A Public Charitable Trust cannot maintain a complaint under the Consumer Protection Act as it does not come within the definition of a consumer or a complainant under the Act.

ORDER :

V.K. Jain, Presiding Member

The complainant, which was initially registered as a society under the provisions of Societies Registration Act, 1860, was later registered as a Public Charitable Trust under the provisions of the Bombay Public Trusts Act, 1950 (now known as the Maharashtra Public Trust Act) and the rules made thereunder. It is alleged that as a Public Charitable Trust, the complainant is required to invest their funds in instruments approved by the Office of Charity Commissioner and since instrument in fixed deposits of Nationalized and Scheduled Banks is one of the modes of investment specified in Section 11 (3) of the Income Tax Act, 1961 the complainant has been investing its funds in such fixed deposits. The complainant claims to be a consumer of the opposite party banks and is aggrieved on account of the banks having allowed allegedly fraudulent over draft facilities against the fixed deposits made by it with the said banks. The complainant is alleging defects/deficiencies in the service rendered to it by the said banks and is seeking return of the amount deposited with the banks along with interest and compensation.

2. The complaints have been resisted by the banks which have taken a preliminary objection that a Civil Court and not a Consumer Forum is the appropriate Forum for complaints of this nature involving complicated / disputed questions of facts which cannot be decided in summary proceedings, particularly when there are allegations of forgery and conspiracy.

3. When this complaint came up for hearing on 24.1.2018, the learned Counsel for the complainant sought an adjournment to make his submissions on the question as to whether in view of the decision of the Hon’ble Supreme Court in Pratibha Pratisthan & Ors. v. Manager, Canara Bank & Ors., VII (2017) SLT 160, Civil Appeal No. 3560 of 2008 which had been rendered on 7.3.2017, the complainant can be said to be a consumer and competent to institute a complaint under the Consumer Protection Act. vide subsequent order dated 12.2.2018, the complainant was directed to file an affidavit, disclosing therein as to whether it was maintaining a separate account in respect of the funds related to its activities as a Trust or it was maintaining a composite account comprising of funds related to its activities as a society as well as funds related to its activities as a Trust. An affidavit of its Joint Secretary was filed by the complainant in compliance of the said order. Thereafter, vide order dated 1.3.2018, the complainant was directed to file an affidavit stating therein as to whether it had been filing income tax return as a society since Financial Year 2014-2015 onwards or not. Another affidavit was filed by the complainant in compliance of the said direction.

4. When this matter came up for hearing on 10.9.2018, the learned Counsel for the opposite party sought liberty to file an application for treating the issue as to whether the complainant can be said to be a consumer within the Consumer Protection Act or not, as a preliminary issue. Thereupon, the learned Senior Counsel for the complainant stated on instructions that the complainant would have no objection to the aforesaid issue being treated and decided as a preliminary issue, even without the opposite party having to move an application for this purpose. Hence, the arguments on the above referred preliminary issue have been heard.

5. In Pratibha Pratisthan (supra), the Hon’ble Supreme Court considered the question as to whether a complaint can be filed by a Trust under the provisions of the Consumer Protection Act, 1986. Answering the question in negative, the Hon’ble Supreme Court inter alia observed and held as under:

“2. Section 2(c) of the Act provides for a complainant making a complaint, inter alia for an unfair trade practice or a restrictive trade practice adopted by any trader or servic