IN THE CONSUMER DISPUTES REDRESSAL  COMMISSION, KOLLAM

Dated this the  31^st  Day of  March    2022

  Present: -  Sri. E.M.Muhammed Ibrahim, B.A, LL.M. President

        Smt.S.Sandhya Rani, Bsc, L.L.B,Member

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

                                                    CC.253/2020

Thomas Mathew                                :                   Complainant

S/o T.Mathai

Mulamoottil Andrews Villa,

Mukkoodu,

Mulavana,

Kundara, Kollam-691503.

[By Adv.Saju George& Adv.S.Riyas]

V/s

1.         Popular Traders                                      :                  Opposite parties

Popular Towers, Vakayar P.O

Pathanamthitta

Represented by its Managing Partner

Mr.Thomas Daniel@Roy Daniel.

2.         Mr.Thomas Daniel@ Roy Daniel

Managing Partner

Popular Traders,

Popular Towers, Vakayar P.O

                  Pathanamthitta.

3.          T.Mathunni Panicker

Kaleelil Plavila Raju Bhavan

Ambipoika, Kundara P.O

                  Kollam.

4.         Y.Mathew Panicker

Manager, Popular Traders

Kundara Pallimukku Branch

Kundara, Kollam

Residing at Mathew Bhavan,

Punnamukku, Perumpuzha P.O

                  Kollam.

FINAL    ORDER

Sri. E.M.Muhammed Ibrahim, B.A, LL.M. President

          This is a complaint filed u/s 35 of the Consumer Protection Act 2019.

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

          The complainant is a gulf returning that the 1^st opposite party is a partnership firm having its registered office at Vakayar, Pathanmthitta District and branches at various places including Kundara, Kollam District.  The 2^nd opposite party is the Managing Partner of the 1^st opposite party.  The 3^rd  and 4^th opposite parties are the present Managers of the 1^st opposite party Kundara, Pallimukku Branch and from the very inception till 2019.

          The 4^th opposite party approached the complainant during the year 2002 and introduced himself that he is the Branch manager of the 1^st opposite party at Kundara, Pallimukku branch and that his branch is receiving deposit  from the public.  4^th opposite party assured the complainant that the amount deposited in the 1^st opposite party’s firm is secured and that the deposit amount would fetch a profit share/interest at the rate of 16% p.a.  He further assured that the profit share/interest for the deposit amount shall be given to the depositors on a monthly basis and that on maturity of the said deposits, the deposit amount with balance profit share if any, would be returned to the depositors without any fail.  He had further assured the complainant that the 1^st opposite party is a highly reputed financial institution having several years experience and that the amount deposited is secured and the maturity amount assured is guaranteed.  The 4^th opposite party also assured the complainant that they are ready and willing to return the deposit amount either on its maturity or on demand.  The 4^th opposite party was discharging his duties as the branch manager as per the direction of the 1^st and 2^nd opposite parties.  believing the representation made by the 3^rd and 4^th opposite parties as true and genuine, the complainant had made several deposits before the 1^st opposite party branch at Kundara Pallimukku which was originally at the rate 16% interest p.a.  Subsequently it was renewed at the rate of 14% and finally at 12% p.a.  The interest was paid to the complainant till August 2020.  While so the deposits which were periodically renewed were lastly renewed as per deposit receipts mentioned hereunder.

          The amount with stipulated profit share/interest in respect of the deposits were agreed to be repaid to the complainant by the opposite parties either on its maturity or on demand.  While so the complainant came to understand that the opposite parties committed gross financial irregularities in respect of the deposits made by the complainant and other depositors.  The complainant went to the office of the 1^st opposite party at Kundara, Pallimukku on August 2020 demanding the interest for the entire deposits till date.  Thereupon it was revealed that the Kundara Pallimukku branch of  the 1^st opposite party was closed and 3^rd opposite party was found absconding.  The complainant had enquired about the opposite parties and thereupon it was revealed that the opposite parties had misappropriated the amounts of the depositors including  the complainant and there after they absconded by closing all the branches.  As per the terms of the deposits, the opposite parties are bound to pay the agreed rate of 12% as interest/profit share for the deposit amount of  Rs.17,05,500/- without fail.  Further the opposite parties are legally liable to repay the deposit amount either on its maturity or on demand.  Immediately the complainant had preferred a complaint in respect of the above matter before the SHO, Kundara Police Station.  The police had already started investigation in respect of the complaint made by the complainant and other depositors.  The receipts herein produced is duly signed by the 2^nd and 3^rd opposite parties on behalf of the 1^st opposite party and hence all the opposite parties are jointly, severally and vicariously liable to indemnify the complainant for the deposit  amounts with stipulated profit share/interest.  The complainant is legally entitled to get the amount with agreed profit share/interest mentioned in the deposits and the opposite parties are liable to repay the said amount to the complainant.  The act of the opposite parties amounts to deficiency in service and unfair trade practice.  Due to the act of the opposite parties, the complainant had suffered financial loss, mental agony and hardship which cannot be compensated in terms of money.  The complainant is entitled to get a total deposit amount of Rs.17,05,500/- with agreed profit share/interest till the date of realization as per the deposit receipts.  Further the complainant is also entitled to realize Rs.10,00,000/- as compensation from the opposite parties and they are legally bound and liable to pay the said sum to the complainant.

          Opposite party No.1 to 4 remained exparty after receiving notice.  The complainant filed affidavit by reiterating the averments in the complaint and got marked Ext.P1 to P11 documents.  Ext.P1 to P10 are original receipts indicating the deposits of various amounts ranging from Rs.69000/- up to Rs.900000/- on various dates.  Ext.P11 is a copy of the complaint filed by the complainant against the opposite parties and others before the Kundara  police which would probabilise the case of the complainant  that after receiving deposit of various amounts from the complainant the opposite party has closed the 1^st opposite party institution  and the opposite party is left and absconded.  It is also clear from the available materials that the opposite parties have offered  12% interest/share of profit for the respective amount from the date of deposit.  The complainant is entitled to get back the amount shown in Ext.P1 to P10 receipts along with agreed rate of interest from the date of deposit of the amount till the date of order and thereafter @ 9% per annum.  The unchallenged averments in the complaint coupled with Ext.P1 to P11 documents would establish the case of the complainant.  Therefore the complainant is entitled to get an order as prayed for in the complaint.

          In the result complaint stands allowed directing the opposite parties to return the amount covered by Ext.P1 to P10 receipts along with share of profit/interest @ 12% p.a from the date of deposit till the date of order and thereafter interest @ 9% p.a till the date of  realization.  The complainant is also entitled to get compensation for the mental agony apart from financial loss.  But the compensation claimed is Rs.10,000,00/- which is highly excessive and exorbitant.

          In view of the facts and circumstances available on record we are of the view that the complainant is entitled to receive compensation to the tune of Rs.1,00,000/- from the opposite party No.1 to 4.  Complainant is also entitled to get costs Rs.5000/- from the opposite parties No.1 to 4 and its assets.

Dictated to the Confidential Assistant  Smt. Deepa.S transcribed and typed by her corrected by me and pronounced in the  Open Commission this the   31^st day of  March    2022.

E.M.Muhammed Ibrahim:Sd/-

          S.Sandhya Rani:Sd/-

         Stanly Harold:Sd/-

          Forwarded/by Order

                                                                                Senior Superintendent

INDEX  

Witnesses Examined for the Complainant:-Nil

Documents marked for the  complainant

Ext P1 :  Receipt No.0582927 for Rs.900000/-.

Ext P2:  Receipt No.0593043 for Rs.80000/-

Ext.P3 :  Receipt No.0593041 for Rs.1,86,000/-

Ext.P4:   Receipt No.0593046 for Rs.69000/-

Ext.P5:   Receipt No.0593045 for Rs.69000/-

Ext.P6 :   Receipt No.0593044 for Rs.69000/-.

Ext.P7 :   Receipt No.0593042 for Rs.69000/-

Ext.P8:   Receipt No.0593047 for Rs.1,25,500/-.

Ext.P9  : Receipt No.0593048 for Rs.69000/-.

Ext.P10: Receipt No.0593049 for Rs.69000/-.

Ext.P11: Copy of complaint filed by the complainant against the opposite parties and others before Kundara Police.

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-Nil

E.M.Muhammed Ibrahim:Sd/-

           S.Sandhya Rani:Sd/-

           Stanly Harold:Sd/-

          Forwarded/by Order

           Senior Superintendent