IMPORTANT POINT
Bank – The bank should have obtained the consent of the complainant before transferring the amount to the account of M/s Kavya Seeds, but the same was not done.

ORDER

Kumkum Rani, President—This appeal has been directed against the impugned judgment and order dated 15.04.2021 passed by learned District Consumer Disputes Redressal Commission, Udhamsingh Nagar (hereinafter to be referred as “The District Commission”) in consumer complaint No. 87 of 2017, titled as Mohd. Qumar Vs. Bank of Baroda and another, wherein and whereby the consumer complaint was allowed.

2. The brief facts giving rise to the present appeal are as such that the respondent/ complainant has a Savings Bank Account bearing No. 06560100016400 with the appellant No. 1. The complainant is carrying on the business of taking land on lease and doing agricultural business. The complainant had supplied wheat to M/s Kavya Seeds, Bazpur and the said firm had given cheque No. 80533595 for Rs.10,00,000/-, which was deposited in the above-mentioned Savings Bank Account of the complainant with the appellant No. 1 on 08.06.2017. The complainant had issued two cheques bearing cheque No. 000011 dated 28.07.2017 for Rs.3,00,000/- and cheque No. 000012 dated 01.08.2017 for Rs.3,00,000/-. On presentation, the said cheques were returned by the appellant No. 1 with the remarks “Refer to Drawer”. The complainant had also stated that on 25.08.2017, a clear balance of Rs.5,98,606.25/- was shown in his account and a sum of Rs.5,98,000/- was transferred in the account of some third party with appellant No. 2 without the knowledge and consent of the complainant. The complainant through his counsel had issued notices dated 03.08.2017 and 23.08.2017 to the appellants/ opposite parties, which were duly served, but the appellants neither removed hold from the account of the complainant, nor credited the amount to the account of the complainant. Such an act on the part of the appellants has caused mental agony and financial loss to the complainant. Therefore, consumer complaint was filed by the complainant before the District Commission.

3. The appellant No. 1/ opposite party No.1 submitted written statement before the District Commission, alleging that the complainant has not approached the District Commission with clean hands and he has suppressed the material facts. It was also pleaded that the complainant does not come within the definition of consumer. It was further pleaded that it was informed by M/s Kavya Seeds, Bazpur regarding issuance of cheque No. 80533595 dated 08.06.2017 for purchase of wheat to the complainant – Mohd. Qumar S/o Mohd. Umar, which was encashed by Mohd. Qumar from the account of M/s Kavya Seeds, Bazpur without supplying wheat to the said firm. A complaint regarding this was given to the bank by M/s Kavya Seeds, Bazpur vide letter dated 10.06.2017, alleging that no wheat has been supplied by the complainant to the firm. Since the account of M/s Kavya Seeds has been financed by Bank of Baroda, it becomes the duty of the bank as per Banking Regulations to monitor the suspicious transactions and to safeguard the interest of the account holder. Upon receiving the complaint from M/s Kavya Seeds, the amount of Rs.10,00,000/- deposited into the account of the complainant maintained with appellant No. 1 was put on hold by the bank. After knowing the fact that the amount so transferred to his account to the tune of Rs.10,00,000/- has been put on hold by the bank, the complainant had issued two cheques to various parties, which were returned with the endorsement of “refer to drawer”. During the process of upgradation of software, some technical error had occurred and taking advantage of the technical glitch, the complainant had withdrawn through ATM’s on 22.08.2017; 23.08.2017; 24.08.2017 and 25.08.2017, an amount of Rs.4,03,000/- during the bank holidays, knowing the fact that the account has been put on hold by the bank. After holidays, when the bank came to know about misappropriation of funds done by the complainant, the remaining amount of Rs.5,98,000/- was transferred by the bank into the loan account of M/s Kavya Seeds, Bazp