CONSUMER DISPUTES REDRESSAL COMMISSION

MAHARASHTRA STATE





FIRST APPEAL NO.1478/2008 Date of Filing:- 24/11/2008

IN CONSUMER COMPLAINT NO.84/2007 Date of Order:-19/03/2009

DISTRICT CONSUMER FORUM, ADDITIONAL PUNE



Shri Vyankat Narayan Jadhav,

R/o 81-A, ‘Snehadeep’, Adarsha Nagar,

Navi Sangvi, Pune,

Tah-Dist-Pune ... Appellant (Org. Complainant)

-Versus –



1) Ashok Leyland Finance Limited,

4th Floor, Arthashilp,

13/49, 13/50, Bajirao Road,

Pune-2



2) Indus Ind Bank Limited,

2401, General Thimaiah Road,

East Street, Contonment,

Pune-411 001 ... Respondents (Org. Opponents)





Corum :- Mr.P.N.Kashalkar,Hon’ble Presiding Judicial Member,

Smt.S.P.Lale,Hon’ble Member.



Present :- Appellant present in person

None present for Respondents.



O R D E R

Per Mr.P.N.Kashalkar, Hon’ble Presiding Judicial Member



1) This appeal is filed by the Org. complainant against the dismissal of the complaint No.84/2007 on 29/9/2008 decided by the Additional District Consumer Forum, Pune.





2) Facts to the extent material may be stated as under :

3) The complainant had taken vehicle loan for purchasing Tempo Trax for his personal use. He had taken loan of Rs.2,78,000/- from the O.P./Bank. The loan was to carry interest at the rate of 13.75% per annum. The EMI was Rs.9,888/- and in 36 EMI’s the loan was repayable by the complainant. However, the Bank sent receipt dated 10/12/1998 and asked the complainant to pay 42 EMI’s for three and half years. According to the complainant he had paid all the EMI’s and he had asked for no dues certificate but Bank directed him to pay amount of Rs.98,000/-. The Bank also sent notice dated 15/4/2002 and demanded from the complainant amount of Rs.1,23,766/- illegally. The Bank also sent him notice dated 15/4/2002 through arbitrator. The arbitrator also passed award and directed the complainant to pay amount of Rs.1,23,447/- to the Bank along with arbitrator’s fee Rs.2,000/- and cost of Rs.250/-. According to the complainant, he was given mental harassment by the Bank and he was not returned some vital documents and therefore he filed consumer complaint primarily claiming no dues certificate from the Bank and for return of the documents withheld by the Bank. The complainant filed documents and affidavits in support of his complaint.



4) The O.P. filed written statement and pleaded that complainant had taken loan from it as per agreement dated 9/10/1998. The said agreement stipulated that in case of any dispute between the bank and borrower, the same shall be refereed to the arbitrator. Therefore, the Forum has no jurisdiction to entertain the complaint. The Bank further pleaded that even after sending notice dated 15/4/2002 demanding arrears of unpaid loan, the complainant did not repay the outstanding loan. Therefore, the O.P. Bank had made reference to the arbitrator and arbitrator after hearing the parties passed award in favour of the Bank and directed the complainant to pay outstanding amount of Rs.1,23,447/- besides Rs.2,000/- as arbitrator’s fee and Rs.250/- as cost. The complainant did not pay the EMI’s on the appointed date and huge of amount of Rs.2,60,974.84/- is payable by the complainant to the said loan account and therefore the Bank pleaded that complaint should be dismissed with cost. The Bank also filed affidavits and documents in support of its written statement.



5) On perusal of affidavits and documents filed by the parties, the Forum below held that the O.P./Bank was not guilty of deficiency in service and in fact the complainant was a defaulter. He had not repaid the loan to the Bank. He committed default hence the bank was required to approach arbitrator and arbitrator was rightly appointed by the Bank in terms of arbitration clause found in the loan agreement signed by both the parties. After the dispute was referred to the arbitrator, the learned arbitrator was pleased to pass award in favour of the Bank and against the complainant. Aggrieved by this award, the complainant could have and should have filed appropriate proceeding in the District Court, Pune under Arbitration and Conciliation Act. Instead of doing so, he filed consumer complaint and the Forum below rightly dismissed the complaint.



6) We heard appellant in person. None was present for the respondent.



7) After the award passed by the Arbitrator if complainant was aggrieved by the said award, he should have filed an application U/s 36 of Arbitration and Conciliation Act. But he can not be permitted to file consumer complaint after the award has become final and executable in law. The award passed by the Arbitrator is also having a force of decree passed by the civil court. So, against the award the complaint as filed by the complainant was not tenable in law and Consumer Forum had no jurisdiction to entertain such complaint. The Forum below rightly dismissed the complaint by giving sound reasoning. Appeal as such filed by the complainant before us is appearing to be devoid of any substance. Hence, we pass following order.

O R D E R



1) Appeal stands summarily rejected.



2) Copies of this order be sent to parties free of cost.





( Smt.S.P.Lale ) (P.N.Kashalkar )

Member Presiding Judicial Member