DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-II
Udyog Sadan, C-22 & 23, Qutub Institutional Area
(Behind Qutub Hotel), New Delhi-110016
Case No. 41/2018
Sh. Harish Chander
S/o Shri Narayan Ram
R/o 181/2, The Country Club,
Sanik Farm, New Delhi-110062.
….Complainant
Versus
UCO Bank
Saket New Delhi
DDA Shopping Complex,
Malviya Nagar Extn.
New Delhi.
….Opposite Party
Date of Institution : 13.02.2018 Date of Order : 20.02.2020
Coram:
Ms. Rekha Rani, President
Ms. Kiran Kaushal, Member
Ms. Kiran Kaushal, Member
ORDER
- Complainant on the strength of this complaint has claimed that OPs be directed to pay Rs.1,07,800/- (as per the RBI guidelines) towards compensation and Rs.50,000/- towards harassment and mental agony suffered by the complainant due to acts and omissions by OP.
1.1 It is averred that the complainant on 11.08.2015 had gone to withdraw an amount of Rs.5000/- from Union Bank of India ATM Branch. No money was dispensed from the ATM machine and no receipt of the transaction was came out from the ATM machine, but the said amount of Rs.5000/- was deducted from the account of the complainant. Complainant contacted the Bank manager of UCO Bank (OP) regarding the deduction of the amount from his account. He was assured that within 2 to 3 days the money will be credited to his account. But even after 6 days when the money was not credited he again complained to the bank authorities but did not receive any satisfactory reply from them. The complainant, thereafter, made various complaints to UCO bank, UBI bank and filed RTI application seeking the status of the complaints but to no avail.
1.2 On 29.05.2017 the Second Appellate Authority of RTI heard the complainant and directed OP to pay a token compensation of Rs.2000/-. Pursuant to the order the complainant sent a letter to UCO bank and Banking Ombudsman, RBI on 27.06.2017 & 03.07.2017 respectively. Finally it was on 28.11.2017 without any prior information or any communication Rs.5000/- and Rs.2000/- was credited in the Bank account of the complainant. Complainant after facing lot of harassment and mental agony approached this Forum for compensation as provided under RBI notification No.RBI/2010/11/547 (reconciliation of failed transaction at ATMs), wherein it is clearly stated that, ‘…. accordingly, failure to recredit the customer’s account within 7 working days of receipt of the complaint shall entail payment of compensation of the customer at the rate of Rs.100/- per day by the issuing bank’.
2. OP resisted the complaint by filing its written statement wherein inter-alia it is stated that on receiving the application dated 17.08.2015 from the complainant, OP asked UBI bank from whose ATM complainant had tried to withdraw the money to provide details about the ATM transaction held on 11.05.15.
2.1 It is next submitted that the OP as per the order of Central Information Commission dated 29.05.17 deposited Rs.2000/- and Rs.5000/- on 28.11.2017 in the Saving Bank Account of the complainant. Therefore as all payments due, to complainant have been deposited into his account by the bank, OP is not liable to pay any other amount. Further it is submitted that according to the RBI guidelines on ATM failure as the transaction in dispute is done from the other Bank’s ATM it is the other bank i.e. Union Bank of India which is liable to pay the aforesaid amount, as it is the UBI that has defaulted in not dispensing the cash from its ATM machine. Claiming that there is no deficiency of service on the part of OP, it is prayed that the complaint be dismissed.
3. Complainant has filed rejoinder and evidence. Affidavit of Ms. Rajani Kumari Branch Manager has been filed in evidence on behalf of the OP.
4. Written arguments are filed on behalf of the parties.
5. We have heard the arguments on behalf of the parties and have also gone through the file very carefully.
6. The main contention of the complainant is that the money withdrawn by the complainant from UBI Bank was debited from his account without being dispensed by the ATM machine of UBI Bank on 11.08.2015. The grievance of the complainant is that OP bank took almost 2 years to credit Rs.5,000/- in his account that too after lot of running around done by him and after writing numerous letters and number of complaints filed before the RTI Authorities and Banking Ombudsman.
7. It is not disputed that Rs.2000/- was received by the complainant as token compensation ordered by CIC and Rs.5000/-, the debited amount was also deposited in the bank account of the complainant..
8. Going through the facts of the case, this forum is of the opinion that OP has failed to provide any reason/ justification for the delay of almost two years to credit the money in bank account of the complainant. Hence this Forum is of the opinion that OP bank is deficient in service for causing unnecessary delay and harassment to the complainant.
9. OP has annexed notification of RBI which we mark as Mark-A for sake of reference. A directive has been issued to the banks which is reproduced as under for ready reference:-
“a. The time limit for resolution of customer complaints by the issuing banks shall stand reduced from 12 working days to 7 working days from the date of receipt of customer complaint. Accordingly, failure to recredit the customer’s account within 7 working days of receipt of the complaint shall entail payment of compensation to the customer @ Rs.100/- per day by the issuing bank.”
- It is prayed by the complainant that the complainant be compensated for the deficient service of OP as per the directive issued by RBI. The notification issued by RBI dated 27.05.2018 clearly states that remedy for non-adherence to the said directive is not under the Consumer Protection Act. Rather the directive is issued under Section 18 of the Payments and Settlements system Act, 2007, Act 51 of 2007, non-adherence to the provisions of the circular shall attract penalty as prescribed under the Payment and Settlement Systems Act, 2007. Thus, the remedy available with the complainant lies under the Payment and Settlement System Act, 2007 and not Consumer Protection Act.
- However, on account of delay in payment made to the complainant OP is directed to pay Rs.5,000/- towards compensation for harassment, mental agony and litigation expenses within a period of 45 days from the date of receipt of copy of the order. Failing which OP shall become liable to pay interest @ 10% p.a. on the amount of Rs.5,000/- from the date of this order till realization.
- Let a copy of this order be sent to the parties as per regulation 21 of the Consumer Protection Regulations. Thereafter file be consigned to record room.
Announced on 20.02.2020
