D.O.F:03/03/2022
D.O.O:24/03/2023
IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KASARAGOD
CC.No.44/2022
Dated this, the 24thday of March 2023
PRESENT:
SRI.KRISHNAN.K :PRESIDENT
SRI.RADHAKRISHNAN NAIR.M : MEMBER
SMT.BEENA.K.G : MEMBER
K. Vijaya Krishnan Nambiar,
Aged 54 years,
S/o M. Gopinathan Nambiar,
Residing ‘Padmam’,
Near DHSS, : Complainant
Nittadukkam,
Kanhangad Post,
Kasaragod District- 671315
(Adv. ShrikantaShetty.K)
And
Sachin Baby. K,
Proprietor,
Ila Naturals & Aromatics,
Opp: PPG Institutions, : Opposite Party
Saravanampatti,
Coimbatore- 641035,
Tamilnadu
ORDER
SMT.BEENA.K.G: MEMBER
In this case the complainant is alleging deficiency in service and unfair trade practice on the part of Opposite Party in connection with the non-delivery / installation of Areca Leaf Plates making machinery, its moulds and accessories.
The brief facts of the case is that the complainant isthe managing partner of M/S Power Solutions which was established for the purpose of production of Areca Leaf Plates, Cups and other utilities of use to the public. The production of Areca Leaf Plates started to earn livelihood of the complainant along with his friend and family by availing self-employment loan from bank and engaging themselves as workers. The Opposite party agreed to supply semi-automatic Areca leaf plate making machines with moulds and accessories and collected Rs.2,06,000/- as its price. As per invoice No.# PW/IL/08 dated 29/12/2019 the Opposite Party collected an amount of Rs.12,03,600/- and asper invoice No. 014/PW/IL dated 03/01/2020 an amount of Rs. 8,02,400/- is also collected under the arrangement of bank loan from the complainant. The Opposite Party is bound to supply 5 units of semi-automatic hydrolic Areca Leaf Plate making machines, 30 moulds and accessories. But the Opposite Parties did not sent entire machines and moulds as promised by him. At the time of quotation the Opposite party have assured that the machines and materials supplied by him are of high quality, excellent mechanism, low power consumption, maximum out put with one year warranty and excellent timely sales service support. But so far the Opposite party did not installthe entire units of machines which caused heavy loss to the complainant. The complainant made many complaints to opposite party since February 2020 about the non-supply of machinery and its tools. But opposite parties did not care to extent service to the complainant. Hence delayed the supply and service. The opposite party have assured the production guarantee of thousand pieces of areca leaf products per day in one mould. But due to non- supply of moulds he could not market the product as per his project. And thereby sufferedhuge income loss. The Opposite parties are well aware that the complainant had taken huge loan from bank to establish this unit for his livelihood. Now the complainant is under the pressure of payment of unnecessary expenses of fixed electricity, bank loan instalment repayment, building tax etc. If the Opposite party is unable to supply the machineries in time he is bound to refund the price collected from the complainant. The complainant had tried many times to remind the Opposite party regarding refund also. A legal notice is also sent to opposite parites seeking refund of the price with compensation. After failure of all these steps complainant filed this case. The machinery supplied by Opposite party is defective. So the complainant is seeking refund of the price of the machinery Rs.20,65,000/- with interest From 03/01/2020 till refund along with a compensation of Rs.10,00,000/- and with a cost of Rs.25,000/-
Notice of opposite parties returned stating insufficient address.Paper publication against opposite party is given but opposite party remained absent, set exparte.
The complainant filedproof affidavit in lieu chief examination Ext.A1 to A4 and C1 marked. The issues raised for consideration are
- Whether there is deficiency in service/ unfair trade practice on the part of Opposite Parties
- Whether the complainant is entitled for relief.
- If so what is the relief.
For convenience issues No.1,2 and 3 can be discussed together
The complainant who is the managing partner of M/S Power solution started a production unit for the purpose of production of Areca Leaf Plates, cups, and other eco-friendly utilities for the use of the public. It is established by availing self-employment loan and the complainant and his friend and family are the workers. The Opposite party offered to supply semi-automatic areca leaf plate making machineries with moulds and accessories and collected its price of Rs.20,06,000 in total. But so far the machineries are not delivered even after many reminders from the complainant. Ext. A1 is the tax invoice for Rs.1203600 dated 29/12/19. A2 s the tax invoice for Rs.802400/- dated 03/01/2020. Ext.A3 is office copy of lawyers notice dated 12/02/2022. Ext.A4 is the returned post cover. Ext.C1 is the Expert report.
As per Ext.A1 and A2 documents Opposite party had collected Rs.20.06.000/- from the complainant on 29/12/2019 and 3/01/2020 respectively. Ext.A3 is the Lawyers notice dated 12/02/2022 Calling Opposite party to refund Rs.20,06,000/- with interest at 18% from 03/01/2020 till refund along with a compensation of 10,00,000/-. Ext.A4 is the retuned notice.
Ext.C1 is the report filed by the expert. Ext.C1 states that 5 units of semi-automatic Areca leaf plate making machine with 6 moulds (Total) 30 moulds found with incomplete installation and damaged accessories. The whole 30 moulds were found not working and unable to operate and produce any product. Cylinder leaking moulds was noticed. The complainant informed that such leak was due to faulty O rings. Many Electrical control box was found not fixed on machine frame. Majority of the heaters do not have insulating sleeves, resulting in people getting electrical shocks when the wet leaves accidently touch the exposed part of the wire connected to the heater. None of the units were in a usable condition due to the above mentioned issues. The supplied machinery is of substandard quality. No manufacturers details were found on the machines.All these remarks in Expert report about the substandard service given to the complaint amounts unfair trade practices and deficiency of service.
The complainant took huge amount as self-employment loan believing the assurance of Opposite Party. But due to the non-supply of complete machinery in have the entire project and machineries because nonfunctioning moreover the complainant was constrained to pay the electrical charges and repayment of loan installments even though the entire project is idle. By evaluating Ext.A1 to A4 and Ext.C1 the opposite party is bound to deliver the offered machineries in time and otherwise he is liable to refund the price of the products.
In the absents of contra evidence we are of the view that there is deficiency in service and unfair trade practice on the part of opposite party. Which caused huge loss and mental agony to the Complainant. The opposite party is bound to compensate the loss and agony undergone by the complainant. The complainant is seeking refund of the price of the machineries Rs.20,06,000/- with interest at 18% and a compensation of Rs.10,00,000/-. The claim of such a huge compensation made by the complainant is without adducing any evidence. The complaint is entitled for refund of the price of the machineries. Considering the facts of this case we holds that an amount of Rs.5,00,000/- is a reasonable compensation in this case and the litigation expense is Rs.10,000/-.
In the result complaint is allowed directing Opposite Party to refund Rs.20,06,000/- (Rupees Twenty Lakhs and Six Thousand only) with interest at the rate of 9% from 03/01/2020 along with compensation of Rs.5,00,000/- (Rupees Five Lakh only) and cost of Rs.10,000/- (Rupees Ten Thousand only) to the complainant within 30 days of the receipt of the order.
Sd/- Sd/- Sd/-
MEMBER MEMBER PRESIDENT
Exhibits
A1: Tax invoice, dated 29/12/2019
A2: Tax invoice, dated 03/01/2020
A3: Lawyer’s notice
A4: Returned post cover
C1: Expert report
Sd/- Sd/- Sd/-
MEMBER MEMBER PRESIDENT
Forwarded by Order
Assistant Registrar
Ps/
