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2005 DIGILAW 286 (UTT)

DENA BANK v. H. V. PATEL

2005-07-21

B.K.TAIMNI, S.N.KAPOOR

body2005
ORDER Mr. Justice S.N. Kapoor, Presiding Member—Heard the learned Counsel for the parties. 2. Dena Bank feeling aggrieved by the order of the Gujarat State Consumer Disputes Redressal Commission dated 2.8.1996 has filed this appeal. 3. The State Commission directed the appellant to pay a sum of Rs. one lakh together with interest @ 18% p.a. from 7.7.1995 till realisation and cost of Rs. 1,000/- within one month from the date of the order. 4. The complainant Harjivandas Valjibhai Patel issued two post-dated cheques for Rs. one lakh each in favour of Harshnagar Co-operative Society dated 10.6.1995 and 10.8.1995, respectively. By his letter dated 7.6.1995, the complainant informed the bank to stop the pay-ment of the aforesaid two cheques: Later on, the complainant came to know that the cheque No. 429494 dated 10.6.1995 was honoured by the bank and payment thereof was made. Since the payment had been made against instructions, the complainant prayed for issuing directions to pay Rs. one lakh for the cheque payment of which was stopped, Rupees two lakhs as compensation for negligence on the part of the bank and Rs. two lakhs as compensation for mental agony and Rs. 20,000/- by way of costs. The bank contested the matter, inter alia, on the ground that the litigation was pending between the complainant and the Harshnagar Co-operative Society in respect of the flat. It was a bona fide mistake on the part of the employee of the bank in making payment of the cheque but the complainant did not suffer any loss for the amount was paid to Harshnagar Co-operative Society. Further, it is submitted that the claim was not only inflated but bloated beyond imagination by claiming the amount of Rs. 5,20,000/-. 5. During the course of arguments, the respondent/complainant did admit the pending litigation between the complainant and the Harshnagar Co-operative Society and this payment of Rs. one lakh for the aforesaid cheque was admitted before City Civil Court. While it is apparent that there was some negligence on the part of the bank employee and since the amount has been received by the Harashnagar Co-operative Society and it was so admitted before the City Civil Court, it could not be said that the complainant had suffered loss of Rs. one lakh. It may also be mentioned that this amount was to be paid in terms of the order of the City Civil Court. one lakh. It may also be mentioned that this amount was to be paid in terms of the order of the City Civil Court. 6. In aforementioned circumstances undue advantage of the negligence the part of an official of the respondent to the extent of Rs. one lakh with interest @ 18% per annum thereon cost of Rs. 1,000/-. However, since there was deficiency in service on the part the official of the bank in encashment of the cheque, we feel that it would appropriate to award compensation of Rs. 10,000/- with interest @ 6% per annum on Rs. 10,000/- from 7th July, 1995 along with cost of Rs. 1,000/- in favour of the complainant/respondent. 7. Accordingly, in the aforementioned circumstances, we allow the appeal partly and modify the impugned order to the extent stated hereinabove. First Appeal stands decided, accordingly. Appeal partly allowed.