Surat: The Surat Consumer Disputes Redressal Commission (CDRC) has directed Kotak Mahindra Prime Ltd to refund Rs 3.66 lakh collected through 17 car-loan instalments, with 8% interest, after a Hyundai Verna was not delivered to a Surat resident despite the loan being disbursed.The case arose from the purchase of a Hyundai Verna in 2019 by Suresh Sojitra. He agreed to buy the car from Mirrikh Motors Pvt Ltd for Rs 12.69 lakh. He paid Rs 2.5 lakh as a down payment and applied for a loan of Rs 10.19 lakh.Kotak Mahindra Prime Ltd issued a loan welcome letter on Jan 31, 2019, with the first instalment scheduled for Feb 5, 2019.When the vehicle was not delivered, Sojitra approached the finance company and objected to the welcome letter, which did not contain the engine number or chassis number. The company advised him to contact the dealer. The dealer said the vehicle would be delivered before the first instalment was debited.The car was never delivered, but 17 monthly instalments were debited. As neither the dealer nor the finance company addressed his concerns, Sojitra filed a police complaint against both parties. He later reached a settlement with the dealer regarding the Rs 2.5 lakh down payment.Sojitra moved the Surat CDRC on Nov 14, 2021. He argued that the finance company had left the engine number and chassis number fields blank in the agreement and transferred the funds to the dealer before delivery of the vehicle. He contended that his instalments ought to be refunded as the car was never handed over to him.The finance company disputed the allegations. It argued that ensuring delivery of the vehicle was the dealer’s responsibility under the agreement. It also questioned why the dealer had not been made party to the complaint and submitted that the dispute fell within the scope of arbitration. The company further stated that no documents relating to the police complaint or settlement with the dealer had been produced.The consumer forum rejected these submissions.“The welcome letter has space for the chassis number and engine number but no numbers were there. By the conditions of the agreement, it is true that the delivery is not the finance firm’s responsibility. At the same time, it states that a refund shall be made if the car is not delivered. Thus, the firm breached the conditions of the agreement, which amounts to a deficiency in service,” the CDRC observed.The commission directed Kotak Mahindra Prime Ltd to pay Rs 3.66 lakh to the complainant with 8% interest from Sep 14, 2021. It also awarded Rs 3,000 towards harassment and Rs 2,500 towards litigation expenses.The CDRC said documents relating to the police complaint and settlement with the dealer had no relevance to the consumer dispute, which concerned the finance company and the complainant.
