National consumer forum news: The NationalConsumerDisputes Redressal Commission (NCDRC) has directed Axis Bank to pay Rs 3.19 crore, along with interest, to a logistics company after holding that the bank wrongfully refused to accept demonetised currency deposits during the 2016demonetisationwindow.
A bench comprising presiding memberAVM Jonnalagadda Rajendra(Retd) and member JusticeAnoop Kumar Mendirattawas on March 10 hearing a complaint filed by Procure Logistics Services Private Limited against the bank.
“The OP (opposite party) Bank clearly failed by repeatedly disallowing the Complainant to deposit the notified cash into its own KYC-compliant account, despite multiple requests and persisted with this till the entire timeline lapses.
This clearly constitutes ‘deficiency in service’ as defined under Section 2(1)(g) of the Consumer Protection Act, 1986,” the nationalconsumercommission said.
Legal Ruling · NCDRC · Demonetisation
Axis Bank vs.
Corporate Depositor— NCDRC Ruling on Demonetisation Deposit Refusal
Commission Finds'Deficiency in Service'Against Axis Bank
Axis Bank's refusal was held to havedeprived the company of its only legal opportunityto deposit demonetised currency within the statutory window.
The refusal resulted inirreversible financial loss, as the demonetised notes became entirely worthless after the deadline passed.
The RBI notification ofNovember 8, 2016clearly permitted unlimited deposits in KYC-compliant accounts during the demonetisation window — a dispensation the bank disregarded.
The outright denial to deposit the specified bank notes is evidently in derogation of the express dispensation contained in the RBI notification.
The NCDRC ruled that refusing a KYC-compliant account holder from depositing demonetised notes violated both the RBI's explicit notification and consumer protection law — making Axis Bank liable for deficiency in service.
Vineet Upadhyay is an Assistant Editor with The Indian Express, where he leads specialized coverage of the Indian judicial system.
Specialized Legal Authority: Vineet has spent the better part of his career analyzing the intricacies of the law.
His expertise lies in "demystifying" judgments from the Supreme Court of India, various High Courts, and District Courts.
His reporting covers a vast spectrum of legal issues, including:
Constitutional & Civil Rights: Reporting on landmark rulings regarding privacy, equality, and state accountability.
Criminal Justice & Enforcement: Detailed coverage of high-profile cases involving the Enforcement Directorate (ED), NIA, and POCSO matters.
Consumer Rights & Environmental Law: Authoritative pieces on medical negligence compensation, environmental protection (such as the "living person" status of rivers), and labor rights.
Over a Decade of Professional Experience: Prior to joining The Indian Express, he served as a Principal Correspondent/Legal Reporter for The Times of India and held significant roles at The New Indian Express.
His tenure has seen him report from critical legal hubs, including Delhi and Uttarakhand....
Read More
Related Stories
Source: This article was originally published by The Indian Express
Read Full Original Article →
Comments (0)
No comments yet. Be the first to comment!
Leave a Comment