COL. (RETD.) D.S. SACHAR vs Premier Automobiles Ltd.

COL. D.S. Sachar (Retd.) booked one UNO Car on 15.2.1996. As a consequence of draw of lots and the result conveyed vide Annexure P-4 his priority number was far off. He requested for refund of the deposit of Rs. 21,0007- on 15.5.1996. Instead of refund within 60 days the deposit has been reimbursed on 22.7.1998 after deduction of Rs. 88/- as Bank charges. On a complaint instituted for interest etc. for the period of delay @ 24% per annum, the District Forum ordered on 3.7.1998 interest @ 12% per annum and costs Rs. 1,100/-. The Counsel for appellant appeared in the Forum but no reply was filed. Aggrieved against the impugned order, the present appeal has been preferred.

NONE appeared on behalf of the respondent despite issuance of summons by registered post. The main grievance of the appellant is that interest awarded @ 12% was too low. After considering the contentions raised by the appellant regarding low rate of interest, we have also come across Premier Automobiles Ltd. and Another v. Arvinder Kumar Bansal and Another, National Commission and Supreme Court on 1986-1996 Consumer Cases Part-II 3215 (NS), where the motor car booked was Premier NE 118 and interest on refund was allowed at the rate of 18%. After hearing the appellant and considering other circumstances referred to above, we accept this appeal and instead of 12% interest it is held that the appellant is entitled to 18% interest from the date specified in the impugned order. Besides this the appellant was entitled to the sum of Rs. 21,000/- and not that he was liable to pay Bank charges. The sum of Rs. 88/- deducted as Bank charges was to be borne by the respondent and not the consumer. The arrears be remitted to the appellant within two months failing which he shall be entitled to interest at the rate mentioned above on the period of delay as well. Consequently the appeal is accepted and stands disposed of. Appeal disposed of.