Consumer Panel Asks Lakshmi Vilas Bank to Pay Customer Rs 40.8 Lakh for Wrongly Debiting Money
The NDRC directed the bank to pay interest on the debited money from April 11, 2015, the day of deduction, till the date of payment. It also directed Lakshmi Vilas Bank to pay Rs 25,000 as compensation to Gopal, a Karnataka resident.
File photo of lakshmi Vilas Bank. (Twitter/ @GST_Accountant)
New Delhi: Apex consumer commission, the NCDRC has directed Lakshmi Vilas Bank to pay Rs 40.85 lakh to its customer along with compensation for debiting the money from his account for "no valid reason".
The National Consumer Disputes Redressal Commission directed the bank to pay interest on the debited money from April 11, 2015, the day of deduction, till the date of payment. It also directed Lakshmi Vilas Bank to pay Rs 25,000 as compensation to Gopal, a Karnataka resident.
The commission also rejected the bank's appeal challenging the findings of deficiency in service on its part.
"The respondent (Lakshmi Vilas Bank) had debited a sum of Rs 40,85,254/- from the account of the appellant for no valid reason. It is apparent that the complainant (Gopal) has suffered loss of Rs 40,85,254...The complainant has a right to claim this amount from the Bank," said NCDRC Presiding member Deepa Sharma and member C Vishwanath.
In April 2015, Gopal discounted a letter of credit received against his business deals with the offending bank and handed over the bill of exchange and other records for payment to another bank, Kotak Mahindra, on or before February 8, 2015.
The offending bank initially credited Rs 38 lakh against the letter of credit submitted by Gopal. However, it later debited Rs 40.85 lakh from his bank account without any valid reason.
Gopal, in his complaint, alleged that Lakshmi Vilas Bank had failed to send the requisite papers to Kotak Mahindra Bank, Tirupur, and had wrongly and without any authority debited the money.
The commission ruled that the loss of Rs 40.85 lakh suffered by Gopal would otherwise have been received from Kotak Mahindra Bank had the offending bank discounted the letter of credit within the prescribed period.
The Karnataka state commission had last year in January reached to the conclusion that there was deficiency in service on part of the bank. However, it had held that the offending bank was entitled to 10 per cent of the deducted amount and had awarded it a sum of Rs 4 lakh.
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