Tag : CDR

    SC: 'Consumer courts can't decide cases involving tortious acts'

    SC
    Chirag Kaul
    April1/ 2023

    New Delhi News: The Supreme Court has said that consumer courts cannot decide complaints involving highly disputed questions of facts or the cases involving tortious acts or criminality like fraud or cheating. A bench comprising justices Ajay Rastogi and Bela M. Trivedi said: "The proceedings before the commission being summary in nature, the complaints involving highly disputed questions of facts or the cases involving tortious acts or criminality like fraud or cheating, could not be decided by the forum/commission under the said Act." The bench further added, "the deficiency in service, as well settled, has to be distinguished from the criminal acts or tortious acts. There could not be any presumption with regard to the wilful fault, imperfection, shortcoming or inadequacy in the quality, nature and manner of performance in service, as contemplated in Section 2(1)(g) of the Act". The bench added that the burden of proving the deficiency in service would always be upon the person alleging it. A complainant had alleged that the City Union Bank had transferred Rs 8 lakh of demand drafts to an incorrect account . The complainant filed a complaint in the State Consumer Disputes Redressal Commission (SCDRC) in 1999. The state commission found the bank and its official guilty of deficient service and ordered the bank to pay Rs 8 lakh along with compensation of Rs 1 lakh towards mental agony, loss and hardship to the complainant. The chairman and managing director, City Union Bank and others moved the National Consumer Disputes Redressal Commission (NCDRC) against the state commission order, but its appeal was dismissed in February 2007. An appeal was filed by them in 2009 before the apex court challenging the NCDRC order. ...

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