1. Heard Mr. R.A. Gunjale, Advocate, for the petitioner. 2. Above revision petitions have been filed against the orders of Karnataka State Consumer Disputes Redressal Commission, Bengaluru, dated 29.09.2022, dismissing Review Application No.13 of 2022, RA/14/2022, RA/15/2022, RA/16/2022 & RA/17/2022 and dated 08.12.2021 dismissing FA/1576/2017, FA/1577/2017, FA/1578/2017, FA/1579/2017 & FA/1580/2017 (arising from the order of District Consumer Disputes Redressal Forum, Belagavi, dated 26.04.2017 passed in Consumer Complaint Nos.222, 223 and 224/2016 and also orders dated 30.11.2016 and 03.04.2017 passed in CC/316/2016 and 41/2017 respectively), whereby District Forum allowed the complaint and directed the opposite parties jointly and severally to pay the amount of FDRs with agreed interest up to the date of maturity and interest @9% per annum, after date of maturity till the date of payment and cost of Rs.1000/- each. In CC/316/2016, the District Forum directed the opposite parties to pay the amount of FDR with interest @ 10.20% and cost of Rs.3000/- and in CC/41/2017, the District Forum directed the opposite parties to pay the amount of FDR with interest @ 6% p.a. and cost of Rs.3000/-. The office has reported one day delay, in filing RP/279/2023 & RP/280/2023. The petitioners have filed IA/8809/2023 and IA/8810/2023 respectively, for condoning the delay. Delay is condoned. 3. As the facts and the dispute involved in all the revision petitions are same, they are disposed of by a common judgment treating RP/279/2023 as leading case. 4. Shivanand Shivabasappa Kadakol (respondent-1) filed CC/222/2016 for directing the petitioners and respondents-2 and 3 jointly and severally to (i) refund Rs.400000/- with interest @10% per annum, from March, 2015 till the date of filing of the complainant and thereafter @18% per annum till the date of refund; (ii pay litigation costs; and (iii) any other relief, which is deemed fit and proper in the fact of the case. The complainant stated that The Belgaum Postal & RMS Division, Co-operative Credit Society Ltd., 1st Floor, Opp. Head Post Office, Station Road, Belagavi was a co-operative bank, registered under Karnataka Co-operative Societies Act, 1960 and Senior Superintendent of Post Office, Belagavi Division (opposite party-4) is its Ex-officio President. Membership of the co-operative credit society was limited to the employees of Post Offices and Rail Mail Services. The complainant was member of co-operative credit society, being an employee of Rail Mail Services, from where he retired in the year 2005. After retirement, the complainant deposited Rs.200000/- in FDR No.1114, Account No.243 on 09.01.2012 and Rs.200000/- in FDR No.1115, Account No.244 on 09.01.2012, for a period of one year at interest @10% per annum. Interest was payable in every month to the complainant and FDRs used to be extended for further one year. Last time interest was paid in February, 2015 on above FDRs. In February, 2015, election of office bearers of co-operative credit society was held, in which, opposite parties-1 to 3 were elected as President, Vice-President and Secretary, respectively. The opposite parties stopped payment of interest to the complainant on above FDRs from March, 2015. After retirement, the complainant and his family depend upon monthly interest of FDRs. The complainant used to approach the opposite parties for payment of interest and they used to assure that interest would be paid after 3 months, but they failed to abide. The complainant gave legal notice dated 16.04.2016 to the opposite parties for payment of amount of the FDRs with interest. In spite of service of the notice, the opposite parties did not respond. Then the complaint was filed. 5. Shivanand Shivabasappa Kadakol (respondent-1) filed CC/223/2016 for directing the petitioners and respondents-2 and 3 jointly and severally to (i) refund Rs.400000/- along with its maturity benefit and interest @10% per annum, from March, 2015 till the date of filing of the complainant and thereafter @18% per annum till the date of refund; (ii pay litigation costs; and (iii) any other relief, which is deemed fit and proper in the fact of the case. The complainant stated that The Belgaum Postal & RMS Division, Co-operative Credit Society Ltd., 1st Floor, Opp. Head Post Office, Station Road, Belagavi was a co-operative bank, registered under Karnataka Co-operative Societies Act, 1960 and Senior Superintendent of Post Office, Belagavi Division (opposite party-4) is its Ex-officio President. Membership of the co-operative credit society was limited to the employees of Post Offices and Rail Mail Services. The complainant was member of co-operative credit society, being an employee of Rail Mail Services, from where he retired in the year 2005. After retirement, the complainant deposited Rs.200000/- in FDR No.1116, Account No.245 on 09.01.2012 and Rs.200000/- in FDR No.1117, Account No.246 on 09.01.2012, for a period of one year at interest @10% per annum. Interest was payable in every month to the complainant and FDRs used to be extended for further one year. Last time interest was paid in February, 2015 on above FDRs. In February, 2015, election of office bearers of co-operative credit society was held, in which, opposite parties-1 to 3 were elected as President, Vice-President and Secretary, respectively. The opposite parties stopped payment of interest to the complainant on above FDRs from March, 2015. After retirement, the complainant and his family depend upon monthly interest of FDRs. The complainant used to approach the opposite parties for payment of interest and they used to assure that interest would be paid after 3 months, but they failed to abide. The complainant gave legal notice dated 16.04.2016 to the opposite parties for amount of the FDRs with payment of interest. In spite of service of the notice, the opposite parties did not respond. Then the complaint was filed. 6. Shivanand Shivabasappa Kadakol (respondent-1) filed CC/224/2016 for directing the petitioners and respondents-2 and 3 jointly and severally to (i) refund Rs.100000/- with interest @10% per annum, from March, 2015 till the date of filing of the complainant and thereafter @18% per annum till the date of refund; (ii pay litigation costs; and (iii) any other relief, which is deemed fit and proper in the fact of the case. The complainant stated that The Belgaum Postal & RMS Division, Co-operative Credit Society Ltd., 1st Floor, Opp. Head Post Office, Station Road, Belagavi was a co-operative bank, registered under Karnataka Co-operative Societies Act, 1960 and Senior Superintendent of Post Office, Belagavi Division (opposite party-4) is its Ex-officio President. Membership of the co-operative credit society was limited to the employees of Post Offices and Rail Mail Services. The complainant was member of co-operative credit society, being an employee of Rail Mail Services, from where he retired in the year 2005. After retirement, the complainant deposited Rs.100000/- in FDR No.1133, Account No.262 on 15.06.2012, for a period of one year at interest @10% per annum. Interest was payable in every month to the complainant and FDRs used to be extended for further one year. Last time interest was paid in February, 2015 on above FDR. In February, 2015, election of office bearers of co-operative credit society was held, in which, opposite parties-1 to 3 were elected as President, Vice-President and Secretary, respectively. The opposite parties stopped payment of interest to the complainant on above FDR from March, 2015. After retirement, the complainant and his family depend upon monthly interest of FDR. The complainant used to approach the opposite parties for payment of interest and they used to assure that interest would be paid after 3 months, but they failed to abide. The complainant gave legal notice dated 16.04.2016 to the opposite parties for payment of amount of the FDR with interest. In spite of service of the notice, the opposite parties did not respond. Then the complaint was filed. 7. Vice-Chairman (petitioner-2) filed its written reply and contested the complaints. Petitioner-2 stated that the complainant be put to strict proof of his being member of the co-operative credit society and date of retirement from service. The complainant has to prove source of deposit, remittance of the amounts, issuance of deposit receipts, acknowledgment of the amount and withdrawal of interest till February, 2015. Opposite parties-1, 2 and 3 were elected as the office bearers in March, 2015. Previous office bearers had not handed over the charge of all the documents, assets and deposit of the co-operative credit society. New office bearers therefore conducted internal audit. The Internal Auditor noticed with narrations that the receipts under FDRs No.1114, 1115, 1116, 1117 and 1133 and its corresponding Account Nos.243, 244, 245, 246 and 262 dated 09.01.2012 and 15.06.2012 were not mentioned in Cash Book and these transactions were suspicious. In the absence of entry in Cash Book, deposit of the amount of these FDRs was suspicious. Receipts dated 07.01.2012 and 15.06.2012, wherein these were addressed to Sub-Post Master and the same stated that received a sum of Rs.four lacs and Rs.one lac being collection/SB of the following members due on FD Amount. From which, it is proved that no cash was deposited on 07.01.2012 and 15.06.2012. If FDRs were matured on 09.01.2013 then there was no reason for the complainant for not receiving the maturity amount. Even from March, 2015 till 16.04.2016, there was no communication by the complainant in respect of the amount of FDRs. Under Karnataka Co-operative Societies Act, 1960, the co-operative credit society has to be sued through Chief Executive Officer, who was not impleaded as the opposite party. There is misjoinder of the parties. The opposite parties-1, 2 and 4 did not provide any service to the complainant. The complaints raise complicated issue of fact which required to be proved by voluminous documents and examination of the witnesses. The complaint is liable to be dismissed. 8. District Forum, by judgment dated 26.04.2017, held that the complainant had produced original FDRs and SB Account from which deposit of the amount in FDRs with the co-operative credit society have been proved. The opposite parties were liable to refund the FDRs amount along with interest. On these findings, the complaints were allowed as the order as mentioned above has been passed. The petitioners filed First Appeal Nos.1576, 1577, 1578, 1579 and 1580 of 2017, from the order of District Forum. State Commission, by its judgment dated 08.12.2021, affirmed the findings of District Commission and dismissed the appeals. The petitioners filed Review Application Nos.13, 14 and 15 of 2022, which were dismissed on 29.09.2022. Hence the petitioner has filed these revisions. 9. I have considered the arguments of the counsel for the petitioners and examined the record. Both the Fora below found that the complainant had produced original FDRs and SB Account i.e. Pass Book from which deposit of the amount in FDRs with the co-operative credit society, have been proved. The petitioners have not challenged the genuineness of FDRs and SB Account i.e. Pass Book rather have taken plea that previous office bearers had committed forgery and embezzled the amount. The Belgaum Postal & RMS Division, Co-operative Credit Society Ltd., 1st Floor, Opp. Head Post Office, Station Road, Belagavi was a co-operative bank, registered under Karnataka Co-operative Societies Act, 1960 and is a juristic person. It is vicariously liable for the act of its employees as held by Supreme Court in Canara Bank Vs. Canara Sales Corporation, (1987) 2 SCC 666 and Pradeep Kumar Vs. Post Master General, (2022) 6 SCC 351. 10. So far as the arguments that the complainant was member of The Belgaum Postal & RMS Division, Co-operative Credit Society Ltd. as such he had remedy to approach Registrar of Co-operative Societies, Karnataka, is concerned, the remedy under Consumer Protection Act is in addition and not in derogation of any other remedy. Even if, a suit is barred under Karnataka Co-operative Societies Act, 1960, such bar is not applicable for the remedy under Consumer Protection Act as held by Supreme Court while considering similar bar under Real Estate (Regulation and Development) Act, 2016, in Imperia Structure Ltd. Vs. Anil Patni, (2020) 10 SCC 783. In Secretary, Thirumurugan Cooperative Agricultural Credit Society vs. M. Lalitha & Ors. (2004) 1 SCC 305 Supreme Court has held that Section 90 of Tamilnadu Cooperative Societies Act does not exclude the jurisdiction of Consumer Forum under the Consumer Protection Act, 1986. The Belgaum Postal & RMS Division, Co-operative Credit Society Ltd. was providing banking services to its members as such it was a service provider and the complainant was a consumer. The complaints are maintainable under Consumer Protection Act. 11. Relying upon judgment of State Commission, in First Appeal No.34 of 2017 and other connected appeals dated 24.03.2023, the counsel for the petitioners submitted that the matter be remanded in these cases also to District Forum. A perusal of judgment dated 24.03.2023 shows that State Commission, remanded the matter on the reason that Forum below had no opportunity to examine Ex-Office bearers of the society, who had indulged in fraudulent activities. Ex-office bearers had exercise their power in colour of the office and issued FDRs and Pass Books as such the master is vicariously liable for the act of its employee. I do not find it necessary to adjudicate the fraud and embezzlement allegedly done by ex-office bearers in a dispute between consumer and service provider, where genuineness of FDRs and Pass Books have not been challenged. In any case FDRs and Pass Books were concurrently held as genuine. Supreme Court in Rubi (Chandra) Dutta Vs. United India Insurance Company Ltd. (2011) 11 SCC 269 and Loudres Society Snehanjali Girls Hostel Vs. H & R Johson (India) Ltd. (2016) 8 SCC 286, held that National Commission has no jurisdiction to set aside concurrent findings of facts recorded by two foras below, in exercise of revisional jurisdiction. O R D E R In view of the aforesaid discussion, the revisions are dismissed. |
