HDFC BANK LTD. Vs. SUBODH GHANSHYAM PRABHU

JUDGEMENT

(1.) Present revision petition has been filed under section 21(b) of the Consumer Protection Act, 1986 (short, 'Act') praying for setting aside order dated 22.4.2008, passed in (First Appeal No.155 of 2007) by Maharashtra State Consumer Disputes Redressal Commission, Mumbai (short, "State Commission").

(2.) Respondent/complainant had filed a consumer complaint under section 12 of the Act on the allegations that he is having business of hardware and steel in the Kolhapur City. He is customer of Petitioner Bank/Opposite Party. It is stated that respondent is having his loan share account with the Petitioner. Respondent had purchased shares of many well-known companies and has opened the share Mortgage Account with the Petitioner. Further, respondent had taken loan against the said shares from the Petitioner. As per written instructions of the Petitioner, some of the shares have been sold and have maintained the said account in a proper manner. It is also stated that respondent has given the oral as well as written permission to the petitioner for selling the shares from the said account. As per fluctuations of the price of the shares in the share market and due to the same, if the overdraft facility limit is reduced from the specific stage, then the shares of the said amount shall be sold out in the market or the cash amount lying depositing in the said account. However, if respondent failed to maintain the said account properly, then Petitioner has the right to sell the shares out the amount of deficit in the said account. However, petitioner had no right to sell or exchange any of the shares without the written permission of the respondent from the said account.

(3.) As there was sudden fall in the value of the shares and inspite of intimation, respondent could not maintain his account properly. Therefore, petitioner sold the shares to which respondent raised strong objection on the ground, that without proper intimation and without waiting for seven days as per terms of the contract, Petitioner sold the shares and thereby caused financial loss to him.