Haryana

Karnal

CC/298/2023

Mamta Rani - Complainant(s)

Versus

Mahindra And Mahindera Financial Services Limited - Opp.Party(s)

S.S. Moonak

21 Sep 2023

ORDER

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, KARNAL.

                                                        Complaint No. 298 of 2023

                                                        Date of instt.24.05.2023

                                                        Date of Decision:21.09.2023

 

Mamta Rani, aged 39 years, wife of Shri Sohan Lal, (aadhar no.9725 5974 8464), resident of Mata Rani Mohalla, Kaithal Road, Nissing, District Karnal.

                                               …….Complainant.

                                              Versus

 

Mahindra and Mahindra Financial Services Limited, 2^nd floor 87-88, Mahila Ashram Complex, Behind Old Bus Stand, Karnal.

 

                                                                      …..Opposite Party.

 

Complaint Under Section 35 of Consumer Protection Act, 2019.

 

Before   Sh. Jaswant Singh……President.       

      Sh. Vineet Kaushik…….Member

      Dr. Rekha Chaudhary……Member

          

 Argued by: Shri S.S.Moonak, counsel for complainant.

                    Shri Dheeraj Sachdeva, counsel for the OP.

 

                    (Jaswant Singh, president)

ORDER:  

  

                Vide this order we disposed off the application filed by the OP for dismissal of the complaint with the averments that complainant had approached the OP for loan facility/financial assistance for the purchase of vehicle Mahindra XUV 700 bearing registration no.HR-05-BH-6254 and as per the request of complainant, a written loan agreements was executed between the parties and an amount of Rs.19,00,000/- was financed and disbursed to the complainant besides the financial charges of Rs.5,73,800/-and total agreement value is Rs.24,73800/-. The said loan was to be repaid in 84 installments of Rs.29,450/- each starting from 05.06.2022 till 05.05.2029 as per payment schedule. The complainant remained defaulter to pay the loan installment in time and a huge amount has been remained unpaid by the complainant and as of date 11.01.2023, Rs.67,900/- has been remained pending as outstanding due alongwith additional financial charges of Rs.4743/- alongwith cheque bounce charges of Rs.2090/- Due to the irresponsible and defaulter behavior of the complainant, a dispute has been arisen between the complainant and the OP and as per the right vested under the loan agreement, recalled the entire loan amount of Rs.18,91,543/- as of dated 11.01.2023. The complainant has failed to repay the loan amount.  Finding no other alternate, applicant/OP has already approached to the court at Kaithal under section 9 of the Arbitration and Conciliation vide case no.ARB 12/2023 and Hon’ble Court has already passed an order under section 9 to take the possession of vehicle and accordingly applicant/OP intimated to the local police of Thana Nissing, Karnal and has repossessed the vehicle in question. It is further alleged that the matter in question is already subjudice as well as the arbitration proceeding has been initiated against the complainant and notice for same has already been issued to the complainant and same has been admitted by the complainant.

2.             It is further alleged that complainant has already exhausted his legal remedy by filing a civil suit before the civil court at Karnal and same is pending before the court, vide civil suit no.1210 of 2023 and the OP appeared and apprised the civil court regarding all the facts and circumstances and filed an application u/s 8 of Arbitration and Conciliation act and accordingly matter posted to 23.08.2023 for reply to application and no stay was granted by court and he further prayed for dismissal of the application.

3.             Complainant resisted the application moved by the OP alleging therein that the present application is not maintainable in the present form and OP has concealed the true and material facts from this Commission. It is further alleged that the value of the car in question is more than Rs.24 lakhs and the present application filed by the OP to grab the car of the complainant illegally and unlawfully. The official of the OP wants to dispose off the car on very low price under the grab of the alleged recall of the loan amount by way of foreclosure. The complainant has already paid Rs.4 lakhs in the loan account till today. There is no default on the part of the complainant in paying the installments. The recalling of the loan amount is totally illegal, null and void and not binding on the rights of the complainant and same is against the guidelines of the RBI and Central Government of India. No notice regarding recalling of the loan amount was given to the complainant. The filing of petition under Arbitration Act, before the court of Ms. Sangeeta Rai Sachdeva, learned ADJ Kaithal, the same has been withdrawn by the OP on 18.05.2023. As such the alleged seizure of the car by the officials of the OP is totally illegal, null and void and against the principal of natural justice and prayed for dismissal of the application.

4.             The complainant has filed the present complaint Under Section 35 of Consumer Protection Act, 2019, against the OP with the brief facts are that complainant had purchased a car Mahindra XUV-700 (model 2022), bearing registration no.HR-05-BH-6254 for a sum of Rs.24,00,000/-. The said car was financed with OP for a sum of Rs.19,00,000/-. The said loan was to be repaid in 84 EMIs of Rs.29450/-. The complainant was paying the installments of the said car regularly without any default. At the time of raising the loan amount, the officials of the OP had taken blank cheques which were unfilled and undated drawn at Bank of Baroda, Nissing, Karnal from her.  Due to some financial problem, complainant could not deposit the three EMIs of the said loan regarding the said car in time, which were lateron deposited by the complainant amounting to Rs.1,02,900/- on 31.03.2023 through online transfer in the account of OP. However, the officials of the OP are demanding the extra charges/penalty from the complainant illegally and unlawfully without any rhyme and reason. The alleged demand of extra money as penalty from the complainant is totally illegal and unjustified. Despite payment of EMIs of the car in question, the official of the OP has snatched away the said car illegally and forcibly alongwith original documents on 28.03.2023, the car is now in possession of the OP. OP has filed a petition under section 9 of the Arbitration Act before the learned District Judge, Kaithal, which was withdrawn from the court of Ms. Sangeeta Rai Sachdeva, learned ADJ Kaithal on 18.05.2023 without hearing the complainant and without giving any prior notice to complainant. The complainant never refused to pay the EMI of the car in question, however, officials of the OP are demanding overdue charges and penal interest etc. illegally and unlawfully without any justification. The OP further threatened the complainant that they will alienate the car to some other person and they will misuse the blank cheques/blank documents affidavit etc. If the official of the OP succeeds in alienating the car and further recover the alleged balance amount of EMIs in one time and misuse the blank cheques of complainant, then in that eventuality, complainant would suffer an irreparable loss and injury, which cannot be compensated in any manner. Hence complainant filed the present complaint.

5.             Arguments heard.

6.             Admittedly, complainant got financed his vehicle for an amount of Rs.19,00,000/- with the OP. The said amount had to be repaid in 84 installments of Rs.29,450/-.

7.             The complainant was defaulting the installments and due to continuous defaulting in payment, various requests made by the OP to complainant for paying the installments regularly but complainant did not repay the installments of the loan amount. Ultimately, OP initiated the arbitration proceedings against the complainant before the Arbitrator. Arbitration Award has been passed against the complainant and complainant has not challenged the said award before the competent court of law. Furthermore, a civil suit no.1210 of 2023 is also filed by complainant before the Civil Court, Karnal. Learned counsel for the OP also placed on file copy of another civil suit no.298/2023, which is also filed by the complainant in the court of Civil Judge (Junior Division), Karnal. Thus, the matter is already subjudice and same is pending before the Civil Court.

 

8.             Thus, in view of the above, facts and circumstances of the case, the application in for dismissal of the complaint stands allowed and present complaint is hereby dismissed being not maintainable. No order as to costs. The parties concerned be communicated of the order accordingly and the file be consigned to the record room after due compliance.

Dated:21.09.2023

 

                                                                President,

                                                   District Consumer Disputes

                                                   Redressal Commission, Karnal.

       

(Vineet Kaushik)        (Dr. Rekha Chaudhary)

 Member                         Member