DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, PALAKKAD
Dated this the 31st day of May, 2023
Present : Sri.Vinay Menon V., President
: Smt.Vidya A., Member
: Sri.Krishnankutty N.K., Member Date of filing 26/11/2022
CC/236/2022
Chinnamma.K.T
D/o Thomas, Manakudy
Santhinagar, Manikkapadam
Vadakkencherry (P.O)
Palakkad – 678 683 - Complainant
(By Adv.P.Bindu)
Vs
1. Chairman
Pooram Finserv Ltd.
Pathayapura Building, Round South
Thrissur
2. Managing Director
Pooram Finserv Ltd.
Pathaypura Building
Round South, Thrissur
3. Manager
Pooram Finserv Ltd.
Padinjaremuri Building
Vadakkencherry (P.O), Palakkad - Opposite parties
(All opposite parties ex-parte)
O R D E R
By Sri.Krishnankutty.N.K., Member.
1. Pleadings of the Complainant.
The complainant’s grievance is that the opposite party company refused to redeem the non-convertible debentures after the declared redemption date. She subscribed to 3,250 secured redeemable non-convertible debentures of face value Rs. 1,000/- each and the due date for redemption was 25/06/2022. But the opposite party failed to redeem the debentures inspite of continuous contacts and follow-up with the opposite parties. Hence she approached this Commission seeking direction for redemption of the debentures having maturity value of Rs. 36,31,875/- along with cost of Rs.15,750/-
2. Notice was issued to the opposite parties. They did not enter appearance and hence was set ex-parte.
3. The complainant filed proof affidavit and marked Ext. A1 and A2 as evidence.
4. The documents adduced as evidence are the debenture certificates issued by the opposite party for 1,250 numbers of debentures and having face value of Rs. 1,000/- (Ext. A1) and 2,000 numbers with face value of Rs. 1,000/- (Ext. A2). The rate of interest payable is 11.75% per annum and the maturity value payable on the due dates of redemption is Rs. 13,96,875/- and Rs. 22,35,000/- respectively. Hence opposite party is liable to pay Rs. 36,31,875/- being the maturity value of debentures matured as on 25/06/2022.
Non-payment of maturity value to the complainant by redeeming the debentures on the due date is a clear case of deficiency in service/unfair trade practice on the part of opposite parties.
5. In the result the complaint is allowed as follows
- The opposite party company is directed to pay the maturity value of Rs. 36,37,875/- by redeeming the debentures along with interest @ 11.75% from 25/06/2022 till the date of payment.
- The opposite party is also directed to pay Rs. 2,00,000/- as compensation for deficiency in service and the resultant financial loss and mental agony.
- The opposite party is also directed to pay Rs. 25,000/- as cost.
The opposite parties shall comply with the directions in this order within 45 days of receipt of this order, failing which opposite party shall pay to the complainant Rs. 250/- per month or part thereof until the date of payment in full and final settlement of this order.
Pronounced in open court on this the 31st day of May, 2023.
Sd/-
Vinay Menon V
President
Sd/-
Vidya A
Member
Sd/-
Krishnankutty.N.K.
Member
Appendix
Documents marked from the side of the complainant:
Ext. A1: Debenture Certificate for 2000 numbers of face values Rs. 1,000/- dated
25/06/2021.
Ext. A2: Debenture Certificate for 1250 numbers of face values Rs. 1,000/- dated
25/06/2021.
Documents marked from the side of opposite party: Nil
Witness examined: Nil
Cost: Rs. 25,000/-
NB: Parties are directed to take back all extra set of documents submitted in the proceedings in accordance with Regulation 20(5) of the Consumer Protection (Consumer Commission Procedure) Regulations, 2020 failing which they will be weeded out.
