Tamil Nadu

South Chennai

CC/153/2021

N. Sanjeevkumar - Complainant(s)

Versus

The Manager, India Infoline Finance Ltd and another - Opp.Party(s)

R. Dhamodaran

10 Apr 2023

ORDER

  Date of Complaint Filed:22.01.2021

  Date of Reservation     :23.03.2023

  Date of Order              :10.04.2023

 

          DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION,

CHENNAI (SOUTH), CHENNAI-3.

 

PRESENT: TMT. B. JIJAA, M.L.,                                           : PRESIDENT

                    THIRU. T.R. SIVAKUMHAR, B.A., B.L.,           :  MEMBER  I 

                    THIRU. S. NANDAGOPALAN., B.Sc., MBA.,   : MEMBER II

               

CONSUMER COMPLAINT No.153/2021

 MONDAY,THE 10^th DAY OF APRIL 2023

Mr. N. Sanjeevkumar,

S/o. Mr. Narasimhan,

No.4C, AGS Colony, 3^rd Cross Street,

Velacherry, Chennai – 600 042.                                        .. Complainant.

 

-Vs-

1.The Manager,

   India Infoline Finance Ltd,

   No.12A-10, 13^th Floor,

   Parinee Crescenro, C-38 and C-39,

   G-Block, Behind MCA,

   Bandra Kurla Complex,

   Bandra (East), Mumbai – 400051,

   Maharashtra.

 

2.The Manager,

   India Infoline Finance Ltd,

   No.10/1, 9^th Floor, Bascon Futura Tower,

   Venkatanarayana Road, T. Nagar,

   Chennai – 600 017.                                                .. Opposite Parties.

* * * * *

 

 

Counsel for the Complainant               : M/s. R. Dhamodaran,

                                                                S.S. Sajeevkesan

 

Counsel for 1^st  Opposite Party           :  Exparte on 13.05.2022

 

Counsel for 2^nd Opposite Party           : Exparte on 05.07.2022

 

On perusal of records and upon hearing the oral arguments of the counsel for Complainant this Commission delivered the following:

ORDER

Pronounced by Member-II, Thiru. S. Nandagopalan., B.Sc., MBA.,

(i) The Complainant has filed this complaint as against the Opposite Parties under section 35 of the Consumer Protection Act, 2019 and prays to pay a sum of Rs.5,00,000/- towards deficiency of service and to pay a sum of Rs.5,00,000/- for mental agony caused to the Complainant and to pay a sum of Rs.5,00,000/- towards unfair trade practice and to pay a sum of Rs.5,00,000/- towards loss of his public image, respect, dignity etc along with cost of the complaint.

I.  The averments of Complaint in brief are as follows:-

1.     The Complainant submits that he approached the 2nd Opposite Party in the month of September 2017 to avail a loan facility. A loan of Rs.4,80,000/- was provided to the Complainant by the 2nd Opposite Party with monthly EMI installments of Rs. 16875/- for 36 months under loan account No.SL970811, dt.07.09.2017. The Complainant admits that due to the financial crisis he could not continue to make regular monthly repayments. The Complainant further states that the Opposite Parties continued to exert pressure as he remitted only three monthly installments i.e upto December 2017 and was not in a position to continue the repayments thereafter. Hence the Complainant decided to settle the entire outstanding balance as of January 2018. Therefore he approached the 2nd Opposite Party at Chennai and on their advice, he obtained a Demand Draft bearing No.035028, dated 10.02.2018 for Rs.5,23,616/- drawn on Axis Bank, Mumbai Fort Branch favouring the first Opposite Party towards full settlement of loan account No.SL970811. The 1st Opposite Party duly encashed the aforesaid amount of Rs.5,23,616/- and informed the Complainant that the said amount was received via their email dated 12.03.2018 addressed to the Complainant by relieving him from the said loan issue. The Complainant further states that he was surprised to receive a legal notice from the counsel for the Opposite Parties on 28.02.2018, i.e. after the full settlement of the aforesaid loan, demanding the Complainant to pay a sum of Rs.4,94,088/- being the outstanding loan amount as on 22.02.2018 under the loan account No.SL970811, dated 07.09.2017 within seven days from the date of receipt of the said notice. The said legal notice has further stated that in the event of failure to pay the said sum, the said issue would be referred to the Arbitration of an Arbitrator as per the relevant clause provided under the finance documents.

2.     The Complainant was shell-shocked on the receipt of the aforesaid legal notice completely suppressing the fact of receipt of the entire outstanding loan from him. The Complainant states that his woes did not end with that. He has received notice dated 25.04.2018 along with arbitral proceedings from one Mr.Anis Ahmed, Arbitrator having office at No.313, 3rd Floor, D-wing BKC Annex, Kurla (west) Mumbai - 400 070 in connection with the claim amount of Rs.494088/- (Rupees Four Lakhs Ninety Four thousand eighty eight only) along with interest payable by the Complainant to the Opposite Parties vide case No.ARB/IIFL/257/2018. The Complainant immediately filed a counter statement by RPAD before the said Arbitrator on 29.04.2019. Later, the first Opposite Party has sent a notice to the Complainant bank viz. HDFC Bank, Velachery, Chennai - 600 042, vide their Ir.No.IIFL/Jan20/Mum Legal Lien Letter/212, dated 07.01.2020 asking the bank to freeze the bank account number 50100127095264 in the name of the Complainant, stating that the Complainant has committed a digital fraud and taken the loan proceeds with an intention to cheat and given misrepresentation and falsification of account. Thus the Opposite Parties for no fault of the Complainant, have damaged the good reputation, respect, dignity etc. of the Complainant causing untold mental sufferings, torture and lowering his image in the eyes of people of his neighbourhood. Even after doing all these character assassination, the Opposite Parties have the audacity to send email regularly to the Complainant asking for repayment the latest being on 19.01.2021 to the Complainant calling upon him to pay the non-existing outstanding loan amount. The Complainant states that he filed this complaint against the Opposite Parties who adopted deficiency of service and unfair trade practices causing mental agony to the Complainant hence the Opposite Parties are liable to compensate for the stress caused.

II. The Opposite Party set ex parte:

        Notice was sent to the Opposite Parties and was duly served to the Opposite Parties. Despite the notice being served to the Opposite Parties they failed to appear before this Commission either in person or by  Advocate on the hearing date and not filed any written version on their side.  Hence the Opposite Parties 1,2 are called absent and set ex-parte. Subsequently, the case was proceeded to be heard on merits.

III.   The Complainant has filed his proof affidavit,  in support of his claim in the complaint and has filed documents which are marked as Ex.A-1 to A-8. Written argument of Complainant was filed.

IV.  Points for Consideration:-

 

1. Whether there is deficiency in service on the part of the Opposite Parties?

2. Whether the Complainant is entitled for reliefs claimed?

3. To what other reliefs the Complainant is entitled to?

Point No. 1 :-

3.     On careful perusal of Complainant averments and the respective documents it is admissible that the Complainant took loan of Rs.4,80,000/- under the Loan account number SL970811 dated 07.09.2017 from the Opposite Parties for 36 months tenure and EMI of Rs.16,875/- to be paid every month. The Complainant averred that due to the financial crisis he could not continue to make regular monthly repayments of EMI installments of Rs. 16875/- under loan account No.SL970811. Further the Complainant contended that he remitted only three monthly installments as his financial position did not allow him to continue the repayments thereafter. Hence decided to close the loan account therefore Complainant approached the 2nd Opposite Party at Chennai and received an email dated 29.01.2018 intimating the outstanding balance of Rs.5,23,616/- for the loan account No.SL970811 as seen in Ex.A-1 for which the Complainant took a Demand Draft No.035028 for the said amount of Rs.5,23,616/- on 10.02.2018 drawn on Axis Bank, Mumbai Branch in favour of the 1^st Opposite Party as found in Ex.A-2. The aforesaid mentioned amount of Rs.5,23,616/- was also acknowledged expressly by the 1^st Opposite Party in its e-mail dated 19.10.2018. The 1^st Opposite Party in the said email has calculated and included the interest amount i.e., calculated from 12.02.2018 till 12.03.2018 in that said demand draft for Rs.5,23,616/- which included the pre-closure charges also. The Complainant immediately sent the said demand draft  to the Opposite Party in mid-Feb 2018. But the first Opposite Party after having realised the entire amount on 07.03.2018, has referred the matter to the Arbitrator who in turn initiated Arbitration proceedings No.IIFL/257/2018 dated 30.3.2018 as seen in Ex.A-4 enclosing the claim statement of the 1st Opposite Party seeking a repayment of Rs.4,94,088/- as on 22.2.2018 in the loan account No.SL970811 by the Complainant by getting aggrieved by the Opposite Parties behaviour Complainant immediately sent a counter statement to the Arbitrator on 29.04.2019 as seen in Ex.A-6 by furnishing the payment details of the outstanding loan amount along with pre-closure charges as early as on 10.02.2018. Thereafter the Arbitral proceedings were dropped. Further, the 1^st Opposite Party sent a letter to the Complainant's bank account i.e HDFC Bank Ltd, Velachery Chennai as per Ex.A-7 on 07.01.2020 asking the later to freeze the bank Account No.50100127095264 being maintained by the Complainant stating that the Complainant has committed digital fraud without having any justification or on any legal basis with valid proofs. Not content with this, the Opposite Parties continued to send email regularly to the Complainant asking for repayment of loan on 19.01.2021 even just prior to this complaint as seen in Ex.A-8. Even after the relevant intimations and subsequent legal notice the Opposite Parties deliberately remained ex-parte.

4.     On careful perusal of the Complainant submissions and the respective materialistic evidence produced by the Complainant alongside considering the sequence of happenings we are of a considered view that the Opposite Parties has indulged in unfair trade practice with a malafide intention allowing the Complainant to suffer even after recovering the outstanding amount for the loan account No.SL970811 through a Demand Draft No.035028 for the said amount of Rs.5,23,616/- on 10.02.2018 drawn on Axis Bank, Mumbai Branch in favour of the 1^st  Opposite Party as found in Ex.A-2. It is pertinent to note that the Opposite Parties inappropriate behaviour remains unjustifiable by causing mental agony and hardship to the Complainant through their unfair trade practice which is admissible by seeing the series of occurrence. Hence the Opposite Party is liable to compensate the Complainant towards the deficiency of service and unfair trade practices committed by them by not adhering to the basic principles of financial company discipline by causing mental agony. Point No.1 is answered. 

Points No. 2 & 3:-

5.     As discussed and decided in Point No.1 against the Opposite Parties, the Opposite Parties jointly and severally are liable to pay a sum of Rs.2,00,000/- towards deficiency of service and unfair trade practice and also for mental agony along with cost of Rs.5,000/-. Accordingly, Point Nos.2 and 3 are answered.

In the result the Complaint is allowed in part. The 1^st and 2^nd Opposite Parties are jointly and severally directed to pay a sum of Rs.2,00,000/- (Rupees Two Lakhs Only) towards deficiency of service and unfair trade practice and also for mental agony along with cost of Rs.5,000/-(Rupees Five Thousand Only) to the Complainant within 8 weeks from the date of the receipt of this order, failing which the above said amount of Rs.2,00,000/- shall carry interest @9% p.a from the date of the order till the date of realization.

Dictated to Steno-Typist, transcribed and typed by her, corrected and pronounced by us in the Open Commission, on 10^th of  April 2023.

 

S. NANDAGOPALAN               T.R. SIVAKUMHAR                    B.JIJAA

      MEMBER II                          MEMBER I                            PRESIDENT

 

List of documents filed on the side of the Complainant:-

 

Ex.A1	29.01.2018	1st Opposite Party’s e-mail addressed to the applicant intimating the outstanding loan amount of Rs.5,23,616/-
Ex.A2	10.02.2018	Copy of Demand Draft for Rs.5,23,616/- drawn on Axis Bank, Mumbai Branch, in favour of the 1st Opposite Party
Ex.A3	28.02.2018	Legal notice from the counsel for Opposite Party addressed to the applicant demanding Rs.4,94,088/-
Ex.A4	30.03.2018	Notice from the Arbitrator Mumbai with a copy of claim in case No.IIFL/257/2018 addressed to the applicant
Ex.A5	25.04.2018	Notice from the Arbitrator Mumbai addressed to the applicant
Ex.A6	29.04.2019	Counter statement by the applicant sent by RPAD to the Arbitrator, Mumbai
Ex.A7	07.01.2020	Opposite Party’s letter addressed to the applicant’s bank at velacherry, Chennai
Ex.A8	19.01.2021	Various E-mail exchanged between the Opposite Party and the applicant from April 2018 to date.

 

List of documents filed on the side of the Opposite Parties:-

 

9008.  

 

S. NANDAGOPALAN               T.R. SIVAKUMHAR                    B.JIJAA

      MEMBER II                          MEMBER I                            PRESIDENT