Mr. Justice J.D. Kapoor, President—On account of having forcibly taken possession of the vehicle financed to the respondent by the appellant and also having disposed it of for a price of Rs. 1,25,000 despite the loan amount being Rs. 2,20,000 and payment of Rs. 94,000 having been made by the respondent, the District Forum has vide impugned order dated 5.5.2005 directed the appellant to pay Rs. 1,00,000 (one lac) towards compensation and cost of other charges.

2. Feeling aggrieved the appellant has directed this appeal.

3. It is pertinent to mention at the very outset that we have taken serious view of the finance companies and the banks taking law into their own hands by sending their employees to the house of the consumer and taking forcible possession of the vehicle. The financial institutions and banks cannot be permitted to execute the terms of agreement in unlawful manner. We have taken a view that hire purchase agreement is a civil contract and dispute arising from it has to be settled by way of civil remedy and not through musclemen. Rule of law and civilized society cannot brook such a phenomenon.

4. Similarly, we have taken consistent view that the sale of the vehicle at