Tamil Nadu

South Chennai

CC/212/2007

Mr.Sirajudeen - Complainant(s)

Versus

The ABN AMRO Bank - Opp.Party(s)

K.Ganesan

19 Dec 2017

ORDER

                                                                        

DISTRICT CONSUMER DISPUTE REDRESSAL FORUM, CHENNAI (SOUTH)

     2^nd Floor, Frazer Bridge Road, V.O.C. Nagar, Park Town, Chennai-3

 

PRESENT: THIRU. M.MONY, B.Sc., L.L.B. M.L.,                     : PRESIDENT            

                  TMT. K.AMALA, M.A. L.L.B.,                                 : MEMBER I

             DR. T.PAUL RAJASEKARAN, M.A ,D.Min.PGDHRDI, AIII,BCS : MEMBER II                

C.C.NO.212/2007

TUESDAY THIS  19^th DAY OF DECEMBER 2017

 

Mr. Sirajudeen,

Managing Director,

M/s. Siraj Construction Pvt. Ltd.,

Habeeb Centre,

Old No.27, New No.51, 2^nd Floor,

T.T.K. Road, Alwarpet,

Chennai 600 018.                                              Complainant

 

                                              ..Vs..

1. The ABN AMRO Bank,

Rep. by its Manager,

Credit Card Division,

19/1, Haddows Road,

Chennai 600 006.

 

2. The ABN AMRO Bank,N.V. 

Rep. by its Manager,

Credit Card Division,

Hansalaya Building,

15, Barakhamba Road,

New Delhi 110 001.                                            Opposite parties.

 

Counsel for Complainant             :    M/s. K. Ganesan            

Counsel for opposite parties       :    M/s. R. Balaji & another   

ORDER

THIRUMATHI.K.AMALA,   ::    MEMBER-I

 This complaint is filed by the complainant against the opposite parties to remove the complainant’s name from the defaulters list and to pay a sum of Rs.20,00,000/- towards compensation for loss of reputation and to pay cost of the complaint.

1.  The averment of the complaint in brief are as follows:

         The complainant submit that the 1^st opposite party sent their representative to the complainant and induced the complainant to accept Freedom Free Credit card of its bank, representing that the Member need not have to pay any membership fee or annual fee and that the said Freedom free credit card is absolutely free from payment of any fee or maintenance charges expect usage depending upon the availability of credit limits.   Believing and acting on the afore said representations made by the 1^st opposite party, the complainant subscribed to one Freedom free credit bearing Nop.5415 3823 0527 2981.  However the complainant was surprised to receive a Statement of account from the 1^st opposite party wherein the 1^st opposite party debited a sum of Rs.595/-  towards membership fee.  Immediately the complainant by his letter dated 5.8.2004 returned the said Freedom free credit card duly mutilating the same and the said letter  has been duly acknowledged by the 1^st opposite party on 11.8.2004.   The 1^st opposite party apologized the mistake committed by them and offered yet another Freedom free credit card bearing No.5415 3823 0843 2848.    While so the complainant was shocked and surprised to receive a statement of account for the period 18.3.2005 to 17.4.2005 from the opposite parties wherein a sum of Rs.595/- has been debited towards membership fee.    On receipt of the statement of account, the complainant was constrained to issue a Lawyer’s notice dated 26.4.2005.    Though the said notice has been duly acknowledged by the 1^st opposite party, they did not care to send any reply.  The false representation made by the 1^st opposite party is nothing but an act of unfair trade practice adopted by them besides gross deficiency in service and negligence.  

 2.    The complainant further states that in or about the 2^nd week of January 2007, the complainant approached  one M/s. Deutsche Bank for the purpose of availing credit card and the same was rejected by them on the ground that the opposite parties have kept the complainant’s name in the defaulter’s list (WEP) for no-fault of the complainant.    The complainant is not in a position to avail any loan from any financial institutions nor any credit card from any reputed bank.   It is needless to point out here that the complainant is having the following credit cards since 1997 viz:

1. American Express debit /credit card and Gold Card.
2. Citi Bank Master card, visa card and Diner card
3. ICICI visa gold card,
4. HSBC visa gold card and
5. ING Vysya credit card.

The complainant has been maintaining the above credit cards without any remarks whatsoever ever since 1997 till date.   The complainant has also availed car loan for a sum of Rs.3,00,000/- and the said loan has been promptly and punctually discharged.    The complainant is a reputed builder and flat promoter.   By reason of the opposite parties putting the complainant’s name  in the defaulters’ list (WEP) without any rhyms or reason, the reputation of the complainant has been lowered.    The complainant has been spending sleepless nights on account of the aforesaid conduct on the part of the opposite parties.   On account of the gross negligence, deficiency in service, unfair trade practice and dereliction of duty committed by the opposite parties, the complainant issued a registered lawyer’s notice dated 15.2.2007 calling upon the opposite parties to remove the complainant’s name from the defaulters list forthwith and pay compensation amount of Rs. 20,00,000/-.  Though the said notice has been duly acknowledged by the opposite parties.    They have neither complied with the demands contained in the said notice, nor sent any reply  till date.   As such the act of the opposite parties amounts to deficiency in service which caused mental agony and hardship to the complainant.  

3.  The brief averments in the Written Version filed by the  opposite parties is as follows:

      The  opposite parties denies each and every allegations except those that are specifically admitted herein.  The opposite party herein after referred to as “the bank” denies all allegations that are contents of the complaint filed herein, save those that are specifically admitted herein.   However at no point of time the bank had promised to provide a credit card free for life, but however the name of the card was “Freedom card” and not Free card.   If the card was to be provided free of charges the complainant cannot rank as a “Consumer” within the meaning of the Act.    It is thus denied that the bank had ever promised that the credit cards were free of service charge, as it was part and parcel of the usage of the same and there was no such guarantee or promise by the bank to that effect as it was not the policy of the bank also.   The complainant admittedly for reasons best known to him surrendered the first card allotted to him stating that since he was misled that the card was free of service charge.   The Bank in the normal course through its statement of account had claimed the annual membership fees and this cannot be termed as illegal.   However the bank once again provided the complainant with yet another card, which was also accepted by the complainant and even this card was not offered at free of cost.   It is the admitted case of the complainant that he was provided with credit cards and that dissatisfied he surrendered the cards and it was purely his decision to do so.   It is not the case of the complainant that he had sustained financial loss owing the demand made by the bank and while this being so, the complainant has no case at all.  Similarly the damages claimed is not sustainable.   The damages sought by the complainant is exorbitant and beyond imagination as it has been laid down by the Apex Court that Under Sec.14(1)(d) of the Act.   It has to be established whether the loss alleged was direct result of negligence or whether it is remote.  In the absence of such proof the claim cannot be sustained and has to be rejected totally.    The complaint has to be dismissed with cost.   Therefore it is prayedthat this Forum may be pleased to dismiss the complaint. 

 

4.     In order to prove the averments of the complaint, the complainant has filed proof affidavit as his evidence and documents Ex.A1 to Ex.A8 marked.  Proof affidavit of opposite parties filed and  no documents   marked on the side of the opposite parties. 

 

5.  The points for the consideration is:  

1. Whether the complainant is entitled to remove his name from the defaulters list (WEP) as prayed for?

2. Whether the complainant is entitled a sum of Rs.20,00,000/ as compensation towards loss of repudiation, mental agony and deficiency in service as prayed for ?

 

6.   POINTS  1 & 2 :

        It is an admitted fact that the complainant  accepted a credit card namely Freedom free credit card vide No.5415382305272981 and surrendered the same on 5.8.2004.   Again the complainant accepted another Freedom free credit card vide No.5451382308432848 and surrendered the same on 26.4.2005.  The contention of the complainant is that the 1^st opposite party’s representative induced the complainant to accept Freedom free credit card representing that the member need not pay any membership fee and absolutely free from payment of any fee or maintenance charges except usage depending upon the availability of credit card.  But the complainant was surprised to receive a statement of account wherein the opposite party debited a sum of Rs.599/- towards the member ship fee as per Ex.A3.  Immediately the complainant returned the card vide letter date 5.8.2004 Ex.A1 duly mutilating the same which was acknowledged by the opposite party on 11.8.2004.

7.     The complainant further contended that the 1st opposite party had apologized and offered yet another Freedom free credit card which was accepted by the complainant with a fond hope that they will not repeat the same mistake in future.  While so he was shocked and surprised to receive a statement of account for the period 18.3.2005 to 17.4.2005 wherein a sum of Rs.595/- has been debited towards membership fee and also charged late fee as per Ex.A3.   Hence the complainant was constrained to issue legal notice dated 26.4.2005 Ex.A2 along with the 2^nd credit card for cancellation.  Thereby the complainant attributed allegations against the opposite party that they had committed unfair trade practice,  but on a careful perusal of Ex.A5 the terms and conditions of the Freedom free card reveals that the card holder has to pay the standard annual fee of Rs.595/- and it is also seen that the complainant has not paid the annual fee for the credit cards.    

8.     Further the contention of the complainant is that during the 2nd week of January 2007 when he approached the Deutsche Bank for the purpose of availing credit card the same was rejected on the ground that  the 1^st opposite party had kept the complainant’s name in defaulters list (WEP) and it caused  great inconvenience stress and mental agony.    But the complainant had not produced any document to establish the same.  On the other hand it was not denied by the opposite party.         

9.     The 1^st opposite party contended that they never promised the complainant that the credit card was free of service charges.    If the card was  provided free of charges then the complainant cannot be ranked as a consumer.  Therefore the contention of the opposite party that their claim of annual membership fee  cannot be termed as illegal is acceptable.  

10.   On perusing the statement of account Ex.A3  it is seen that the complainant had not utilized the credit cards and even after cancellation of credit cards the 1^st opposite party had charged interest in compounding manner on the annual membership fee.    It is not denied by the opposite party that the complainant had not availed the services of the credit card.  Therefore  the complainant is not liable to pay late fee and service charges for the credit card.  However once the offer of credit card had been accepted by the complainant he is liable to pay the annual membership fee towards the credit card.   

11.    The  complainant   also   attributed  allegation  against  the  opposite party  that  his  name has been kept in defaulter list due to which he could  not  avail  credit  card  from  any  other  banks and is against public  policy.  On  the  other  hand  no  documents   produced   by   the complainant    to   substantiate  it.  However,  considering the facts and circumstances of the case this forum is of the considered view that the  opposite party is duty bound to remove the complainant’s name from the defaulters list (WEP) if any on receipt of  the annual membership fee of Rs.595/- towards Freedom Free credit card No.5415382305272981 and Rs.595 towards 2^nd  Freedom free credit card vide No.5451382308432848 from the complainant and the points are answered accordingly.

In the result, the complaint is dismissed.   No cost. 

              Dictated by the Member-I to the Assistant, taken down, transcribed and computerized by her, corrected by the Member-I and pronounced by us in the open Forum on this the  19^th     day  of  December  2017.

 

MEMBER-I                        MEMBER-II                             PRESIDENT.

Complainants’ side documents:

Ex.A1- 5.8.2004    - Copy of letter by the complainant.

Ex.A2- 26.4.2005  - Copy of legal notice.

Ex.A3-                  -  Copy of Various Statements.

Ex.A4- 6.6.2005    -  Copy of letter by ABN Amro with  enclosures.

Ex.A5-                  -  Copy of terms and conditions.

Ex.A6- 15.2.2007  - Copy of legal notice.

Ex.A7- 28.6.2009  - Copy of reply notice.

Ex.A8- 5.6.2007    - Copy of rejoinder

 

Opposite parties’ side documents:    

 

Nil

 

MEMBER-I                        MEMBER-II                             PRESIDENT.