DIG Wins Compensation Of Rs 25,000 From Bank For Faulty Services

DIG Wins Compensation Of Rs 25,000 From Bank For Faulty Services 27 Jan 2009, 0309 hrs IST, TNN Text: CHENNAI: A deputy inspector general of police (DIG), who sued a private bank in a consumer court for deficiency of service, has won a compensation of Rs 25,000, to be paid by the bank within six weeks. DIG Brij Kishore Ravi lodged a complaint against the Standard Chartered Bank before the Consumer Disputes Redressal Forum (North) here in connection with his credit card transactions with the bank. His counsel A Shaik Pareeth contended that though Ravi had deposited a cheque well before the due date, the bank made him pay late fee with interest in 2006. The bank, however, said that after the matter was brought to its notice it reversed the interest on the late fee as a goodwill gesture. The official was never asked to pay anything in excess of actual dues, it contended. However, the forum bench, comprising president S Sathiyamurthy and members T Kamalakannan and M Seela, rejected the bank's claims, and said the bank should desist from such unfair practices. First the bank was levied late fee with interest in violation of the Reserve Bank of India's guidelines, and then reversed it after protest, the bench said. The forum also expressed an apprehension that many other customers of the bank too might have suffered similar penalty. However, since the police official before the forum has not been duly authorised by other affected customers to represent their cases as well, the forum could not go into it, the bench said. Though the official had sought a compensation of Rs 1 lakh for deficiency of service and causing mental agony, the forum awarded Rs 25,000 in addition to Rs 2,000 as case costs.

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