Unit Trust of India vs SARLA DEEPENDRA LALAN

UNIT Trust of India (for short ''UTI'') has filed this revision aggrieved of the order dated 14.11.1994 passed in Case No. 1672/93 by the District Consumer Disputes Redressal Forum, Indore (for short the ''District Forum'').

ADMITTEDLY, the complainant on the public issue applied for 2,000 Master Gain vide application form No. 9153018 and deposited the same alongwith cheque No. 205646 dated 7.5.1992 for Rs. 20,000/- with the Indore Branch Office of UTI. The UTI instead of allotting 2,000 shares issued only 200 shares initially. Hence, the complainant filed a complaint to claim compensation of Rs. 26,000/- in all, which was resisted. The District Forum after appreciation of material on record awarded damages worth Rs. 200/-per month from 13.10.1992 to 12.10.1994 the date on which 1,800 units were issued. It was also ordered that if the UTI fails to comply with the order within 30 days then it shall also be liable to pay Rs. 2,000/- as further damages. Rs. 200/- as costs of the proceedings were also awarded. Mr. Vivek Agrawal, learned Counsel for the applicant submitted that the District Forum erred in awarding damages of Rs. 200/- per month on account of non-delivery of unit certificates is a presumptive loss. Admittedly, UTI has issued all unit certificates with retrospective effect that is with all the benefits from the date of enforcement of the scheme. The scheme in which the complainant had invested was not a compensation paying scheme. It was a rather accumulative gain scheme of which net value per unit on 13.12.1993 was Rs. 15.70, therefore, even if 1,800 Units were not sent to the complainant in time, even then she was not eligible for Rs. 200/- per month as compensation as the scheme being an accumulative paying scheme based on net asset value calculated from time to time, hence, actually no loss was suffered by the complainant. Counsel placed reliance on a decision of the National Commission in Unit Trust of India v. Ms. Kavita Gupta, I (1997) CPJ 37 (NC)=1997 (1) CPR 70.

After hearing learned Counsel for the applicant and considering the written arguments sent by the non-applicant, we are of the opinion that the decision of the National Commission in case of Unit Trust of India & Ors. v. M/s. Kavita Gupta (supra), governs the present case. After considering the rival contentions the National Commission observed that while it is true that the Master Gain Unit Scheme is a capital growth oriented scheme, it is also true that the owners of such units are within their rights to enter into sale transactions of these units irrespective of the lock-in period. There is no denying of the fact that the market price of such units does reflect an element of speculation and, therefore, may not be the same as their net assets value, or the repurchase price announced by the UTI from time to time. Therefore, complainants would be entitled only to the loss which they suffered on account of non-delivery of unit certificates after they had entered into a sale transaction and not any presumptive loss based on principles of lost opportunity.

IN the present case, it is not the case of the complainant that the complainant had entered into any sale transaction of the Master Gain Units. Since, the master gain scheme is based on accumulated payment and on net assets value calculated from time to time and there was delay of not sending 1,800 units within time though presumptive loss or speculative loss or gain cannot, be a ground for award of compensation, however, there was certainly delay in sending the units. Therefore, there is no doubt that the apparent delay constitutes deficiency in service. Hence, in our opinion, the complainant was entitled to interest at the rate of 12% per annum on the amount of Rs. 18,000/- from the date of payment till the date of delivery of the Units. To say so we place reliance on a decision of the National Commission in case of Unit Trust of INdia v. Smt. Bandana Roy Chowdhury & Anr., III (1996) CPJ 126 (NC)=1996 (3) CPR 227, wherein instead of compensation for the deficiency in service on the amount of Rs. 30,000/- interest was awarded at the rate of 15% per annum from the date of receipt of the amount till the date of the delivery of the unit certificates. In the result, the revision is partly allowed. The order of the District Forum awarding compensation at the rate of Rs. 200/- per month and in default further payment of damage of Rs. 2,000/- is set aside. The applicant is directed to make the payment of interest on the amount of Rs. 18,000/- for the period from 13.10.1992 to 12.10.1994 at the rate of 12% per annum with costs of the proceedings of Rs. 400/- throughout. A copy of this order be conveyed to the parties and a copy be sent to the District Forum alongwith the record of the case. Revision partly allowed.