D.O.F:07/07/2021
D.O.O:25/10/2024
IN THE CONSUMER DISPUTES REDRESSAL COMMISSION KASARAGOD
CC.119/2021
Dated this, the 25th day of October 2024
PRESENT:
SRI.KRISHNAN.K : PRESIDENT
SMT. BEENA. K.G : MEMBER
Saji Mathew,
S/o Mathai,
Orappanakkal, Vannathikkanam,
Rajapuram P.O, Kallar, PIN – 671532. : Complainant
(Adv. M.C Jose)
And
1. Branch Manager,
Indus Ind Bank,
Kanhangad Branch, Near Post Office,
Kanhangad, Pin – 671315.
2. Managing Director Cum CEO
Indus Ind Bank 2401, General Thimmayya Road,
Cantonment, Pune, Maharashtra, Pin – 411001. : Opposite Parties
(Adv. Babuchandran.K OP 1&2 )
ORDER
SRI. KRISHNAN.K : PRESIDENT
The facts of the case is that the complainant availed a loan of Rs. 19,50,000/-(Rupees Nineteen Lakh fifty thousand only) from Opposite Party bank on 24/04/2018 for purchase of a Hitachi vehicle. The 1st instalment payable was on 21/05/2018. The opposite party issued chart of payment on June 2018. Chart showed 1st instalment payable is on 24/04/2018, the mistake is pointed out to opposite party. The Opposite party corrected it on 30/08/2018. The complainant regularly paid the instalment.
On 21/12/2019 opposite party withdrawn Rs. 64,000/- as per chart, from account of complainant. The complainant issued a cheque of the Federal bank to January. He deposited Rs. 50,000/- for clearing the cheque. But cheque was dishonored because opposite party unauthorizedly withdrawn Rs. 64,000/- on 23/12/2019 and on 03/03/2021.
The Opposite party bank withdrawn Rs. 35,425/- in excess of amount due. The cheque were dishonored since opposite party acted in violation of terms of agreement. Another sum of Rs. 28,575/- is withdrawn by opposite party illegally from complainants account. The complainant claims refund of Rs.64,000/- with compensation of Rs. 5 lakh for mental pain and agony.
As per the order in IA 217/2023 complaint amended and it is stated that opposite party refused to give back the original invoice, and with held it thereby complainant suffered loss and claimed Rs. 5 lakh as compensation.
The opposite party filed written version denying the allegations opposite party admits that complainant availed a vehicle loan for purchasing machine SANY HYDRAULK EXCAVATOR MODEL SY35U-9 vide agreement dated 24/04/2018 for Rs. 19,50,000/-. The complainant agreed to repay Rs. 22,39,575/- in total. EMI fixed as EMI’s of Rs. 64,000/-one EMI 35,000/- and on EMI 28,575/- payable before 21st day of every month. The opposite party admits that two instalments are paid through cheque as per ECS facility.
The complainant fails to pay first beginning instalment dated 24/04/2018, but started re-payment only on 29/05/2018. It is true that on 23/12/2019 and on 03/03/2021 Rs. 64,000/- each was paid as overdue amount. Amount due alone is collected, Opposite party is not responsible for the directions of the cheque as alleged in the complaint. The Opposite party is not liable to pay 5 lakh compensation on that regard. Opposite party denied the allegation of illegal withdrawal. The opposite party collected amount is duly credited in the account of the complainant and adjusted towards the outstanding balance. And there is no deficiency in service from Opposite party and prayed to dismiss the complaint.
The complainant filed chief affidavit on 05/08/2022 and additional chief affidavit dated 11/01/2024. The complainant was cross examined as Pw1 and witness Pw2 to 4 examined from his side Ext A1 to A17 marked. No evidence adduced from opposite party side. Ext A1 copy of loan repayment schedule, Ext A2 is the letter dated 30/08/2018, Ext A3 letter dated 28/09/2018, Ext A4 letter dated 26/10/2018 issued by authorized signatory of the respondent bank, Ext A5 is statement of account of Federal bank, Rajapuram Branch from period of 03/05/2018 to 24/12/2019, Ext A6 is Statement of account for the period 25/12/2019 to 03/03/2021, Ext A7 is statement of account for the period 01/03/2021 to 03/06/2021, Ext A8 is lawyer notice, Ext A9 and A 10 are postal acknowledgment cards, Ext A11 is demand notice, A12 is Tax invoice, A13 is statement of account for the period 01/04/2018 to 31/12/2021, Ext A14 is Cheque, Ext A15 is Transaction details,A16 is letter issued by Icones Equipments , A17 is No due certificate issued by IndusInd Bank.
Considering the rival contentions following points arised for consideration:
- Whether there is any deficiency in service of Opposite party in collecting loan instalments, thereby any excess amount is collected as alleged by complainant?
- Whether Complainant is entitled to any compensation as claimed and if so for what reliefs?
The complainant’s case is that Opposite party unilaterally withdrawn Rs. 64,000/- from the complainant’s account and thereby Opposite parties committed deficiency in service and that caused loss and injury complainant is seeking compensation for deficiency in service and unfair trade practice. The complainant admits there are 36 monthly instalments payable Rs. 35,000/- is payable to 35th instalment and 36th instalment is Rs. 28,575/-. In Re-examination he says he received EMI chart only after 1 ½ months. On the date of EMI he was had sufficient cash balance in his account. He paid 1st EMI on 25/05/2018 as per instructions of Opposite party. He also admits the instlament due is on 21/04/2018 as per chart there will only 35 EMI’s but 36 month instalment is payable.
Pw1 was cross examined on the contest of additional chief affidavit. He says original invoice is with Opposite party. It is not handed over thereby sustained loss of Rs. 5 lakh.
Pw2 is the Senior Manager of Federal Bank. He produced Ext A13 account statement of complainant. He admits that on 03/03/2021 Rs.64,000/- is withdrawn. The Opposite Party No:3 the authorized signatory of opposite party bank IndusInd in 2018. He cited as a witness by complainant. He is the manager his evidence is very important. He say complainant availed loan on 24/04/2018. The 1st instalment due on 21/05/2028 due to system error amount could not be debited by ECS clearance. Here two cheques were used and collected Rs. 64,000/- is collected from complainants account without consent of complainant.
The Pw3 the Manager of IndusInd bank deposed before the Commission that February instalment of Rs. 35,000/- and March instalment of Rs. 28575/- are debited together by debiting Rs. 64,000/- amount payable on 21st March is seen collected on 3rd March. Pw3 admits that Rs. 64,000/- is withdrawn with the consent of borrower.
Thus opposite party bank admits collection of Rs. 64,000/- without authority and we found that complainant is legally entitled and Opposite party is legally liable to refund the amount with interest.
Regarding dishonor of cheque and compensation, as admitted by Pw3 amount repayable on 21st March but opposite party collected from complainants account on 3rd March caused loss to the complainant for which Opposite Party is liable to pay compensation to complainant. Considering circumstances of the case an amount of Rs. 50,000/- is reasonable compensation in this regard.
In the result complaint is allowed in part opposite Party No:1 bank is directed to pay Rs. 64,000/- (Rupees Sixty four thousand only) to the complainant with Rs. 50,000/- (Rupees Fifty thousand only) as compensation for deficiency in service with 8% interest from date of filing complaint till repayment to the complainant along with Rs. 10,000/-(Rupees Ten thousand only) as cost of litigation to complainant within 30 days of receipt of the order.
Sd/- Sd/-
MEMBER PRESIDENT
Exhibits
A1 - copy of loan repayment schedule
A2- A letter dated 30/08/2018
A3 - A letter dated 28/09/2018
A4- A letter dated26/10/2018
A5- Statement of account of Federal bank
A6- Statement of account for the period 25/12/2019 to 03/03/2021
A7 - statement of account for the period 01/03/2021 to 03/06/2021
A8- Lawyer notice
A9 & A10- Postal acknowledgment cards
A11 - demand notice
A12 - Tax invoice
A13- Statement of account for the period 01/04/2018 to 31/12/2021
A14 -Cheque
A15 - Transaction details
A16 - Letter issued by Icones Equipments
A17 - No due certificate issued by IndusInd Bank.
Witness Examined
Pw1- Saji Mathew
Pw2- Ashraf.E
Pw3- Ranjith.K
Pw4- Jenny.K.K
Sd/- Sd/-
MEMBER PRESIDENT
Forwarded by Order
Ps/ Assistant Registrar
