Andhra Pradesh

Chittoor-II at triputi

CC/41/2013

S.Naveen KumarS/o. Siva Sankar Naidu - Complainant(s)

Versus

Sri Babu Ram Chit fund Pvt Ltd - Opp.Party(s)

N.Manohar and S.Naveen Kumar

14 Oct 2014

ORDER

Filing Date:24.06.2013

Order Date: 14.10.2014

 

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-II,

TIRUPATI

 

    PRESENT: Sri.M.Ramakrishnaiah, President,

        Smt. T.Anitha, Member

 

TUESDAY THE FOURTEENTH DAY OF OCTOBER, TWO THOUSAND AND FOURTEEN

 

C.C.No.41/2013

 

Between

 

S.Naveen Kumar,

S/o. S.Sivasankar Naidu,

Advocate,

D.No.2-2-235, Near Manchineellaguinta,

N.T.Road,

Tirupati.                                                                                             … Complainant

 

And

 

Sri Babu Ram Chit Fund Pvt. Ltd.,

Rep. by its Manager and Foreman,

Chinthaginjala Sriram,

No.2-1-76/G, K.K.Towers,

Opp. to Traffic Police Station,

Tirupati – 1.                                                                                      …  Opposite party.

 

 

            This complaint coming on before us for final hearing on 30.09.14 and upon perusing the complaint, written version and other relevant material papers on record and on hearing Sri.N.Manohar, counsel for the complainant, and Sri.P.C.Murali Babu, counsel for the opposite party, and  having stood over till this day for consideration, this Forum makes the following:-

 

ORDER

DELIVERED BY T.ANITHA, MEMBER

ON BEHALF OF THE BENCH

 

            This complaint is filed under Section-12 of C.P.Act 1986, complaining deficiency of service on the part of the opposite party contending that opposite party failed to pay the amount due and payable to the complainant under the chit transaction.

2.  The case of the complainant is that he is a subscriber of Chit Group No.MT03 VNK for Rs.20,00,000/- and allotted token No.07 payable in 40 months at the rate of Rs.50,000/- per month. The chit period started in May 2008 and ended by August 2011. The chit auction was conducted on 3^rd sunday of every month and payment of premium to be paid by 10^th of next month. Accordingly the complainant joined and paid a sum of Rs.77,500/- for the months of May and June 2008. But the opposite party issued receipt for Rs.7,750/- only instead of Rs.77,500/-. When the complainant questioned the opposite party, the opposite party stated that it is for statistical purpose, to show to their higher authorities by removing “0” digit, they issued receipts and promised that no complications will arise in future. Believing the words of the opposite party, who is none other than the friend of the complainant, he paid the chit amounts regularly as demanded by the opposite party. The complainant further stated that the opposite party for the months of December 2008, April 2009 and July 2009 issued the receipts for the original amounts paid by him, when he insisted the opposite party for receipts for the rest of the months i.e. May 2009 to October 2009, the opposite party issued the receipts by deleting “0” digit i.e. when he paid Rs.27,500/- in July 2008, the opposite party issued receipt for Rs.2,750/- only likewise the opposite party issued receipts for Rs.1,51,500/- only, much against the actual payments made by the complainant to a tune of Rs.5,92,500/-. The opposite party discontinued the chit pertaining to the complainant’s group and closed the chit in the month of November 2009. Again the complainant demanded the opposite party to pay Rs.5,92,500/-, which was paid by him, but the opposite party failed to pay the same. On 23.05.2013, the complainant issued legal notice to the opposite party to pay the amount, which is due to him with 24% interest per annum. After receipt of the said notice also, the opposite party failed to pay the amount. As the amount is not paid, there is deficiency of service, on account of which the complainant was put to great loss and constrained to file the present complaint and prayed this Forum to direct the opposite party to repay the amount paid by him i.e. Rs.5,92,500/- with interest at 24% per annum from August 2011 and also to pay Rs.1,00,000/- towards mental agony and damages caused to the complainant and costs.

3.  Notices were sent to the opposite party. After receiving the same, the opposite party failed to present before this Forum on first hearing and hence the opposite party called absent and set exparte. But again the opposite party filed the petition to set aside the exparte order along with written version, the same was allowed in I.A.No.43/2013. In the written version the opposite party admitted that the complainant is one of the subscribers of the chit, but from the date of joining of the chit, the complainant never paid the amounts regularly and committed default in payment of the chit amount. Hence, as per the rules of the Chit Fund Act, the defaulter cannot be continued and also stated that as per the calculations and  records maintained by them the amount claimed by the complainant is highly excessive for which the complainant is not entitled. Hence, prayed this Forum to dismiss the complaint with costs.

4.  On behalf of the complainant, the complainant filed his evidence on affidavit and got marked Exs.A1 to A5. After several adjournments granted by this Forum the opposite party failed to appear and file the evidence on affidavit and written arguments on their behalf and hence the opposite party called absent and set exparte. No documents were marked on behalf of the opposite party. The complainant filed his written arguments and oral arguments were heard.         

5.  The points for consideration are:-

(i)  Whether there is any deficiency of service on the part of the opposite party?

(ii)  To what relief?

6.  Point No. (i):-  It is no doubt that the complainant is a subscriber of the chit with the opposite party and the opposite party admitted the same and contended that the complainant is irregular in payment of subscription amount and he is removed from the chit. According to the complainant, he paid an amount of Rs.5,92,500/- but the opposite party issued receipts for Rs.1,51,500/- by deleting “0” in some receipts. The list of payments made by the complainant as per Ex.A1 are as hereunder:

 

 

S.No.	Date of payment	Amount
1.	14.06.2008	7,750-00
2.	03.07.2008	2,750-00
3.	14.08.2008	2,750-00 *  (in words Rs.27,500/-, mode of payment by way of cheque No.876219 dt:14.08.2008 drawn on Vijaya Bank)
4.	15.09.2008	2,750-00
5.	09.10.2008	2,750-00
6.	10.11.2008	2,750-00
7.	10.12.2008	32,500-00
8.	10.01.2009	3,250-00
9.	11.02.2009	3,250-00
10.	14.03.2009	3,250-00
11.	29.04.2009	35,000-00
12.	14.05.2009	3,250-00
13.	18.06.2009	3,500-00
14.	18.07.2009	35,000-00
15.	24.08.2009	3,500-00
16.	20.09.2009	3,750-00
17.	26.10.2009	3,750-00
		1,51,250-00
		24,750-00                                                                                * (27,500-2,750 payment made on 14.08.2008)
	Total Rs.	1,76,000-00

                                                                                                                       

By observing the above table, the payment made on 14.08.2008 in the receipt it is mentioned as Rs.2,750/- in digits but in the words it is written as Rs.27,500/-, which was paid by way of cheque No.876219 drawn on Vijaya Bank and also in Ex.A4 account pass book of the complainant issued by Vijaya Bank reflects the said payment. Hence, the payment of Rs.27,500/- dt:14.08.2008 can be considered instead of Rs.2,750/-. The next contention of the complainant is that the opposite party issued original receipts for the months of December 2008, April 2009 and July 2009, except these three months, the opposite party issued receipts by deleting “0” from May 2008 to October 2009 and also stated that whenever he insisted the opposite party to issue receipts for original payment, the opposite party make him to believe that no complications will arise in future, only for statistical purpose they issued the receipts by deleting “0” with the instructions of their higher authorities, the complainant stated that believing the words of the opposite party, he received the receipts and paid the subscriptions regularly till October 2009 to a tune of Rs.5,92,500/- and he is entitled for the same. But in order to substantiate his pleadings, he has not filed any document not even the passbook issued by the chit fund company to prove that he has paid Rs.5,92,500/- towards subscription to the opposite party, with the absence of any documentary proof that the complainant paid Rs.5,92,500/- we cannot come to the conclusion that he paid the same. Ex.A1 clearly shows that the complainant is a subscriber of the chit and paid subscription amount and he is having chit transaction with the opposite party. Hence, as per Ex.A1 it clearly shows that the complainant made payments to the opposite party to a tune of Rs.1,76,000/- only and also most of the payments made by the complainant are not within due date i.e. by 10^th of every month after auction held by opposite party and hence in order to prove his contention that he had paid Rs.5,92,500/- towards subscription, except oral arguments he has not filed any single scrap of paper to prove the same and hence it cannot be considered that the opposite party by deleting “0” issued the receipts. The very fact that the chit joined by the complainant was closed without any notice and members were not satisfied clearly shows that there is deficiency of service on the part of the opposite party. Hence, the complaint is allowed in part directing the opposite party to pay an amount of Rs.1,76,000/- which was paid by the complainant towards subscription with interest at 12% per annum from the date of last payment i.e. 26.10.2009, till the date of realization and also the complainant is entitled for Rs.5,000/- towards compensation and Rs.2,000/- towards costs.

7. Point No.(ii):-  In the result, the complaint is allowed in part directing the opposite party to pay Rs.1,76,000/- (Rupees one lakh seventy six thousand only) with interest at 12% per annum from 26.10.2009, till the date of realization and Rs.5,000/- (Rupees five thousand only) towards compensation and Rs.2,000/- (Rupees two thousand only) towards costs of the complaint to the complainant.     

 

Typed to dictation by the stenographer, corrected by me and pronounced in the Open Forum this the 14^th day of October, 2014.

      Sd/-                                                                                                                          Sd/-      

Lady Member                                                                                                       President

 

APPENDIX OF EVIDENCE

WITNESS EXAMINED ON BOTH SIDES

 

                                               

PW-1: S.Naveen Kumar S/o. S.Sivasankar Naidu  (Chief Affidavit filed.).

RW-1: Chinthaginjala Sriram S/o. Thimmaiah  (Affidavit filed.).

 

EXHIBITS MARKED ON BEHALF OF THE COMPLAINANT/S

 

Exhibits	Date	Description of Documents
Ex.A1.		Bunch of Chit amount paid Receipts Total No.17.
2.	23.05.2013	Office copy of Legal notice of Opposite party with postal receipt.
3.		Postal Acknowledgement from Opposite Party.
4.		S.B A/c. Pass Book of Complainant issued by Vijaya Bank, Tirupati.
5.	14.08.2008	Payment Receipt Dt: 14.08.2008 issued by Babu Ram Chit Fund, Tirupati.

 

EXHIBITS MARKED ON BEHALF OF THE OPPOSITE PARTY/S

 

-NIL-

 

                                                                                                                                                                 Sd/-

                         President

 

// TRUE COPY //

// BY ORDER //

 

Head Clerk/Sheristadar,

                                                                                    Dist. Consumer Forum-II, Tirupati.

 

 

Copies to:-     1. The Complainant.

                        2. The opposite party.