NAGESH KUMAR Vs. ASHISH KHANNA

JUDGEMENT

(1.) The present appeal is directed against order of District Forum, Kasturba Gandhi Marg, New Delhi, dated 28.3.2001, passed in Complaint Case No. OC/276/2001entitled Shri Nagesh Kumar V/s. Shri Ashish Kumar Shelters and Others.

(2.) The relevant facts necessary for the disposal of the present appeal, in brief, are that the appellant had filed a complaint under Sec.12 of the Consumer Protection Act, 1986 (hereinafter referred to as the Act), averring therein that the appellant had applied for a housing loan, for the construction of the first floor on his fathers house No.183, Sharda Niketan, (Pitam Pura), Delhi-34, with the Citi Bank under the Citi Bank Home Loan Scheme and had accordingly been directed by the officials of respondent No.3 to submit his loan application through M/s. Shelters (a Citi Bank Associate), whose office is located at Surya Kiran Building, Kasturba Gandhi Marg, Connaught Place, New Delhi. Accordingly, the appellant had approached said M/s. Shelters and duly submitted his loan application along with relevant documents on 23.11.2000 and had also paid the requisite processing fee for the loan application amounting to Rs.3,000/-. The appellant was assured that the amount of loan would be sanctioned in his favour within a weeks time. However, despite lapse of one month the respondents failed to intimate the appellant regarding sanction of loan. It was stated by the appellant that the appellant had to borrow the amount from the market, as well as, from other individuals, at exorbitant rates of interest, for carrying out the construction. It was, therefore, prayed that the respondents had indulged in unfair trade practice in cheating innocent people desirous of seeking financial help/loan from the Citi Bank, by being forced to pay processing fee to M/s. Shelters for the processing of the loan application irrespective of whether the loan was sanctioned or not. Accordingly, the appellant had made a prayer in his complaint that the amount of Rs.3,000/- charged by the respondent Nos.1 and 2 from the appellant towards processing fee of the loan application be refunded to him together with interest @ 18% p. a. w. e. f.23.11.2000 till the date of actual payment together with exemplary costs and compensation.

(3.) The learned District Forum, without issuing notice to the respondents, dismissed the complaint, filed by the appellant, on the ground that the amount of Rs.3,000/-, paid by the appellant, as fee for processing of the loan application of the appellant, being non-refundable there was no deficiency in service on the part of the respondents.