Gyana Ranjan Parija - Appellant
Versus
Lohia Machines Ltd. - Respondent
Decided On : 09/07/1992
Consumer Dispute Case No. 149/91
Advocates Appeared :
Mr. Pradyot Mohanty,Sidhartha Roy
(Paras 4 & 5)
Result: Complaint allowed.
IMPORTANT POINT
Non-refund of an amount to complainant who cancelled the booking order is a deficiency in service:
S.C. Mohapatra, President -Complainant has alleged deficiency in service of the opposite party in not refunding the amount deposited by him although assurance was given.
2. On 24.1.1983, complainant deposited Rs. 500/- with the State Bank of India to the credit of opposite party along with an application for purchase of a Vespa-scooter. In or about 1987, complainant cancelled the order since he did not receive any order of allotment of scooter for more than four years. On 26th December, 1987, opposite party intimated him that on account of unforeseen and unavoidable circumstances beyond the control of the company there was delay in refund of the amount towards cancellation However, arrangements are being made to make the refund within three months. At that time, interest as applicable from the date of booking till the date of refund shall also• be paid. Thereafter, on 23.3.1988 it was intimated that although a scooter has been allotted to the complainant, as the records indicate, on account of the cancellation refund order was being processed which would be mailed shortly. On 12.10.1988 again it was intimated that the cancellation of book was under process and refund pay order would be mailed shortly. Same reply was given on 23.1.1990. Till 8.9.1990 when the refund was not available complainant wrote a letter and on 13.10.1990 it was stated that the cancellation of booking was under process and around pay order would be mailed shortly. Waiting for more than a year, this complaint has been filed on 8.11.1991.
3. Despite receipt of notice with a copy of the complaint on 24.2.1992, opposite party has not stated a case and remained ex parte
4. It is now settled by the National Commission in its decision reported in Mumbai Grahak Panchayat v. M/s. Lohia Machines Ltd. that non-refund of the amount to persons who have cancelled their booking orders, is a deficiency in service. Although the contracted amount of interest is 9% per annum, National Commission has directed to pay interest at 10% since from the date of the receipt of cancellation advice the refund was not made despite lapse of 60 days stating that the same would constitute sufficient compensation for the inconvenience, anguish etc. to which the consumers were subjected on account of delay and default on the part of the opposite party in prompt making the refute payments. Some in the view of the various State Commissions including this Commission, although this Commission had directed payment of interest at 13 percent at one stage to different manufacturer of scooters.
5. In the aforesaid background of this case, o when opposite parry is completely callous, we are inclined to hold that apart from paying the interest as stipulated in the contract, the compensation would be at the rate of 18 per cent of the total amount payable for each year of non-payment. Added to it, opposite party shall pay cost of Rs. 1,000/-(Rupees one thousand) to the complainant.
6. In result, complaint is allowed with the aforesaid direction.
Complaint allowed.
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