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KERALA STATE CONSUMER DISPUTES REDRESSAL COMMISSION, THIRUVANANTHAPURAM
K. Surendra Mohan, President, T.S.P. Moosath, Judicial Member, Ranjit R. Member, Beena Kumari A., Member and Radhakrishnan K.R., Member
Shriram Transport Finance Co. Ltd. – Appellant
versus
Krishnan Kutty – Respondent
First Appeal No.163/2016
Decided on 2.8.2022

Advocates:
Counsel for the Parties:
For the Appellant:Narayan R., Advocate
For the Respondents:Suja Madhav, Advocate
For the Respondents: Bobby K. Joseph for R2 & R3

Headnote:

Consumer Protection Act, 1986 – S. 15 [Consumer Protection Act, 2019 – S.41] – Appeal Against order of District Commission – Services – Pledge / Installment / Hypothecation – Allegation of fraud – “Consumer Relationship” – Not established - Subsequent Fraud - The District Forum found that since there was no endorsement in the R.C. Book of the vehicle, the 3rd opposite party had no right to obtain possession of the vehicle and even if there was a hypothecation agreement between them and the 5th opposite party the only remedy available to the 3rd opposite party was to approach the civil court for remedy - The release of the vehicle to the 3rd opposite party and the custody of the vehicle by the 3rd opposite party till now was found to be illegal and without any lawful right - There is no consumer relationship between the complainant and the 3rd opposite party. In paragraph 22 of the order of the District Forum it is found by the District Forum that the complainant has a consumer relationship with opposite party No. 4 only - The complainant has to establish his ownership over the vehicle, his right to get possession of the vehicle and his allegation of fraud committed by the opposite parties 3 & 5 in a properly instituted civil suit. From the evidence it can be seen that there is no consumer relationship between the complainant and the 3rd opposite party. There is no evidence to find that there was deficiency in service and unfair trade practice on the part of the 3rd opposite party towards the complainant – Appeal is allowed, the order passed by the District Forum directing the 3rd opposite party also to pay the amounts to the complainant is also liable to be set aside. (Paras 16 to 19)

Result: Appeal allowed.

ORDER

T.S.P. Moosath, Judicial Member—The 3rd opposite party in C.C. No. 87/2010 of the Consumer Disputes Redressal Forum, Wayanad (in short, the District Forum) has filed this appeal against the order passed by the District Forum on 06.01.2016 by which the opposite parties 3, 4 & 5 are jointly and severally directed to pay Rs. 3,10,000/- (Rs. 2,02,000 + Rs. 1,08,000/-) which was spent by the complainant with interest @ 18% per annum from 09.07.2009 till payment and they are jointly and severally directed to pay Rs. 1,00,000/- as compensation and previous litigation expenses and also to pay Rs. 25,000/- as costs of the proceedings to the complainant. The 6th opposite party is directed to write off the booked tax for the period from 01.01.2010 till the date of putting the vehicle on road with proper records.

2. The averments contained in the complaint are, in brief, as follows:—

1The complainant purchased a truck having No. KL 08 T 3822 from the 4th opposite party on assurance that the truck was free from any liability and an agreement was executed to that effect. At the time of executing the agreement Rs. 2,02,000/- was given as advance to the 4th opposite party out of the total amount fixed Rs. 5,02,000/- as sale price. For the remaining amount the complainant had taken a loan from the 1st opposite party of Rs. 3,00,000/- and adjusted towards the sale consideration and which was agreed to be repaid in 24 monthly instalments of Rs. 18,000/- each to the 1st opposite party. The repayment chart was also given to the complainant. The liable sum in total was Rs. 4,22,200/- including interest. The opposite parties 1 & 2 received from the complainant two signed blank stamp papers and two blank cheque leaves signed by the complainant drawn on of the South Malabar Gramin Bank, Kalloor Branch, bearing No. 344711 and 344712. The complainant was informed that the vehicle was free from any liability. When the agreement was executed the 4th opposite party who was the RC owner and the complainant and witnesses also signed the agreement. The vehicle was used by the complainant for his self-employment to meet his livelihood. Later the vehicle was seized by SHO Thalassery in connection with the Crime No. 273/09 of SHO Thalassery police station on 28.11.2009. The allegation that led to the registering of the crime was that the 3rd opposite party had filed a CMP before the JFCM Thalassery stating that the said vehicle was earlier under the ownership of one Prasad (opposite party No. 5) and he had availed a loan of Rs. 3,25,000/- from 3rd opposite party executing a hypothecation agreement but had not repaid the loan amount. So the complainant filed a petition under Sec. 451 of Cr.P.C. as C.M.P. 3506/09 before the Addl. CJM Court, Thalassery on 30.11.2009 for the interim custody of the vehicle. On the same day the 3rd opposite party also filed another C.M.P. as 3505/09 for the release of said vehicle to him. Then the 1st and 2nd opposite parties approached the complainant and stated that more possibility of getting release of vehicle was to the 1st opposite party since he was the present hirer of the vehicle and promised that 1st opposite party would get release of the vehicle from the court and hand over the same to the complainant unconditionally. Believing the assurance of 1st and 2nd opposite parties and the legal advice he received, the complainant handed over the original R.C. of his vehicle and other documents to the 1st opposite party and withdrew his C.M.P. as promised. The 1st opposite party filed a C.M.P. as 3591/09 before the Addl. CJM Court, Thalassery to release the said vehicle claiming that he was the right person to get the release of the said vehicle being the hirer but the court dismissed the petition and released the vehicle to 3rd opposite party finding that 3rd opposite party was the earlier financier. So, the complainant again filed a petition before the same court as C.M.P. 178/10 for the release of the said vehicle. But th

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