RAM LAL WADHWA Vs. BANK OF BARODA

JUDGEMENT

(1.) The complaint cases Nos.20, 25, 26 and 27 of 1992 though preferred by different complainants, are all directed against the same opposite parties. The salient background herein is closely intertwined and the merits raise common issues of law and facts. The evidence in all the cases is also common on the record. The parties are represented by the same set of Counsel. It is not only apt but indeed necessary that all the four complaints be dealt with together. The learned Counsel are agreed that these may be disposed of by a common order.

(2.) The representative facts may be taken from complaint No.209/1992 'ram Lai Wadhwa V/s. Bank of Baroda, Bombay and Others'. The case of the complainant is that the opposite party-5 M/s. Lan Eseda Software Systems Limited, Hyderabad had floated a public issue of equity shares through opposite party-4 Consolidated Share Services Private Limited, Bombay and the latter appointed opposite party-2-Bank of Baroda, Clock Tower Branch, Ludhiana (for short 'the Ludhiana Bank') for collection of share application money from the applicants on its behalf. It is alleged that in response to the said public issue of equity shares floated by opposite party-4, the complainant had applied for 200 shares on 29.4.1991 through the Ludhiana Bank and also submitted a cheque bearing No.815445 dated 29.4.1991 drawn on Punjab National Bank, Sarabha Nagar, Ludhiana. The grievance of the complainant is that despite having deposited the application money of Rs.1,000/- within time, opposite party-4 did not allot 200 shares, to him. It is his case that when he protested the opposite parties for not allotting the shares to him, opposite party-4, vide its letter dated 25.9.1991 (Annexure P1), intimated him in the following terms : - "we acknowledge receipt of your letter dated 15.4.91 regarding non-receipt of other share certificate or Refund Order. In reply we would like to inform you that as per the final certificate of collection received from Bank of Baroda, Bombay main Controlling Branch. Ludhiana's collection is shown as 'nil' (copy of certificate is enclosed herewith ). Under the circumstances, we have processed the allotment of shares keeping Ludhiana aside. You are therefore requested to take up the matter with Bank of Baroda, Ludhiana. "

(3.) According to the complainant, the situation, as reflected in the said letter, was found to be incorrect as he had applied for 200 shares through the Ludhiana Bank and the application money was duly received by it on 29.4.1991 and that in spite of forwarding his application money to opposite party-4 for the allotment of shares, the Bank sent him a cheque for Rs.1,095/- towards the refund of his application money, along with interest at the rate of 15% p. a. from the closure and of the public issue. It is the case of the complainant that he also protested to opposite party-5 by sending it a legal notice, but even then he was not allotted any share by it, causing serious loss to him. The complainant on the basis of these averments sought compensation of Rs.1,04,100/-. The estimate of this amount is mentioned in paragraph-8 of the complaint. The complainant filed an affidavit and five documents in support of his case.