S.P.BHATIA vs State Bank of India

LIMITED grievance of the appellant against the impugned order 11.5.2001 passed by the District Forum whereby the respondent bank was held guilty for deficiency in service in not paying the exchange rate prevailing on 29.6.1991 on the foreign fixed deposit receipt (FCNR) has not clarified that the exchange rate shall be applicable on the foreign currency deposit of the appellant whereas the respondent bank has converted it into Indian rupees while applying the exchange rate and that too after having held the respondent guilty for not applying the exchange rate prevailing on 29.6.1991 on the amount of foreign currency i.e., FCNR whereas it has applied the exchange rate prevailing on 12.7.1999.

HOWEVER, on the contrary the Counsel for the respondent raised legal objection that the appeal has been filed under Section 19 of the Consumer Protection Act, 1986 and not under Section 15 and in that event the appeal should have been filed before National Commission. Objection is wholly groundless. It appears that the section under which the appeal filed was wrongly mentioned in the appeal. Even if it was mentioned in the appeal that it was under Section 19, we deem it as appeal filed under Section 15 of the Act as the first appeal against the order passed by the District Forum lies before State Commission and not before National Commission. The impugned order shall be deemed to have been passed that the respondent bank shall pay the exchange rate prevailing on 29.6.1991 on the FCNR and not by converting the foreign currency into the Indian rupees. By way of above clarification we allow the appeal to the aforesaid extent.

Bank Guarantee/FDR, if any, furnished by the appellant be returned forthwith.

A copy of this order as per the statutory requirements be forwarded to the parties free of charge and also to the concerned District Forum and thereafter the file be consigned to Record Room. Appeal allowed.