M. THANIKACHALAM J. - (1.) The opposite parties are the appellants.
(2.) The complainants/ respondents 1 and 2, had purchased three Kissan Vikas Patra (KVP), for a total sum of Rs.25000/-, from the opposite party post office. When the complainant made requisition, after the maturity period of 5 years over, they were informed, that the amount will be paid without interest, since the certificates were issued, in the name of the society, against the rules. Despite request, till date the amount has not been refunded, and the failure to refund the matured value of the bonds, tantamount to deficiency in service. The opposite parties cannot take advantage of their fault, denying interest. The refusal to pay the deposit amount, alongwith interest should be construed as deficiency of service. Hence the complainant is entitled to, not only for the recovery of Rs.50000/- with interest thereon, but also for a sum of Rs.35000/- as compensation for mental agony.
(3.) The opposite party, accepting the purchase of Kissan Vikas Patras (KVP), would contend, that the investments by the complainants, in the KVPs were irregular, against the order of the Government of India, that when the opposite parties have implemented rules framed by Government of India, thereby denying interest, cannot be construed as deficiency in service, and that though the complainant has been requested to encash the amount without interest, they failed to do so, which cannot be termed as deficiency, as per the dictum of the Supreme Court, thereby praying for the dismissal of the complaint.;