2001 (4) TMI 848 - Commission - Companies Law

Summary

Issues:
- Maintainability of complaint in view of the order of the Hon'ble High Court of Bombay in Writ Petition No. 344 of 1998
- Deficiency in service by the opposite party in not refunding the amount to the complainant

Analysis:
- The complaint was filed against the respondent-company for not paying the maturity amount to the complainant as per fixed deposit receipts issued by the company. The District Forum found the complaint maintainable despite the respondent's argument based on the order of the Hon'ble High Court of Bombay in a related writ petition.
- The District Forum held that the opposite party was deficient in service and directed them to pay the maturity amounts due to the complainant along with interest and compensation. The complainant's deposits were specifically for fixed deposit receipts, and the receipts clearly indicated the maturity values and dates, making it a simple fixed deposit scenario.
- The respondent's argument that the complainant's remedy was not under the Consumer Protection Act due to contractual obligations was rejected by the District Forum, citing precedents that deposits inviting interest constitute financial services. The District Forum also considered the orders of the Hon'ble High Court of Bombay and the appointment of a receiver, concluding that the complainant was not barred from filing the complaint.
- The appellate authority upheld the District Forum's decision, emphasizing that the complainant was not involved in the proceedings before the Hon'ble High Court of Bombay and there was no stay order preventing the complaint under the Consumer Protection Act. The receipts proved the deposits made by the complainant and the opposite party's failure to pay the maturity amounts, establishing deficiency in service.
- Ultimately, the appeal was dismissed with costs, confirming the District Forum's order in favor of the complainant. The detailed analysis of the complaint, the nature of deposits, and the lack of legal barriers for the complainant to seek relief before the District Forum were crucial in determining the outcome of the case.