of  January 2023.

                                                               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                        : photocopy of the advertisement

Ext.A2                        : The original fixed deposit receipt No.0568235.

Ext.A3                        : The original fixed deposit receipt No.0575983

Ext.A4                        : The original fixed deposit receipt No.05882808

Ext.A5                        : The original fixed deposit receipt No.0593034

Ext.A6                        : The original fixed deposit receipt No. 0593035. 

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-Nil