A consumer commission has directed a credit co-operative society to return a 66-year-old woman’s Rs 3 lakh fixed deposit with 9.5% annual interest, plus Rs 35,000 in compensation and costs.
A Bengaluru consumer panel has ordered a credit co-operative society to return Rs 3 lakh to a 66-year-old woman after her fixed deposit matured in October 2020 but was left unpaid for years despite repeated follow-ups and a legal notice. The III Additional Bengaluru Urban District Consumer Disputes Redressal Commission also directed the society to pay Rs 25,000 in compensation and Rs 10,000 in litigation costs, saying the delay caused financial strain and mental distress.
The complainant, Sabitha, had placed Rs 3 lakh with the society on October 11, 2017, for three years at an annual interest rate of 9.5 per cent. According to the commission’s order, she went back on the maturity date expecting payment but was told to return later. She said a second visit in November 2020 led to more delay, and that further requests over time produced no repayment, even though she needed the money for family and personal expenses.
After her attempts to recover the deposit failed, Sabitha sent a legal notice on February 25, 2026. The notice was served, but the society did not reply, the order said. The commission also noted that the society did not appear in the proceedings after being notified of the complaint and produced no evidence to dispute her claim.
In its order of September 28, the panel said the documents supported the woman’s version and that the society’s conduct amounted to deficiency in service. It directed repayment of the principal with interest at 9.5 per cent a year from the date of deposit until realisation. If the society does not comply within 45 days, the additional Rs 35,000 awarded as compensation and costs will carry 9 per cent annual interest from September 28, 2026, until payment. The ruling adds to a series of recent consumer cases in which courts and commissions have stepped in when financial institutions or other parties withheld money that was due.
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