By. Sri. Jose. V. Thannikode, President:
The complaint filed under section 12 of the Consumer Protection Act against opposite party to refund the excess amount collected as interest and other charges for his gold loan.
2. Brief of the complaint:- The complainant approached the opposite party and took an agricultural gold loan as No. NC 156/12 of Rs.53,000/- on 06.08.2012. At that time the opposite party told that for agricultural loan interest rate is 7% per annum. After that on 26.07.2013, when complainant approached the opposite party to take back the gold, the opposite party collected Rs.60,630/- as principal amount + interest. Thereafter the complainant calculated the interest and then the complainant understood that the opposite party has charged more interest than that is offered and some charges were collected on various heads. If the opposite party has charged interest at the rate of 7%, the total interest will come up to only Rs.3,606/- but instead of that opposite party collected Rs.7,630/-. Hence opposite party has collected Rs.4,036/- as higher rate of interest and for other charge. Then the complainant submitted that it is deficiency of service from the part of opposite party and prayed before the Forum to direct the opposite party to refund Rs.4,036/- with 7% interest and Rs.5,000/- as cost and compensation.
3. Notice were served to opposite party and opposite party entered in appearance and filed version stating that the complaint is not maintainable either in law or on true facts of the case. There is no deficiency of service on the part of the opposite party. This opposite party denies all allegation and averments in the complaint except those are expressly admitted hereunder. The petition is not maintainable under Consumer Protection Act. Bank transaction are carried out with direction by finance department of India, Reserve Bank and senior officials of the bank and softwares prepared for calculation of interest. There are other lawful forums if any dispute arising in loan transaction. The complainant availed the loan pledging gold ornaments for agriculture non crop purpose for which no interest subsidies are available. The opposite party has been convinced the complainant same while availing loan and he agreed as per declaration signed by him. It is admitted that the complainant has availed a loan from the bank. Other allegation in the complaint are false and baseless. The Bank transactions are made only with the guidelines of Reserve Bank of India and policy of the government. The interest calculated and expense recovered are only as from guidelines of the Reserve Bank and guidelines of the bank. The Bank has recovered only the amount legally entitled by the Bank. The complaint is only experimental in nature and with malicious intention and further submitted that. These opposite party is entitled to get cost from the complainant.
4. Complainant filed proof affidavit and he stated as stated in the complaint and he is examined as PW1 and Ext.A1 to A4 and A4(a) is marked. Ext.A1 is the Gold loan ticket wherein it can be seen AGL No. NC156/12, SB No.3264 amount Rs.53,000/- named V. K. George dated 06.08.2012 and signature of Borrower and Signature of Appraiser. Ext.A2 is the Loan Challan, wherein it can be seen AGL No.156/12 dated 26.07.2013 George. V. J and received Rs.60,630/- by the Manager from the complainant. Ext.A3 is the photocopy of Bank Account pass book of No.3264 of the complainant wherein an entry of Rs.53,000/- can be seen on 06.08.2012 Agl NC. Ext.A4 is the portion of Ext.B1 which shows, the purpose of loan is cow, goat. Ext.A4(a) is also one portion of Ext.B1 wherein the rate of interest is noted as 12.15% pa.
5. Opposite party also filed proof affidavit and stated as stated in the version and OPW1 and OPW2 is examined and Ext.B1 to B11 are marked. Ext.B1 is the Agreement cum pledge letter wherein Agl Nc 156/12 related to SB Account No.3264 of complainant V. J. George, amount of gold loan for Rs.53,000/-, purpose-cow, goat. Description, chain, Bangle and signature of Appraiser, Borrower and Manager is seen. Rate of interest is shown as 12.5% per annum dated 06.08.2012. Ext.B2 is the self declaration for loan, wherein also purpose is shown as cow and goat amount Rs.53,000/- and signature of borrower and signature of manager also can be seen. Ext.B3 is the True extract of Account, wherein Account number is shown as 17915273015612, type AGLNC dated 07.11.2013. Statement of account for the period 06.08.2012 to 27.07.2013 is shown and grand total shows Rs.60,222/- and the account has been closed on 27.07.2013. Ext.B4 is the Interest Calculation statement of Account No.17915273015612, therein total amount shown on 01.04.2013 to 25.07.2013 is Rs.58,217 +2405=60,622/-. Ext.B5 is the Circular No.196/2012 dated 28.09.2012 of the credit wing of South Malabar Gramin Bank, it shows the upward revision of rate of interest of VBS and AGLNC schemes with effect from 01.10.2012, wherein present rate of interest 12.50% for AGLNC is revised to 13.00%. Ext.B6 is the Statement of account of the complainant for the period of 31.01.2013 to 03.07.2014, in which grand total is shown as 2,484/-. Ext.B7 is the objection filed by opposite party to the calculation statement filed by the complainant, wherein total amount arrived as Rs.60,222/-. Ext.B8 is the Circular No.30/2013 dated 12.03.2013 issued by the South Malabar Gramin Bank on service charges and other charges with effect from 25.03.2013. Wherein handling charges and insurance charge is shown as Rs.350/- for amount from Rs.50,000/- to Rs.1,00,000/-, appraisal charge is shown as Rs.5/1,000/- rupees and to a maximum of Rs.200/-. Inspection charge is shown Nil for priority section and Rs.30/- per inspection and up to a maximum of Rs.360/- for non priority sector. Ext.B9 is the Circular No.196/2011 for gold loan enhancement of Jewel appraisal charges, in which also revised rate is shown as Rs.5/- by thousand with a minimum of Rs.5/- and a maximum of Rs.200/- per account. Ext.B10 is the Circular No.112/2010 dated 03.06.2010 issued by the South Malabar Gramin Bank which shows service charge and other charges with effect from 01.07.2010. Wherein "process charge and other charges on loan and advance is shown as Rs.100/- up to Rs.1,00,000/-. Ext.B11 is the circular issued by South Malabar Gramin Bank as No.136/2012 dated 10.07.2012. On the subject matter circular, on gold loan to customers, "Service Charges (system generated) Service charges for gold loans are as advised by HO P&D wing from time to time. Presently as per HO Circular 112/2010 dated 03.06.2010. Processing charges(system generated) processing charges for gold loans are advised by HO P&D Wing from time to time. Prevailing guidelines are as per HO circular 112/2010 dated 03.06.2010. Jewel Appraisal Charges as advised by HO Credit Wing from time to time. Existing charges as advised vide HO circular 196/2011 dated 30.11.2011. Appraisal for Jewel and Certification (System generated) Rs.5 per thousand Minimum of Rs.5/- per account Maximum of Rs.200/- per account".
6. On perusal of complaint, affidavit, version, depositions and documents we framed the following issues for consideration:-
1. Whether there is any deficiency of service from the part of opposite party?
2. Relief and Cost.
7. Point No.1:- Anyway as per the available documents and circulars it seems that only Rs.8 is charged in excess than the norms. For that an explanation is given by the opposite party that "This amount has been credited in the Savings Bank Account of the party which can be traced out from any core bank system and further stated that the complainant had no case that Rs.8/- was taken additionally. In the complaint also no such case, any way complainant's case is that the opposite party has charged much more than their actual norms and on various heads without any grounds. Even we accept the contention of opposite party that every entry or printout of the original data of accounts stored in the computer system of Kerala Gramin Bank and such data are entered and maintained in the usual and ordinary course of business of bank by authorized officials of the bank using passwords to ensure that no data is lost from the system and the data transferred to backup media is consistent and that to the best of knowledge and belief the computer system operated properly at the material time and relevant data are proceeded and the printout in question represents correctly, is not true, since the opposite party collected excess charge of Rs.8/-. It is clearly a deficiency of service from the side of opposite party. More over the circular produced by the opposite party is not supported by the RBI Regulations and guidelines.
8. OPW1 deposed before the Forum that "On 06.08.2012 Rs.200/- as jewel appraisal charge and Rs.113/- as processing charge and on 25.03.2013 collected Rs.281/- as handling charges and Rs.85/- as inspection charges by the Bank. All the above charges are imposed by the head office as per the directions of the RBI, that circular is there in the office. The directions of the RBI will be there in the head office also". OPW2 deposed that " from the complainant, charge is imposed in four heads other than the interest, ie jewel appraising charge, handling charge, processing charge and service charge. RBI Circular is there in the office to show that we are entitled to charge in the four heads mentioned above. We are charging the above heads as per the Circular received from the Head office on the basis of this guidelines given by the RBI". It cannot see that in Ext.B7 to B11 that this Circular is prepared on the basis of the Circular given by the RBI. So the Circulars produced by the opposite party cannot be believed without the support of circular and the direction of the RBI. The opposite party could have very well produce the RBI circular direction if it is with them. In the absence of the circular and direction of the RBI imposing charges on various heads is an unfair trade practice and thereby caused deficiency of service also. Hence the Point No.1 is found accordingly.
9. Point No.2:- Since the Point No.1 is found against the opposite party, the opposite party is liable to refund the excess amount and interest collected by the opposite party to the complainant and the complainant is entitled for the same. The Point No.2 is decided accordingly.
In the result, the complaint is partly allowed and the opposite party is directed to refund Rs.200/-. (Rupees Two Hundred), Rs.113/- (Rupees One Hundred and Thirteen), Rs.281/- (Rupees Two Hundred and Eighty One) and Rs.85/- (Rupees Eighty Five) only which is collected on various heads and also directed to pay Rs.3,000/- (Rupees Three Thousand) only as compensation and Rs.2,000/- (Rupees Two Thousand) only as cost of the proceedings.
Dictated to the Confidential Assistant, transcribed by him and corrected by me and Pronounced in the Open Forum on this the 26th day of February 2015.
Date of Filing:23.09.2013.
PRESIDENT :Sd/-
MEMBER :Sd/- MEMBER :Sd/-
/True Copy/
Sd/-
PRESIDENT, CDRF, WAYANAD.
APPENDIX.
Witness for the complainant:-
PW1. V. J. George. Complainant.
Witness for the Opposite Parties:-
OPW1. Santhamma. Assistant Manager, Kerala Gramin Bank,
Kalloor Branch.
OPW2. Ealias. Bank Manager, Kerala Gramin Bank,
Kalloor Branch.
Exhibits for the complainant:
A1. Gold Loan Ticket.
A2. Loan Challan. dt:26.07.2013.
A3. Copy of Bank Pass Book.
A4. Portion of Ext.B1.
A4(a). Portion of Ext.B1.
Exhibits for the opposite party:-
B1. Agreement cum Pledge Letter. dt:06.08.2012.
B2. Self Declaration for loan.
B3. Extract of Account.
B4. Interest Application Report.
B5. Circular No.196/2012. dt:28.09.2012.
B6. Statement of Account.
B7. Objection to the Calculation Statement.
B8. Circular No.30/2013. dt:12.03.2013.
B9. Circular No.196/2011. dt:30.11.2011.
B10. Circular No.112/2010. dt:03.06.2010.
B11. Circular No.136/2012. dt:10.07.2012.
Sd/-
PRESIDENT, CDRF, WAYANAD.
a/-
