Sri. K. Ramachandra, Member ORDER DELIVERED BY SMT. ASHA SHETTY, PRESIDENT
1. The brief facts of the complaint are as follows:
The Complainant invested certain sum of money with the Opposite Party society, the details of which are furnished in the schedule here below:-
Receipt No. | Date of Deposit | Amount Deposited | Maturity Date | Matured Amount |
468 | 28.12.2004 | 40,000/- | 28.12.2006 | 47,328/- |
The Complainants contends that, on the date of maturity, they approached the Opposite Party for repayment of the deposited amount with interest but the Opposite Party failed to make the payment. The attitude of the Opposite Party in not paying the amount to the Complainants, is highly illegal and arbitrary and breach of terms amounting to deficiency in service and hence the complaint under Section 12 of the Consumer Protection Act 1986 (herein after referred to as ‘the Act’) seeking direction to the Opposite Party to pay Rs.47,328/- under the fixed deposit receipt with interest at 10% p.a. to the Complainant and Rs.10,000/- claimed as compensation .
2. Version notice served to the Opposite Party. The Opposite Party appeared through their counsel and filed version.
The Opposite Party admitted that the deposited amount with the Opposite Party. It is contended that the amount could not be repaid in view of the mismanagement of the affairs of the society by its previous officials. In view of the mismanagement the society is unable to pay the amounts in time as the amounts due to it is blocked and contended that there is no guilty of rendering serviced and prayed for dismissal of the Complaint.
3. On the basis of the complaint that the points arise for our consideration in this case are:
4. In support of the complaint, the Complainant – Sri. K.Srinivas Bhat filed affidavit reiterating what has been stated in the complaint and got marked as Ex C1. Opposite Party appeared through their counsel and filed their version. We have heard arguments, perused the pleadings, document and evidence placed on record by the Complainant and answer the points are as follows:
REASONS
5. Points No.(i) to (iii):
The fact that the deposit was made in the name of the Complainant with the Opposite Party society as evidenced from the deposit certificate produced by the Complainant.
Financial service is one of the services specifically mentioned in Clause (o) of Section 2(1) of the Act. It is a settled law that when a company/firm/Bank transacting non-banking financial business accepts deposits from the public, the person who has deposited money with such company/firm/Bank hires the service of that Company/firm/Bank which has accepted the deposits. We have therefore no hesitation to hold that service undertaken to be rendered by the Opposite Party is a service within the meaning of the Act and the Complainant is a consumer and this Forum has jurisdiction to entertain the Complaint.
The Ex.C1 is the Fixed Deposit certificate produced by the Complainant in the case goes to show that the amount has matured for repayment on the date mentioned therein under the Ex.C1, which date has already expired. The Opposite Party appeared before the Forum and admitted the aforesaid amount deposited by the Complainants and pleaded that the amount could not be repaid in view of the mismanagement of the affairs of the society by its previous officials. Just because the previous officials mismanagement the deposit amount of the customers should not be withheld for unreasonable time. The Failure on the part of the Opposite Party to repay the deposited amount under the Ex C1 on the date of maturity or within a reasonable time thereafter is a deficiency in service. Therefore, we hold that the Opposite Party is directed to pay to the Complainant Rs.47,328/- along with interest thereon at 9% p.a. from the date of maturity till the date of payment.
In terms of Section 14 of the Consumer Protection Act, a consumer entitled an amount of compensation as to the loss or injury suffered by him due to the negligence of the Opposite Party. In the present case, interest considered by this Forum itself is compensation and therefore, separate amount for compensation is not awarded. We award Rs.750/- to the Complainant as litigation expenses.
6. In the result, we pass the following:
ORDER
The Complaint is allowed. Opposite Party is directed to pay to the Complainant Rs.47,328/- along with interest thereon at 9% p.a. from the date of maturity till the date of payment and Rs.750/- awarded as litigation expenses. Payment shall be made within 45 days from the date of this order.
The F.D.R., if any, deposited by the Complainant be returned fourth with by substituting the certified.
Copy of this order as per statutory requirements, be forward to the parties free of costs and file shall be consigned to record room.
(Dictated to the stenographer, typed by him, revised and pronounced in the open court on this the 29th day of April 2008)
PRESIDENT
(SMT. ASHA SHETTY)
MEMBER MEMBER (SMT.SULOCHANA V.RAO) (SRI. K.RAMACHANDRA)
Dated: 29-4-2008
ORDER
The Complaint is allowed. Opposite Party is directed to pay to the Complainant Rs.47,328/- along with interest thereon at 9% p.a. from the date of maturity till the date of payment and Rs.750/- awarded as litigation expenses. Payment shall be made within 45 days from the date of this order.
The F.D.R., if any, deposited by the Complainant be returned fourth with by substituting the certified.
Copy of this order as per statutory requirements, be forward to the parties free of costs and file shall be consigned to record room.
PRESIDENT
(SMT. ASHA SHETTY)
MEMBER MEMBER (SMT.SULOCHANA V.RAO) (SRI. K.RAMACHANDRA)
