Taken up through video conferencing. 1. This petition has been filed under section 21(b) of the Act 1986 in challenge to the Order dated 26.09.2013 of the State Commission in appeal no. 401 of 2013 arising out of the Order dated 08.08.2013 of the District Commission in complaint no. 466 of 2012. 2. We have heard the learned counsel for the petitioner complainant and the respondent bank, and have perused the material on record including the District Commission’s Order dated 26.09.2013, the State Commission’s impugned Order dated 08.08.2013 and the petition. 3. The petition has been filed with reported delay of 9 days. However, in the interest of justice, to provide fair opportunity to the complainant, to decide the matter on merit, the delay is condoned. 4. The dispute pertains to a loan of rupees two crore. The complainant has essentially agitated (a) charging of variable rate of interest, (b) charging of premium for insurance and (c) charging of pre-closure fee and service tax by the bank. 5. The District Commission dismissed the complaint. The State Commission re-appraised the evidence and dismissed the appeal. As such this petition has been filed apropos concurrent findings of the two fora below. 6. We see that the State Commission has passed a well reasoned Order in dealing with the issues germane in the matter. It has determined that variable rate of interest, insurance and pre-closure fee and service tax were in accordance with the terms and conditions of the sanction letter and the loan agreement (paras 8 to 13 of its Order specifically refer). On the face of it, we see no jurisdictional error, or a legal principle ignored or erroneously ruled, or miscarriage of justice having been occasioned. 7. Learned counsel for the complainant submits that he wishes to press the question of pre-closure fee and service tax only. In this regard we note the conditions no. 10 and no. 26 contained in the sanction letter dated 02.02.2010: 10. l If you wish to pre-close your Loan Against Property, you shall pay to the bank, pre-closure fee at the rate of 4% on the principal outstanding amount plus any amount that have been part pre-paid in the same calendar year which has not been charged. l If you wish to pre-close your Loan Against Property-HomeSaver, you shall pay to the bank, pre-closure fee at the rate of 4% on the loan limit plus any amount that have been part pre-paid in the same calendar year which has not been charged. 26. ‘Service Tax is levied @10.3% on Service Charges. l Service Tax Registration No. BFS/M-I/408 - As per clause (viii) in Section 65(12)(a) of the Finance Act, 1994 defining “Banking and Other Financial Services”, service tax is levied @10.3% on all services and fees excluding interest on loans, with effect from the date of enactment of the Finance (No. 2) Act 2004.
A plain reading shows that provisions regarding pre-closure fee and service tax were expressly provided for in the terms and conditions, to which the complainant had agreed without reservations. 8. The two fora below have dismissed the complaint. We see no reason to differ. The petition is dismissed. 9. The Registry is requested to send a copy each of this Order to the parties in the petition within three days. The stenographer is requested to upload this Order on the website of this Commission immediately. | 
