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2023 Supreme(Online)(SEBI) 73
SECURITIES AND EXCHANGE BOARD OF INDIA
Smt. Suvarna Jayasri, President
Order passed by the Hon’ble District Consumer Disputes Redressal Commission Nizamabad in C.C. No. 33/2022 - Injamuri Venkatesham – Appellant
Versus
The Branch Manager Sahara Credit Cooperative Society Limited and 3 Others. – Respondent
C.C.No. 33 OF 2022
For the Appellants/Petitioners: Sri. G.Goverdhan
For the Respondents: Sri. M. Venkatesh
Deficiency of service was established against the cooperative society, warranting compensation under the Consumer Protection Act, despite jurisdictional disputes raised.
Headnote:(A) Consumer Protection Act, 2019 - Deficiency of service - The complainant deposited Rs.7,00,000/- under E-Shine Scheme; maturity was Rs.18,28,400/-. Opposite parties delayed payment citing internal issues. Deficiencies established; ruling made in favor of complainant. Court addressed whether complaint was maintainable under Consumer Protection laws. (Paras relevant to issues addressed)
(B) Consumer relationship - Complaints against cooperative societies and members, and the applicability of statutory authority to consumer rights under CPA. Findings clarified jurisdictional issues regarding service rendered.
(C) Jurisdiction of SEBI - Not a service provider within CPA context. (Paras various points discussed)
(D) Final order issued: Opposite parties to pay maturity amount with interest, costs assessed. (Result dictation by Presiding Officer)
| Table of Content |
|---|
| 1. complainant's investment and maturity claims. (Para 1) |
| 2. opposite parties' denial of consumer relationship. (Para 2) |
| 3. arguments regarding sebi's role and jurisdiction. (Para 4) |
| 4. court's analysis of consumer protection applicability. (Para 5 , 6) |
ORDER
(By Smt. Suvarna Jayasri, President)
1. The brief facts set out in the complaint are that the complainant is resident of H.No.3/27, Suddapally village of Dichpally mandal District Nizamabad. Opposite party no.1 is the Branch Manager of Nizamabad with code no.1218, the opposite party no.2 is the Regional Manager, the opposite party no.3 is the Managing Director of Sahara Credit Co-operative Society Ltd., and opposite party no.4 is the Chairman of Securities and Exchange Board of India (SEBI). Further the complainant has deposited the amounts under E-Shine Scheme under 3 spells on 15-05-2012 (27) Bonds, 24-05-2012 (8) Bonds and 09-06-2012 (3) Bonds, Totally (38) Bonds for an amount of Rs.7,00,000/- (Rupees Seven Lakhs only) in favour of opposite parties no. 1 to 3 as below:
| l. No . | Certificate No. | Date of Deposit | Amount | Date of Maturity | Maturity Amount |
| 1 | 351002727259 | 15-05-2012 | 6,000/- | 15-5-20 | 15,672/- |
| 2 | 351002727260 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 3 | 351002727261 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 4 | 351002727262 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 5 | 351002727263 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 6 | 351002727264 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 7 | 351002727265 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 8 | 351002727266 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 9 | 351002727267 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 10 | 351002727268 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 11 | 351002727269 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 12 | 351002727270 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 13 | 351002727271 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 14 | 351002727272 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 15 | 351002727273 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 16 | 351002727274 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 17 | 351002727275 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 18 | 351002727276 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 19 | 351002727277 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 20 | 351002727278 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 21 | 351002727279 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 22 | 351002727280 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 23 | 351002727281 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 24 | 351002727282 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 25 | 351002727283 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 26 | 351002727284 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 27 | 351002727285 | 15-05-2012 | 19,000/- | 15-5-20 | 49,628/- |
| 28 | 351002727294 | 24-05-2012 | 17,000/- | 24-5-20 | 44,404/- |
| 29 | 351002727295 | 24-05-2012 | 19,000/- | 24-5-20 | 49,628/- |
| 30 | 351002727296 | 24-05-2012 | 19,000/- | 24-5-20 | 49,628/- |
| 31 | 351002727297 | 24-05-2012 | 19,000/- | 24-5-20 | 49,628/- |
| 32 | 351002727298 | 24-05-2012 | 19,000/- | 24-5-20 | 49,628/- |
| 33 | 351002727299 | 24-05-2012 | 19,000/- | 24-5-20 | 49,628/- |
| 34 | 351002727300 | 24-05-2012 | 19,000/- | 24-5-20 | 49,628/- |
| 35 | 351002727301 | 24-05-2012 | 19,000/- | 24-5-20 | 49,628/- |
| 36 | 351002727352 | 09-06-2012 | 12,000/- | 09-6-20 | 31,344/- |
| 37 | 351002727353 | 09-06-2012 | 19,000/- | 09-6-20 | 49,628/- |
| 38 | 351002727354 | 09-06-2012 | 19,000/- | 09-6-20 | 49,628/- |
| Total 7,00,000/- 18,28,400/- |
The complainant states that as per E-Shine scheme the maturity date was completed on various dates mentioned in the above table. The complainant is entitled to receive the maturity amount of Rs.18,28,400/-. After maturity date the complainant approached the opposite party No.1 at Nizamabad. But the opposite parties dragon the matter one or the pretext other. The opposite party stated funds are not released from the head office i.e. from opposite party No.3. The Opposite party No.1 to 3 are not interested to release the maturity amount of Rs.18,28,400/- to the complainant. Further the complainant stating that from reliable sources some cases are filed against the Sahara Credit Co- operative Society Company Ltd., and all investors money of the Sahara Companies amount were seized by SEBI and releasing maturity amount to the investors by collecting required details from the investors, hence the complainant send a request letter on 26-9-2020 to the chairman SEBI Mumbai and Local office of SEBI Hyderabad to release maturity amount of Rs.18,28,400/- to the comp
