STATE CONSUMER DISPUTES REDRESSAL COMMISSION U.T., CHANDIGARH [ADDITIONAL BENCH]

Appeal No. : 40 of 2025 Date of Institution : 08.01.2025 Date of Decision : 18.12.2025 RBL Bank Ltd., SCO 135-136, Sector 9, Chandigarh ….Appellant/opposite party No.1 Versus

1. Mr. Kanwaljit Singh Joson R/o H.No.354, Sector 9-D, Chandigarh

2. Mrs. Ramjit Kaur Joson R/o H.No.354, Sector 9-D, Chandigarh

3. Mr. Ashwanjit Singh Joson R/o H.No.354, Sector 9-D, Chandigarh

4. Mrs. Preeti Joson R/o H.No.354, Sector 9-D, Chandigarh

5. Mrs. Dimple Joson R/o H.No.354, Sector 9-D, Chandigarh 6. Mr. Karanjit Joson R/o H.No.354, Sector 9-D, Chandigarh

7. Mr. Gursehaj Singh Joson R/o H.No.354, Sector 9-D, Chandigarh …Respondents/complainants BEFORE: MRS. PADMA PANDEY, PRESIDING MEMBER SH. RAJESH K. ARYA, MEMBER ARGUED BY :-

Sh. Karan Sirohi, Advocate for the appellant Sh. Rohit Ummatt, Advocate alongwith Ms. Anushka, Advocate for the respondents PER RAJESH K. ARYA, MEMBER The instant appeal has been filed by opposite party No.1 – RBL Bank Ltd. (appellant herein) for setting aside order dated 02.12.2024 passed by District Consumer Disputes Redressal Commission-I, U.T., Chandigarh (hereinafter to be referred as ‘District Commission’) vide which, Consumer Complaint bearing No.231 of 2024 filed by the complainants – Sh. Kanwaljit Singh Joson and others (respondents herein) has been partly allowed against the opposite parties by granting following relief:-

“4. In the light of the aforesaid discussion, the present consumer complaint succeeds, the same is hereby partly allowed and OPs are directed as under :-

(i) to refund ₹7,74,803/- to the complainants alongwith interest @ 9% per annum (simple) from date of deposit of the aforesaid foreclosure charges till onwards (ii) to pay ₹15,000/- to the complainants as compensation for causing mental agony and harassment;

(iii) to pay ₹10,000/- to the complainants as costs of litigation.

5. This order be complied with by the OPs jointly and severally within a period of 45 days from the date of receipt of certified copy thereof, failing which the amount(s) mentioned at Sr.No.(i) & (ii) above shall carry penal interest @ 12% per annum (simple) from the date of expiry of said period of 45 days, instead of 9% [mentioned at Sr.No.(i)], till realisation, over and above payment of ligation expenses.”

2] In brief, the case of the complainant before the District Commission was that they availed a Loan Against Property (LAP) of ₹7,80,00,000/- from the opposite parties as individual borrowers vide sanction letter dated 31.07.2009 Annexure C-1. They had also taken two additional commercial loans of ₹20,00,000/- and ₹1,80,00,000/- in the names of their companies — M/s Modern Pesticides Supply Pvt. Ltd. and M/s Pioneer Pesticides Pvt. Ltd. sanctioned vide Annexures C-2 and C-3. The subject LAP of ₹7,80,00,000/- (Loan A/c No.809002297582) was availed solely to take over an existing loan from Kotak Mahindra Bank Ltd. The opposite parties directly disbursed the takeover amount to Kotak Mahindra Bank Ltd., which thereafter issued a No Due Certificate (Annexure C-4). When the complainants later decided to foreclose all loans, they paid 1% foreclosure charges on the two commercial loans. However, no foreclosure charges were payable on the subject LAP since it was taken by individual borrowers as per the sanction terms (Annexure C-1) and the RBI Circular dated 02.08.2019 (Annexure C-12). Despite this, the opposite parties levied 3% foreclosure charges on the subject loan amounting to ₹20,09,838.27 on the balance of ₹6,69,94,609/-. Multiple emails (Annexures C-8 to C-11) were sent by the complainants but to no avail. The opposite parties later claimed to reduce the charges from 3% to 1% (email dated 02.02.2023, Annexures C-13 & C-14). Finding no resolution, the complainants issued a legal notice (Annexure C-15), which was replied to by the opposite parties (Annexure C-16). The complainants averred that the LAP was a balance-transfer loan for individual purpos