Says investment firm should not have given the seized vehicle to third person, without a public auction

A consumer body waived off driver Chandrakant's loan after it was found that the investment firm which seized his vehicle had misused it.

Chandrakant had bought a maxi cab in 2003 on a loan of Rs 2 lakh from an investment firm.

After repaying some of it, he had Rs 1.40 lakh pending, to be paid in 20 installments.

When he defaulted on his payment, the investment firm seized the vehicle in 2005.

Didn't resell

Instead of selling the vehicle in a public auction to recover the money, it gave the vehicle to one Abdul Saleem who changed the number plate and used it for transporting goods.

The police caught Saleem changing the number plate and registered a case against him and the investment firm. They also filed a chargesheet.

When Chandrakant learnt this, he approached the police saying the vehicle was his.

He also approached a criminal court which released the vehicle in 2007.

Chandrakant then approached the Consumer Commission, alleging deficiency of service on the part of the investment firm.

Not with him

The State Consumer Commission observed that Chandrakant was unable to use the vehicle for two years while someone else was using it illegally. It said the investment firm was at fault for having given the vehicle to a third person. It ordered the investment firm to waive off the loan amount.