D.O.F:05/12/2018

                                                                                                  D.O.O:30/11/2022

IN THE CONSUMER DISPUTES REDRESSAL COMMISSION KASARAGOD

CC.No.197/2018

Dated this, the 30^th day of November 2022

PRESENT:

SRI.KRISHNAN.K                         :PRESIDENT

SRI.RADHAKRISHNAN NAIR.M : MEMBER

SMT.BEENA.K.G                            : MEMBER

1. Subair P.M 47 years,

S/o Abdul Rehman,

R/at Shankarampady House, Kurudapadavu (Post)

Karivedakam village,Kasaragod Taluk & District           :Complainants

2. Abdul Hameed aged 55 years, S/o Arabi,

R/at Kolambakkal, Chemnad Village,

Kasaragod Taluk & District

( Adv: M.Mohanan Nambiar)

                                                                        And

1. The Manager,

KSFE  Kasaragod Branch, New Bus stand,

Kasaragod District-671121

(Adv: K.Kumaran Nair & Sabari.L.S)

2. The Village Officer,

Karivedakam Village Office,

Kasaragod Taluk & District

                                                                                                :Opposite Parties

3. The Specialn Thahasildar ,KSFE LTD.

Civil Station,Kannur taluk & District

4. The District Collector Kasargod

Collectrate, Vidyanagar Post, Kasaragod District

(Adv: Addl Govt. Pleader OP 2 to 4)

ORDER

SRI.KRISHNAN.K : PRESIDENT

            The complaint filed under section 12 of Consumer Protection.

     The case of the complaint is that complainant No:2 joined chitty No: 12/2013 on 18/07/2013 for ten lakhs to be closed on 15/10/2021.  On the security of chity the 2^nd complainant availed an agricultural loan of Rs. 4,00,000/- from Opposite Party No:1 on 04/02/2014 .  The loan was not repaid by the complainant in accordance with the terms of agreement, consequent to which action is initiated by the KSFE resorting to the provisions of the Kerala Revenue Recovery Act, under section 7 and 34 of the said Act.  The complainant has grievance about high rate of interest claimed and complaint is filed challenging the coercive action and seeking other consequential reliefs.  Interest rate is enhanced there could not repay the dues to Opposite Party No:1.  The complainant seeking relief of prohibitory injunction from recovery steps, compensation and cost of the litigation.

2.         The Opposite Party No:1 filed written version.  Joining of chitty is admitted.  Availing of loan is admitted.  Loan period is 48 months for 13% interest.  For 11 months amount is paid.  Balance amount is in default.  R.R proceedings initiated as per law.  There is no deficiency in service and prayed for dismissed of the complaint.

3.  The complainant filed chief affidavit and was cross examined as Pw1.  Ext A1 to A4 marked.  The Opposite Party filed chief affidavit and cross examined as Dw1.  Ext A1 is chitty pass book and loan pass book is Ext A2 R.R notices are Ext A3 and A4.

            Following points arise for consideration in the case.

4.         Whether complainant is entitled to prohibitory injunction as prayed for against revenue recovery of amount due to Opposite Party towards chitty loan? If so for what reliefs?

5.         The complainant admitted availing of loan on security of immovable property while in the box complainant deposed that he is not able to say how much amount he repaid towards loan.  How much amount is in due.

6.         The Complainant admits that he availed loan of Rs. 4,00,000/- on 04/02/2014 from Opposite Party  first complainant is a guarantor Rs. 67321/- alone was repaid.

7.         Chitty is a recurring deposit and an advance scheme,  In chitty the subscriber has an opportunity to bid and avail  of advance amount certain percentage installments, one can resort to availing of chitty loan, which is  a loan that “bridges” the gap between the need of the subscriber for money and the delay in the chitty getting prized.

8.         KSFE accepts securities including landed property.  Under this scheme advance is extended for any purpose.  Admittedly amount is due to KSFE, Opposite Party No: 1, Opposite Party No: 2 is the village officer, special Tahasildar RR and District Collector.  Revenue the authorities are proceedings for recovery of account provisions of RR account. If any illegal proceedings initiated objection to be filed before Revenue Recovery officer namely district collector of the area.  Revenue Recovery certificate has been issued by the competent authority.  There is no stay or any other restraint to execute the revenue recovery.  In the present case RR certificate is issued by the competent authorities, it is the responsibility of the recovering authority to make the recovery of the amount from concerned and to pay the same to the claimants.  In case it is not done, prescription of such a procedure of making the recovery would be frustrated.

            There is no challenge regarding legal validity of RR proceedings or liability of amount claimed or its non- discharge therefore this commission is of the view that the Revenue Recovery against the person concerned are in accordance with law and hence complaint is dismissed without costs.

      Sd/-                                                               Sd/-                                                     Sd/-

MEMBER                                                      MEMBER                                          PRESIDENT

Exhibits

A1- Chitty Pass book

A2- Loan book

A3- Demand Notice

A4- Demand Notice

Witness Examined

Pw1- Abdul Hameed

Dw1- Kunhiraman.K.V

      Sd/-                                                                Sd/-                                        Sd/-

MEMBER                                                      MEMBER                              PRESIDENT

Forwarded by Order

                                                                                    Assistant Registrar

Ps/