INDIAN OVERSEAS BANK Vs. P PALANISAMY

JUDGEMENT

(1.) the complainant's case is as follows: The complainant is working as an Assistant in the District Munsif Court, Kodaikanal. He pledged his jewels weighing 51.500 gms and raised a loan of Rs.15,300/-. The complainant paid a sum of Rs.5,300/- on 15.3.1997. But he was transferred to Kodaikanal in the month of February, 1997. The complainant has written a letter to the opposite party on 25.4.1997 seeking to know the outstanding amount. On 24.3.1998, the complainant went in person to find out as to what had happened and came to know that the jewels pledged by him was disposed of by way of auction and a sum of Rs.5,473/- was available at his credit. The action of the opposite party has caused great loss and hardship to the complainant. Hence the complaint.

(2.) The opposite party submitted as follows: The complainant is not a consumer. There is no deficiency in service. The complainant has given an undertaking that if he does not discharge the loan within a year, the jewels can be sold in auction. The opposite party has thus got a power to sell the pledged jewels by auction. A registered letter was sent on 25.4.1997 which was returned and thereafter an insertion was made on 17.9.1997 in the local newspaper. After the auction also, a notice was sent on 29.12.1997, but it was returned. There is no deficiency in service. Hence, the opposite party prayed that the complaint be dismissed.

(3.) The Lower Forum accepted the complaint and directed the opposite party to pay the market value of the 51.500 gms. of gold along with with interest and compensation of Rs.5,000/- and cost. Hence this appeal.