DATE OF FILING : 22/12/2017

IN THE CONSUMER DISPUTES  REDRESSAL FORUM, IDUKKI

Dated this the 2nd  day of November 2018

Present :

SRI. S. GOPAKUMAR PRESIDENT

           SRI. BENNY. K. MEMBER

CC NO. 272/2017

Between

Complainant       : Rajan M., S/o Martin,

                                                                            Paruthivilayil House,

                                                                            Naykkunnu, Koombanpara P.O., 

                                                                            Vellathooval Village.

(By Adv:  Pratheesh Prabha)

And

Opposite Party                                          :  The Manager,

                                                                        Sreeram Transport Finance Co.Ltd.,

                                                                         Adimaly Branch, Adimaly 685 561.

(By Adv: Gem Korason)

O R D E R

SRI. S. GOPAKUMAR (PRESIDENT)

 

The case  of the complainant is that,  

 

Complainant availed a vehilce loan of Rs.6 Lakhs from the opposite party company for his Tipper Lorry having Reg.No.KL/40/A/8659, agreed it to repay with 42 instalments @ Rs.20,088/- per month.  Out of this instalment all the instalment except 6 instalment were remitted by the complainant promptly, and the complainant is liable to pay only Rs.1,20,528/- as loan dues.  But the opposite party company issued a legal notice to the complainant demanding him to pay Rs.5,41,113/- as loan dues, otherwise they will initiate coercive step to  cease the vehicle.  Complainant further stated that, since the balance loan dues was a small amount, the opposite party demanding a huge amount and also the opposite party threatening him.  This act of the opposite party is gross unfair trade practice, against this the complainant filed this petition for directing the opposite party to receive an amount of Rs.1,20,528/- from the complainant and issue NOC of the above vehicle and also direct the opposite party to pay cost and compensation.

 

Upon notice opposite party entered appearance and filed detailed reply version  by  denying  all  the averment in the complaint.  Opposite party further

                                                                                                                          (Cont.....2)

-2-

contented that on 01/08/2013 loan was advanced to the complainant and as per the agreement an amount of Rs.8,45,018/- have to be repaid by the complainant.  Out of this Rs.6,04,722/- is the loan amount and Rs.2,40,296/- is the interest.  The complainant had made default in repaying the amount.  The opposite party is claiming the amount only which they are legally entitled as per the terms of the agreement.  The complainant is not entitled to keep away from paying the due amount by some lame excuses.  Since the payment of instalment was not made within the stipulated period, the opposite party is entitled to claim overdue charges as per the terms of the agreement.  The interest rate was specifically stated in the loan agreement and the instalment was scheduled accordingly the complainant had affixed his signature after knowing all these terms and conditions and the contention contrary to the same is made for the sake of the complaint.  There is no cause of action against  the opposite party and none of the relief sought for by the complainant in allowable.

 

Evidence adduced by both the parties by way of documents.  Complainant produced loan statement of account, receipt and RC particulars were marked as Ext.P1 to Ext.P3 respectively.

 

The document such as loan agreement and loan statement of account filed by the opposite party marked as Ext.R1 and Ext.R2 respectively.

 

Heard both sides,

 

The point that arose for consideration is whether there is any deficiency in service from the part of opposite parties, and if so, for what relief the complainant is entitled to ?

 

The Point:- We have heard the counsels of both sides and have gone through the evidence on records.

 

On going through Ext.R1 loan agreement it is seen that the amount of loan was Rs.6,04,722/- and its finance charge is Rs.2,40,296/- and interest rate is fixed for 20% additional interest chargeable is 3%.  As per the record the last instalment payable  is on 05/02/2017.   Ext.R2  loan  statement  of  account it is

 

                                                                                                                         (Cont.....3)

-3-

specifically stated that total receipt in this account till 12/09/18 is Rs.7,22,730/-.  As per Ext.R1 document rate of interest is stated as 20% and additional interest payable is 3%.  From the records it is very clear that the payment of instalment were irregular, even though it is irregular the charging of interest as per the Ext.R1 is very high and the opposite party has not produced any evidence to justify this.

 

Under the above circumstances, Forum found that the opposite party is imposed a heavy interest in the loan and it is against the norms of RBI.  Hence the complaint partly allowed.  The Forum directed the complainant  to pay the defaulted instalment with 12% interest from the date of default till its payment within 3 months from the date of the receipt of the copy of this order.  The Forum directs the opposite party to issue a statement of defaulted loan due with calculating  12% interest from the date of default, till its payment, if the complainant approaches them within the period stipulated above. If the complainant failed to comply the direction of this Forum,  opposite party having liberty to initiate there own steps to recover the  loan dues from the complainant.

Pronounced in the Open Forum on this the 2nd  day of November, 2018.

                                                                                                    Sd/-

                                                                                      SRI. S. GOPAKUMAR (PRESIDENT)

                                                                                                           Sd/-                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 

             SRI. BENNY. K.  (MEMBER)

APPENDIX

Depositions :

On the side of the Complainant :

Nil

On the side of the Opposite Party :

Nil

Exhibits :

On the side of the Complainant :

Ext.P1            - Loan statement of account,

Ext.P2            - Receipt 

Ext.P3          - RC particulars

On the side of the Opposite Party :

Ext.R1    -  Loan agreement

Ext.R2    -  Loan statement of account                             Forwarded by Order,

 

                                         SENIOR SUPERINTENDENT