IN THE CONSUMER DISPUTES REDRESSAL FORUM, KOTTAYAM
Dated this the 20th day of January, 2023
Present: Sri.Manulal.V.S, President
Smt.Bindhu.R, Member
Sri.K.M.Anto, Member
CC No.157/2018 (Filed on 26/07/2018)
Complainant : Dr.P.Sumadevi,
W/o late Gopalakrishnan,
Deepak bhavan house,
Poovanthuruthu P.O
Panachikkadu Village , Kottayam Taluk, Kottayam Dist-686012.
(By Adv.Akash K.R)
Vs
Opposite parties : 1. The Branch Manager,
State Bank of India,Kodimatha Branch
Kottayam west P.O, Kottayam
(By Adv.P.G.Girija )
2. The Manager, SBI Card Centre-A
7th floor, Alappat Heritage
M.G.Road, North End, Cochin-682035.
(By Adv.K.Ubaideth)
O R D E R
Sri. K.M. Anto, Member
The complaint is filed under section 12 of the Consumer protection Act 1986.
The brief of the complainant’s case is as follows. The complainant is having an account with the Kodimatha branch of state bank of India with account No.10585454986.The complainant had availed a credit card of the opposite parties with card No.xxxx2179.
On 16.03.2018 the complainant noticed that an amount if Rs.5,000/- was debited from the account as idea cell bill and an amount of Rs 7,000/- was debited as Airtel cell bill without any instruction from the complainant. The complainant contacted the first opposite party branch and gave instructions to block the credit card account, but an amount of Rs.66,069/- got debited from the account to the account of Flipkart, an online shopping company. The complainant never disclosed any details of the credit card to anyone and the card was never used by anyone else other than the complainant.
The complainant contacted the SBI card customer services and filed a complaint on 26.04.2018 before Managers, SBI correspondence at New Delhi and Kochi. No action was taken by the opposite parties except issuing a letter dated 11.05.2018 stating that the complaint is under consideration. The unsecured storage of information regarding the complainant by the opposite party has caused losses to the complainant of Rs.78,069/-. The opposite parties had auto debited an amount of Rs.14,296.89/- towards the charges for not clearing the credit liability.
The loss of information relating to the customer to strangers resulting in the unauthorized use of credit facility is deficiency in service and unfair trade practice. The above acts of the opposite parties have caused much hardship, loss and pain to the complainant for which the opposite parties are liable to compensate the complainant. Hence this complaint is filed.
On admission of the complaint copy of the complaint was duly served to the opposite parties. The Opposite parties appeared and filed their version.
The version of the first opposite party is that the complainant was never induced by their customer service executives for subscribing to credit card facility. The second opposite party is a Nonbanking financial company engaged in the business of credit cards. The first opposite party is not connected to the second opposite party. The first opposite party is doing banking business only and not issuing any credit card.
The first opposite party is not aware of the alleged transactions in the credit card account of the complainant. The first opposite party has not debited Rs.14,296.89/- as alleged by the complainant. There is no deficiency in service or unfair trade practice on the part of the first opposite party.
The version of the second opposite party is as follows. The complainant had availed an SBI Credit card bearing No.4726427585382179 on 02/12/2017 with a credit limit of Rs.1,00.000/-. The credit card was allotted on the application of the complainant with KYC documents. The complainant had communicated through the helpline on March 2018 disputing the below mentioned transactions. On the receipt of communication from the complainant the opposite party had deactivated the card.
The details of the transactions are :-
Date Merchant Amount
16/03/2018 Idea payment Mumbai 5,000.00
16/03/2018 Airtel payment Mumbai 7,000.00
20/03/2018 Flipkart Internet Priv Bangalore 66,069.00
As per the records these transactions were secured online transactions which were validated by her SBI Card details and dynamic OTP delivered on the registered mobile number of the complainant. Also no mobile change occurred for this account. The opposite party had received refund from Idea, payment of Rs.5,000/- as the said transaction was declined and reversal was passed to her account.
The amount of Rs.69,069/- got settled by the merchant on 20/03/2018. As per records the transactions were secured online transactions which were validated by her SBI card details and dynamic OTP delivered to the registered mobile number. Also no mobile change was observed in the account. The card holder is responsible for the security of the card, card number and pin and shall ensure the safe keeping of the card and details.
The complainant filed IA no.210/2018 seeking permission to deposit the disputed amount with the first opposite party subject to the disposal of the complaint. The IA was allowed on 27/10/2018 and complainant was permitted to deposit the disputed amount to the concerned bank within one month of the date of receipt of this order subject to the final disposal of the case.
The complainant filed IA No.145/20 for making amendment in the complaint on 06/11/2020. The IA was allowed on 06/03/2021 with a direction to carry out the amendment within 15 days. But the complainant failed to carry out the amendment.
The complainant filed proof affidavit and marked documents Ext A1 to A7. The first opposite party filed proof affidavit. The second opposite party filed proof affidavit and marked documents Ext.B1 to B6.
On the basis of the complaint, version of the opposite parties and evidence adduced we would like to consider the following points.
- Whether there is deficiency in service or unfair trade practice on the part of the opposite parties
- If so what are the reliefs and costs.
Points 1 and 2
On going through the complaint, version of the opposite parties and evidence on record it is evident that the complainant is a savings bank account holder of the first opposite party with account number 10585454986. The complainant had availed a credit card from the second opposite party on 02/12/2017 with card no.4726427585382179 with a credit limit of Rs.1,00,000/-.
From Ext A5 the statement of accounts of the credit card it is clear that an amount of Rs.5,000/- was debited from the credit card account as idea cell bill, and Rs.7,000/- was debited as Airtel cell bill on 16/03/2018. An amount of Rs.69,069/-was debited from the credit card account on 20/03/18 for Flip kart online shopping. The transaction to Idea cell was declined and the amount of Rs.5,000/- was refunded and credited to the account of the complainant. Thus an amount of Rs.76,069/- was debited from the credit card account of the complainant without the knowledge and approval of the complainant.
Ext A2 is the Copy of the letter nil dated addressed to The Manager, SBI correspondence Department, Cochin regarding the disputed transactions and Ext.A3 is the postal receipt dated 26/04/18 for the letter addressed to The Manager , SBI Card, Kochi.
Ext A4 is the letter dated 11.05.18 from Anupam Verma, Senior Manager customer service, SBI card acknowledging the receipt of complaint regarding disputed transaction dated 20/03/2018 for Rs.69,069/-.
Ext.A5 is the monthly statement dated 01/04/2018 showing a debit of Rs.7,000/- as Airtel Payment on 16/03/18, a debit of Rs.5,000/- as Idea payment on 16/03/18 and a credit of Rs.5,000/- as Idea payment on 16/03/18 and a debit of Rs.69,069/- as Flipkart Internet on 20/03/18.
Ext.A6 is a letter from second opposite party dated 29/05/19 stating that the second opposite party agreed to settle for Rs.71,000/- to be paid on 01/06/2019 as full and final settlement of the due charges on the credit card account.
The complainant had remitted the settlement amount of Rs.71,000/- vide Ext A7 cash deposit slips on 30/05/18.
Ext B3 is the Statement of accounts of the credit card of the complainant. Ext B3 shows a debit of Rs.7,000/- towards Airtel payment, Mumbai, a debit of Rs.5,000/- towards Idea Payment Mumbai, a credit of Rs.5,000/- from Idea Payment Mumbai on 16/03/2018 and a debit of Rs.69,069/- towards Flipkart internet Priv, Bangalore on 20/03/2018.
Ext.B5 is the Reserve Bank of India Circular No.RBI/2017- 18/15, DBR.No.Leg.BC.78/09.07.005/2017-18 dated 06/07/2017 issued by Reserve Bank of India determining the customer liability relating to Unauthorized transactions resulting in debts in account/cards issued to All Scheduled commercial Banks, All small finance Banks and Payment Banks.
Ext B6 is the Grievance Redressal policy of the second opposite party.
It is evident that as per Ext.B5 RBI circular and Ext.B6 Grievance Redressal Policy there is only limited liability on the customer if the unauthorized electronic transaction was notified to the opposite party within 3 to 7 days. Even though the complainant had stated that the unauthorized transaction of 16/03/2017 was reported to the first opposite party on 16/03/2017 itself no evidence is adduced to establish the same.
The ExtA4 letter of the second opposite party acknowledges the receipt of the complaint for the unauthorized transaction for Rs.69,069/- on 20/03/2017.
As per the Ext B6 Grievance Redressal Policy of the second opposite party, when the card holder raises dispute in the event of unauthorized transaction, the SBI Card shall send immediate response to the card holder acknowledging the complaint along with the registered complaint number. Based on the nature of complaint, investigation will be done by the SBI Card, during which period; temporary credit may be posted up to the extent of disputed amount, subject to the timely submission of required information/documents by the customers. The temporary credit shall be given within 10 working days from the date of such notification by the customer and that would nullify the effect of disputed transaction on the total outstanding. Based on the outcome of investigation the temporary credit may either be made permanent resulting in no liability from card holder or reversed.
The second opposite party had received the complaint of the unauthorized transaction from the complainant and had issued Ext.A4 acknowledgement letter with the complaint number as stipulated in Ext.B6 Policy. The second opposite party failed to give temporary credit of the disputed amounts to the account as a result of which the liability of the complainant had increased and the complainant was forced to settle the dues with the second opposite party as per Ext.A6.
The second opposite party also failed to adduce the details of investigation done by them on the complaint and action taken as per the Ext.B6 Grievance Redressal Policy. It is clear that the second opposite party failed to provide any reply or intimation of a second stage investigation to the complainant within a period of 90 days from the date of receipt of the complaint. On the basis of the above facts the act on the part of the second opposite party is deficiency in their service. We allow the complaint and pass the following orders
- The second opposite party is directed to pay Rs.69,069/- to the complainant.
- The second opposite party is directed to pay Rs.10,000/- as compensation for mental agony and hardships with cost Rs.3000/-.
The order shall be complied within 30 days from the date of receipt of the copy of the order, if not complied the amount shall carry 9% interest P.a till realization.
Pronounced in the Open Commission on this the 20th day of January, 2023.
Sri. K.M. Anto, Member sd/-
Sri. Manulal.V.S, President sd/-
Smt.Bindhu.R, Member sd/-
Appendix
Exhibits marked from the side of complainant.
A1- Copy of pass book of SBI Account.
A2- Letter to the Manager, SBI correspondence dept., Cochin.
A3- Postal receipt dated 26.04.2018.
A4- Letter dated 11.05.2018 issued by SBI.
A5- Monthly state of SBI Card Prime dated 01/04/2018.
A6- Intimation dated 29.05.2019 from SBI.
A7- Copy of the pay-in- slip of SBI.
Exhibits marked from the side of opposite parties.
B1- Copy of power of attorney dated 22/04/2022.
B2- State Bank of India- KYC documents of complainant.
B3- Transaction details.
B4- Terms and conditions of SBI.
B5- Letter dated 06/07/2017 issued from Reserve Bank of India.
B6- Copy of Grievance Redressal Policy.
By order
Sd/-
Assistant Registrar
