Rajasthan

StateCommission

A/452/2018

Allahabad Bank - Complainant(s)

Versus

Shri Oro Ayran Ltd. - Opp.Party(s)

Rakesh Chaudhary

19 Mar 2019

ORDER

BEFORE THE CONSUMER DISPUTES REDRESSAL COMMISSION,RAJASTHAN,JAIPUR BENCH NO.1

 

FIRST APPEAL NO: 452/2018

 

Allahabad Bank through Sr.Manager, M.I.Road, Jaipur & ors.

Vs.

 

Shree Auro Iron Ltd. through M.D. , 107, Tirupati Trade Centre, Sansar Chander Road, Jaipur

 

Date of Order 19.3.2019

 

Before:

Hon'ble Mrs. Justice Nisha Gupta- President

Hon'ble Mr.K.K.Bagri-Member

 

Mr.Rakesh Chaudhary counsel for the appellant

Mr. B.L.Dangayach, Director of the respondent company

 

BY THE STATE COMMISSION ( PER HON'BLE MRS. JUSTICE NISHA GUPTA,PRESIDENT):

 

2

 

This appeal is filed against the judgment of the District Forum, Jaipur 3^rd dated 22.5.2018 whereby the claim is allowed against the bank.

 

The only contention of the appellant is that cash credit limit was allowed in favour of Shree Auro Iron Ltd. a commercial transaction hence,complaint was not maintainable.

 

Per contra the contention of the respondent is that loan was never sanctioned to him and the claim has rightly been allowed.

 

Heard the learned counsel for the appellant and Director Mr. B.L.Dangayach on behalf of the respondent and perused the impugned judgment as well as original record of the case.

 

The complaint itself states that Shree Auro Iron Ltd. is wholesale dealer of iron and steel. Cash credit limit was allowed to the company. Ex. 1 submitted by the consumer himself states that from Punjab National Bank the cash credit account was permitted to take over by the Allahabad Bank. Hence, in view of the above transaction was commercial one

3

 

and complaint was not maintainable.

 

Reliance could be placed on I (2018) CPJ 75 (NC) Rehbar Fin Consultants Vs. Standard Chartered Bank where current account was opened to facilitate commercial activity, services availed for commercial purpose and complaint was found not maintainable.

 

In view of the above, the appeal is allowed and the order of the Forum below dated 22.5.2018 is set aside.

 

(K.K.Bagri) (Nisha Gupta )

Member President

 

nm