Per Shri Pradeep G. Kadu, Hon’ble President

1) This a consumer complaint filed under Consumer Protection Act, 2019 by the Complainant herein alleging deficiency in service and unfair trade practice on the part of Opposite Party-Union Bank of India.

2) The only issue involved in this complaint is that the amount of Rs.24,30,150/- has been unauthorizedly withdrawn from the account of Complainant by clearing forged and fabricated cheque bearing No.12095673 to the account of one M/s S K Royal Traders on 16/12/2019.  It is contention of the Complainant that they never issued the said cheque and they informed the same to the bank on 19/12/2019.  Further, it is alleged that before clearing the said forged cheque the bank had not intimated the Complainant.

3) Since, the issue has not been resolved by the bank despite several attempts by the Complainant, the present complaint has been filed by the Complainant with prayers that the bank be directed to pay Rs.24,30,150/- with interest @12% p.a. from 16/12/2019 alongwith cost of Rs.50,000/-.

4) The Opposite Party-Bank failed to file their written version within time, therefore, the Order has been passed by this Commission on 18/06/2024 to proceed the matter without written version of the bank.

5) Thereafter, the Complainant filed their affidavit of evidence written arguments and the Advocate for the Complainant advanced the oral arguments.  Though, opportunity given to the bank, they failed to advance their arguments on legal points.

6) On perusal of the proceedings in the complaint, it is found that the Opposite Party-Bank on 07/07/2022 has filed a letter dt.05/07/2022 of bank addressed to the Complainant under the subject as Payment of Compensation for fraudulent payment of Rs.24,30,150.00 through clearing.  The said letter reads as under :-

“Referring to your letter (Marathi) no.2551, dt.11/09/2020 and our letter BND:2020-21, Dt.18-09-2020 and further email dt.04/07/2022, we thereby inform you that the competent authority has declared the matter as fraudulent withdrawal and the payment of compensation has been approved by the competent authority in this matter.  We therefore request you to provide an indemnity so that we can make payment of Rs.24,30,150.00 at the earliest as per our procedure”.

7) Thereafter, on 06/01/2023, the Opposite Party filed an application dt.12/11/2022 alongwith Demand Draft No.882404, dt.11/11/2022 of Rs.24,30,150/- before this Commission to deposit the said amount in this Commission with prayer to allow the Complainant to withdraw the same after following Indemnity procedure in the interest of justice and the same was deposited by the bank in this Commission on 06/01/2023.  On application dt.10/02/2023 for withdrawal of the said amount with copy of Indemnity Bond dt.07/02/2023 submitted to the bank filed by the Complainant, this Commission by its Order dt.13/06/2023 directed to pay the said amount to the Complainant after completing necessary formalities and on 09/08/2023, the Office of this Commission by Cheque No.692127, dt.28/07/2023 has disbursed the said amount of Rs.24,30,150/- to the Complainant.

8) From the above mentioned letter dt.05/07/2022 of the bank, it is clear that the said amount has been transferred to the account of one M/s S K Royal Traders on 16/12/2019 from the account of the Complainant by clearing fraudulent cheque by the bank.  Therefore, it is a clear case of deficiency in service and unfair trade practice on part of the bank.

9) The disputed amount of Rs.24,30,150/- has been paid by the bank to the Complainant through this Commission and now only question remains before us in respect of interest on the said amount and cost of the complaint to be paid to the Complainant.

10) The Complainant in their written argument dt.06/03/2024 prayed for 12% interest on the said amount from 16/12/2019 to 12/11/2022.  It is observed that there is no mala-fide intention or active role of the bank in the so-called fraudulent transaction which is under investigation.  The delay in release of the involved amount is due to multilevel approval procedure of the banking system.  However, the loss of the Complainant in the form of interest on the said amount is the responsibility of the bank.  Hence, it is proper and reasonable to direct the Opposite Party-Union Bank of India to pay interest @ 6% p.a. on Rs.24,30,150/- from 16/12/2019 to 12/11/2022 alongwith the cost of the complaint of Rs.10,000/- to the Complainant.  Hence, we pass the following order :-

Order

1. Consumer Complaint No.CC/127/2021 is partly allowed.

2. The Opposite Party-Union Bank of India is directed to pay interest @ 6% p.a. on amount of Rs.24,30,150/- from 16/12/2019 to 12/11/2022 to the Complainant.

3. The Opposite Party-Union Bank of India is directed to pay Rs.10,000/- as cost of the complaint to the Complainant.

4. The Order in Clause No.2 & 3 be complied with by the Opposite Party-Union Bank of India within 45 days from the receipt of certified copy of this Order,

5. Copy of this Order be furnished to both the parties free of cost.