Canara Bank Vs Kavita Chowdhary (Supreme Court of India)
Supreme Court held that negligence on part of bank in presentation of cheque within the validity period of cheque leads to ‘deficiency in service’ under the Consumer Protection Act. Accordingly, compensation entitled to be awarded to the consumer.
Facts- The two appeals have been preferred by the Canara Bank u/s. 23 of the Consumer Protection Act, 1986/Section 67 of the Consumer Protection Act, 2019 assailing the judgment and order dated 24.09.2024 passed by the National Consumer Disputes Redressal Commission, New Delhi. It may be mentioned that vide the impugned judgment and order dated 24.09.2024, the Commission has allowed the aforesaid two complaints by directing the appellant bank to pay 10 percent of the total cheque amount alongwith interest at the rate of 8 percent per annum from the date of filing of the complaints within two months, further imposing litigation cost of Rs. 50,000.00 in favour of each of the complainants.
Conclusion- Held that we are in agreement with the view taken by the Commission that there was negligence on the part of the appellant in presentation of the two cheques of the respondent within the validity period of the cheques leading to deficiency in service on the part of the appellant qua the respondent. Consequently, the first issue framed by us for consideration as to the correctness or otherwise of the finding of the Commission that there was deficiency in service on the part of the appellant is answered in the affirmative and against the appellant.
