MYSORE SALES INTERNATIONAL LTD Vs. M N MISRA

JUDGEMENT

(1.) THIS revision petition has arisen out of the order dated 25.7.95 of the West Bengal State Commission at Calcutta affirming the order dated 3.6.94 passed by the District Forum, Calcutta and directing the payment of interest on the amount of Rs. 11 lakhs for the period 5.1.93 to 31.3.93.

(2.) THE case of the complainant in the nutshell is that the petitioner herein acted dishonestly and in a manner which is against all business norms and ethics in inducing the complainant to deposit an amount of Rs. 11.00 lakh on the pretext of granting him dealership of the oil manufactured by the petitioner herein and then refunding the amount after 83 days without interest upon deciding not to appoint the complainant a dealer. On a complaint, the District Forum, Calcutta by its order dated 3.6.93: directed the petitioner herein to pay interest @ 18% per annum for the period of 83 days and Rs. 5,000/- as costs. It appears that the petitioners herein after entering appearance before the District Forum did not file their version and absented on the subsequent hearings. Before the State Commission in appeal, the stand of the petitioners was that the deposit of Rs. 11.00 lakhs had been made as an advance against the supplies of oil to be made by the petitioners herein. The State Commission in the impugned order came to a finding that the deposit of Rs. 11.00 lakhs is not for purchase of gods but kept as security, obviously the refund of security deposit by the Petitioners herein without appointing the complainant as a selling agent is definitely deficiency in service and the refund of the security must accompany with interest in absence of any contract to the contrary. The appeal of the petitioners herein was dismissed and the order dated 3.6.94 passed by the District Forum, Calcutta was affirmed.