M. THANIKACHALAM - (1.) The unsuccessful complainant is the appellant.
(2.) The complainant / appellant who is having the savings Bank Account with the opposite party, obtained loan from the opposite party, surrendering the Fixed Deposit as security. Though, complainant was paying loan amount regularly, later on, unable to pay the same, because of the loss sustained in the agricultural operation. The bank without giving any notice, adjusted the loan amount, from the fixed deposit receipts, even before its maturity, which is illegal, even against natural justice. Hence, the complaint is filed claiming refund of fixed deposit amount as well as for compensation.
(3.) The opposite party denying the averments in the complaint inter alia contended, that the complainant executed an agreement, obtained a loan from the bank to the tune of Rs.1,24,000 /- on 28.04.1999, and in the loan agreement, the complainant has authorised the bank to exercise general power of lien, in favour of the bank, that when the complainant has failed to discharge the loan as agreed, exercising authority available under the loan agreement, adjusted fixed deposit receipts amount towards the loan in which there cannot be any deficiency of service or negligent and this being the position, the question of returning the amount or to pay the compensation does not arise, there by prayed for the dismissal of the complaint.;