BEFORE THE CONSUMER DISPUTES REDRESSAL FORUM, ERNAKULAM.

Dated this the 18^th day of May 2017

Filed on : 26-06-2015

PRESENT:

Shri. Cherian K. Kuriakose, President.

Shri. Sheen Jose, Member.

Smt. Beena Kumari V.K. Member.

CC.No.421/2015

Between

M.M. Abdhul Rehman, : Complainant

S/o. Moosa, Manappurathu house, (party-in-person)

Edayappuram kara,

Keezhmadu village, Aluva Taluk

And

The Manager, : Opposite party

Syndicate Bank, (By Adv. R.S. Kalkura, “Srivathsa”

Aluva Branch. 61/335, Judges Avenue, Kaloor,

Kochi-17)

O R D E R

Cherian K. Kuriakose, President.

1. Complainant’s case

2. The complainant availed an agricultural loan of Rs. 50,000/- from the opposite party bank during 2013. The complainant could not repay the loan in time due to the loss sustained in agricultural income. Now when the complainant had approached the bank for repayment, the opposite party is refusing to accept the interest at 4% p.a. and had demanded Rs. 69,353/- as the outstanding balance. The complainant is liable to pay only 4% interest as the loan was an agricultural loan.
The complainant therefore seeks a direction to be issued to the opposite party to collect only 4% interest and also for the compensation for the inconvenience caused to him.

3. Notice was issued to the opposite party, who appeared and contested the matter.

4. According to the opposite party, the complainant had availed a Jewel loan (Agri) from the Aluva Branch of the opposite party on 14-07-2012 and the amount was credited to his account on 14-07-2012 . The loan was for a period of 12 months. However, the loan which should have been completed by 14-07-2013, was not repaid by the complainant. The concession of the interest @ 4% is applicable only to the customers who repay the loan amount promptly with interest at 4%. In the event of default in payment the interest chargeable was 7% from the date of advancement of loan. As the complainant did not repay the loan amount in time the bank is entitled to realize 7% interest from the complainant . The complaint is therefore sought to be dismissed.

5. Following issues were settled for consideration.

i. Whether the complainant had proved that there was any

deficiency in service on the part of the opposite parties?

ii. Reliefs and costs

6. The evidence in this case consists of the oral evidence of PW1 no documents have been produced by the complainant. The opposite party produced documents and marked as Exbts. B1 to B7.

7. Heard both sides.

8. Issue No. i& ii. As per Exbt. B1 application letter the complainant had availed a loan of Rs. 50,000/- on 14-07-2012. The loan was sanctioned on an agreement to pay 7% interest on the loan amount. Exbt. B2 is a copy of the letter issued by the complainant undertaking to redeem the loan within 12 months. Exbt. B3 is the copy of the relevant portion of the union budget permitting 3% subsidy on the loan availed for the customers who pay back the amount within the agreed duration. Exbt. B4 also confirms the said factual situation. On going through Exbt. B5, copy of the loan account, it is seen that the complainants was a chronic defaulter in repaying the loan. The 2^nd instalment is seen made after a period of 5 months and the 3^rd instalment is seen paid only after another 5 months. Until the repayment period fixed, the opposite party is seen to have charged only the interest after deducting the subsidy. Therefore on going through the documents produced by the opposite party, we find that the complainant has not proved his case as alleged in his complaint. During cross-examination of PW1, the complainant admitted that the loan was availed on 14-07-2012. He also admitted that he was a defaulter in repayment. The complainant had approached this Forum with unclean hands and without any documents to support his case. We therefore find the issues against the complainant.

9. Issue No. iii. Having found issues Nos. 1 and 2 against the complainant we find that the complaint is liable to be dismissed and is hence dismissed.

Pronounced in the open Forum on this the 18^th day of May 2017

Sd/-

Cherian K. Kuriakose, President.

Sd/-

Sheen Jose, Member.

Sd/-

Beena Kumari V.K., Member.

Forwarded/By Order,

Senior Superintendent.

.

Appendix

Complainant's Exhibits : Nil

Opposite party's exhibits: :

Exbt. B1 : Copy of application-cum-letter of

pledge for loan against gold

jewellary

B2 : Copy of letter dt. 19-07-2012

B3 : Copy of interest Subvention

dt. 28-09-2012

B4 : Copy of bank circular

B5 : Statement of accounts

01-01-2010 to 18-08-2015

B6 : Copy of A.D. Card

B7 : Direction ledger abstract

Copy of order despatched on :

By Post: By Hand: