O R D E R <br /> <br /> <br /> SRI. D.KRISHNAPPA., PRESIDENT., <br /> <br /> <br /> The grievances of the complainant against OP in brief is, that he had availed a loan of Rs.2,00,000/- from OP on 27-01-2005 for purchase of a motor car, re-payable in 36 installments. That he has cleared entire loan in 36 installments as on 02-01-2008. After so clearing the loan he approached the Op for issue of clearance certificate to get the hypothecation endorsement in the RC book cancelled. But the OP refused to issue on the ground that one cheque given for the repayment is bounced and that amount is due to them. That he appraised OP several times but the OP on 25-06-2008 through his letter informed him that cheque No:26852 dated 02-10-2005 issued for Rs.6200/- was bounced for insufficient funds and to take up the matter with his banker. Then he approached his banker and the banker who in turn has issued a letter stating that the cheque in question was cleared through clearing house on 06-10-2005 and cheque amount is credited to the OP’s account. Thereafter he despite contacting the OP and apprising him the same and requesting to issue clearance certificate the OP has not obliged. As the result he had to get a legal notice issued which is served on the OP on 21-12-2009 and as the result of OP not issuing clearance certificate, he was not able to dispose of the car and claiming damage under different heads in a sum of Rs.1,03,000/- and has prayed for allowing the complaint with interest and cost. <br /> <br /> OP is dully served with the notice of this complaint, he has remained absent and as such is set ex-parte. <br /> <br /> In the course of enquiry into the complaint, the complainant has filed affidavit evidence and has produced a copy of the letter that he received from the OP claiming that a cheque issued by him was bounced for want of sufficient funds and the cheque amount Rs.6200/- is due. As against this he has also produced a copy of a letter of his banker namely The sirsi Urban Sahakari bank, Sirsi and a copy of statement of his banker with a copy of the legal notice he got issued to the OP. Heard the counsel for the complainant and perused the records. <br /> <br /> On perusal of the grievances of the complainant, affidavit evidence and the documents produced prove the loan transaction this complainant had with the OP and clearing the entire loan amount except one installment as alleged by the Op through his letter dated 25-06-2008. Whereas the complainant claims to have paid the entire amount and he is not due anything. The complainant claimed to have repaid the entire loan amount as on 02-01-2008, whereas the O, on the complainant approaching him for issue of clearance certificate issues a letter on 25-06-2008 claiming as if a cheque bearing NO:26852 for Rs.6200/- issued for the month of 02-10-2005 was bounced for want of sufficient funds. Here we shall bear in mind that the Op according to them, though that cheque was bounced during October 2005 woke up to say that was dishonoring in the year 2008. This itself proves the inefficiency’s of the functioning of the OP. Because if the cheque of October 2005 was bounced and when the complainant had cleared all other EMI’s as on 02-01-2008 what this OP was doing on the bounced cheque of October 2005 is a big question that arise and points to the OP. In this letter the Op had instructed the complainant to take up the issue of bouncing of cheque with his banker. Then the complainant produces is banker’s letter dated 24-07-2008 which proves that the complainant’s cheque bearing NO:26852 for Rs.6200/- issued in favour of OP has been paid to OP through clearing house through Oriental bank of commerce, MG road, Bangalore on 06-10-2005. The complainant has also produced account extract issued by his banker and it is evident that the cheque in question was honored and the cheque amount of Rs.6200/- was credited to the OP bank on 06-10-2005 itself, further debiting that amount to the account of the complainant. This fact was even brought to the notice of the Op through the legal notice dated 16-11-2008 but despite that OP has slept over the issue without raising to the expectation of the complainant to concede their mistake and then to issue clearance certificate by apoloising to the complainant for the deficiency in the service they have rendered. All these materials and documents placed before us un-erringly prove that the cheque amount of Rs.6200/- issued by the complainant towards installment of October 2005 was honored and that amount was credited long back to the account of the OP and absolutely there is nothing due from the complainant. The OP despite receipt of legal notice in this regard has failed to respond which prove the glaring deficiency in the service of the OP. <br /> <br /> As noticed from the facts narrated above the OP appeared to have no courage to appear and put up defense to this complaint probably realizing their error and having no courage to face the situation. This callous act of OP has resulted in un-wanted harassment and litigation to the complainant. This tendency will have to be curbed, therefore we propose to allow this complaint by awarding reasonable damages to the complaint with punitive damages. With the result we pass the following order. <br /> <br /> O R D E R<br /> <br /> Complaint is allowed. OP is directed to issue no due or clearance certificate to the complainant stating that the complainant is not due any amount towards the loan transaction he had, within 30 days from the date of receipt of this order. <br /> <br /> OP shall also pay damages of Rs.5000/- to the complainant within 30 days from the date of receipt of this order. <br /> <br /> OP shall also pay punitive damages of Rs.20,000/- out of which Rs.10,000/- be paid to the complainant and balance shall be remitted to the legal aid account of this forum. <br /> <br /> OP shall pay the above amounts within 30 days from the date of receipt of this order failing which they shall carry interest @ of 9% per annum from the date of this order till the date of payment. <br /> <br /> OP shall also pay cost of Rs.1000/- to the complainant.<br />