Appeal before state commisison
vishal kumar
(Querist) 06 October 2012
This query is : Resolved
rate of interest in the A-bank changed from time to time as per the directions of higher authorities. Bank intimated the borrower by hanging the notice in the notice board of branch. Consequently the borrower closed the loan account within one year by borrowing loan from another B-bank. Before closing the loan account A-Bank charged 1 % prepayment charge from the borrower as per sanction advice as the loan was for 7 years. Borrower filed case in district consumer forum and sought relief of 15 lakhs. The A-Bank didnot produce / exhibited the 3 circulars of higher authorities in the consumer forum as it was felt that sufficient notice was given by hanging of notice in the branch which was said by the A-Bank on evidence on Affidavit. As per sanction the borrower had also accepted the change in rate of interest with the change in BPLR of the A-Bank. But the promissory note and term loan agreement which also stated the same thing were not exhibited as the sanction letter was felt to be sufficient. Consequently the case went against the Bank. The Hon'ble district forum awarded and directed the A-Bank to refund Rs 2,50,000/- being prepayment charge of 1 % collected from the borrower and to refund Rs 2,50,000/- being the processing fee charge which the borrower had to pay to the B-Bank for obtaining loan and closing the loan account with A-Bank and Rs 15,000/- being charges for mental agony and Rs 5,000/-being cost of the suit. First Appeal has been preferred by A-Bank in the State Commision. Now the question is whether A-Bank can annex those 3 Circulars and Promissory Note and Term Loan Agreement in the State Commission to change the mind of the Hon'ble Commission, whcih were not submitted in the District Forum? Whether there is any provision of extra documents in appeal which wer enot submitted in trial? Or any case law to this effect were documents have been accepted in Appeal ? Whether these circulars should be submitted or not for ends of justice?
ajay sethi
(Expert) 06 October 2012
The appellants would have to satisfy the stae commission as to why these documents were not produced before district forum . if new documents are being relied upon to strengthen the bank case the stae commission may refuse to consider the said documents .
in the alternative state commission may remand the matter to district forum
vishal kumar
(Querist) 07 October 2012
Thank you Sir, I am obliged
K.K.Ganguly
(Expert) 07 October 2012
The matter is decided in the commission based on the documents, arguments,evidence in chief already filed/submitted before the forum & the petitioner points our the legal mistakes committed by the forum to set aside the order. No fresh documents are accepted to strengthen the case at the forum & if it is allowed, all other retaliatory documents/arguments etc. from the other party shall have to be accepted anew.
