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2013 (5) TMI 67 - AT - Indian LawsComplaint was filed by appellant under Sections 36-A, 36B, 36D and 37 of the MRTP Act. – compensation application - Appellant availed the services of respondent bank - said service was of sub-standard quality and that the respondents have adopted unfair and deceptive practices while rendering the same and had also coercively recovered Export Outstanding Charges ('XOS charges' in short) and it had neglected and failed to return original title deeds of the properties entrusted to the respondent bank as a collateral security in spite of having been fully paid all the debts given to the complainant. It is to be seen that the complainant used to export garments through the Apparel Export Promotion Council and several export bills were sent to the foreign buyers through the bank for "collection only". In respect of these "collections only" export bills, the bank used to levy xos charge per outstanding bill per quarter. These charges were levied since these were required to be reported by the bank to RBI every quarter by way of 'XOS statements' get incentives/benefits on the export proceeds. In fact, it was only in August 1992 that the complainant had shifted its banking operation to Vysya Bank. However, packing credit limit was paid on 05.08.1993, but the outstanding in the account of the complainant on that date was ₹ 1,40,77,644/-. According to the complainant though the loan credit of the respondent bank was liquefied in 1993 and though the bank guarantee also expired on 30.10.1994, but the collaterals were not returned. Held that - We have deliberately stated the facts above along with the dates of the correspondence which went on between the parties stretching maximum in favour of the complainant. We do not find any justification as to how the non-return of collaterals could be complained of only in 2007 when admittedly the collateral securities were refused for the first time in somewhere in the year 1993 and when the bank ultimately returned the collaterals in March 2001. As regards the non-refund of XOS charges, we have already found that the complainant has not shown any rule under which he was entitled to the refund, thus there is a complete justification on the part of the respondent bank not to return collaterals. There is no question of limitation as any action in that behalf could not be possible. In the result, we come to the conclusion that the complaint as well as Compensation Application under Section 12-B are not maintainable. They are dismissed.
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