Order-8.

Date-11/05/2016.

Complainant Swarup Hazra by filing this complaint has submitted that complainant has been given a Credit Card by the OP being Credit Card No.4147521280857005 with a cash limit of Rs.1,00,000/-.

          Complainant during the period of the above Credit Card availed Rs. 54,389.54 paisa as the cash limit was Rs. 1,00,000/-.  So, complainant had no any bar or anxiety for such availing amount but according to the statement of the OP Bank, total availing amount till 03.02.2016 Rs. 54,389.54 paisa out of which complainant paid Rs.10,600/- to the OP Bank and OP Bank charged the joining fees of Rs. 48,000/- and service tax of Rs. 7,108.16 paisa which is beyond the knowledge and imagination of the complainant as because nothing has been stated or informed before issuing the Credit Card by the OP Bank to the complainant and for this inflated and abnormal charges for joining fees, complainant tried to inform by letter dated 12.03.2016 to the OP Bank having complaint No.14757 dated 10.02.2016 by Email on 07.02.2016 and on 08.02.2016 to the Customer Care Services but nothing was done.  The main grievance of the complainant is that for joining fees, service tax which are charged is completely baseless because there is no terms and conditions in the said Credit Card as was given by the OP. 

So, in the above circumstances, complainant has prayed for directing the OP passing such order for giving such relief and to pay such fees and for harassing to the complainant by such means.

Truth is that notices were served upon the OP in respect of the notice of the complaint on 18.04.2016 and the complaint was filed on 26.02.2016.  But the OP did not turn up for which ultimately case was fixed for ex-parte hearing.  Subsequently Evidence in chief is filed by the complainant.  But even after receipt of the notices knowing fully well, the pending of the case, OP did not turn up for which there is no other alternative but to dispose of on the basis of materials on record.  So, it is decided ex-parte in final call.

Decision with reasons

On proper consideration of the entire materials on record, we find that the Credit Card was not issued by the OP Bank as per prayer of the complainant. But it was given by the Bank being Credit Card no. 4147521280857005 with cash limit of Rs.1,00,000/-.  But no agreement was executed in between the complainant and OP in respect of that Credit Card and at the time of issuing the said Credit Card, there was no such information supplied by the Bank to the OP for Credit Card membership charges of Rs.48,000/- shall be paid by the complainant.   So, complainant on good faith received the said Credit Card knowing fully well about the cash limit of Rs.1,00,000/- and already used the said Credit Card and availed of the facilities of Rs.54,389.54 paisa.  But when the statement is sent, it was found that a sum of Rs.48,000/- has been included as joining fees.  But it was not the terms and conditions of the Credit Card as there was no agreement in between the complainant and OP.

So, in the above circumstances, it is clear that OP acted illegally and for which OP did not appear because they have their no agreement.  For that reason, they did not appear before this Forum to challenge the allegation of the complainant.

Fact remains that complainant has availed of Rs.54,389.54 paisa out of that he has paid Rs. 10,600/-.  So the balance amount shall be paid by the complainant.  It is no doubt a question of charging service tax of Rs. 7,108.16 paisa is also illegally charged and joining fees is also illegal because there was no legal agreement in between the complainant and OP.

Peculiar factor is that Op has got ample chance to challenge the complainant.s allegation.  But OP even after receipt of the summons did not turn up, that means everything has been done in such a manner and it has become a practice of the private Bank to issue such sort of Credit Card.  The RBI already passed such direction, regulations, rules that unless and until an application is made by the complainant for Credit Card, no Credit Card shall be given to the complainant unilaterally and even if the customer used the Credit Card, in that case no penalty charges, nothing can be charged against the Credit Card.

On the contrary penalty shall be imposed against the Bank who have issued such Credit Card.  considering the RBI guidelines and rules, we are convinced to hold that in that case OP Bank violated the rules of the RBI and unilaterally sent the said Credit Card without any written agreement, without any application of the complainant for which we are convinced that OP adopted unfair practice and harassed the complainant in so many manner and charges of fees of Rs.48,000/- as joining charges and service tax of Rs. 7,108.16 paisa are all illegally charged and complainant is not liable to pay such charges against that alleged Credit Card being no. 4147521280857005 with cash limit of Rs.1,00,000/-.  So, complainant shall have to pay the balance amount of Rs.43,789.54 paisa with interest immediately and without any further delay.

Accordingly for that deficient and negligent manner of service and for violating the rules and regulations of RBI and also for illegally charged of fees without any application of the complainant and also without any legal agreement in between the parties and further for charging such illegal joining charges and service tax etc. the complainant is entitled to get redressal.

Hence, it is

ORDERED

That the complaint be and the same is allowed in ex-parte form against the OPs with cost of Rs.5,000/-.

OPs are hereby directed to close the said Credit Card being No. 4147521280857005 with cash limit of Rs.1,00,000/- immediately and cancel the same and complainant shall have to pay the balance amount of Rs.43,789.54 paisa with banking interest to the OP bank within two months from the date of this order and on payment of that amount to the OP Bank complainant shall be free from all liabilities in respect of the said Credit Card being No. 4147521280857005.

For harassing the complainant in such manner and also for adopting unfair trade practice by the OP violating the rules and regulations of the RBI guidelines, OP Bank is imposed penal damages of Rs.10,000/- which shall be paid to this Forum to check such sort of mal-practices as adopted by the OP Bank.

Op Bank is hereby directed to comply the order within two months from the date of this order, failing which for non-compliance of this Forum.s order, penal action shall be started u/s 25 read with Section 27 of C.P. Act, 1986 for which further penalty and fine shall be imposed upon OPs.