Complaint filed on: 13-01-2016 Disposed on: 15-12-2016
BEFORE THE DISTRICT CONSUMER DISPUTES
REDRESSAL FORUM,
OLD DC OFFICE COMPOUND, TUMAKURU-572 101
CC.No.10/2016
DATED THIS THE 15th DAY OF DECEMBER 2016
PRESENT
SMT.PRATHIBHA. R.K. BAL, LLM, PRESIDENT
SRI.D.SHIVAMAHADEVAIAH, B.A, LLB, MEMBER
SMT.GIRIJA, B.A., LADY MEMBER
Complainant: -
Mr.B.S.Krishnappa,
S/o. Late Kadaiah,
Aged about 68 years,
Residing at Bugudanahalli village,
Bellavi Hobli, Tumakuru district
(By Advocate Sri.T.K.Surendra Singh)
V/s
Opposite parties:-
The Tumkur District Co-Opt. Central Bank Limited,
SS Puram branch
Tumakuru
Reptd. by its Manager
(By Advocate Sri.Shankaraiah.R)
ORDER
SMT.PRATHIBHA. R.K. PRESIDENT
This complaint has filed by this complainant against the Opposite party, under Section 12 of the Consumer Protection Act. The complainant prays to direct the OP to return the deposited original title deeds of the property and issue no due certificate and to pay compensation of Rs.75,000=00 towards mental agony and to pay Rs.10,000=00 towards cost of this litigation, in the interest of justice and equity.
2. The brief facts of the complaint is as under.
The complainant is an agriculturist and he had availed land development loan of Rs.8,00,000=00 from the OP bank on 10-12-2011.the complainant had deposited the title deeds of his property with OP as security to the repayment of loan amount. The complainant was prompt in payment of loan installment from time to time.
The complainant further submitted that, the complainant had paid the following amount towards discharge of loan amount.
Sl. No. Amount in Rs. Dated
1 Rs.50,000=00 11-12-2011
2 Rs.50,000=00 30-12-2011
3 Rs.1,69,164=00 05-07-2012
4 Rs.10,000=00 18-09-2012
5 Rs.24,000=00 11-10-2012
6 Rs.1,11,466=00 07-12-2012
7 Rs.6,00,000=00 18-08-2014
8 Rs.1,000=00 18-08-2014
9 Rs.2,35,000=00 20-10-2015
The complainant further submitted that, overall the complainant had paid a sum of Rs.12,50,630=00 and the OP bank had issued the receipt/challan for having received the above said amount.
The complainant further submitted that, as per the OP’s demand notice dated 5-6-2014, the complainant was liable to pay a sum of Rs.10,01,452=00 including interest amount. As on 20-10-2015, the complainant had paid a sum of Rs.12,50,630=00 and cleared the entire loan amount with interest.
The complainant further submitted that, after repaying the entire loan amount along with interest, the complainant approached the OP bank to issue loan clearance certificate/no balance certificate and further requested to return original deposit of title deeds of his property. But the OP bank has neglected and avoided to issue no due certificate as well as original title deeds one or the other pretext. The act of the OP is nothing but harassing the complainant without any reason and also illegal and against the law.
The complainant further submitted that, in spite of all the efforts made from the complainant, he did not get original title deed of property and no due certificate, which shows due negligence and callousness of OP. Finally, left with no other alternative remedy, the complainant got issued a legal notice to the OP on 18-11-2015 which is duly served on the OP. Hence, the present complaint is filed.
3. After service of notice, the OP has appeared through his counsel and filed objections contending interalia as under:
The complaint is not maintainable either in law or on facts and it is liable to be dismissed in limine. The averments made in the complaint are partly admitted and other averments made in the complaint are false and denied.
The OP further submitted that, the complainant has given an indemnity to the Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli, Tumakuru taluk in favour of Sri.B.T.Shivakumar who was working as Secretary (Chief Executive Officer) of the Society for the period from 11-3-2008 to 21-8-2014. The indemnity given by the complainant indemnifies himself to the tune of Rs.15.00 lakhs and further the schedule property has also been given as security to the Mr.Shivakumar. The Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli in their board meeting dated 12-9-2015 have unanimously resolved and requested to the bank not to return the property document which has been given as a security in favour of Secretary Sri.B.T.Shivakumar. The OP further submitted that, Sri.B.T.Shivakumar has misappropriated an amount of Rs.34,36,013=00 as per the audit report of Society for the year 2013-14 and Rs.12,52,620=00 as per the Audit report of society for the year 2014-15. For the above reasons, the bank has not released the mortgage of the said property and therefore, the bank has not committed any deficiency of service.
The OP further submitted that, the amount misappropriated by the Secretary of the Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli, basically belongs to the members of the society which is public money which has been misappropriated. Hence the OP prayed to dismiss the complaint, in the interest of justice and equity.
4. In the course of enquiry into the complaint, the complainant and OP have filed their affidavit evidence reproducing what they have stated in their respective complaint and version. The complainant has produced documents along with the complaint which were marked as Ex-P-1 to P13. The OP has produced documents which were marked as Ex-OP1 to OP8. We have heard the arguments of both parties and perused the documents produced by both parties and posted the case for orders.
5. Based on the above materials, the following points will arise for our consideration.
- Whether there was deficiency in service on the part of the OP as alleged by the complainant?
- What Order?
6. Our findings on the above points are;
Point no.1: In the affirmative
Point no.2: As per the final order below.
REASONS
7. On perusal of the pleadings, evidence and documents produced by both the parties, it is an undisputed that, the complainant had taken land development loan of Rs.8,00,000=00 from the OP bank on 10-12-2011 by depositing title deed of his property in favour of the OP bank as security to the said loan amount. It is also undisputed fact that, the complainant had cleared/repaid the entire loan amount along with interest to the OP bank on 20-10-2015. The contention of the complainant is that, after repayment of the entire loan amount, the complainant had requested the OP bank to return all original title deeds of his property documents and give clearance certificate. But the OP bank did not respond to the request of complainant; hence there is deficiency of service on the part of the OP bank. In order to substantiate the above said facts, the complainant has filed affidavit evidence and produced the surety letters, RTC and nine cash paid challans issued by the OP bank in the name complainant.
8. The said oral and documentary evidence of complainant as mentioned above to the effect that, after cleared/repaid the entire loan amount along with interest, the OP bank did not return the original title deed of his property and clearance certificate, in-spite of repeated requests and reminders by complainant is corroborated by copies of cash paid challans issued by the OP to the complainant.
9. Per-contra, the OP bank has contended in the version and also affidavit evidence that, the complainant has given an indemnity to Sri.B.T.Shivakumar who was working as Secretary of the Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli, the indemnity given by the complainant is to tune of Rs.15.00 lakhs. Further, the schedule property has also been given as security to the Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli. The OP further admitted that, the board of Directors of Prathimika Krushi Pathina Sahakara Sangha Niyamitha Bugudanahalli have passed resolution and requested to the OP bank not to return the properties documents to the complainant as Sri.B.T.Shivakumar has misappropriated an amount of Rs.34,36,013=00 as per the audit report of Society for the year 2013-14 and Rs.12,52,620=00 as per the Audit report of society for the year 2014-15. For the above reasons, the bank has not released the mortgage of the said property.
10. Admittedly, the complainant had cleared all the loans pertaining to the OP bank. The OP bank cannot refuse to give back the original title deed of the complainant, only on the ground that, the complainant had given indemnity to one Mr.B.T.Shivakumar, Secretary at Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli. The board resolution passed by the board member dated 12-9-2015 not to return the original document said to have been give security to Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli will not have consequence. Since the complainant has not availed the loan in the said bank and the resolution passed by the board in respect of Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli will not curtail the OP to return the documents of the complainant.
11. The action of the OP bank not to return the document of the complainant based on the resolution of the Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli dated 12-9-2015 is wholly irrational and arbitrary. The Prathimika Krushi Pathina Sahakara Sangha Niyamitha, Bugudanahalli is not at all a party to this complaint. Further, since the complainant had repaid all the money it is the bounden duty coupled with a statutory obligation to return the documents and to give no due certificate and accordingly, we answer this point. In the result, we proceed to pass the following order.
ORDER
The complaint is allowed in part.
The OP is directed to return all original title deeds of the complainant’s property and issue No Due Certificate to the complainant within 30 days from the date of this order.
The OP is further directed to pay damages of Rs.15,000=00 and Rs.5,000=00 towards cost of litigation respectively, failing which, the OP shall pay the said amount to the complainant along with 12% interest per annum from the date of complaint to till the date of realization.
This order is to be complied by the OP within 30 days from the date of this order.
Supply free copy of this order to both parties.
(Dictated to the Stenographer, got it transcribed and corrected, pronounced in the Open forum on this, the 15th day of
December 2016).
LADYMEMBER MEMBER PRESIDENT
