ORIENTAL BANK OF COMMERCE Vs. RAJAN MITTAL

JUDGEMENT

(1.) This appeal has been directed by the respondent against order dated 9.6.2005, passed by District Consumer Disputes Redressal Forum-II, U. T. Chandigarh, vide which the complaint of Sh. Rajan Mittal was accepted and it was ordered that the appellant (respondent in the complaint) would continue to pay interest @ 9.25% till the date of maturity of two FDRs. It was further directed to pay compensation of Rs.500 for causing unnecessary mental agony/harassment to Rajan Mittal, complainant. However, parties were left to bear their own costs.

(2.) Briefly stated the facts are that the complainant along with his father Sh. Brij Bhushan Mittal made two fixed deposits of Rs.10,000 and Rs.41,000 each with Global Trust Bank Ltd. , Chandigarh, for a period of five years carrying interest @ 9.25% p. a. repayable on 23.5.2007 and 1.6.2007 respectively. Copies of fixed deposit receipts are Annexures C-1 and C-2. The Government of India amalgamated Global Trust Bank Ltd. with Oriental Bank of commerce i. e. , appellant with effect from 14.8.2004. Consequently, all the assets and liabilities of Global Trust Bank Ltd. stood transferred to Oriental Bank of Commerce. However, the appellant arbitrarily changed the rate of interest of 9.25% to 5.5% to the detriment of the complainant (respondent in the present appeal) retrospectively w. e. f.14.8.2004 vide letter dated 13.9.2004, Annexure C-3. Respondent (complainant) protested and wrote letter against arbitrary decision of the appellant to change the rate of interest but of no avail.

(3.) With these allegations, complaint was filed.