CERS SETTLES IN COURT – CA SEP. 2014
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CERS SETTLES IN COURT
GETTING PETTY
Postal authorities made to cough up PPF deposit interest
Saurin S. Dalal opened a public provident fund (PPF) account in a post office. The scheme was for 15 years and ended in 2003. Dalal extended it by five years and continued to deposit money in the account. His deposits were accepted and interest credited regularly. The interest amount till 5 June 2008 came to Rs. 5.69 lakh. However, when he checked the passbook on 8 April 2010 he was shocked to note that the post office had reversed the entry of Rs. 5.69 lakh. No action was taken despite his protests.
Dalal contacted CERS and they filed a case before the District Forum, Ahmedabad. The postal authorities contended that Dalal had not filled form ‘H’ as required. Moreover, there had been some irregularity in making payments. The Forum ruled in favour of the complainant saying that cutting interest was wrong as the reasons were trivial. In its order dated 12 February 2014, it told the postal authorities to give the complainant Rs. 5.69 lakh with 9% interest, Rs 15,000 as compensation for mental agony and Rs. 10,000 towards costs.
A BAD BARGAIN
Exchange offer turns sour, garage owner told to refund money
J.G. Pandey owned an old Ambassador car which was in good working condition. He approached Kapadia Auto Centre to give it a facelift. The garage owner put forward an exchange offer. He had the latest body shell of a Hindustan Motors model which he said he would fit with a new engine and gear box in exchange for the old car. Pandey would have to pay the difference between the cost of the new car and the estimated value of the old one. He agreed and made part of the payment.
However, he was not happy with the new car. The garage owner tried to rectify the defects but Pandey was not satisfied. He approached CERS and a complaint was filed before the District Forum. It ordered Kapadia to give Pandey the complete ‘car on road’ as per the terms and conditions of the exchange offer. The auto centre filed an appeal before the Gujarat State Commission which overturned the Forum’s verdict. In its order dated 31 March 2013, it ordered Kapadia to return Rs. 1.2 lakh the complainant had paid so far with 8% interest. He was told to sell the new car and recover the costs.
