IN THE CONSUMER DISPUTES REDRESSAL COMMISSION, KOLLAM

DATED THIS THE    29^th  DAY OF JULY 2022

Present: -    Sri. E.M.Muhammed Ibrahim, B.A, LLM. President

Smt.S.Sandhya   Rani. Bsc, LLB ,Member

Sri.Stanly Harold, B.A.LLB, Member

    CC.No.269/20

Nicy,

W/o Sajan Varghese,

Kovoor House, Vadakkevila P.O.,

Kollam 691020

(By Adv.Saju George & Adv.S.Riyas)               :         Complainant

V/s                                                                                

1. Popular Dealers,

Popular Towers, Vakayar P.O.,

Pathanamthitta rep.by its Managing partner

Mr.Thomas Daniel @ Roy Daniel                             :      Opposite parties

Pin 689 698.

2.      Mr.Thomas Daniel @ Roy Daniel,

Managing Partner, Popular Dealers,

Popular Towers, Vakayar P.O.,

Pathanamthitta. 689 698

3.      The Manager, Popular Dealers,

Polayathode Branch, Polayathode,

Kollam 691001.

ORDER

Sri. E.M.MUHAMMED IBRAHIM , B.A, LLM,President

          This is a case based on a complaint filed U/s 35 of the Consumer Protection Act 2019.

          The averments in the complaint in short are as follows:-

          The complainant is a house wife and now she is permanently residing in the address shown above.  The 1^st opposite party is a partnership firm having its registered office at Vakayar, Pathanamthitta and branches at various places including Polayathode, Kollam district.  The 2^nd opposite party is the managing partner of the 1^st opposite party and the 3^rd opposite party is the Branch Manager of the 1^st opposite party’s Polayathode branch.

          The 3^rd opposite party approached the complainant introducing himself as the branch manager of the 1^st opposite party at Polayathode branch and that his branch is receiving deposits from the public.  The 1^st opposite party assured that the amount deposited in the 1^st opposite party firm is secured and that the deposit amount would fetch a profit share/interest @ 12 % p.a.  He also assured that the deposit amount with profit share/interest for the deposit amount shall be given to the depositors quarterly basis.  He further assured that on maturity of the said deposits, the deposit amount with profit share, would be returned to the depositors without any fail.  He further assured that 1^st opposite party is a highly reputed financial institution having several years experience and that the amount deposited is secured and maturity amount assured is guaranteed.  The 3^rd opposite party also assured the complainant that they are ready and willing to return the deposit amount either on its of maturity or on demand.   The 3^rd opposite party is discharging his duties as the branch manager as per the direction of the 1^st and 2^nd opposite parties.

          Believing the representation made by the 3^rd opposite party, the complainant had deposited an amount of Rs.2,00,000/- vide receipt No.0162189(A/c No.1029991907028) dated 05.03.2020 w.e.f. 11.02.2020.  The period of the said deposit is 12 months.  The 3^rd opposite party is paying quarterly interest to the complainant till May 2020 in respect of the sum of Rs.2,00,000/- deposited in her name vide receipt No.0162189.  The said amount was earlier deposited by the complainant at head office of the 1^st opposite party and on its maturity it was again renewed on 05.03.2020 w.e.f.11.02.2020.  The opposite parties agreed to repay the said amount to the complainant with agreed profit share/interest either on its maturity or on demand.  Accordingly the complainant was receiving interest for the deposit of Rs.2,00,000/- in the name of the complainant till May 2020.  While so the complainant came to understand that  the opposite parties committed gross financial irregularities in respect of the deposit made by the complainant and other depositors.  The complainant went to the office of the 3^rd opposite party in July 2020 demanding the interest for the entire deposits till date.     Therefore it was revealed that the Polayathode branch of the 1^st opposite party was closed and 3^rd opposite party was found absconding.  The complainant had enquired about the opposite parties and thereupon it was revealed that the opposite parties had misappropriated amounts of the depositors including the complainant and thereafter they absconded by closing all the branches.  The opposite parties are bound to pay interest/profit share for the deposit amount as agreed in the receipts without any fail.  Further the opposite parties are legally liable to repay the deposit amount either on maturity or on demand.

          Immediately the complainant had preferred a complaint in respect of the above matter before the SHO, Eravipuram  police station, Kollam.  The police had already started investigation in respect of the complaint made by the complainant and other depositors.  The receipts herein produced is duly issued by the opposite parties 2 and 3 on behalf of the 1^st opposite party and hence all the opposite parties are jointly, severally and vicariously liable to indemnify the complainant for the deposit amount with stipulated profit share/interest.  The act of the opposite parties amounts to deficiency in service and unfair trade practice.  Due to the act of the opposite parties, the complainant had suffered financial loss, mental agony and hardship which cannot be compensated in terms of money. 

          The complainant was convinced the opposite parties were engaged in unfair trade practice and were fraudulently conducted financial business without proper license or permission from RBI.  The opposite parties were deliberately mislead the public with false claims and they were deliberately cheated the customers who trusted them.  They had deliberately received deposits on false promises and forging documents in the name of firms.  They have forged and fabricated documents and misappropriated the amount entrusted to them so as to cause unlawful loss to the complainant and unlawful gain to the opposite parties.  The complainant had contacted the opposite party after expiry of the respective period shown in the receipt in person and requested to refund the entire deposited amount by closing all accounts even prematurely but the opposite parties were not ready to return the amount so that the loss and injury caused to the complainant can never be equated.  Hence the complaint. 

          Notice issued from the Forum/Commission return unserved stating that the  whereabouts the opposite parties are not known.  Hence notice was served effecting paper publication.  The opposite parties 1 to 7 were called absent and hence set exparte.  The complainant filed proof affidavit by reiterating averments in the complaint and got marked Ext.A1 to A3 documents.  Heard counsel for the complainant and perused the records.  Ext.A1 is the original fixed deposit receipt for Rs.2,00,000/- bearing No.0162189(A/c No.1029991907028/12.00) dated 05.03.2020.  Ext.A2 is the copy of the details of complaint filed at the police station, Eravipuram.  Ext.A3 is the receipt of petition.

The unchallenged averments in the affidavit coupled with Ext.A1 to A3 documents would establish prima facie that complainant Smt.Nicy had deposited Rs.2,00,000/- on 05.03.2020 in her name.  It is clear from Ext.A1 document that the opposite parties have promised 12% share of profit and the maturity date is 11.02.2021.    The unchallenged averments in the affidavit would go to show that the opposite parties have misappropriated the entire amount deposited by the customer including the complainant and thereafter closed the branch office and absconded without repaying the amount deposited or its share of profit to the depositors.  It is further clear from Ext.A2 that the complainant has preferred a police complaint regarding misfeasance malfeasance and nonfeasance of the opposite parties.   Hence there is deficiency in service and unfair trade practice on the part of the opposite parties.  In the circumstances the complainant is entitled to get an order directing the opposite party to pay Rs.2,00,000/- deposited along with the offered share of profit shown in Ext.A1 receipt from the date of receipt of the amount till the date of order and thereafter interest @ 9 % per annum till the date of payment and a compensation of Rs.15,000/- for the mental agony and financial loss caused to the complainant along with Rs.5,000/- as costs of the proceedings.

          In the result complaint stands allowed in the following terms.

          Opposite parties 1 to 7 are directed to return the amount of Rs.2,00,000/-covered by Ext.A1 receipt to the complainant along with agreed share of profit/interest from the respective date of deposit/ investment within 45 days from the date of receipt of a copy of this order failing which the complainant is at liberty to recover the amount covered by Ext.A1 receipt along with agreed share of profit from the date of investment till the date of order and thereafter interest @ 9 % p.a. from the date of order till realization from the opposite parties No.1 to 7 jointly and severally and from their assets.

          Dictated to the Confidential Assistant  Smt. Minimol S. transcribed and typed by her corrected by me and pronounced in the  Open Commission this the   29^th day of  July 2022.   

E.M .MUHAMMED IBRAHIM:Sd/-

STANLY HAROLD:Sd/-

S.SANDHYA RANI:Sd/-

Forwarded/by Order

                                                                                       Senior superintendent

INDEX

Witnesses Examined for the Complainant:-Nil

Documents marked for the  complainant

Ext.A1        : The original fixed deposit receipt for Rs.2,00,000/-

  bearing No.0162189(A/c    No.1029991907028/12.00) dated 05.03.2020

Ext.A2          :  The copy of the details of complaint filed at the police station, Eravipuram.

Ext.P3          : The receipt of petition.

Witnesses Examined for the opposite party:-Nil

Documents marked for opposite party:-Nil