Date of filing:1.7.2013.
Date of disposal:8.12.2014.
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM - II:
VIJAYAWADA, KRISHNA DISTRICT
Present: SMT N.TRIPURA SUNDARI, B. COM., B. L., PRESIDENT (FAC)
SRI S.SREERAM, B.COM., B.A., B.L., MEMBER
MONDAY, THE 8th DAY OF DECEMBER, 2014.
C.C.No.61 of 2014
Between:
Boligarla Rama Devi, W/o Rama Krishna, Hindu, 29 years, R/o Door No.18-425-4, Krishna Reddy Colony, Nuzvid, Krishna District.
.… Complainant.
AND
1. The Manager, M/s Kapil Chit Funds Pvt., Ltd., D.No.17-264, Nuzvid Branch, Near Chinna Gandhi Bomma Centre, Nuzvid, Krishna District.
2. Chairman, Central Office, Plot No.26, Krishnapuri Colony, West Marredpally, Main Road, Secunderabad – 500 026.
3. The Managing Director, M/s Kapil Chit Funds Pvt., Ltd., Plot No.84, P&T Colony, Gunrock Enclave, Secunderabad.
4. The Assistant General Manger, M/s Kapil Chit Funds Pvt., Ltd., Zonal Office, Opp:BSNL Office, Beside of Hotel Kandhari, Mogalrajpuram, Vijayawada.
5. The Assistant Registrar of Chits, Sub Registrar Office, 2nd Floor, Above Brilliant High School, Near Vinayak Theatre, Gunadala, Vijayawada.
.… Opposite Parties.
This complaint coming on before the Forum for final hearing on 26.11.2014, in the presence of Sri P.Pavan Kumar, Advocate for complainant and Sri S.S.C.Bose, Advocate for opposite parties 1 and 4 and opposite parties 2 and 3 remained absent and Sri N.Nageswara Rao, Advocate for opposite party No.5 and upon perusing the material available on record, this Forum delivers the following:
O R D E R
(Delivered by Hon’ble President (FAC) Smt N.Tripura Sundari)
This complaint is filed under Section 12 of the Consumer Protection Act, 1986.
The averments of the complaint are in brief:
1. The complainant joined as a subscriber in the chit conducted by the opposite party 1 to 4 for a sum of Rs.3,00,000/- payable in 50 monthly instalments at the rate of Rs.6,000/- per month. The said chit was commenced from April, 2011. The complainant is regular in payment of monthly subscriptions. The complainant became a successful bidder on 20.7.2011. Subsequently the complainant furnished sufficient sureties in the month of September, 2011. After furnishing the required sureties the opposite parties 1 to 4 failed to pay the prized money to the complainant. The complainant paid subscriptions upto to October, 2011 even though the opposite parties failed to pay the prized money to the complainant. The complainant promised to pay the prized money to her cousin for her marriage expenses. Due to non payment of prized money the complainant was unable to pay the amount to her cousin’s marriage and due to which the marriage was postponed. Therefore the complainant sustained untold mental agony and monetary loss due to the acts of the opposite parties. Hence the complainant is constrained to file this complaint against the opposite parties 1 to 4 praying the Forum to direct the opposite parties 1 to 4 to pay prized amount of Rs.1,80,000/- with interest at the rate of 24% per annum from the date of payment, to pay Rs.1,00,000/- towards compensation for damages and to pay Rs.2,00,000/- compensation for mental agony, to direct the opposite party No.5 to take legal action against the opposite parties 1 to 4 as per law and to pay costs.
2. The 1st opposite party filed its version and the same is adopted by the opposite party No.4. Opposite parties 2 and 3 remained absent.
The 1st opposite party denied all the allegations of the complaint and submitted that the 1st opposite party got issued reply notice to the complainant on 21.11.2011 to the notice of the complainant dated 17.11.2011. The complainant failed to produce sureties. In the first instance the 1st opposite party got issued the letter to the complainant to furnish sufficient sureties on 24.8.2011. Thereafter the complainant submitted sureties of three persons. The salary payment slips who are railway employees in respect of 4th surety by name Nadivella Naga Sai Krishna Bhaskar teacher. For that the 1st opposite party asked the complainant to produce salary certificate of the above said three persons (railway employees) to be attested by their garnishee. In respect of NNSK Bhaskar already acted as guarantor of several chits in the 1st opposite party’s company and in view of that reason the 1st opposite party asked the complainant to furnish another surety in the place of NNSK Bhaskar. But she did not comply the requirements. Thereafter the 1st opposite party got issued several reminders and finally issued bid cancellation dated 18.10.2011 to the complainant and requested her to furnish sureties within one week and the same was received by her and kept quiet. The 1st opposite party has no objection to pay principle amount deducting the dividend amount paid by the complainant after deduction of company commission 5% and other incidental charges after termination of chit i.e., 20 May, 2015 as per Chit Fund Act. There is no deficiency in service on the part of the opposite parties and prayed to dismiss the complaint with costs.
3. The 5th opposite party filed its version and denied all the allegations of the complaint and submitted that the complainant was joined as a subscriber in Kapil Chits Kosta Private Limited and as per the information furnished by the complainant she was successful bidder in the chit that the 1st opposite party requested the complainant to furnish sureties to the said chit amount, the complainant did not furnish sureties to the satisfaction of the 1st opposite party and the sureties furnished by the complainant to the 1st opposite party are not perfect sureties and some of the sureties were already acted as guarantors in number of chits and the 1st opposite party requested the complainant to furnish the fresh sureties. But the complainant did not furnish fresh sureties. The 1st opposite party got issued a letter dated 26.11.2011 to this 5th opposite party and after receipt of the said letter the 5th opposite party enquired into the matter and ascertain the 1st opposite party did not commit any violations against the Andhra Pradesh Chit Fund Act. As per the pass book submitted along with the complaint it was found that the complainant paid monthly subscriptions only upto October, 2011 and subsequently the complainant was withdrawn from the chit without paying the monthly chit instalments. As there is no deficiency in service on the part of the 5th opposite party prayed to dismiss the complaint.
4. The complainant filed her affidavit and got marked Ex.A.1 to Ex.A.10. On behalf of the opposite parties 1 and 4 Sri M.Manipal Manager filed his affidavit and got marked Ex.B.1 to Ex.B.11. No affidavit and no document is filed on behalf of the 5th opposite party.
5. Heard and perused.
6. Now the points that arise for consideration in this complaint are;
1. Whether there is any deficiency in service on the part of the opposite parties 1
to 4 in not releasing the prized amount to the complainant?
2. If so is the complainant entitled for any relief?
3. To what relief the complainant is entitled?
POINTS 1 AND 2:-
7. It is an undisputed fact that the complainant joined as a subscriber in the chit conducted by the opposite parties 1 to 4 for a sum of Rs.3,00,000/- payable 50 monthly instalments at the rate of Rs.6,000/- per month. The said chit was commenced from April, 2011. The complainant says that she became a successful bidder on 20.7.2014 after furnishing the required sureties by her, the opposite party failed to pay the prized money to her. The complainant paid subscriptions upto October, 2011 under Ex.A.2 and Ex.A.3 dated 28.10.2011 for an amount of Rs.7,800/- and on 1.11.2011 for an amount of Rs.3,900/- respectively. Due to non payment of prized money the complainant was unable to pay the said chit amount to her cousin’s marriage and due to which the marriage was postponed. Ex.A.10 wedding card shows the marriage of one Ramaa with Prasad. As the opposite party failed to pay the prized money the complainant got issued legal notice under Ex.A.4 dated 17.11.2011 demanding the opposite parties to pay the chit amount of Rs.1,80,000/- within three days on receipt of the legal notice. The postal receipts disclose that the complainant sent the said notice. She also sent notice Ex.A.6 dated 26.11.2011 to the 5th opposite party requesting the 5th opposite party to take action against the opposite parties 1 to 4 as they did not pay the chit amount of Rs.1,80,000/- and to cancel license of the opposite parties as per the A.P. Chit Fund rules and she also sent another notice to the 5th opposite party dated 14.5.2012 under Ex.A.8 requesting for the status of the complaint dated 26.11.2011 given by her against the opposite parties.
8. According to the opposite parties the complainant failed to produce sureties after prizing the chit amount. The 1st opposite party got issued a letter to the complainant under Ex.B.3 to Ex.B.5 dated 24.8.2011, 10.9.2011 and 20.9.2011 to furnish sufficient sureties. Thereafter the complainant submitted sureties of 4 persons under Ex.B.8 to Ex.B.11. The salary payment slips who are railway employees and the 4th surety by name N.N.S.K.Bhaskar is a teacher. Further the 1st opposite party asked the complainant to produce salary certificates of the above said three railway employees would be attested by their garnishee. In respect of N.N.S.K.Bhaskar already acted as a guarantor of several chits in the 1st opposite party and in view of that the 1st opposite party asked the complainant to furnish another surety in place of N.N.S.K.Bhaskar. But the complainant failed to comply the requirements. Thereafter the 1st opposite party finally issued bid cancellation letter dated 18.10.2011 under Ex.B.6 to the complainant and requested her to furnish sureties within one week but she failed to furnish fresh sureties.
9. The 5th opposite party says that after receiving the letter from the complainant the 5th opposite party enquired into the matter and ascertain that the 1st opposite party did not commit any violations against the A.P.Chit Funds Act. As per pass book submitted by the complainant it was found that the complainant paid monthly subscriptions only upto October, 2011 and subsequently she was withdrawn from the chit.
10. On perusing Ex.A.1 pass book we noted that the complainant paid only Rs.39,900/- she prized the chit in the month of July and failed to submit proper sureties. We noted that Ex.B.8 to Ex.B.11 are not attested by their Garnishee. Hence they are not valid surety certificates. If the complainant submit proper sureties the opposite parties would release the prized amount of Rs.1,80,000/-. Therefore we hold that there is no deficiency in service on the part of the opposite parties and the complainant is not entitled for the relief as she prayed. As the complainant paid Rs.39,900/- she is entitled for the same after termination of the chit without any deductions.
POINT No.3:-
11. In the result, the complaint is dismissed without costs. The complainant is at liberty to approach the Forum after termination of the chit if the opposite parties fail to pay the paid amount.
Dictated to the Stenographer K.Sivaram Prasad, transcribed by him, corrected by me and pronounced by us in the open Forum, this the 8th day of December, 2014.
PRESIDENT(FAC) MEMBER
Appendix of evidence
Witnesses examined
For the complainant: For the opposite parties:
P.W.1 B.Rama Devi D.W.1 M.Manipal
Complainant, Manager of the
(by affidavit) 1st opposite part
(by affidavit)
Documents marked
On behalf of the complainant:
Ex.A.1 . . Pass book.
Ex.A.2 28.10.2011 Chit receipt for Rs.7,800/-.
Ex.A.3 01.11.2011 Temporary receipt for Rs.3,900/-
Ex.A.4 17.11.2011 Office copy of legal notice.
Ex.A.5 . . Four postal receipts.
Ex.A.6 26.11.2011 Copy of letter from the complainant to the 5th opposite party.
Ex.A.7 . . Postal receipt.
Ex.A.8 14.05.2012 Letter from the complainant to the 5th opposite party.
Ex.A.9 . . Wedding card.
Ex.A.10 . . Wedding card.
On behalf of the opposite parties:
Ex.B.1 26.03.2011 Photocopy of Chit Agreement.
Ex.B.2 19.11.2011 True copy of Statement of account.
Ex.B.3 24.08.2011 True copy of letter from the 1st opposite party to the complainant.
Ex.B.4 10.09.2011 True copy of letter from the 1st opposite party to thecomplainant.
Ex.B.5 20.09.2011 True copy of letter from the 1st opposite party to the complainant.
Ex.B.6 18.10.2011 Photocopy of letter from the 1st opposite party to the complainant.
Ex.B.7 21.11.2011 Reply notice from the 1st opposite party to the counsel for complainant.
Ex.B.8 . . Pay Slip for the month of August, 2011.
Ex.B.9 . . Pay Slip for the month of August, 2011.
Ex.B.10 . . Photocopy of Pay Slip for the month of August, 2011.
Ex.B.11 20.08.2011 Salary certificate.
PRESIDENT(FAC)
