DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, PALAKKAD

Dated this the 10^th  day of  November,  2021

Present    :  Sri.Vinay Menon V.,  President

                :  Smt.Vidya A., Member                                                   Date of Filing: 29/08/2019 

     CC/216/2019

Sebastian P.M.

Mundakkal House,

Palakkayam P.O., Kanjirappuzha,

Palakkad – 678 591

(By Adv. G. Shaji)                                                                   -           Complainant

                                                                                      Vs

 Branch Manager,

South Indian Bank,

Palakkayam branch, Palakkad – 678 591.

 (Adv. G. Ananthakrishnan)                                                     -           Opposite party

O R D E R 

By Sri.Vinay Menon V.,  President

1. Complainant aver that he is the holder of a Basic Savings Bank Account bearing no. 0736053000002517, to which his old age pension, cooking gas subsidy and governmental treatment aid are being credited. The said account was a no-minimum balance account. On 07.08.2015 and 21.08.2015, there were two deposits of Rs. 49,000/-. From 20.07.2018 onwards, the Bank has started issuing SMS to the mobile phone of the complainant whenever the minimum balance went below Rs. 1000/- and started debiting penalty. The Bank had informed him that the debit was based on RBI guidelines.  Eventhough he got a Lien marked in the account, the balance would fall beneath Rs. 1000/-. Even when there was Rs. 1008/- on 02.12.2018, the bank effected charging.  

The complainant is aggrieved by the deduction of charges even when there were  amounts over and above Rs. 1000/-. The complainant seeks  for Rs. 1000/- being the amount debited from his account even when minimum balance was maintained, Rs. 5000/- as compensation and Rs. 3000/- as costs.

2. Opposite party filed version highlighting the circumstances like the RBI guide lines under which the opposite party started charging penalty from the account of the complainant. The complainant has not given any communication directing with-holding of payment, in the event the balance would go below minimum balance. The complainant had not maintained minimum balance from 19.07.2018 to 17.08.2018, 19.08.2018 to 20.11.2018, 05.12.2018 to 19.12.2018 and 02.01.2018 to 01.08.2019. Hence amounts were debited in his account automatically whenever amount is available in the account towards such charges. Allegation of debiting of charges when minimum balance was maintained was denied and sought for dismissal of the complaint.
3. Pleadings considered, the following issues arise for consideration

1. Whether the opposite party has  debited penal charges from the SB account of the complainant when minimum amount was maintained?

            2.         Whether there is deficiency in service on the part of the O.P.?

3.         Reliefs and cost, if any.

4.         Evidence on the part of the complainant comprise of deposition of complainant as PW1. Exhibit A1 was marked on the part of complainant. Exhibits B1 to B5 were marked on the part of opposite party.

      Issue No. 1.

5. The relief portion in page III of the complaint makes clear the actual grievance of the complainant. He seeks an order directing the Bank to repay the amounts debited from his account even when he maintained the minimum balance. The complainant is aggrieved by the debit carried out by the Bank on 02.12.2018 when there was a balance of Rs. 1008/-
6. Exhibit A1 is the original pass book of the complainant pertaining to SB account maintained by the complainant in the opposite party Bank. A perusal of the transactions would show that the transaction by which the complainant is aggrieved would start on 21.11.2018. The transactions are scheduled below :

On 25.11.2018 Unrecovered Minimum Balance Charge of Rs.243.32 was debited, thereby reducing Rs. 1251.00 to Rs. 1007.68. Interest of Rs. 1/- is added to it and it became Rs. 1008.68. On 05.12.2018, a minimum balance charge is debited along with GST thereon, Rs. 18/-, totalling Rs. 118/-. Thus the  balance drops to Rs.890.68/-

7.         If unrecovered minimum balance charges were recovered on 25.11.2018, there is no way, the complainant’s account would attract minimum balance charges on 05.12.2018. Obviously, the entire dues were wiped out on 25.11.2018. Hence the bank is precluded from averring that the debit on 05.12.2018 was an unrecovered charge. It is clear that the bank has charged the complainant on 05.12.2018 even when he was maintaining the minimum balance of Rs. 1008.68/-.

            Issue No. 2

8.         From the observation made in paragraphs above, we hold that the conduct of the bank in debiting Rs. 100/- and Rs. 18/- as charges and GST on 05.12.2018, when there was minimum balance in the account of the complainant is a deficiency in service on the part of opposite party.

            Issue No. 3

9.         Eventhough the complainant has raised a claim for Rs. 1000/- on account of charges, there is no evidence to show that. The evidence points to Rs. 118/-.

10.       In the result, we direct the opposite party to reverse the debit and pay the complainant Rs. 118/- being the amount wrongly debited from the account of the complainant. The complainant is entitled to 12% interest on Rs.118/- from 5/12/2018 till date of repayment by the bank. The complainant is also entitled to       Rs.3000/- (Rupees Three thousand only)  as compensation and  Rs. 2000/-  (Rupees Two thousand only) as cost.

            This order shall be complied within a period of 45 days from the date of receipt of this order.  

            Pronounced in the open court on this the 10^th November 2021.

Sd/-

                                                                                                     Vinay Menon V

                                                                     President

 Sd/-

Vidya.A

                                          Member      

APPENDIX

Exhibits marked on the side of the complainant

Ext.A1 –  Original bank pass book of A/c No.0736053000002517 of SIB

Exhibits marked on the side of the opposite party

 Ext.B1 – Photocopy of account opening form

Ext.B2- Photocopy of Circular bearing No.473/PLG&DEV- GEN/80/14-15 dt.15/1/2015

Ext.B3 – Photocopy of Circular bearing No.61/PLG&DEV-SER/11/15-16 dt.14/5/2015

Ext.B4 – Statement of account dt.17/9/2019 covering 28/4/2015 to 16/9/2019

Ext.B5 – Master Circular on Customer Service in Banks dated 1/7/2015 issued by RBI

Witness examined on the side of the complainant

PW1 – Sebastian PM

Witness examined on the side of the opposite party

Nil

Cost : Rs.2,000/- allowed as cost of this proceedings.