PRAVEEN KUMAR SINGHLA Vs. STATE BANK OF INDIA

JUDGEMENT

(1.) Prayer made in the complaint is as under : 'In view of the above facts and circumstances, it is respectfully prayed that the Hon'ble Forum be pleased to entertain the present complaint of the complainant, and to award a compensation of Rs. 47,17,012/-, the amount of the complainant lying with the Bank plus Rs. 250.10 lakhs towards the losses suffered by the complainant for not releasing the aforesaid amount by the opposite party i.e. Bank and Rs. 15 lakhs for mental torture and agony so suffered by the complainant in favour of the complainant and against the opposite parties, since the loss is the result of the negligence on the part of the opposite party and for the deficiency in the services, for which it is liable to compensate the complainant, as claimed. It is further prayed that the cost of filing the present complaint be also awarded.'

(2.) Complaint was filed, inter alia, alleging that the complainant and Smt. Yaken Rome were the owners of a Saw Mill run under the name and style of M/s. Rome's Wood Industries at Village Nugpok, PO Mebo, District East Siang. On account of government policies and financial crisis, the Mill was would-up leaving all the assets of business with Smt. Yaken Rome and keeping the share of Government subsidy with the complainant under an agreement executed between the parties on 20.7.1978. Complainant on coming to know that subsidy of Rs. 92,17,000/- has been released and demand draft issued by the Government of Arunachal Pradesh to Olen Rome, son of Smt. Yaken Rome, contacted Smt. Yaken Rome and Olen Rome on several occasions to deposit the draft in the Bank and distribute amount thereof as per the said agreement. Since Olen Rome and Smt. Yaken Rome failed to make the payment of the share of complainant out of said subsidy amount, the complainant filed Suit No. T/2/2000 against both of them before the Deputy Commissioner at Pasighat, Arunachal Pradesh also arraying the opposite party as a proforma defendant therein. During the pendency of suit, draft for the said amount dated 26.5.2002 was ordered to be deposited with the opposite party Bank by the Court and its amount freezed/attached till further orders. Later on, the complainant, on one hand, and Smt. Yaken Rome and Olen Rome, on other hand, entered into a compromise-deed dated 14.3.2001. On the basis thereof, the suit was disposed of by the order dated 16.4.2002 releasing amount of Rs. 47,17,012/- in favour of the complainant and balance in favour of Smt. Yaken Rome and Olen Rome. It is further alleged that on 17.4.2001, Olen Rome issued a cheque for Rs. 47,17,012/- in the name of complainant and handed it over to P.P. Mandal, who presented it to the opposite party along with an authority letter purportedly given by the complainant. Complainant never gave any authority to P.P. Mandal for withdrawal of money from the opposite party-Bank. On the strength of authority letter, P.P. Mandal withdrew the amount of Rs. 47,17,012/-. This fact came to the notice of complainant on 18.4.2001. Complainant thereafter lodged FIR No. 54 of 2001 under Sections 406/420/468/471/34, I.P.C. with P.S. Pasighat. It is also alleged that complainant is the Managing Director of M/s. J.L. Knit (India) Ltd. having registered office at C-2, Community Centre, Naraina Vihar, New Delhi. Annual Report of the Company would reveal that sales of the Company during 5 months in the year 1998 was worth Rs. 486 lakhs and its credit limit was Rs. 348 lakhs. In the year 1999, the sale was 1849.83 lakhs and credit limit Rs. 348.95 lakhs. In the year 2000, sales of Company was Rs. 2242.19 lakhs and credit limit was Rs. 364.30 lakhs. In the year 2001, the credit limit was raised to Rs. 563.41 lakhs against the sales of Rs. 2390.34 lakhs. Complainant was unable to put in more funds as demanded by the Bank staff of opposite party as P.P. Mandal withdrew the said amount of Rs. 47,17,012/- illegally. Complainant suffered loss of 3.47 lakhs up to 31.3.2002 in addition to loss of Rs. 198.21 lakhs for the period from 1.4.2002 to 31.12.2002 against the projected profit of Rs. 48.02 lakhs and Rs. 75.21 lakhs for the year ending 31.3.2002. Total loss, thus, came to Rs. 250.10 lakhs. It is also alleged that complainant suffered mental torture for which he is entitled to at least Rs. 50 lakhs from the opposite party. Alleging deficiency of service on the part of opposite party, the complainant has made the aforementioned prayer in the complaint.

(3.) We have heard Mr. S. Chakraborty for complainant on admission of the complaint.