IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KOLLAM

DATED THIS THE     22^nd DAY OF NOVEMBER 2022

Present: -        Sri. E.M.Muhammed Ibrahim, B.A, LLM. President

            Smt.S.Sandhya   Rani. Bsc, LLB ,Member

            Sri.Stanly Harold, B.A.LLB, Member

    CC.No.267/2018

Mrs.Bindu S., 39 years,

W/o Jayakumar, residing at 144,

Chittakkattu thekkathil, Kozhikode

Mekkum Muri, Ayanivelikulangara

Village, Karunagappally, Kollam

690573.                                                                                   :           Complainant

(By Adv.S.Krishnakumar)

V/s

1.      The Branch Manager,

               Office in–charge, HDFC Bank Ltd.,

             Irumpupalam, Vadakkumbhagom,

               Kollam 691001.                                                                     : Opposite party

                  (By Adv. Asha G.V.)

2.      Head of the Department/Office in-charge,

                    Retail loan Client Service Desk,

                  HDFC Bank Ltd., 26 A,

                   Narayan Properties, Off:Saki Vihar Road,

                    Chandivali, Mumbai 400013.

              (By Adv. Asha G.V.)

ORDER

Smt.Sandhya Rani, B.Sc, LLB, Member

            This is a case based on a complaint filed U/s 12 of the Consumer Protection Act 1986.

            The averments in the complaint in short are as follows:-

            On 24.08.2017 the complaint’s brother Mr.Binu approached the outlet of Muthoot Honda at Karunagappally to purchase a car.  The staff who were in charge of the said firm introduced Honda City Model car through their catalogue and compelled him for advance booking and in such a coercive circumstances he has remitted Rs.5,000/- by way of advance.  At that occasion the staff of the opposite parties were present there and they have offered to arrange vehicle loan for purchasing the car and further told that since he is NRI, there must be a permanent resident for entering into the Hypothecation agreement and thus the complainant was forced to put signature in certain papers which were given by the staff of the opposite parties and  they have collected signed blank cheques, tax receipt and copy of identity card from the complainant.  Thereafter on 27.08.2017 one of the staff of opposite party informed that the vehicle loan has been passed and sanctioned Rs.7,00,000/- and directed to remit the initial amount on 30.08.2017.  On the same day itself when the complainant and her brother were visited the 1^st opposite party and enquired about further payments, he could realize the high price of the above model car and has dropped his wish to purchase the same and informed the dealers to return the advance amount.  Thus the vehicle dealers cancelled the booking and returned the advance amount.  Even though that matter was informed to the 1^st opposite party in the very same day itself, they have collected Rs.14,790/- from the bank account of the complainant  by making material alterations in the blank cheque leaf without her consent and information.  Thereafter the 1^st opposite party issued a loan cancellation letter to the complainant.  According to the complainant the opposite parties have no right to collect EME from the complainant.  Hence she has requested and demand to refund the amount but the 1^st opposite party didn’t respond to it.  Thereafter on 15.02.2018 also the complainant had approached the  1^st opposite party  for getting the said amount but that attempt was also became in vain,  Hence the complainant sent Advocate notice on 26.02.2018.   Though the 1^st opposite party received the notice on 27.02.2018 they have neither refunded the amount nor sent any reply.  The above mentioned acts on the part of opposite parties amounts to illegal and unfair trade practice.  Hence the complainant is entitled to get back the collected amount Rs.14,790/- from her account and to get Rs.50,000/- by way of compensation for  the mental agony and hardship caused to her from the opposite parties and to return the cheque and documents collected from the complainant as well as costs of the proceedings.  Hence the complaint.

            The opposite parties No.1 & 2 filed a joint written version raising the following contentions.  The complaint is not maintainable, either in law or on facts and is liable to be dismissed in limini.  That the complainant had availed Auto Loan of Rs.7,00,000/- bearing loan account No.50542647 from 1^st opposite party bank and in consideration of the same, the complainant had executed loan agreement and other documents in favour of the opposite party.  It is the complainant who had identified the vehicle model make, usability as per her choice and approached the opposite party bank for want of financial facility and the amount was disbursed to the dealer identified by the complainant.  Since the complainant had decided to cancel the loan at her instance, the opposite party bank is entitled for cancellation charges as per the terms of loan agreement and accordingly the loan closed in the system.  An amount of Rs.14,207.33/- was adjusted toward cancellation interest and charges, which was collected strictly in terms of loan agreement and the same was intimated to the complainant and dealer as per the loan cancellation letter dated 13.03.2018.

            The opposite parties denied all the allegations stated in the complaint such as  that opposite parties had offered to arrange vehicle loan and they have forced to put signature in certain papers, blank cheque etc and collected Rs.14,207/- after making material alterations in the blank cheque leaf without the consent and information of the complaint. According to the opposite parties the complainant is not entitled to get any amount as claimed in the complaint, since the complainant had intimated the opposite party to cancel the loan only after disbursing the loan amount to the dealer, hence the complainant is liable to pay EMI amount, interest and charges as per the terms of loan agreement.  Due to the unilateral withdrawal from the contract the opposite party had to go through unnecessary works and lost business.  Therefore the complainant is liable legally and factually to compensate the opposite party.  That this complaint is hoisted only to harass the opposite party.  That none of the opposite parties have not committed any deficiency in service or unfair trade practice.  The cause of action against the opposite parties are false, frivolous and vexatious and hence the complainant is not entitled for any reliefs from the opposite parties, hence the opposite parties pray to dismiss the complaint with costs.

            In the light of the above pleadings the point that arise for consideration are:-

1. Whether there is any deficiency in service or unfair trade practice on the parties 1 and 2?
2. Whether the complainant is entitled to get the amount Rs.14,207.33/- realized by the opposite parties by way of cancellation interest and charges?
3. Reliefs and costs?

Though the case has been listed and relisted for trial, the complainant has not turned up nor there was any representation for the complainant.  Hence we are of the view that the complainant is not interested in adducing any oral evidence.  Hence got marked the documents filed along with the complaint as Ext.P1 to P5.  The opposite parties have filed proof affidavit and got marked Ext.D1 to D4 documents.  Neither the complainant nor her counsel has turned up and advanced any oral argument nor filed any argument note.  The opposite parties filed notes of arguments.  Heard the counsel for the opposite parties.     

Point No.1 & 2

            For avoiding repetition of discussion of materials these two points are considered together.  The following are undisputed rather admitted facts. On 24.08.2017 the complainant has submitted an application before 1^st opposite party bank through the outlet of Muthoot Honda at Karunagappally for availing a vehicle loan with intend to purchase a Honda City Car for her brother and paid Rs.5,000/- in advance along with signed blank cheque, tax receipt and copy of ID card etc of the complainant on 27.08.2017.  The 1^st  opposite party informed the complainant that the vehicle loan has been passed and sanctioned Rs.7,00,000/- and the same was disbursed to the dealer.  Due to the high price of the above model car her brother dropped his wish to purchase the said Honda City Car and informed the matter with opposite party on that day itself and the dealers have cancelled the booking and returned the advance.  But it is evident from Ext.P1 bank account details that the opposite party collected Rs.14,790/- on 05.10.2017 from the account of the complainant by way of cancellation charge and interest.  According to the complainant the opposite party appropriated the said amount Rs.14,790/- from her bank account without her consent and information.  That opposite party has no right to collect EMI from the complainant and even after repeated request and demand the opposite parties didn’t refund the same to her.

            The specific contention of the opposite parties 1 and 2 is that the complainant has availed Auto loan of Rs.7,00,000/- bearing loan a/c No.50542647 from  1^st opposite party as per the Ext.D3 loan agreement and as per the direction of the complainant the loan amount was disbursed to the dealer.  But the complainant cancelled the loan at her instance.  In the circumstances the 1^st opposite party entitled for cancellation charges as per the terms of loan agreement and accordingly the loan closed by adjusting an amount of Rs.14,207.33/- towards cancellation charge and interest and the same was intimated to the complainant by virtue of Ext.D4 letter dated 13.03.2018.

            In view of the averments in the version and proof affidavit filed by the opposite parties that they have received intimation regarding the cancellation of allowed Auto Loan after disbursing the loan amount to the dealer.  Hence the complainant is liable to pay EMI amount interest and charges as per the terms of loan agreement.

            The Car Loans Schedule cum Key Fact Statement in Ext.D3 agreement would indicate that in the event of cancellation of loan, interest charges will be borne by the customer Processing Fee, Stamp duty and RTO charges (used card purchase/Re finance/Rewards) are not refundable charges and would not be waived/refunded in case of loan cancellation.

            In view of Ext.D4 cancellation letter produced it is evident that how the opposite parties have arrived at the amount Rs.14,207.33/- as cancellation charges and interest.  In view of the terms and conditions contained in Ext.D3 loan agreement the opposite parties have every right to obtain Rs.14,207.33/- by way of cancellation charge and interest.

            On evaluating the entire materials available on records it can be safely concluded that there is no deficiency in service or unfair trade practice on the part of opposite parties as alleged in the complaint.  We find no merit in the complaint and the same is only to be dismissed.  Point answered accordingly.

Point No.3   

            In the result complaint stands dismissed.

            No costs.

Dictated to the Confidential Assistant  Smt. Minimol S. transcribed and typed by her corrected by me and pronounced in the  Open Commission this the 22^nd   day of  November 2022.

                                                              S.SANDHYA RANI:Sd/-

                                                                   E.M .MUHAMMED IBRAHIM:Sd/-

                                                                                                                STANLY HAROLD:Sd/-

                                                                                                  Forwarded/by Order

                                                                                                               Senior superintendent

INDEX

Witnesses Examined for the Complainant:-Nil

Documents marked for the  complainant

Ext.P1             : Copy of Bank statement dated  05.10.2017

Ext.P2             : Copy of Loan cancellation letter dated 26.11.2017

Ext.P3             : Copy of Advocate notice dated 26.02.2018

Ext.P4             : Copy of postal receipts dated 26.02.2018

Ext.P5             : Copy of A/D card dated 27.02.2018

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-

Ext.D1                        : Certified copy of board of Resolution

Ext.D2                        : Loan Application Form

Ext.D3                        : Certified copy of loan agreement & schedule

Ext.D4                        : Certified copy of cancellation letter dated 13.03.2018