Decided on August 05,2008



N.KANNADASAN, J. - (1.) The above appeal is filed challenging the order of the District Forum, Ramanathapuram, in COP No.27/2003, directing the appellant herein to pay a sum of Rs.25000/- to the complainant / respondents, towards mental agony and further directing to pay a sum of Rs.1000/- to the complainant towards the cost.
(2.) The respondents/ complainants 1 to 3 have filed the complaint before the District Forum to the effect that they have availed loan for the purchase of fishing boat from the appellant / opposite party during 1995 and during 1997, the boat has met with an accident and sunk in the sea and necessary complaints were given to the local police station and as well to the appellant / Society, which has advanced loan. According to the respondents, the then President of the society, with the malafide intention, has not accepted the fact that the boat was sunk and took a stand that the complainant intended to cheat the society, with a view to avoid payment of the loan amount. The then President though gave a complaint before the local police station as against the respondent / complainant for offences under Sec.406 and 420 IPC, the police authorities have not proceeded with the complaint by referring the charge sheet. Under the said circumstances, the complainants have preferred the complaint for mental agony suffered by them on account of deficiency in service, seeking compensation of Rs.8,76,000/-.
(3.) The appellant / opposite party, before the District Forum resisted the said complaint by contending that the complainants have not acted in a bonofide manner and their object is to ensure that they need not pay the loan amount and the alleged accident viz. sinking of the boat is contrary to the fact. It is only at the instance of the society, diligent steps were taken to fine out about the whereabouts of the boat, and thereafter it was seized. It is further contended that the society has given proper complaint to the police authorities and merely because the police has referred the charge sheet, will not absolve the liability of the complainants to act in a bonofide manner.;

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