<br /> 6. On going through the complaint, version, affidavit by way of evidence filed by the complainant, Exts. P1 to P20 and hearing both parties, we are of the view that 2nd complainant received paylite loan at 1.5% interest per annum. Hence complainant is entitled to get refund of excess interest charged by opposite parties. As per Ext.P9 preclosure details issued by opposite parties, complainant was asked to pay principal outstanding of Rs. 83,125.15. As per Ext.P5 loan on phone calculation issued by opposite parties monthly instalment (excluding interest) is Rs.1,925 and monthly interest is Rs.1,365. Since balance outstanding as per Ext.P9 is Rs. 83,125.15 it is apparent that complainant had already remitted 4 instalments. Since monthly interest charged by the opposite parties is Rs.1,365/- for 4 instalments, complainant had remitted Rs. 5,285.02. It is pertinent to point out that the said interest was calculated at 18% per annum. Already we found that complainant received paylite loan at 1.5% interest rate. The monthly interest at 1.5% per annum for 4 instalments would come to Rs. 113.7, 111.3, 108.3, 106.4 totalling Rs. 440.2. Opposite parties charged Rs. 5,285.02 from the complainant at 18% per annum. Hence 2nd complainant is entitled for the refund of Rs. 4,844.82 (5,285.02 – 440.2 = 4,844.82) towards excess interest collected by the opposite parties. At the time of closure of the said paylite loan vide Ext.P9, opposite parties charged preclosure charge of Rs. 2,493.75 from the complainant which is illegal. 2nd complainant is entitled for refund of preclosure charge of Rs. 2,493.75 complainant has succeeded in establishing the complaint. Opposite parties' demand was illegal. Deficiency in service and unfair trade practice is proved.<br /> <br /> In the result complaint is allowed. Opposite parties shall refund an amount of Rs. 7,339/- (Rupees Seven thousand three hundred and thirtynine only) (Rs.4,844.82 + 2,493.75) to the 2nd complainant. Opposite parties shall pay the complainant an amount of Rs. 5,000/- (Rupees Five thousand only) towards compensation, and Rs. 1,000/- (Rupees One thousand only) towards the cost of the complaint. Opposite parties are directed not to make illegal demand from the customers under the cover of loan on phone without specifying the terms and conditions of the loan. Opposite parties are also directerd to stop such unfair trade practice. The said payments shall be made within two months from the date of this order.<br /> <br /> A copy of this order as per the statutory requirements be forwarded to the parties free of charge and thereafter the file be consigned to the record room.<br /> <br /> Dictated to the Confidential Assistant, transcribed by her, corrected by me and pronounced in the open Forum, this the 16th day of June, 2008.<br /> <br /> G. SIVAPRASAD, PRESIDENT. <br /> BEENA KUMARI .A : MEMBER <br /> <br /> <br /> S.K. SREELA : MEMBER <br /> <br /> ad <br /> <br /> OP No.125/2005<br /> APPENDIX<br /> I. Complainants' witness:<br /> PW1 : Mohammed Voli<br /> II. Complainants' documents:<br /> Ext. P1 : Photocopy of lr. Dated 4.8.2000 of Citi Bank issuing petro card No. 5546 1997 0744 6001<br /> P2 : Photocopy of DD dated 6.12.2003 for Rs.91,000/-<br /> P3 : Original monthly statement dated 19.12.2003 of Citi Bank<br /> P4 : Photocopy of letter dated 27.12.2003 sent by the 2nd opp. Party.<br /> P5 : Phoptocopy of reply letter dated 8.1.04 from City Bank.<br /> Annexure : Statement of loan on phone calculation from to P5 City Bank<br /> P6 : Photocopy of letter dated 17.2.04 from 2nd opp.party.<br /> P7 : Photocopy of reply letter dated 6.3.2004 from City Bank<br /> P8 : Photocopy of letter dated 13.03.2004<br /> P9 : Photocopy of reply letter dated 27.03.2004 from City Bank.<br /> P10 : Photocopy of cheques worth Rs. 40,357/- and Rs. 46,000/- dated 02..04..2004<br /> P11 : Photocopy of the intimation letter dated 5.4.04 regarding thje cheques sent to City Bank<br /> P12 : Original mopnthly statement dated 22..04..2004 received from the bank<br /> P13 : True copy of Advocate notice dated 20..06..2004 to the City Bank from 2nd complainant.<br /> P14 : True copy of letter dated 07..07..2004 from City Bank in reply to the advocate notice.<br /> P15 : Photocopy of letter dated 13..07..2004 from the complainant to close the account.<br /> P16 : Photocopy of advocate notice dated 16..02..2005 to City Bank<br /> P17 : photocopy of reply notice dated 01..03..2005 r received from city bank<br /> P18 : Photocopy of Indian Oil City Bank International card No.00072546210.<br /> P19 : Original monthly statement dated 24.03.2005 of City Bank with closing Balance - 63<br /> P20 : Original monthly statement dated 24..03..2005 of Citi Bank with closing balance – 0<br /> <br /> III.Opposite parties witness: NIL<br /> <br /> IV. Opposite parties Document: NIL<br /> <br /> <br /> PRESIDENT.<br /> <br /> <br /> <br /> <br />