PUNJAB NATIONAL BANK Vs. MANJIT SINGH SOHI

JUDGEMENT

(1.) Vide this order two appeals (Nos.936 and 937 of 1997) are being disposed of as the appellant Bank is the same whereas the opposite parties are different. The facts alleged are common. Hence judgment is prepared in Appeal No.936 of 1997. The District Forum while allowing the complaint filed by Manjit Singh granted relief of interest at the rate of 18% per annum for 18 days on a sum of Rs.40,000/- from August, 13 to August, 31, 1996 alongwith a sum of Rs.2,500/- as costs of the proceedings. In the case of Gurdev Singh complainant interest at the aforesaid rate was allowed for the period mentioned above on the amount of Rs.50,000/- alongwith costs of Rs.2,500/-, hence the two appeals by the Bank against Manjit Singh and Gurdev Singh, complainants.

(2.) Both Manjit Singh and Gurdev Singh handed over bank drafts of their respective amounts to the appellant Bank for collection and credit in their accounts on July 5, 1996. These bank drafts were issued by State Bank of India and drawn on State Bank of Patiala for the aforesaid amounts. These bank drafts were returned by State Bank of Patiala with the endorsement that the signatures were differing on July 11, 1996. The Punjab National Bank returned the bank drafts by registered post on August 1, 1996 which were subsequently received by the complainants and after getting the needful done got encashed. The claims were filed before the District Forum by Manjit Singh and Gurdev Singh aforesaid. The Bank denied its liability to compensate the complainants.

(3.) Since there was some delay on the part of the appellant Bank in returning the drafts, it amounted to deficiency in rendering service. The complainants were thus to be compensated. The contention of Mr. H. R. Bansal, Advocate for the appellant is that the grant of Rs.2,500/- costs in each case referred to above was highly excessive and uncalled for. There is force in this contention. The interest on the amount payable as referred to above by calculation would be Rs.400/- or odd. Generally in the matter of grant of costs the Appellate Courts do not interfere taking it to be a discretionary act of the lower Court in view the facts and circumstances of the case, but when the grant of costs is exhorbitent and having no relation with the claim, it would be a fit case for interference in appeal and present is one such case.