M/S. Sunita Jain vs MODERN THREADS (INDIA) LTD.

THESE appeals arise out of common order of learned State Commission; hence, decided by common order. These appeals have been filed by the appellant against the order dated 3.5.2012 passed by learned State Commission in C.C. No. 27/2010 - Sunita Jain Vs. Modern Threads (India) Ltd., C.C. No. 26/2010 - Sunita Jain Vs. Modern Terry Towels Ltd., C.C. No. 25/2010 - Sunita Jain Vs. Modern Denim Ltd. by which, complaints were disposed with the direction to take action before the operating agency.

BRIEF facts of the cases are that in pursuance of employees of OP -Respondent, Complainant -Appellant and their relatives made deposits with OP. OP assured the depositors that they would be provided interest on principal and interest but they did not issue cheques. Alleging deficiency on the part of OPs, complainants filed complaints before State Commission. OPs contested the complaint and submitted that no action can be taken against the OP as operating agency has been appointed by BIFR. It was further submitted that complaints were time barred which may be dismissed. Lastly, it was submitted that some payments have been made to the depositors and OPs are prepared to comply with the directions of National Commission and complainants may submit their claims before the operating agency. Learned State Commission after hearing both the parties disposed of the complaint with the direction that complainants are free to take action before operating agency against which, these appeals have been filed. Heard learned Counsel for the parties and perused record.

LEARNED Counsel for the appellant submitted that order passed by learned State Commission is contrary to law; hence, appeals be allowed and matter may be remanded back to learned State Commission to decide the complaints on merits. On the other hand, learned Counsel for the respondent submitted that order passed by learned State Commission is in accordance with law; hence, appeal be dismissed..

IT is not disputed that respondents have been declared sick under BIFR and operating agency has been appointed. Learned Counsel for the appellant submitted that inspite of appointment of operating agency, learned State Commission had jurisdiction to deal with the complaints. In support of his contention, he has placed reliance on judgment of this Commission in R.P. No. 2355/2006 - Mahesh Chandra Sharma Vs. M/s. Modern Threads (India) Ltd. decided on 10.10.2007 in which it was held that deposits made with the Company cannot be termed as loan and complaints are maintainable before the Consumer Fora. In R.P. 310 of 2007 - Abhishek Bhansali Vs. The Chairman, M/s. Modern Denim Ltd. decided on 25.9.2012 by this Commission, order of District Forum allowing interest @ 15% p.a. was upheld meaning thereby complaints were held maintainable. Same principle was upheld in II (2006) CPJ 195 (NC) - Sneha Dyechem Ltd. Vs. Jyoti Rathore. Hon ''ble Apex Court in Civil Appeal No. 11029/2013 @ (SLP (C) No. 35942/2012 - Inderjeet Arya and Anr. Vs. ICICI Bank Ltd. decided on 13.12.2013 held that the term ''suit '' have to be confined in the context of sub -section (1) of Section 22 of SICA of those actions which are dealt with under the Code and not in the comprehensive overarching proceedings so as to apply to any original proceedings before any legal forum. Thus, it becomes clear that complaints are maintainable before Consumer Forum and learned State Commission has committed error in disposing complaints on the basis of judgments of this Commission. in R.P. No. 417 to 431 of 2000 - Modern Thread (India) Ltd. Vs. Lt. Col. B.K. Sharma (Retd.), as Hon ''ble Apex Court held that original proceedings before any other legal forum are maintainable.

IN the light of aforesaid discussion, impugned order is liable to be set aside and matters are to be remanded back to learned State Commission to decide in accordance with law.

CONSEQUENTLY , F.A. No. 307/2012 - Sunita Jain Vs. Modern Threads (India) Ltd., F.A. No. 308/2012 - Sunita Jain Vs. Modern Terry Towels Ltd., F.A. No. 309/2012 - Sunita Jain Vs. Modern Denim Ltd. are allowed and impugned order dated 3.5.2012 passed by learned State Commission in Complaint NO. 25/2010, 26/2010 & 27/2010 are set aside and complaints are remanded back to the learned State Commission for deciding the matters on merits after giving an opportunity of being heard to the parties. Parties are directed to appear before the State Commission, Rajasthan on 27.2.2014.