LAWS(NR)-1997-8-3

AJAY MURDIA Vs. INDCHEM ATL LTD.

Decided On August 29, 1997
AJAY MURDIA Appellant
V/S
INDCHEM ATL LTD. Respondents

JUDGEMENT

(1.) INDCHEM ATL Limited (respondent hereafter) is a corporate body engaged in the business of manufacturing and marketing of electronic medical equipments like Ultrasound Diagnostic Scanners with the technical know -how from medical equipment specialists like Advanced Technology Laboratories, USA. It has a factory at Perungudi, Chennai, with service outlets in some of the major cities in India. A complaint was received from Dr. Ajay Murdia (applicant hereafter), who is running a clinic in Udaipur, Rajasthan under the name and style of Indira Infertility Clinic and Research Centre stating that on the promise of the respondent that an Ultra Sound Scanner -Ultra Mark -IV could be supplied by September, 1990, he paid an amount of Rs. 1,00,000/ - to the respondent as advance on 9th May, 1990. The Scanner is used for detecting the causes of infertility. It was also assured to the applicant that he would be trained in In Vitro Fetilisation (IVF for brief) in USA, to enable him to use the Scanner ordered by him for the clinic. The respondent promised to impart training for a period of six weeks. Despite receiving an amount of Rs. 8.9 lakhs towards the full price of the equipment, there was considerable delay in supplying and installing the equipment which was actually carried out in Feb., 1991 The equipment was a defective one and the respondent failed to repair the same. Nor did the respondent arrange for the training as promised.

(2.) THIS complaint was investigated by the Director General of Investigation and Registration (DG for short) who submitted to the Commission, his Preliminary Investigation Report (PIR for short). The DG has concluded in his PIR that but for the promise of training in USA or Canada for a period of six weeks by the respondent, the applicant would not have gone for the expensive equipment in question. The applicant was, therefore, induced to purchase the equipment without training and consequently could not use the machine in a proper manner. He has added that the trade practices on the part of the respondent constitute unfair trade practices within the meaning of Section 36A(1) of the MRTP Act, 1969.

(3.) THE price of the equipment is Rs. 7.9 lakhs and not Rs. 8.9 lakhs as mentioned by the DG in his PIR or as mentioned in the Notice of Enquiry. THE amount of Rs. 1,00,000/ - paid by the applicant to the respondent on 9th May, 1990 as advance was adjusted in the final price. Despite earnest efforts, the respondent could not arrange for the training, due to circumstances beyond its control. Defence on merits