NCDRC JUDGMENT ON THE CALCULATION OF RATE OF
INTEREST ON INVESTMENT FOUND WRONG BY POSTAL DEPARTMENT DEFICIENCY.
This was RP No 1573 of 2013 from the order dt.
16.1.2013 from Rajasthan State Commission which was finally decided by National
commission on 7.8.2015. The issue was –Investment in NSS found wrong because as
per Post Office Manual VOL.1, RULE 156 an individual depositor like complainant
can open only one NSS account all over in India. District forum at Jaipur had
made an observation-
“according to the above submissions ,we find that it was the duty of the
complainant to disclose the fact with regard to earlier account number opened
by the complainant .According to the above said rule and submitting false
declaration by the complainant we do not find any deficiency of services on the
part of the respondents/opposite party “
On the other hand complainant states that he is a consumer and at the time of
opening the account the rules were to be followed by the respondents and the
same have not been disclosed to the complainant .Hence rate of interest on
another NSS as saving account is not acceptable to him.
Complainant went in Appeal to State Commission .State commission was of the
opinion that opposite party has to prove that complainant has made false
declaration 16 years back. Department could have closed the account or give
notice to the complainant to this effect .This fact stands not proved that
complainant was aware of the rule at the time of opening an account When case
comes before the National Commission ,opinion of two Members differs . Hon’ble
Member Sh Vinay kumar is of the view-
On the point that one individual can open only one account under rule -4,the
same rule cast duty upon the department to take undertaking from the account holder
that he is not maintaining any other account under the scheme There is nothing
on record that such undertaking was taken. Complainant’s case is that he was
never informed that second account was not permissible .Hence there is no
deliberate intention to cause deceit to the respondent .Hence complainant
entitled to full rate of interest under NSS Scheme.Justice K.S Choudhuri found
complainant had not come with clean hands, hence set aside the order passed by
State Commission Alwar which was passed in favour of complainant.
The matter was now referred to third independent judge Sh. Ajit Bhariok who
discussed the law connecting to this case for reaching to some logical
conclusion. After going through the entire set of papers and issue in dispute,
it is held by the commission now that-opening of two NSS accounts under the
scheme by an individual is not permissible as per rule of NSS Scheme 1987.The
complainant has opened second NSS in different post office that does not change
the rule or status of deposit. This was also an argument that opening two NSS
are not barred but benefit under the scheme shall not be given on second NSS,
hence it was not the duty of staff to close it or give notice or to remind
every depositor about wrong done by him.
Another issue was as to whether awarding compensation for deficiency in service
on the part of department was justified .It was made clear that awarding
compensation to be paid by the department for no wrong done is also found not
justified. Hence it is clear now that it is the depositor who has to understand
rule, terms and conditions before making investment.
Become a Member of the new revolution "Consumer Awakening" and instantly expand your knowledge with the Important Landmark Judgements, Laws Laid down by the Supreme Court for Consumer Rights, Get access to hundreds of Featured Articles in 2 different Languages; English and Hindi - a valuable professional resource to draw upon, and a powerful, collective voice to advocate for your protection of rights as a consumer nationwide.
Thank you for your interest in becoming a "Consumer Awakening" Member!
You will find information on Customer Rights, what we're doing and how to become a member. If you are looking forward to become a member of our portal and gain access to Hundreds of Featured Articles which will clearly give you an insight of yoru rights as a Consumer, then Read Further. more detail on our technologies and technology process,