Delhi

New Delhi

CC/576/2009

Ashish Kumar Das - Complainant(s)

Versus

M/S. Standard Chartered Bank - Opp.Party(s)

16 Jan 2019

ORDER

 

 

           CONSUMER DISPUTES REDRESSAL FORUM-VI

(DISTT. NEW DELHI),

                           ‘M’ BLOCK, 1^STFLOOR, VIKAS BHAWAN, I.P.ESTATE,

                                                        NEW DELHI-110001

 

Case No.C.C./576/2009                                                Dated:

In the matter of:

Sh. ASHISH KUMAR DAS

R/o Pocket-K, House No. 1

Near Market no. 3, Chittranjan Park

New Delhi-110019

                                                                                         ….Complainant

 

                                          Versus

 

1.                       Head Credit Card Division

 

2.                          Head Recoveries,

(Both at)

Standard Chartered Bank

Hansalaya Building

Barakhamba Road,

New Delhi-110015,

                                  And

India Bank Card Centre

                                    3rd  &4th floor,

Raheja Point,

Magarath Road, Bangalore-560025.

 

3.                          Head Credit Card Division,

 

4.                         Head Recoveries,

(Both at)

Manhattan Hub,

Unity Building,2 Mansion Road,

                                    Bandalore-560002

5.                           C.M.D.

Credit Information Bureau (India) Ltd.

Hoechst House, 6^th floor,

193, Backbay Reclamation,

Nariman Point,

                                    Mumbai-400021

                                                                                                      …….Opposite Parties

 

                                                      ORDER

 

ARUN KUMAR ARYA- PRESIDENT

                                        

     The gist of the complaint is that he was allotted a credit card bearing no. 4940768025785434(brand name) Manhattan in 2004. The complainant did not use and asked for the closure for the same. The bank at their own issued DD of Rs5000 and credited complainant’s card ignoring all communications, representations, objections raised by the Complainant and inducted the Complainants name in the list of defaulters maintained by CIBIL. Due to the act of the OP the complainant was denied issuing of credit cards by different banks, though the complainant was having good financial and social standing. In fact, the complainant’s application to Standard Chartered Bank for the card was rejected without any reason. Later on, the complainant came to know about his name was entered in CIBIL records.

It is alleged that the respondent vide letter dated 04.01.2005, the demand draft of Rs.5000/- was sent to ensure easy balance transfer and account ability, a dummy account bearing no. 4940768025785434 was set up. As the amount had not been received by the OP bank, the complainant has to pay the minimum balance.

The complainant had neither used the card nor utilised the demand draft and as communicated through letter dated 05.102004 and subsequent reminders 04.01.2005. The OP did not bother to respond to the complainants queries and representations. A bill statement dated 07.02.2005, 07.03.2005 stated that  your credit card stands cancelled with immediate effect and the bill statement dated 07.04.2005 stated that your name has been included in the defaulter list. A series of letters have been referred in the complaint. Legal notice dated 04.06.2005 was sent. It is alleged that on account of OP’s act the complainant has suffered mental and physical harassment decide social disrepute. It is also alleged OP had violated the guidelines and norms prescribed by the authority and the reserve bank of India. 

OP no. 1 to 4 have filed written statement/version to the complaint it is stated that the OP bank initiated the process of removing his name from CIBIL in the month of April,2008 and vide letter dated 03.05.2008 informed the same to the complaint. The OP bank also informed the complainant vide letter dated 03.05.2008 and 21.01.2009 that there is no outstanding and this credit card and his name is not reflected with OP bank as defaulter.

The CIBIL is repository of information which contains credit history of the borrowers and the credit history of the complainant is contained in the said repository of the CIBIL as per CIBIL records no dues are outstanding to the OP Bank from the complainant. Further it is stated that the complainant’s outstanding in ABN AMRO bank credit card was paid by the OP bank and for balanced transfer a dummy account was opened and in this regard the letter dated 04.012005 was sent to the complainant. Statement of accounts of the dummy accounts were regularly sent by the complainant. As per RBI Instructions it is mandatory for  the bank to report to the CIBIL about the credit facility availed or to be availed by the customers. It is admitted that the OP bank refused the Complainant’s request for the credit card and conveyed vide letter dated 11.05.2005. The name of the complainant was removed from the CIBIL list in the month of April,2008. All allegations leveled by the complainant have been denied and prayer to dismiss the complaint made.

 The OP-5 CIBIL has filed reply affidavit stating that the complainant is not a consumer under section 2(1)(d)(i) of the consumer protection act. It is stated that op filed is a company incorporated under the companies act 1956 and is engaged in the business of creating, storing, complying ,collection , processing and maintaining a data bank of the credit information relating to both individual and entities of all types. The furnishing credit information is strictly to the close user group of the members. Further it is stated that it never publishes any information or data suo-moto. There is no deficiency in service as alleged and information is maintained on the basis of information received from the financial institution that is op1 in this case. All allegations have been denied.

All the parties have filed their respective evidence in affidavit supporting their contentions. The complainant has filed synopsis and also relied on some judgments. The Complainant also filed a letter dated 11.02.2014 addressed to him by CIBIL. The said letter states that if any information on CIR is inaccurate or needs to be updated, then it shall be pleased to help the complainant you with the dispute resolution. The easiest way to initiate a dispute request is by submitting a duly completed online dispute for available for website; further CIBIL can make changes in the data only once the credit institution/s intimates regarding the same. Further the CIBIL report has also been filed by the complainant. Per contra the CIBIL report that the year 2007 was showing no outstanding payable by the complainant to the OP bank.

We have considered the material placed before us and the arguments. The undisputed facts are that the complainant applied for credit card in the year 2004 and his application was disallowed. Thereafter, obtaining the second application from the complainant, credit card was issued. It is also admitted by the OP that a dummy account was opened in the name of complainant wherein a DD for an amount of Rs.5000 was credited without seeking the consent of the complainant either to open an account or to transfer in dummy account. The OP bank has not denied the complainant’s request for cancelling the credit card. As the credit of the amount of Rs.5000 through DD by the OP bank was not requested by the complainant as such it did not return the said amount to the bank. The alleged non-payment of Rs.5000 by the complainant was informed by the bank to CIBIL which led to reflect the complainant’s poor CIBIL score. The OP stated to have initiated the remedial steps in the year 2008 for carrying out appropriate entries in the CIBIL records. From these bare facts it is clear that there has been a delay of around 4 years for carrying out the rectification of the communication impacting the CIBIL score of the complainant and further opening of the dummy account in the name of complainant and transferring Rs.5000/- therein without seeking consent of the complainant tant-amounts to deficiency in service on the part of OP. Holding the OP to be deficient in service we issue the following direction : -

 

 

1. The OP Bank shall issue a regret letter to the Complainant.

2. We award compensation of Rs. 30,000/- in lump sum for harassment and mental agony including litigation charges in favor of the complainant.

3. The OP shall get the CIBIL records updated.

The OP shall comply the orders within 30 days failing which simple interest @ 9% p.a. on the awarded amount shall be payable from the date of filing of the complaint till the date of realization. Copy of the order may be forwarded to the parties to the case free of cost as statutorily required. 

File be consigned to record room.

Announced in open Forum on  16.01.2019.

The orders be uploaded on www.confonet.nic.in

 

 

 

(ARUN KUMAR ARYA)

           PRESIDENT

         (NIPUR CHANDNA)                                                                                   (H M VYAS)

                 MEMBER                                                                                                 MEMBER