O R D E R.
By Smt. Beena. M, Member:
The Complainant has filed the complaint seeking a direction to the Opposite Party to give time to pay the default installments, direct to reschedule the repayment of the loan without imposing excess interest and direct to pay compensation of Rs.50,000/- for mental agony and financial loss and to pay cost to the Complainant.
2. The facts of the complaint in brief are as follows:- The Complainant is the owner of a vehicle Mahindra Bolero Jeep bearing registration No.KL-73-C-162. The Complainant borrowed Rs.8,76,000/- (Rupees Eight Lakhs Seventy Six Thousand) on 27-09-2018 through account No.LASBY00037847536 from the Opposite Party to purchase the above number vehicle. As per the terms of the agreement, the Complainant had to repay the amount by equally monthly installment of Rs.18,393/- within 27-05-2024. The Complainant repaid the loan amount regularly up to July, 2020 and subsequently, due to Covide-19 Pandemic situation and financial stringency, Stagnation in the construction section and unemployment had made it difficult to pay installments on time, now altogether there were 8 EMI in arrears. Although the Complainant approached the Opposite Party and was willing to pay defaulted dues of loan amount of 3 installments and sought further time for repaying the remaining amount. However, the Opposite Party was not amenable for the suggestion and the Opposite Party threatened to seize the vehicle if the vehicle was not surrendered within a week or the loan amount was not repaid in full. Despite paying over Rs. 4 lakhs to the loan amount, the Opposite Party was not willing to give further time for payment of dues and or to reschedule the loan installments instead asked the Complainant to pay another Rs 8 lakhs immediately. If the vehicle is seized, the livelihood of the family of the Complainant will be miserable. The act of the Opposite Party is the violation of natural justice and deficiency in service. Hence the complaint.
3. After the admission of the complaint, the Commission issued summons to the Opposite Party. But they had not appeared and the Commission set the Opposite Party ex-parte.
4. The Complainant filed proof affidavit and he was examined as PW1 and the documents produced were marked as Ext.A1 and A2. Ext. A1 is the copy of Registration Certificate. A-2 is the statement of accounts.
5. The case of the Complainant stands unchallenged by the Opposite Party even after accepting the notice from this Commission. So we have no reason to disbelieve the sworn proof affidavit and documents filed by the Complainant. The Commission found that there is deficiency of service on the part of the Opposite Party as the Opposite Party has acted against Natural Justice as the had not considered the steps taken by the Government declaring moratorium in repayment of loans in Covid Pandemic situations and hence the Complainant sustained difficulties. Therefore, we are of the opinion that the complaint is to be allowed. The Opposite Party is liable to reschedule the arrears of loan amount.
In the result, the complaint is partly allowed without cost and compensation. The Opposite Party is hereby directed to reschedule the loan amount including the arrears up to this date into equal monthly installments considering the period for which the installments became arrears and extending the period further for which the Opposite Party shall have the power to charge reasonable interest.
Dictated to the Confidential Assistant, transcribed by him and corrected by me and pronounced in the Open Forum on this the 30th day of April 2022.
Date of filing: 28.09.2021.
PRESIDENT: Sd/-
MEMBER : Sd/-
MEMBER : Sd/-
APPENDIX.
Witnesses for the complainant:
PW1. Rajesh. K. A Business.
Witness for the Opposite Party:
Nil.
Exhibits for the complainant:
A1. Copy of Certificate of Registration.
A2. Loan Account Statement for LASBY00037847536.
Exhibits for the Opposite Party:
Nil.
