Decided on February 02,2021

Kottayam District Co-Operative Bank Employees Co-Operative Society Ltd Respondents


C.VISWANATH, J. - (1.) The present Revision Petition has been filed against the order dated 25.02.2020 of the Kerala State Consumer Disputes Redressal Commission, Thiruvananthapuram ('the State Commission') in FA no. 48 of 2017.
(2.) The case of the Petitioner/ Complainant is that he joined a recurring deposit on 15.12.1999 with the Respondent/ Opposite Party, wherein, he remitted a sum of Rs.450/- per month for 120 months. He was promised 13% per annum interest and the maturity amount to be paid on 15.12.2009 was Rs.1,10,094/-. However, he got only Rs.1,00,851/- from the Respondent and Rs.9243/- was reduced due to reduction in the rate of interest from 13% to 11.5%. According to the Opposite Party, reduction in the rate of interest was as per the decision taken in the General Body meeting of the Society held on 26.06.2008. The Petitioner, however, stated that reduction of rate of interest was not included as an item in the agenda and on knowing that the rate of interest on his fixed deposit was reduced, he objected to it. As this amounted to unfair trade practice, a Complaint was filed before the District Forum with the following prayer: To direct the Opposite Party to pay Rs.9243/- being the difference in the maturity amount caused by the reduction of rate of interest from agreed 13% to 11.5%; To direct the Respondent to pay interest at the rate of 12% per annum for the above said amount, i.e., Rs.9243/- from 26.12.2009, the date of maturity of the deposit till the date of realisation; To direct the Opposite Party to pay the Petitioner an amount of Rs.5000/- as compensation for the physical and mental agony caused to the Petitioner; To pass such other reliefs which may be deemed just and equitable in the facts and circumstances of the case; To allow the cost of this case.
(3.) The Opposite Party contested the case contending that the Complaint was not maintainable. The cause of action arose on 26.12.2009 when the maturity amount was paid and the Complaint was filed on 24.07.2014. It was, therefore, barred by limitation. On merit it was stated that the rate of interest for cash credit loan was reduced as per the norms of NABARD and RBI, though the rate of interest for recurring deposit remained the same. The Respondent sustained heavy loss and therefore, the general body of the Society decided to reduce the rate of interest to 11.5% per annum. This decision was for the welfare of the Society and its members and though the Complainant was aware of this decision, he did not take any objection till his retirement. Since Rs.1,10,086/- had been paid to the Complainant, there was no deficiency in service on the their part. The Opposite Party, therefore, sought dismissal of the Complaint.;

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