Karnataka

Chitradurga

CC/181/2018

Sri.Thippeswamy.N S/oNarasimhappa - Complainant(s)

Versus

The Branch Manager,Sri Ram Chits karnataka Pvt Ltd., - Opp.Party(s)

Sri Jyothi.B

28 Feb 2019

ORDER

COMPLAINT FILED ON:25/09/2018

DISPOSED      ON:28/02/2019

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHITRADURGA.

 

CC.NO:181/2018

 

DATED: 28^th FEBRUARY 2019

PRESENT :-     SRI.T.N.SREENIVASAIAH :   PRESIDENT                                     B.A., LL.B.,

                        SMT. JYOTHI RADHESH JEMBAGI

BSc., MBA., DHA.,                LADY MEMBER

 

……COMPLAINANT/S	N. Thippeswamy, S/o Narasimhappa, Advocate, Kodihalli village, Hosadurga Taluk, Chitradurga.   (Rep by Sri.Jyothi.B, Advocate)
V/S
…..OPPOSITE PARTIES	1. Branch Manager, Srirama chits, Karnataka private limited, Amogha Complex, Chitradurga. 2. Divisional Manager, Srirama Chits, Karnataka Pvt. Limited, Akshodaya, 259/31, 1st Floor, 10th cross, Vilson Garden, Bangalore.   (Rep by Sri.N.S. Shyamasunder, Advocate)

ORDER

SRI. T.N. SREENIVASAIAH:   PRESIDENT

The above complaint has been filed by the complainant u/Sec.12 of the C.P. Act, 1986 for the reliefs to direct the OPs to refund Rs.80,000/-, Rs.20,000/- towards mental agony and to grant such other relief.  

2.      The brief facts of the case of the above complainant are that, the OP No.1 is running a chit fund business at Chitradurga.  On 30.05.2015, the complainant has obtained a chit under Chit No.63002/2013 through agent under Code No.CD094 for Rs.3,00,000/- and on the same day, the complainant has paid Rs.3,000/- towards application charge.  The duration of the chit is for 40 months.  It is further submitted that, the agent assured that, if the member failed to continue and failed to pay the chit amount to OP No.1 and stopped the payment in the middle, he is entitled to get the amount what he has paid after lapse of three years along with interest.  The complainant has paid first two installments of Rs.7,500/- each,  two installments of Rs.6,000/- each and another two installments of Rs.8,000/- each in all the complainant has paid Rs.43,000/-.  After lapse of three years, the complainant requested the OP No.1 to repay the amount whatever he paid, but the OP No.1 failed to repay the same.  Therefore, the complainant has issued legal notice to the OP No.1 on 30.08.2018 requesting to repay the said amount.  The OP No.1 has replied to the notice issued by the complainant stating that, the complainant has paid the amount in six installments and to approach the Branch Manager.  The complainant approached the Branch Manager to repay the amount, but they stated that, they will pay only Rs.3,000/-, which is a deficiency of service and hence, prayed for allow the complaint.

3.      After service of notice to the OPs, OPs appeared through Sri.N.S. Shyamasunder, Advocate and filed version.  According to the version filed by the OPs, they have admitted that, they are running the chit fund business and the complainant is a member under member ship No.63002/2013.  Further it is admitted that, the complainant has paid six installments on different dates.  Further the OPs have submitted that, they have not asked for any blank cheque and surety from the complainant while he was taking the chit from OP No.1.  This Forum has no jurisdiction to entertain this complaint.  The complainant has suppressed the material facts and infact the contract entered into between the parties cannot be decided before this Forum.  The complainant has to approach the Civil Court for redressal of relief.  The transaction entered into between the parties is commercial in nature, the Deputy Registrar of Co-operative Societies is the proper person to decide the case under Section 70 of the Karnataka Co-operative Societies Act.  The OPs have received Rs.600/- as process fee and not Rs.3,000/- from the complainant.  The complainant has paid subscription amount installments on 30.05.2015, 10.06.2015 and 10.07.2015 to the tune of Rs.7,500/- in two installments and Rs.5,517/- in last installment respectively and thereafter, the complainant stopped the payment to the OP company.  If he is unable to pay the installments regularly and he could not join the group and somebody will join the group and will get the benefits.  As per the terms of agreement (13a) and Chit Fund Act, the Foramen has got right to deduct the of 5% of total chit value as commission.  Therefore, the complaint filed by the complainant is not maintainable either under law or on facts and the same is liable to be dismissed. 

  4.    Complainant himself has examined as PW-1 by filing affidavit evidence and the documents Ex.A-1 and A-2 were got marked and closed his side. On behalf of OPs, one Sri. Yallappa, the Assistant Manager of OP No.1 has examined as DW-1 and relied on Ex.B-1 to B-3 documents and closed their side.  

 

5.      Arguments heard.

6.      Now the points that arise for our consideration for decision of above complaints are that;

(1)  Whether the complainant proves that OPs have failed to repay the amount collected from him towards chit and entitled for the reliefs as prayed for in the above complaint?

              (3) What order?

         7.       Our findings on the above points are as follows:-

                    Point No.1:- Partly in Affirmative. 

                    Point No.2:- As per final order.

REASONS

8.      Point No.1:- It is not in dispute that, the complainant is the member of chit commenced by OP No.1 on 30.05.2015.  Further the OP No.1 has agreed that the complainant has paid three installments i.e., two installments of Rs.7,500/- each and Rs.5,517/- in all a sum of Rs.20,517/- on different dates.  After that, the complainant has not paid any amount to the OP No.1 and not continued as a member of the chit.  As per the terms and conditions of the chit, whoever stopped the payment in the middle in paying the chit amount, that person will get the amount what he has paid earlier after lapse of three years.  But as per the agreement, the consumer or the customer have not entitled for any interest on the amount whatever he paid.  The OP No.1 admits that, the complainant has paid three installments on different dates, such being the case, the admitted facts need not proved by the complainant.  When the OP No.1 admits about payment of installments by the complainant, the duty of the OP No.1 is to return the amount what he has paid with interest at nominal rate.  Accordingly, the complainant is entitled for  Rs.20,517/-.  In this case, the complainant has issued legal notice to the OP No.1 as per Ex.A-1 requesting to repay the amount, but the OP No.1 fails to repay the same.

   9.   We have gone through the entire documents filed by both sides.  There is no dispute between both the parties that, the complainant has paid the amount of Rs.20,517/- to OP No.1.  The OP No.1 also admits in its reply and version that, the complainant has paid the above said amount and accordingly, the complainant is entitled for the above said amount.  According to the documents, the complainant is the member under chit commenced by OPs and paid three installments of Rs.20,517/- and stopped the payment at the middle.  Thereafter, requested to pay the amount whatever he paid, but the OPs failed to refund the same. The OP No.1 admits that, the complainant has paid three installments and also received an amount of Rs.3,000/- towards admission charges.  Therefore, the complainant is entitled to get Rs.23,517/-.    Such being the case, this Forum comes to the conclusion that, the OPs have committed deficiency of service and accordingly, this Point No.1 is held as partly affirmative to the complainant.           

            10.     Point No.2:- As discussed on the above point and for the reasons stated therein we pass the following:-

 

ORDER

            The complaint filed by the complainant U/s 12 of CP Act 1986 is partly allowed.

            It is ordered that the OPs are hereby jointly and severally directed to pay a sum of Rs.23,517/- along with interest at the rate of 6% p.a from the respective dates of collecting the amount from the complainant.  Further it is ordered that, the OP No.1 is hereby directed to return all the documents received from the complainant.

            Further it is ordered that, the OPs are hereby directed to pay Rs.10,000/- towards mental agony and Rs.5,000/- towards costs of this proceedings.

            It is further ordered that, the OPs are hereby directed to comply the above order within 30 days from the date of this order.

            (This order is made with the consent of Member after the correction of the draft on 28/02/2019 and it is pronounced in the open Court after our signatures)         

 

                                     

MEMBER                                                   PRESIDENT

-:ANNEXURES:-

Witnesses examined on behalf of Complainant:

PW-1:  Complainant by way of affidavit evidence.

Witnesses examined on behalf of OPs:

PW-1:  Sri. Yallappa, the Assistant Manager of OP No.1 by way of affidavit evidence.

Documents marked on behalf of Complainant:

01	Ex-A-1:-	Legal Notice dated 30.08.2018
02	Ex-A-2:-	Reply to the notice dated 14.09.2018

 

Documents marked on behalf of OPs:

01	Ex-B-1:-	Payment details
02	Ex-B-2:-	Chit agreement

 

 

 

MEMBER                                                   PRESIDENT

Rhr**