IN THE CONSUMER DISPUTES REDRESSAL FORUM, ALAPPUZHA
Saturday the 30th day of April, 2011
Filed on 25.11.2009
Present
- Sri. Jimmy Korah (President)
- Sri. K. Anirudhan (Member)
- Smt. Shajitha Beevi (Member)
in
C.C.No. 397/09
between
Complainant:- Opposite Parties:-
1. Smt. Geetha Navin 1. Providence Chitty Fund
Eriyam Parambath Eramalloor.P.O., Cherthala.
Eramalloor P.O.
2. Providence Finance
2. Navin Kumar Eramalloor P.O., Cherthala
-do- -do-
3. Smt. Joys Antony
Nalampurackal House, Thuravoor
P.O., Cherthala
4. Smt. Kathreena Augustine
-do-
5. Sri.Varghese Antony
-do-
6. Sri.Wilson Antony
-do-
7. Sri.Sibi Augustine
-do-
8. Sri.Saji Augustine,
-do-
9. Sri. Sojan Augustine
-do-
10. Smt.Sony
-do-
(By Adv. Priyadarsan Thampi – Opposite
Parties 4 and 7 to 10)
O R D E R
SRI. K. ANIRUDHAN (MEMBER)
Smt. Geetha Navin, Sri.Navin Kumar have jointly filed this complaint before the Forum alleging deficiency in service on the side of the opposite parties. The main allegations are as follows:- The opposite parties were engaged in the business of financial dealings by name and style M/s. Providence Chitty Fund, and M/s. Providence Finance at Eramalloor, which is administered in giving money on the security of Gold and Land. They are also engaged in the business of accepting deposits from local people by offering attractive interest and the business of chit. On their assurance, they had deposited a total sum of Rs.65,262/- before the said firm from 21.07.2004 to 3.10.2008 to M/s. Providence Finance and remitted a total sum of Rs.22,500/- by way of chit vide A/c No.67/04 – chital No.56 and 110 – No.225 and 223. At the time of accepting deposits the opposite parties issued pass book to them after sealed and signed for the said deposit and remittance. While so one of the partner Sri.Varghese Augustine expired on 23.02.2008 and after that the legal heirs of the said Varghese Augustine are administered the firm. Since the opposite parties defaulted the repayment of the total said amounts, they had requested the opposite parties to return the amounts with interest. But the opposite parties have not turned up. The opposite parties had abanded the business from 09.12.2008 onwards and closed the firm. They, along with other depositors, had enquired about the said promoters. But it was learnt that the opposite parties were absconded. They have not obtained any relief from the opposite parties regarding the payment. Hence this complaint.
2. Notices were issued to the opposite parties. Opposite parties 4 and 5, 6, 7 to 10 have entered appearance before this Forum and filed version. Other opposite parties are set exparte.
3. In the version filed by the opposite parties 4 and 6th opposite parties it is stated that the complaint is bad for non-joinder of parties and that opposite party 7 have nothing to do with the business of the said firm and they were and 7th opposite party have never involved in the partnership. It is stated that they had retired from the said partnership business on 28.06.2007 and that the partnership firms were reconstituted on the said day by including new parties ie. opposite parties 5 and 10 and the business is being carried out by the said newly included parties with effect from 29.06.2007. It is further stated that while they were parties along with Sri.Varghese Augustine the later started to do business of his own in the similar nature and used to collect funds from outsiders for his own purpose, and misused the goodwill. They were not partners of the firm as on the date of cause of action and they have not received any amounts from the complainant. So they are not liable for the claim.
4. In the version filed by the 5th and 7th to 10th opposite parties, they have stated the same matters as in the version filed by the 4th and 6th opposite parties. In the version filed by the 7th opposite party it is stated that the complainant is not a consumer as per the Consumer Protection Act. It is stated that M/s. Providence Chitty Fund and Finance was registered as per the Indian Partnership Act till date. Since they were not partners of the above firm, they have no right to participate in the firm. It is stated that the alleged deposit of amounts have no connection with them, and they have no information about the alleged money transaction. It is further stated that their father expired on 23.02.2008. But they are fully unaware of the other details of the transaction.
5. Considering the contentions of the parties, this Forum has raised the following issues for consideration.
a) Whether there is any deficiency in service on the side of the opposite parties?
b) Whether the complainants are entitled to get the amount from the opposite
parties?
c) Compensation and costs?
6. Issues 1 to 3:- Complainants have filed proof affidavit in support of their case and produced the documents in evidence – Ext.A1 to A3 marked the same. Ext. A1 is the original pass book issued by the opposite parties to the complainants. It shows the remittance of amount in the said chit No.225 , B Class – chital No.56 – 4 remittances at the rate of Rs.1250/-. Ext.A2 is the pass book issued to the complainants in connection with chital No.110 – 14 remittance at the rate of Rs.1250/- as per the chital No.110. Ext.A3 is the pass book issued by the opposite parties. It shows that an amount of Rs.65,262/- is the outstanding amount in connection with A/c No.67/04 – by way of deposit in the Providence Finance.
7. Opposite parties submitted that they have no oral evidence – produced 2 documents only. Exts.B1 and B2 – Ext.B1 is the certified extract of entries in the register of firm kept by the Registrar of firm relating to M/s. Providence Chitty fund. Ext.B2 is the certified extract of entries in the Register of firm kept by the Registrar of firm relating to M/s. Providence Finance.
8. We have fully verified the matter involved in this case and verified the documents produced by the complainants and opposite parties in evidence. It is alleged that the complainants had remitted a sum of Rs.1250/- by 4 installments on different dates in the firm of the opposite parties. Ext.A1 document clearly shows that matter. By Ext.A2 shows that they have remitted 14 installments at the rate of Rs.1250/-, and the Ext.A3 shows that a total sum of Rs. 65262/- is outstanding balance amount which is payable to the complainants. In spite of the repeated request of the complainants, the opposite parties have not taken any sincere attempt to repay the amount with interest to the complainants in time. Instead of taking necessary earnest steps to repay the amount in time, the opposite parties have evaded from the liability purposefully after raising unnecessary contentions and delay the matter. The action of the opposite parties shows their cheating nature and unfair trade practice and their deficiency in service.
9. The complainants are fully entitled to get back the entire amount stated above from the opposite parties. But the opposite parties have not turned up. The whole action of the opposite parties shows the purposeful refusal to pay the amount to the complainants. The opposite parties are bound to repay the amount with interest and that there is no justification on the side of the opposite parties to deny the repayment. The contentions of the opposite parties and their Exts. produced cannot be accepted as valid grounds to deny repayment and it lacks bonafides. Since there is grossest deficiency in service, culpable negligence, unfair trade practice and cheating on the side of the opposite parties, the opposite parties are fully liable to pay compensation and cost to the complainant. The contentions of the opposite parties regarding this financial dealings have no merit and cannot be accepted. The opposite parties have jointly and severally liable to repay the amount with interest to the complainant. So considering the facts and circumstances of this case and after perusal of the documents in evidence, we are of the strong view that the allegation of the complainants against the opposite parties are to be treated as genuine. In this context, the complaint is to be allowed as prayed for. All the issues are found in favour of the complainants. Hence the complaint is allowed.
In the result we hereby direct the opposite parties to return the remitted amount as per Ext.A1 – total sum of Rs.5000/- (Rupees five thousand only) with 12% interest per annum from the date of remittance , till the repayment and pay the chit amount vide Ext.A2 having a total sum of Rs.17,500/- (Rupees seventeen thousand five hundred only) to the complainants with 12% interest from the date of remittance to till the repayment of the entire amount and further pay an amount as per Ext.A3 having a sum of Rs.65,262/- (Rupees sixty five thousand two hundred and sixty two only) with 12% interest from the date of remittance till repayment of the entire amount and a compensation of Rs.10,000/- (Rupees ten thousand only) to the complainants for their mental agony, pain, sufferings, physical strain, loss and harassment of the opposite parties due to the purposeful denial of the repayment of the deposit amounts noted above and other remittance with interest in time and violation of assurance given to the complainants for repayment of remitted amount and its interest by way of deficiency in service, culpable negligence, cheating we further directing the opposite parties to pay an amount of Rs.2,000/- (Rupees two thousand only) to the complainants as costs of this proceedings. We hereby further ordered that the complainants are free to proceed against the assets of the opposite parties for the realization of the said amounts in case any default to pay the said amounts by the opposite parties. We further direct the opposite parties to comply with this order within 30 days from the date of this order.
Complaint is allowed.
Pronounced in open Forum on this the 30th day of April, 2011.
Sd/- Sri. K. Anirudhan
Sd/- Sri. Jimmy Korah
Sd/- Smt. N. Shajitha Beevi
Appendix:-
Evidence of the complainant:-
Ext. A1 to A3 - Pass books (3 Nos.)
Evidence of the opposite parties:-
Ext.B1 - Certified extract entries in the Register of the firm
Providence Chitty Fund
Ext.B2 - Certified extract entries in the Register of the firm
M/s. Providence Finance
// True Copy //
By Order
Senior Superintendent
To
Complainant/Opposite parties/S.F.
Typed by:- pr/-
Compared by:-
