HARYANA STATE CONSUMER DISPUTES
REDRESSAL COMMISSION, CHANDIGARH
Hon’ble Mr. Justice S.S. Sandhawalia, President;
Mrs. Basanti Devi, and S. Kulwant Singh, Members
RANDHIR SINGH—Appellant
versus
KARTAR SINGH—Respondent
F.A. Nos. 46, 47, 48 of 1994—Decided in May, 1994
LOTTERY - CONSUMER DISPUTE - PARTICIPANTS IN LUCKY DRAW SCHEME - NOT CONSUMERS - COMPLAINTS NOT MAINTAINABLE - CONSUMER PROTECTION ACT, 1986, SECTION 2(1)(D)(II).
Fact of the Case:
A lucky draw scheme was floated by the appellant and his brother, inviting participation by paying Rs. 50/- per week. The winner of the draw was entitled to get a Murphy Television set. The respondent became a member of the scheme and deposited Rs. 50/- per week. Despite depositing the installments, he was not given the television set.
Finding of the Court:
The District Forum allowed the complaint and held that the appellant and his brother were liable to deliver a portable Murphy Television set to the complainant or refund the amount with interest. The court held that the respondents were not consumers within the meaning of the Act and consequently their complaints were not maintainable.
Issues: Whether the persons participating in a lucky draw scheme are consumers (within its definition under the Act.) qua the promoters thereof?
Ratio Decidendi: The court held that the lottery ticket holders are not within the ambit of the definition of a consumer under the Act. The beneficient consumer jurisdiction cannot be extended to lotteries and wagering transactions.
Final Decision: The court allowed the appeals and set aside the orders of the District Forum and dismissed the complaints preferred by the respondents.
Mr. Justice S.S. Sandhawalia, President–– Whether the persons participating in a lucky draw scheme are consumers (within its definition under the Act.) qua the promoters thereof? This indeed is the threshold core question in this set of three connected appeals.
2. Randhir Singh, appellant in all the three appeals had challenged the virtually identical orders of the District Forum, Panipat allowing the three complaints against him. Learned Counsel for the parties are agreed that the issue of facts and law being identical, this order will govern all of them.
3. The representative matrix of facts may be noticed with brevity from First Appeal No. 46 of 1994 ‘Randhir Singh of District Panipat v. Kartar Singh of Distt. Panipat and Others. The case set up by the respondent complainant was that the appellant and his brother Randhir Singh had opened a shop in the name and style of M/s. Shiv Electronics and Video Estate at Samalkha. The said concern had floated a Lucky Draw Scheme inviting participation therein. The primal feature of the scheme was that the members of the scheme paid a sum of Rs. 50/- per week and a lucky draw was held each week at the premises of M/s Shiv Electronics. The winner of the draw was entitled to get a Murphy Television set and thereafter such draws were to continue for subsequent weeks. The respondent alleged that he became a member of the said Lucky Draw Scheme and used to deposit Rs. 50/- per week with M/s. Shiv Electronics. The allegation was that inspite of depositing the installments of Rs. 50/- per week, he was ultimately not given the Murphy, Television set by M/s. Shiv Electronics.
4. It would appear from the record that on notice being issued, it was discovered that there was no such concern as M/s. Shiv Electronics and thereafter the complainants named Balbir Singh and Randhir Singh as the owners of the same and they were impleaded personally. Despite substituted service by beat of drum Balbir Singh did not put in appearance and was proceeded ex parte. The present appellant Randhir Singh however, took a categoric stand that he had no connection whatsoever with the concern of M/s. Shiv Electronics, which was entirely owned by his brother Balbir Singh. It was his plea that he had never even worked at those premises and was employed elsewhere. Further, the aforesaid Balbir Singh had in fact left his native place for another village and was not traceable.
5. The District Forum somewhat overmeticulously struck three issues and the parties led evidence in support of their respective cases, to which reference becomes unnecessary, in view of the primal legal issue involved.
6. The District Forum without adverting to the threshold question whether the complaint raised a consumer dispute at all and whether the complainant would come within the definition of a consumer to maintain the same, entered the thicket of merits and held that both the appellant and his brother were liable and they should deliver a portable Murphy Television set to the complainant within one month or in the alternative to refund the amount with interest @ 12% of 50 installments of Rs. 50/- each.
7. Mr. Sanjiv Pabbi, the learned Counsel for the appellant forcefully contended that by no stretch of imagination, the respondents had hired any service of the appellant and in no other manner was he a consumer to maintain the complaint. The spear-head argument was that on complainant sown showing the transaction was a purely wagering one resting on a draw of lots and thus unenforceable both in the civil and consumer jurisdiction. Equally the submission was that the respondents on their averments had neither alleged or established that they had hired any services of the appellant for consideration in order to come within the ambit of the definition of a consumer under Section 2(1)(d)(ii). Some tenuous reliance was placed on the order of this Commission in 1994 (1) Consumer Law Today 261’ M/s. Amit Steels v. Haryana State Small Industries and Oth
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