STATE BANK OF INDIA Vs. CHANDER KALANI

JUDGEMENT

(1.) The instant appeal is arising from impugned order in Cyber Appeal No. 13/2015 dated 31.07.2018 passed by learned Telecom Disputes Settlement and Appellate Tribunal, New Delhi.

(2.) The brief facts stated are that the respondents are Senior Citizens and are NRIs residing in Nigeria. They hold joint NRE Account No. 10206290511 with Appellant State Bank of India (Linking Road branch, Mumbai) and were having 6 fixed deposits with different maturity dates. One unknown fraudster sent several communications to the officials of Appellant Bank branch for breaking of two FDs of Respondents. The officials of the Appellant bank provided information pertaining to the FDs of the Respondent to the unknown fraudster without maintaining reasonable security measures and the procedures of due verification. Appellant further broke two fixed deposit accounts and transferred amount to the tune of 63 lakhs to overseas account. The factum of the incident was brought to the knowledge of the Respondent No.1 only when he himself visited the concerned bank for updating his passbook.

(3.) Thereafter, respondents made complaint in P.S. Khar, Mumbai and subsequently filed a complaint bearing No.1/2014 before Adjudicating Officer (Principal Secretary, IT, Government of Maharashtra) under Sections 43(a) and 43 of the Information Technology Act, 2000. The Adjudicating Officer directed the Appellant Bank to pay compensation of Rs. 40 Lakhs alongwith interest at rate of 12% p.a. thereon. The Appellant challenged the said order dated 12.01.2015 by way of Writ in WP. No. 930/2015 before the High Court of Bombay.