Consumer court penalises post office for withholding customer’s interest amount

  • | Wednesday | 16th July, 2014

However, in spite of Beri making regular deposits, the last entry made by the post office for the financial year 2011-12 was for Rs 3,14,254. Ravi was intimated by the post office that his account  had been closed as per their internal instructions. Therefore, he was entitled to the interest up to the original date and not entitled on the subsequent amount deposited by him.

For wrongly withholding an interest amount from a customer’s Provident Fund account, a post office in Moga has been directed by the State Consumer Disputes Redressal Commission to return Rs 40,767 to the customer, besides payment of Rs 5,000 as compensation. Ravi Beri, a resident of district Moga, had opened a Public Provident Fund(PPF) which after its completion,  was extended for five years in 2009. However, in spite of Beri making regular deposits, the last entry made by the post office for the financial year 2011-12 was for Rs 3,14,254.

Ravi was intimated by the post office that his account  had been closed as per their internal instructions. Therefore, he was entitled to the interest up to the original date and not entitled on the subsequent amount deposited by him. Ravi alleged that no intimation was ever given to him.

  Hence, Ravi filed a complaint the consumer court. Representatives of the post office in their written version stated that as per a Government of India notification, a PPF account once matured, cannot not be extended any further. However, the consumer court held that the alleged deduction was against law and that “the complainant cannot be deprived of his due on account of the fact that there was some mistake on the part of the postal authority in extending the time fixed for PPF Account.

” Thus, it directed the post office to return Rs 40,767 to Beri along with compensation. .

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