LAWS(NCD)-2008-3-43

ICFAI UNIVERSITY Vs. SHAILENDRA LODHA

Decided On March 27, 2008
ICFAI UNIVERSITY Appellant
V/S
SHAILENDRA LODHA Respondents

JUDGEMENT

(1.) THIS appeal under Section 15 of the Consumer Protection Act, 1986 is filed by opposite party-University which has been directed to pay to the respondent-complainant the entire amount of Rs. 48,000 paid by the latter to the former for 18 months' MS (Finance) Course.

(2.) APPELLANT-"the Institute of Chartered Financial Analysts of India (for short "icfai") is a Hyderabad based centre for distant education and part of multi-State network of Universities registered under various State Legislations. The appellant is also having its study centre at Indore (M. P. ). They are offering, amongst others, the MS (Finance) Programmes (leading to CFA Charter ). It is no more in dispute that respondent-complainant while already registered as Article with the Institute of Chartered Accountants of India (for short "icai"), in January 2005 was allowed by the appellant-University to join the said MS (Finance) Course. Total fee prescribed for the course was Rs. 48,000 of which Rs. 10,000 were paid in cash by the respondent at the time of admission and for the remaining amount of Rs. 38,000 a few post-dated cheques were obtained from him. However, the respondent-complainant withdrew from the course in February 2005 i. e. within one month of his admission as he was informed by the ICAI that the students of CA Course are not allowed to pursue ICFAI course. Not only his request for refund of the fees was turned down by the appellant-University, proceedings under Section 138 of the Negotiable Instruments Act were also initiated against him as he had stopped payment of the cheques. The said proceedings were withdrawn only on his making cash payment of Rs. 38,000 to the appellant.

(3.) RESPONDENT approached the Forum below claiming refund of his fee of Rs. 48,000 and also for damages. His complaint was resisted by the appellants on the ground that as per their rules the fees was not refundable. The appellant also challenged the territorial jurisdiction of the District Forum, Indore and it was contended that as per agreement between the parties all disputes were triable exclusively by Courts/forums at Hyderabad (A. P. ). The Forum below negatived both the contentions of the appellant and ordered for refund of the fees as aforesaid.