9911796707
TMI Blog1997 (8) TMI 423X X X X Extracts X X X X X X X X Extracts X X X X ..... e original complainant Smt. Sarswati Chaudhry applied for allotment of 200 shares of Jai Prakash Industries Ltd. on 15-1-1992 in response to right issue. She submitted the application in the prescribed form along with a cheque, for Rs. 3,800 drawn on Bank of India, Asaf Ali Road Branch, New Delhi. The application and the cheque were deposited with the American Express Bank Ltd., arrayed as opposit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to compensation. On a consideration of the matter, the District Forum held that the Bank was guilty of deficiency in service as the unsigned cheque had not been returned within a reasonable period. The District Forum further held that the compensation claimed was on the higher side and unjustified. The complainant was not entitled to shift the entire responsibility on the Bank as she herself fail ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mited and the Bank could not possibly plead that it had to handle a large number of applications which took lot of time. Lastly, Mr. Jain submitted that this was a case of right issue where allotment was certain as a result of the aforesaid deficiency in service on the part of the Bank the complainant had demonstrably suffered loss in the difference of the rate at which the shares were offered and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... were offered and the market rate on the date of closing of the issue. Assuming for the sake of arguments that the Bank was deficient in rendering service, no case was made out for the grant of compensation claimed by the complainant and only a token amount could be awarded on account of compensation for the deficiency in service. 4. We have carefully considered the respective submission of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of the view that the award of Rs. 500 on account of damages is on the lower side. In our view, it would meet the ends of justice if the bank is directed to pay Rs. 5,000 as compensation. We are informed that the Bank has already paid Rs. 500 in pursuance of the orders passed by the District Forum. The balance of Rs. 4,500 shall be paid within four weeks of the receipt of a copy of this order fai ..... X X X X Extracts X X X X X X X X Extracts X X X X
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