Tamil Nadu

North Chennai

CC/196/2018

V.J.Vijayakumar - Complainant(s)

Versus

The Authorized Signatory, ICICI Bank Ltd., & others - Opp.Party(s)

C.K.M.Appaji

09 Sep 2022

ORDER

                                                                    Complaint presented on  :30.10.2008

                                                                     Date of disposal            : 09.09.2022        

DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION,

CHENNAI (NORTH)

@ 2^ND Floor, T.N.P.S.C. Road, V.O.C. Nagar, Park Town, Chennai – 600 003.

 

PRESENT :  THIRU G. VINOBHA, M.A., B.L.,                                     : PRESIDENT

                                   THIRU V. RAMAMURTHY, B.A., B.L., PGDLA : MEMBER-II

 

C.C. No.196/2018

 

DATED THIS FRIDAY THE 09^th  DAY OF SEPTEMBER 2022

 

V.J.Vijayakumar,

S/o.V.L.Jagadeesan,

54-1, Santhi Nagar 6^th Street,

Vysarpadi, Chennai-600 039.

                                                                                                …..Complainant

 

 ..Vs..

 

1.       The Authorised Signatory,

          I.C.I.C.I. Bank Limited,

          RAPG Disbursement Account,

          No.1, Cenetaph Road,

          Chennai-600 018.

2.       The Area Sales Manager,

          I.C.I.C.I. Bank Limited,

          No.93, Santhome High Road,

          Chennai-600 028.                                                

                                                                                      …. Opposite Parties

 

Counsel for Complainant                        : M/s.C.K.M.Appaji and 2 others

 

Counsel for  Opposite parties                   : M/s.S.Namasivayam and 2 others

 

 

 

 

ORDER

THIRU. G. VINOBHA, M.A., B.L.,     : PRESIDENT

          This complaint has been filed by the complainant against the opposite party under section 12 of the Consumer Protection Act, 1986 prays to direct the opposite parties to collect back the Demand Draft of Rs.1,18,000/- dated:02.04.2008 and to direct the opposite parties to restore the first loan account of the complainant in No.53453598- L.A.No.LPCHE 00007894342 and direct the opposite parties not to collect money through ECS in the account of the complainant maintained in Axis Bank, Anna Salai Branch, for the unclaimed loan and to pay Rs.5 Lakhs to the complainant towards mental agony, loss and sufferings.

This complaint was originally filed before the District Commission, Chennai (South) and taken on file in C.C. No. 446/2008.  Thereafter, the said complaint has been transferred to this Commission as per the proceedings of the Hon’ble S.C.D.R.C. and taken on file as C.C. No.196/2008.

1.THE COMPLAINT IN BRIEF:

          The complainant submitted that the opposite parties have disbursed a loan of Rs.2,34,000/- to the complainant in loan No.53463598-L.A.No.LPCHE 00007894342 with 36 monthly installments at the rate of Rs.7883/- for the period from 05.11.2006 to 05.10.2009.  Further submitted that during March 2008, one usha Rani attached with ICICI banker approached the complainant and informed him that the bank has taken note of the promptness of the complainant and there is scheme prevailing in the bank to extend new loan for the prompt customers. She further informed that the complainant is eligible for Rs.5,00,000/- and if the complainant interested in getting loan. The complainant consented for the parallel loan. On 28.03.2009 the said staff informed the complainant that the bank has sanctioned only Rs.4,00,000/- and the amount will be disbursed if the cheques meant for ECS clearance  is issued.  The complainant handedover 5 unfilled cheques bearing Nos.170926,170927,170928,170929 and 170930 of Axis bank for ECS clearance. On 02.04.2008 the ICIC bank issued the loan sanction letter in loan No.59589277 LAN no.LPCHE 00012780144 for Rs.2,57,000/-.  There is also a specific column in the sanction letter that the payment of the said loan is not adjusted in any of the previous loan.  On the same day the 1^st opposite party send a Demand Draft of Rs.1,18,000/-, he was informed that only Rs.2,57,000/- was sanctioned and the balance outstanding of the previous loan was deducted from the subsequent loan and the demand draft Rs.1,18,000/- was disbursed after the said adjustment.  The complainant wrote a letter to Banker on 10.04.2008 and 11.04.2008. The complainant requested the bank to collect back the demand draft of Rs.1,18,000/- and restore the previous loan which was closed without knowledge. They failed to accept the demand draft and refused. The complainant booked repeated tele banking complaints nos. S.R.61983299 dated:07.04.2008, etc., and Email complaint in S.R.65962559 dated:65962559 dated:09.05.2008, SR.69036838 dated 06.06.2008. It is submitted that the opposite parties have induced the complainant to apply for a loan and failed to disburse the loan as per the sanction letter.  They have adjusted the loan amount with another loan of the complainant without his knowledge and consent.  They are aware of the previous loan of the complainant is raging upto 05.10.2009 that also covers the future interest. In order to defraud the complainant the opposite party have adjusted the past loan while disbursing the subsequent loan. Even though the complainant preferred complaints in this connection and intend to hand over the demand draft. Hence the opposite parties committed to unfair trade practice and deficiency in service and due to which put mental agony and therefore prayed to restore the 1^st loan account and also collect back the demand draft for Rs.1,18,000/- and prayed for compensation and other reliefs.

  2. WRITTEN VERSION FILED BY  OPPOSITE PARTIES IN BRIEF.

          The opposite party deny each and every averment made by the complainant is false and put the complainant in to strict proof of the same.  The complainant signed an agreement for utilizing the personnal loan services of the opposite party subject to the terms and conditions.  The complainant was provided with a loan on 22.09.2008 LPCHE 00007894342 for Rs.2,34,000/- to be repaid in 36 EMIs of Rs.7883/- .  Later the complainant availed another personal loan on 02.04.2008 in No.59589277 for Rs.2,57,000/- subject to the terms and conditions incorporated in the agreement. The transactions between the complainant and opposite parties are one of contract whereby the complainant has agreed to avail the personal facilities of the opposite parties subject to the conditions that in case of failure to pay the services availed by him within the prescribed period he will be charged interest and penal interest to ensure that the money is promptly paid.  Once loan is availed the borrower is under obligation to pay the amount outstanding shown in the monthly statement furnished to him. The charges including interest are strictly based on the agreement between the complainant and opposite parties and in accordance with the RBI guidelines. The complainant was provided with a card based personal loan of Rs.54000/- in January 2006 and the said loan was repayable 36 installments commencing from 05.03.2006 to 05.02.2009. Later on 21^st august 2006 he was provided with a loan of Rs.55000/- the said amount was sent by a demand draft on 21.08.2006.  The complainant was in default in his EMI payments and on 16^th May 2017 the bank foreclosed the balance amount and his outstanding on that day against the said loan account was about of Rs.20416/- which is inclusive of principal foreclosure fees and other interest charges. The complainant has not filed any statement of accounts for the period from January 2006 to December 2006 shows the complainant’s intention to suppress the fact of his having availed Rs.55,000/- from the opposite party in August 2006.  The complainant is not bonafide and has not come with clean hands the complaint is liable to be dismissed as not maintainable.

3. POINTS FOR CONSIDERATION:

1. Whether there is any unfair trade practice  and deficiency in service on the part opposite parties 1and 2 as alleged in the complaint?

 

2. Whether the complainant is entitled for the reliefs prayed in the complaint.     If, so to what extent?

The complainant filed proof affidavit and also documents Ex.A1 to Ex.A8 were marked. The opposite party have filed proof affidavit and Ex.B1 to B4 were marked.

4. POINT NO :1

                   The complainant is a customer of opposite party bank, he has availed a personal loan of Rs.2,34,000/- on 22.09.2006 in loan No.53463598-L.A.No.LPCHE 00007894342.  As per the terms and conditions the loan has to be repaid with 36 EMI at Rs.7883/- per month commencing from 05.11.2006 to 05.10.2009.  This fact is not denied by the opposite party.  According to the complainant in March 2008 One Usha Rani attached with ICICI Bank  informed him that the bank has taken note of his promptness in repaying the loan and it is ready to extend new loan for prompt customers and the complainant is eligible for a loan of Rs.5,00,000/- and the complainant believing the words signed in unfilled printed forms for availing parallel loan and also he has handed five unfilled cheques of Axis bank Anna salai for ECS clearance, but to his shock and surprise on 02.04.2008 the bank has issued a loan sanction letter in loan No.59589277 LAN no.LPCHE 00012780144 for Rs.2,57,000/- and in the said sanction letter it is specifically stated that the said loan was not adjusted in any previous loan and on the same date the 1^st opposite party sent a demand draft for Rs.1,18,000/- and when he enquired about the same he was informed that the balance outstanding of previous loan was deducted from the new subsequent loan and hence demand draft was issued for Rs.1,18,000/-  and for which he wrote a detailed letter to bank on 10.04.2008 and 11.04.2008 wherein he has pleaded that he never asked for deduction of previous loan and hence prayed to collect back the draft of R.1,18,000/- and restore the previous loan which was closed without his knowledge and consent and contended that the previous loan amount period is ending with 05.10.2009 and it also covers future interest and hence the adjusting balance in the previous loan in the newly sanctioned loan without his consent and knowledge amounted to unfair trade practice and deficiency in service and due to which he was put to mental agony and therefore prayed to restore the 1^st loan account and also collect back the demand draft for Rs.1,18,000/- and prayed for compensation and other reliefs.

             5. But on the otherhand it was contended by the opposite parties that it is a banking company and the lending policy and interest and penal interest and other charges were governed  by the RBI guidelines and further contended that the complainant was given a loan for Rs.2,34,000/- in Nov-2006 and he signed in the loan agreement which contains the terms and conditions. The period of loan is 05.11.2006 to 05.10.2009 at Rs.7883 per month for 36 months and after making regular payment for 12 months thereafter the cheques issued were dishonored and payment was over due under such circumstances when the complainant opted for another loan in March 2008 and submitted an application in April 2008 a sum of Rs.2,57,000/- was sanctioned under loan No.59589277 LAN no.LPCHE 00012780144 for Rs.2,57,000/- and further contended that a cheque for Rs.1,18,000/- was disbursed after adjusting Rs.136288/- towards balance in the previous loan as found in Ex.B2 and the opposite party reworked  out the loan process and came out with a new loan account number LPCHE000013987698   in the place of old loan account number No.59589277 LAN no.LPCHE 00012780144 and as per the reworked new loan account the loan amount of Rs,1,39,000/- has to be repaid in 36 months 05.05.2008 to 05.04.2011 at Rs.5130/- per month as shown in the payment schedule Ex.B3 and further contended and inspite of revised loan schedule the complainant did not make payment and hence a remainder was sent on 03.12.2008 about the over due outstanding amount of Rs.35910/- for the period from 05.05.2008 to 05.11.2008 which is marked as Ex.B4 and further stated that the current outstanding as on August 2013 was Rs.358631/- as per the statement of Account which is marked as Ex.B2 and therefore contended that the suppressing those facts the complainant approached this commission with unclean hands to get unrich enrichment and alleged that there is no unfair trade practice  and deficiency in service on their part.

            6. It is found from Ex.A1 that the complainant was sanctioned Rs.2,34,000/- as personnel loan on 05.11.2006 repayable with 36 months at Rs.7883/- per month.  The loan terms ends with 05.10.2009.  It is found from Ex.A2 based on the loan application of the complainant on 02.04.2008 a new loan was sanctioned for Rs.2,57,000/- wherein it is found that the payment adjusted against the previous loan is shown as nil, but a cheque number with 168899 is given in Ex.A2 the said cheque is marked as Ex.A3 it is dated 02.04.2008 for a sum of Rs.1,18,000/- . The grievance of the complainant is that instead of giving loan amount of Rs.2,57,000/- he was given only Rs.1,18,000/- after adjusting to the balance of previous loan amount which was done without his knowledge and consent.  Under Ex.A4 and A5 the complainant has informed about the same to the opposite parties and also sent Ex.A6 legal notice for which there was no reply.  Though it is stated in Ex.A5 that he has presented the new loan cheque in his account as on date whether the cheque dated 02.04.2008 marked as Ex.A3 was encashed or not was not explained by both the parties.  Even the counsel on both the sides were absent at the time of oral argument and there upon orders were reserved based on written argument submitted on both sides.  As per the banking procedure and as per the RBI guidelines when a new account is opened in the name of same person in the same branch the previous loan account balance will be adjusted in the new loan account and the previous loan status will remain as closed and the balance in the previous loan amount will be carried to the new loan account along with new loan amount sanctioned and new loan account will be reworked.  In the absence of filing the loan agreement which contains the terms and conditions of the loan such adjustment of previous loan in the newly sanctioned loan without informing to the complainant cannot be alleged or termed as unfair trade practice or deficiency in service for the reason that the complainant is not in any way put to loss or his rights were no way affected thereby.  Further by virtue of clauses in the loan agreement the opposite party is entitled to adjust the previous balance of loan account in the new loan account.  The complainant failed to prove that the opposite party assured to give entire new loan amount to him without adjusting the balance in the earlier loan amount and there is no documentary proof also to prove such contention.  It is found from Ex.B2 at Page no.6 that on 02.04.2008 when the new loan account was opened the previous balance of Rs.1,36,288/- was adjusted and the status of the earlier loan account ending with loan No.53463598-L.A.No.LPCHE 00007894342 was shown as closed in the statement of account which is  marked as Ex.B2.  It is further found from Ex.B2 at page no. 8 that the complainant was sanctioned Rs.1,39,000/-as loan on 02.04.2008 repayable at 36 EMI at Rs.5130/- per month and it is further found the status of loan is shown as irregular and NPA status and installment pending from 5^th May 2008.  From Ex.B2 statement of Account it is found that the cheques issued by the complainant were bounced as insufficient funds on several dates and it is found from Ex.B2 page no.45 a sum of Rs.3,58,631/- is due and payable in the new loan account as on August 2013 and as found in Ex.B4 on 03.12.2008 the remainder was sent by the opposite party to pay the outstanding amount which will show that the complainant is not  regular in repayment of loan amount and has become a defaulter which was suppressed by him in the complaint and hence it is found that he has not approached this commission with clean hands.  The narration in the entire complaint shows as if the complainant is a prompt repayer of the loan amount and he was cheated by the opposite party by using deceitful methods which is found to be a false one.  The opposite parties acted as per the guidelines and banking rules and regulations and it is found that the complainant failed to prove alleged unfair trade practice and deficiency in service on the part of opposite party as stated in the complaint. Point no.1 is answered accordingly. 

7. Point No.2.

            Based on findings given to the Point.No.1 since there is no deficiency in service and unfair trade practice on the part of Opposite parties, and hence the complainant is not entitled to the relief of restoration first loan account of the complainant loan No.53463598-L.A.No.LPCHE 00007894342  and also for a direction to collect back the demand draft of Rs.1,18,000/- and also not entitled for a direction not to collected money through ECS in the account of complainant in Axis Bank Anna salai and for compensation for mental agony as claimed in the complaint.  Point no.2 answered accordingly.

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

Dictated  by the President to the Steno-Typist taken down, transcribed and computerized by him, corrected by the President and pronounced by usin the open Commission on this the 09^thday of September 2022.

MEMBER – II                                                                        PRESIDENT

LIST OF DOCUMENTS FILED BY THE COMPLAINANT:

Ex.A1		Statement of account for the first loan.
Ex.A2	02.04.2008	Loan sanction letter.
Ex.A3	02.04.2008	Copy of demand draft for Rs.1,18,000/-
Ex.A4	10.04.2008	Objection letter.
Ex.A5	11.04.2008	Objection letter.
Ex.A6	16.06.2008	Legal notice to opposite parties.
Ex.A7		Postal acknowledgements.
Ex.A8		Copy of blank cheques of Axis bank issued for ECS clearance.

LIST OF DOCUMENTS FILED BY THE OPPOSITE PARTIES:               

Ex.B1		Copy of power of attorney.
Ex.B2		Copy of SOA of loan LPCHE00007894342
Ex.B3		Copy of SOA of loan LPCHE000013987698
Ex.B4		Reminder for payment of over due amount of Rs.35910 in LPCHE000013987698

 

MEMBER – II                                                                      PRESIDENT