Karnataka

Bangalore 4th Additional

CC/12/2020

Edwin Dass, - Complainant(s)

Versus

The Manager, SBI Gold Growth Mutual Fund Company, - Opp.Party(s)

21 Jan 2020

ORDER

ORDER

 

SMT.PRATHIBHA. R.K., PRESIDENT

 

        This complaint is filed by the complainant against the Opposite party (herein after called as OP), under section 12 of the Consumer Protection Act, 1986.  The complainant prays to direct the OP to release Rs.1,75,425/- which has deducted from the invest of Rs.25,00,000/-, to pay Rs.10,000/- towards the mental agony and harassment, to pay Rs.10,000/- towards the litigation charges and grant any other reliefs.

 

          2. After filing the complaint, we have heard the arguments of the complainant at the stage of admission of the complaint. We have gone through the averments of the complaint and relevant documents of the complainant produced on behalf of the complainant.

 

3. The brief fact of the complaint is as under.

 

The complainant submitted that he had invested a sum of Rs.25,00,000/- with OP and the OP has allotted account No.L2466, SBI Gold Growth Mutual Fund Company and folio No.13255222 dated 05.09.2011.  The complainant further submitted that at the time of investment the OP informed that if the investor redeemed the investment within one month from the date of investment.  There is no deductions or profits but they will return the entire deposit amount by deducting 1% service charge out of the entire investment.  The complainant further submitted that due to ill of his wife and himself, it is felt necessary for him to withdrew the investment which he invested with the OP to meet the medical expenses.  Hence the complainant given an application for withdrawal of investment on 26.09.2011.  The OP has return a sum of Rs.23,24,575/- instead of Rs.25,00,000/-.  When the complainant approached the OP to inform about the return of balance amount.  The OP has directed to collect the statement of transaction from the cyber centre.  The complainant obtained the statement of accounts from the cyber centre, there were no changes in Gold rate from the date of investment to redeemed date.  The complainant informed about the facts with the OP.  OP has given evasive reply.  Hence complainant issued a legal notice dated 31.07.2018 but the OP failed to reply nor comply as per the legal notice.  Hence the complainant approached this Forum.

 

4. The complainant has produced three documents.

 

1. Copy of statement of accounts.

 

2. Copy of legal notice.

 

3. Copy of brochure.

 

5. The points that arise for our consideration;  

 

1. Whether the complaint filed by the complainant is barred by limitation?

 

 

2.  What order?

 

6. Our findings on the above points are as under:

 

Point No.1:  Affirmative

Point No.2:  As per the order below

 

REASONS

 

 

7. Point No.1:  On perusal of the documents produced by the complainant the complainant had invested a sum of Rs.25,00,000/- with the OP and the OP had allotted account No.L2466, SBI Gold Growth Mutual Fund Company and folio No.13255222 dated 05.09.2011.  The complainant seeks for refund of invested amount of Rs.25,00,000/- within one month from the date of investment.  The OP has refunded only Rs.23,24,575/- instead of Rs.25,00,000/- on 26.09.2011.  Hence complainant approached this Forum seeking for refund of balance amount of Rs.1,75,425/- from the OP.  Admittedly complainant invested an amount of Rs.25,00,000/- on 05.09.2011.  The complainant approached the OP for refund of amount and OP has refunded an amount of Rs.23,24,575/- on 26.09.2011.  In the instant case the cause of action arose on 26.09.2011.  The complainant has approached this Forum after lapse of 8 years for his grievance.  As per Section.24-A of the Consumer Protection Act deals the period of limitation in approaching the Forum for filing the complaint.  Section 24-A of the C.P Act reads as under:

 

“24-A. Limitation period.—(1) The District Forum, the State Commission or the National Commission shall not admit a complaint unless it is filed within two years from the date on which the cause of action has arisen.

 

(2) Notwithstanding anything contained in sub-section (1), a complaint may be entertained after the period specified in sub-section (1), if the complainant satisfies the District Forum, the State Commission or the National Commission, as the case may be, that he had sufficient cause for not filing the complaint within such period:

 

Provided that no such complaint shall be entertained unless the National Commission, the State Commission or the District Forum, as the case may be, records its reasons for condoning such delay”.

   

                                                                                                        

          8. As per Section 24-A of the CP Act, the complainant has not filed the present complaint within two years. Hence, the present complaint is barred by limitation as the complaint has been filed after expiry of more than 8 years under section 24-A of CP Act.  Further the legal notice issued by the complainant dated 31.07.2018 does not extend the cause of action.  The cause of action always arose on the date of incident, cause of action does not accrue by way of fresh notice.  There is no justification on part of complainant in filing the complaint with such undue delay of more than two years. As such we hold that the complaint is barred by limitation. Accordingly, we answer the point No.1 in the Affirmative.

 

9. Point No.2: In the result, for the foregoing reasons, we proceed to pass the following order:          

       

ORDER

 

            The complaint filed by the complainant is dismissed as barred by limitation.

 

           

 

MEMBER                                           PRESIDENT