BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, VELLORE DISTRICT AT VELLORE. PRESENT: THIRU. A. SAMPATH, B.A., B.L., PRESIDENT TMT. G. MALARVIZHI, B.E. MEMBER – I THIRU. K. DH.AYALAMURTHI,B.SC. MEMBER – II CC. 31 / 2003 WEDNESDAY THE 15TH DAY OF SEPTEMBER 2010. 1. Bhuvaneswari ammal, W/o. A.K. Madhavan. 2. A.K. Madhavan, S/o. R. kanna Pillai. Both are residing at No.2, Yadhava Street, Sankaranpalayam, Vellore -1, Vellore District. … Complainant. -Vs – 1. The Secretary, Vellore Co-operative Building Society Limited, 1st Cross Street, Bishop David Nagar, Vellore – 1. 2. The Deputy Registrar (Housing), No.14, 7th Street, Gopalapuram, Gandhi Nagar, Vellore – 6. Vellore District. … Opposite parties. . . . . . This petition coming on for final hearing before us on 14.9.2010, in the presence of Thiru. N. Krishnamoorthy, Advocate for the complainant and Thiru. M. Balasubramaniam, Advocate for the opposite parties 1 & 2, and having stood over for consideration till this day, the Forum made the following: O R D E R Pronounced by Thiru. A. Sampath, President of the District Consumer Disputes Redressal Forum, Vellore District. 1. The brief facts of the case of the complainant is as follows: Complainants are members of the 1st opposite party’s society. The membership number of the 1st complainant is 4335 and the 2nd complainant is 4336. The complainant paid the membership fee of Rs.24/-. The complainants also paid Rs.35,000/- towards share capital and Rs.750/- towards share certificate, totaling Rs.35,750/- on 16.11.2000. Complainants had applied to the 1st opposite party’s society for a loan of Rs.5,00,000./- for construction of new building vide application No.44/2000-2001. The original title deeds in respect of the under mentioned schedule property, approved building plan, nil encumbrance certificate as required by the 1st opposite party’s society for getting legal opinion. The 1st opposite party’s society also obtained legal opinion from its legal advisor. As per the legal advice the complainants executed a registered mortgage deed dated 29.5.2000 and registered the same before the Vellore Sub Registry, Sub Registrar on 2.6.2000 in respect of the under mentioned schedule property for Rs.5,00,000/-. But no amount was paid to the complainants on the date of the said mortgage. 2. The 1st opposite party’s society issued the following cheques in favour of the 1st complainant:. 3. 1. Cheque No.027284 dt. 17.11.2000 for Rs. 1,14,350.00 2. Cheque No.001745, dt.18.1.01 for Rs. 38,650.00 3. Cheque No. 036902, dt.20.1.2001 for Rs. 6,265.00 4. Cheque No.036973, dt.29.3.01 for Rs. 1.43.500.00 5. Cheque No.060747, dt.13.8.01 for Rs. 54,125.00 6. Cheque No.047149, dt. 11.10.01 for Rs. 65,000.00 ------------------------- Total Rs. 4,19,690.00 -------------------------- The 1st opposite party’s society has failed to pay the balance amount of Rs.80,310/- towards the said loan amount of Rs.5,00,000/- Since the 1st opposite party’s society did not pay the balance amount of Rs.80,310/- in spite of the completion of the building construction work and also repeated demands, the complainants had issued a legal notice dt. 2.12.01 to the 1st opposite partly setting out in detail the sufferings undergone by the complainants on account of delayed payments and also deficiency in service. 2. The 1st opposite party issued a reply notice dt. 7.12.01 denying the contentions of the said lawyer’s notice and further stating the entire amount of Rs.5,00,000/- was paid on the following dates through cheques. 1. Cheque No.027284 dt. 16.11.2000 for Rs.1,50,000/- 2. Cheque No.001745 dt.18.1.2000 for Rs. 40,000/- 3. Cheque No.036902, dt. 1.2.01 for Rs. 10,000/- 4. Cheque No.036973, dt. 29.3.01 for Rs.1,50,000/- 5. Cheque No.060747, dt. 16.8.01 for Rs. 75,000/- 6. Cheque No.047149, dt.11.10.01 for Rs. 75,000/- ------------------------------ Total Rs.5,00,000/- ------------------------------ The above amounts and certain dates are not correct. The 1st opposite party’s society had issued cheques only for Rs.4,19,690/-. But till date the balance amount of RS.80,310./- is not paid by the 1st opposite party’s society to the complainants. On account of the delayed payments at every stage of the construction of the buildings, the complainants are forced to borrow money from other persons for completing the construction work to the tune of Rs.1,00,000/- on interest basis. The complainants are paying interest on Rs.1,00,000/- every moth @ Rs.2.50 per month. Therefore the opposite parties to be directed to pay a sum of Rs.80,310/- towards balance amount and also Rs.3,00,000/- as damages and Rs.77,916/- towards loss incurred due to payment of interest @ 30% p.a. for Rs.1 lakh from 1.5.01 to 5.12.03 and cost of the complaint. 3. The averments in the counter filed by the 1st opposite party and adopted by the 2nd opposite party are as follows: The complaint filed by the complainant is not maintainable either in law or on facts of the case. The complainants are members of the 1st opposite party’s society and any dispute between the members and the society are to be sorted out as per the provision of the Co-operative Societies Act and this Hon’ble Forum has no jurisdiction to entertain this complaint. As per the provisions of the Tamil Nadu Co-operative Societies Act any dispute between a member and the society as to be agitated before the arbitrator of Co-operative Societies, and the Civil Courts have no jurisdiction to entertain the present petition. It is a fact that the complainant have applied for a building loan of Rs.5,00,000/- and they are liable to pay a share amount of Rs.35,000/-. The allegation in para-5 of the complaint the opposite party has failed to pay a balance sum of RS.80,310/- towards the loan amount is not correct and further allegation that for the loan amount of Rs..5,00,000/- only a sum of Rs.4,19,690/- alone is granted is not correct in law. Out of the sum of Rs.1,50,000/- issued under cheque No.027284, a sum of Rs.35,000/- is detected towards the share amount payable by the complainants and a sum of Rs.750/- is detected towards service charges and the balance amount of Rs.1,14,350/- is given to the complainant. Out of a sum of Rs.10,000/- paid on 1.2.01 under Voucher No.1601 a sum of Rs.3,735/- is detected towards interest due and a sum of Rs.6,265/- is paid to the complainant. Similarly out of the sum of Rs.40,000/- issued under voucher No.1551 dt. 19.1.01 a sum of RS.1,100/- towards interest due and a sum of Rs.250/- towards service charges are detected and a sum of Rs.38,650/- is paid to the complainant. Similarly out of the sum of Rs..1,50,000/- issued under voucher No.1962 dt. 29.3.01 4. Now the points for consideration are: (a) Whether this Forum has got no jurisdiction to try this case? (b) Whether there is any deficiency in service, on the part of the opposite parties? (c) Whether the complainants are entitled to the reliefs asked for?. 5. Ex.A1 to Ex.A18 were marked on the side of the complainant and no documents were marked on the side of the opposite parties. Proof affidavit of the complainant and Proof affidavit of the opposite parties have been filed. No oral evidence let in by either side. 6. POINT NO. (a): It is admitted case of the parties that the complainants are members of the 1st opposite party’s society and the membership number of the 1st complainant is 4335 and the 2nd complainant is 4336. The complainants have paid the membership fee of Rs.24/- and they also paid Rs.35,000/- towards share capital and Rs.750/- towards the share certificate, totaling Rs.35,750/- on 16.11.00. The complainants had applied to the 1st opposite party’s society for a loan of RS.5,00,000/- for construction of new building and the said society has sanctioned the said loan. 7. The complainant contended that as per the legal advice the complainants executed a registered mortgage deed dt. 29.5.00 and registered the same before the Sub Registrar, Vellore Sub Registry, on 2.6.00, in respect of the complainants’ property for the loan amount of Rs.5,00,000/-,. The 1st opposite party’s society had issued a cheques only for Rs.4,19,690/- and the said society has failed to pay the balance amount of Rs.80,310/- towards the said loan amount of Rs.5,00,000/-. Therefore the opposite parties to be directed to pay a sum of Rs.80,310/- towards the balance amount and also Rs.3,00,000/- as damages and Rs.77,916/- towards loss incurred due to payment of interest and cost of this complaint. 8. The opposite parties contended that the complainants are members of the 1st opposite party’s society and any dispute between the members and the society are to be sorted out as per the provision of the Co-operative Societies Act, 1983 and this Hon’ble Forum has no jurisdiction to entertain this complaint. It is further contended that Sec.156 of the Tamil Nadu Co-operative Societies Act,1983 any dispute between a member and the society as to be agitated before the arbitrator of Co-operative Societies, and the Civil Courts, have no jurisdiction to entertain this complaint. Hence this Forum has got no jurisdiction to try this case, therefore, this complaint is liable to be dismissed. 9. Sec.156 of the Tamil Nadu Co-operative Societies Act 1983 read as follows: “156. Bar of jurisdiction of Civil Courts: - Notwithstanding anything contained in any other law for the time being in force no order or award passed, decision or action taken or direction issued under this Act by an arbitrator, a liquidatory, the Registrar or an officer authorized or empowered by him, the Tribunal or the Government or any officer subordinate to them, shall be liable to be called in question in any court and no injunction shall be granted by any court in respect of anything which is done or intended to be done by or under this Act. “ 10. In the present case, it is admitted facts of the parties that the complainants are members of the 1st opposite party’s society, and the complainants had applied to the 1st opposite party’s society for a loan of Rs.5,00,000/- for construction of new building, and the 1st opposite party’s society has sanctioned the loan of said amount. The contention of the complainants that the 1st opposite party’s society has failed to pay the balance amount of Rs.80.,310/- towards the said loan amount of Rs.5,00,000/-. According to the 1st opposite party that the entire loan amount of Rs.5,00,000/- given to the complainants by way of cheques after deducting the share amount, service charges and interest. Therefore it is clear that the disputes inrespect of the loan amount between the members and the 1st opposite party’s society. Sec. 156 of the Tamil Nadu Co-operative Societies Act, 1983 clearly says that any disputes between a members and the society as to be agitated before the arbitrator of Co-operative Societies, and the Civil Courts, have no jurisdiction to entertain this kind of complaint. Therefore the contention of the opposite parties that any disputes between the members and the society are to be sorted out as per the provision of Sec.156 of the Tamil Nadu Co-operative Societies Act 1983 and this Forum has got no jurisdiction to entertain this complaint is acceptable. 11. Taking all the above factors in to consideration and from the averments in the complaint, counter and documents, we have come to the conclusion that this Forum has got no jurisdiction to try this case. Hence we answer this point (a) as against the complainant herein. 12. POINT NOS (b) & (c) : In view of our findings on point No.(a) since this Forum has got no jurisdiction to try this case, we have come to the conclusion that this complaint is not maintainable in this Forum and we have come to the conclusion that the complainant is not at all entitled to any relief asked by them in this complaint. Hence, we answer this point (a) & (b) also as against the complainants herein. 13. In the result, this complaint is dismissed. No costs. Dictated to the Steno-typist and transcribed by her, corrected and pronounced by the President, in Open Forum, this the 15th day of September 2010. MEMBER-I MEMBER-II PRESIDENT. List of Documents: Complainant’s Exhibits: Ex.A1 - 16.11.2000 - X-copy of the receipt No.004738 for payment of Membership fee of RS.24/- issued by the 1st O.P. Ex.A2- 16.11.2000 - X-copy of the Receipt Rs.35,750/- Ex.A3- 8.6.2000 - X-copy of the Nil Encumbrance Certificate. Ex.A4- -- - X-copy of the legal opinion given by E.Rathinavelu, Advocate, Vellore. Ex.A5- 29.5.00 - X-copy of the Registered Mortgage deed Ex.A6- 17.11.00 - X-copy of the cheque No.027284, for Rs.1,14,350/- Ex.A7 - 18.1.01 - X-copy of the Cheque No.001745 for Rs.38,650/- Ex.A8- 20.1.01 - X-copy of the cheque No.636902 for Rs.6265/- Ex.A9- 29.3.01 - X-copy of cheque No.036973 for Rs.1,43,500/- Ex.A10- 13.8.01 - X-copy of Cheque No.606747 for Rs.54,125/- Ex.A11- 11.10.01 - X-copy of cheque No.047149, for Rs.63,000/- Ex.A12- 10.1.01 - X-copy of letter issued by the 1st complainant to the 1st opposite party’s society. Ex.A13- 27.2.01 - X-copy of letter issued by the 1st complainant to the 1st opp party’s society. Ex.A14- 6.8.01 - X-copy of the letter issued by Tr.C.Gnanasekaran, M.L.A. To the Special Officer of the 1st opp party society. Ex.A15- 20.12.01 - X-copy of the letter issued by the 1st complainant to the 1st opp party society. Ex.A16- 2.12.01 - X-copy of receipt for Rs.24/- Ex.A17- 7.12.01 - X-copy of Reply notice. Ex.A18- 13.12.01 - X-copy of rejoinder notice issued by the complainant to Tr.A.V.Ramakrishnan, Advocate for 1st opp party’s society. Opposite parties’ Exhibits: .. Nil.. MEMBER-I MEMBER-II PRESIDENT.
| | [ Hon'ble Tmt G.Malarvizhi, B.E] MEMBER[ Hon'ble Thiru A.Sampath, B.A., B.L] PRESIDENT[ Hon'ble Tr K.Dhayalamurthy, Bsc] MEMBER | | 
