IFCI LTD. Vs. ROSY RANI

JUDGEMENT

(1.) The complainants / respondents purchased Bonds namely Millionaire Bonds from the petitioner IFCI Ltd, the aggregate amount of the bonds purchased by them being Rs.10,000/- each. The tenure of the said bonds was thirty years. A Bond of the face value of Rs.5,000/-, if held for thirty years was redeemable at the face value of Rs.5,00,000/-. Vide public notice dated 30.9.2003, the petitioner, purporting to act as per the terms of the issue mentioned in the Prospectus and in terms of the Resolution passed at the meeting of the Bond Holders held on 25.6.2003, decided to exercise the call option and redeem the said bonds on 06.12.2003. The redemption value of a bond was Rs.30,270/- in the case of bond with the face value of Rs.10,000/- and Rs.15,135/- in the case of bond with the face value of Rs.5,000/-. The bond holders were requested to surrender their original bonds for the purpose of redemption, after the same were duly discharged by signing on the reverse of the bond certificates. The bond holders holding the bonds in Demat form were required to transfer them from their Demat Account to the Demat Account of the petitioner.

(2.) The case of the complainants is that since no individual notices were sent to them and they were not aware of the above referred public notice, they did not send their respective bonds for the purpose of redemption. According to them, the petitioner could not have exercised the call option before 06.9.2011. The petitioner sent the redemption amount of the bonds to the complainant, by post after, deducting applicable tax at source. Being aggrieved, the complainants approached the concerned District Forum by way of separate complaints, alleging deficiency on the part of the petitioner company in rendering services to them.

(3.) The petitioner company remained ex-parte before the District Forum, which directed the petitioner to pay Rs.1,00,000/- each to the complainants after deducting the amount of Rs.26,216/- each which it had already paid to them. Interest @ 9% per annum from the date of the cheque, i.e. 01.2.2010 till 06.9.2011, along with further interest @ 5% per annum from September, 2011 till the actual payment was also awarded to the complainants / respondents.