Orissa

Debagarh

CC/73/2019

Sudhansu Kumar Amatya, S/o-Late Harihar Amatya, Aged about 65 years, by Profession Govt. Advocate - Complainant(s)

Versus

The Branch Manager, Utkal Grameen Bank - Opp.Party(s)

17 Mar 2020

ORDER

IN THE COURT OF DISRICT CONSUMER DISPUTES REDRESSAL FORUM, DEOGARH

C.D Case No-   73/2019

Present-        Sri Dipak Kumar Mahapatra, President, Smt. Jayanti Pradhan, Member (W) and Smt. Arati Das, Member.

 

Sudhanshu Kumar Amatya,

S/O- Late Harihar Amatya,

aged about 65 years, by profession Govt. Advocate,

R/O-Deogarh Town,Ward No-11,

P.O/P.S/Dist-Deogarh.                                                                    ...Complainant

                                                              -Versus-

The Branch Manager,

Utkal Grameen Bank,Deogarh.

P.O/P.S/Dist-Deogarh.                                                                    … Opposite Party

 

Counsels :-

For the Complainant:                     Nemo

For the           O.P:                            Sri. Sribatsha Mishra, Advocate,

 

DATE OF HEARING: 13.03.2020, DATE OF ORDER: 17.03.2020.

Sri Dipak Kumar Mahapatra, President-       Brief facts of the case is that, the Complainant in the year 2015 has availed KCC loan  from the O.P for an amount of Rs.1,00,000/- by submitting M.S Khatian and rent receipt. He has paid interest @ 3% per annum along with 2% crop insurance to the O.P in the first year. He renewed the loan for the year 2016, 2017 and 2018 without submission of rent receipt towards the landed properties.  In the fourth year i.e in  2019, the Complainant paid Rs. 6,200/-as interest and crop insurance premium to the O.P and requested to renew the loan but he did not renew it and demanded current rent receipt for renewal. The Complainant submitted the rent receipt in the month of December-2019 after the specified time period for which the O.P denied to renew the crop loan. The contention of the Complainant is that there is no need of fresh rent receipt as the  original ROR is with the O.P. and he got the loan renewed in early years without submitting rent receipt hence the O.P ought to renew the loan for 2019 without demanding the same. But according to the O.P there is no such provision for renewal of KCC Loan but after collection of the entire loan amount with interest relating to the crop season the amount is only refinanced. Any farmer/ borrower who avails crop loan, repays the entire loan with interest within the specified period i.e if for Khariff, payment must be done in between 1^st April to 30^th September and if for Rabi, in between 1^st October to 31^th March, it is considered as Prompt Repayment and interest will be charged @2% for the crop season. He has to pay interest @ 5% out of which 3% will be returned to him as interest subvention as per the guidelines of Government. If he pays within 6 months to 1 year, he will be charged at 5% and if repays after one year then he will be charged at 13.5%. Here the Complainant did not pay the loan amount in time hence the Bank charged @ 13.5% on loan amount. According to the O.P there are two provisions for refinance of crop loan, one is by submission of current rent receipt to prove the current possession of lands and another is satisfaction of the Branch Manager after a spot visit to ascertain the possession of lands. But in the year 2019,as the spot visit was not done by the O.P and  he (the O.P)demanded rent receipt according to provision and the Complainant is charged with 13.5% interest on crop loan.

POINTS OF DETERMINATION:-

1. Whether the Complainant comes under the purview of Consumer Protection Act.1986?
2. Whether the O.Ps has committed any Deficiency in Service and unfair trade practice to the Complainant?

 

From the above discussion and material available on records we inferred that the Complainant comes under the purview of consumer of the O.P as he has availed KCC loan from the O.P. As per the Revised Kisan Credit Card guidelines KCC limit is for five years subject to annual review and the rate of interest is based on the maximum drawal limit by the farmer/borrower. As per Government of India directives, short term production credit loans for limit up to 3 lakhs are eligible for interest subvention and presently charged interest should be up to 7% up to the repayment period maximum period of 12 months. Further as per the instruction of the State Level Bankers Committee Odisha, as Govt. of Odisha will provide addition 2% interest subvention, presently charged interest is 5% up to the repayment period maximum period of 12 months. It will provide 3% interest subvention to prompt repaying farmers from the date of disbursement/drawal up to the date of actual repayment of the crop loan or up to the due date of loan fixed by the Bank whichever is earlier. If the loan is not repaid within due date, then the interest rate will be applied at card rate, beyond the repayment due date, compounded half yearly or linked to Bank’s Prime Lending Rate (PLR) determined by the bank time to time. Here it is observed from the payment status of the Complainant there is irregularities in making payments against the crop loan 2018-2019 and the Complainant has not made full and final payment of loan with interest in specified time limit for repayment for which the Bank charged the Complainant at 13.5% on the outstanding amount.  Hence the O.P has not committed any Deficiency in Service or Unfair Trade Practice.

 

                    ORDER

The Complaint Petition is disallowed. The O.P is at liberty to collect all the outstanding dues pending against the name of the Complainant relating to the Kisan Credit Card (KCC) Loan in proper procedure in accordance with the guidelines framed by the Govt.  The Complainant is also directed to pay the outstanding dues to the O.P within 60(Sixty) days of receiving this order, failing which, the O.P is at liberty to proceed in due process of law.

 

Office is directed to supply the free copies of the order to the parties receiving acknowledgement of the delivery of thereof.

            Order pronounced in the open court today i.e. 17^th day of March, 2020 under my hand and seal of this Forum.

 

             I      agree,                                          I     agree,

                                   

          MEMBER(W).                                    MEMBER.                                          PRESIDENT.

              Dictated and Corrected

                           by me.

                   PRESIDENT.