ANDHRA BANK, NARAYANAGUDA, HYDERABAD Vs. K.DURGA DEVI

JUDGEMENT

(1.) Aggrieved by the order in C.D.No.713/2006 on the file of District Forum-III, Hyderabad, the opposite party preferred this appeal.

(2.) The brief facts as set out in the complaint are that the complainant availed gold loan of Rs.18,500/- by pledging gold chain of 42 gms. purchased for Rs.22,000/- in the year 1998 and another chain weighing 24 gms purchased for Rs.14,000/- in the year 2000 together with a necklace purchased in the year 2000 for Rs.27,000/- the net weight being 87 grams on 5.7.2001. The complainant submits that she was paying the interest regularly and on 20.2.2004 when the complainant paid Rs.2000/-, the officials of the opposite party advised the complainant to pay Rs.3000/- more towards the interest to regularize the account. Accordingly on 25.2.2004 the complainant paid the said amount and informed the bank about her change of address. Thereafter the complainant approached the opposite party in February, 2005 for paying the interest but they did not receive it and asked her to contact them after March,2005. The complainant approached the opposite party in April, 2005 along with the amount to clear the loan and to receive the pledged ornaments which was not accepted by the opposite party. Vexed with their attitude the complainant applied for the statement of account on 21.7.2005 and then she came to know that her pledged ornaments were auctioned and sale proceeds were adjusted towards her loan account. The complainant gave representation on 28.7.2005 but did not receive any reply. She also got issued notice on 14.8.2005 for which the opposite party replied that the gold was auctioned and notice was given in Enadu News paper dt.17.8.2004. The complainant submits that by the date of auction she was not due any interest, but the opposite party auctioned it for a lesser amount. Hence this complaint seeking direction to the opposite party to return the gold ornaments or equalant gold by accepting the loan amount and interest upto February,2005 together with Rs.50,000/- towards compensation and to pay costs.

(3.) The opposite party filed counter admitting that the complainant had taken gold loan of Rs.18,500/- but she paid only Rs.5000/- towards over due interest and the complainant never informed them about the change of address and never turned up for payment. So the opposite party issued notice dt.14.5.2004 which was returned unserved with an endorsement left and a notice was also sent by courier on 20.7.2004 which was returned with an endorsement shifted. So following the procedure they published a notice in Enadu news paper on 17.8.2004 fixing the date of auction on 3.9.2004. As per the publication the opposite party auctioned the gold ornaments pledged with them and after due adjustment of the outstanding loan, the balance amount was credited to the savings account of the complainant and hence there is no deficiency in service on their behalf.