Woman in Bengal gets Rs 17.17 lakh payout after finance company illegally seizes her truck
The West Bengal state consumer commission ordered a finance company to pay Rs 17.17 lakh to a truck owner for illegal vehicle seizure. The commission found the company liable for deficiency in service because the owner had no overdue payments at the time of the repossession.
Why it matters
This ruling reinforces consumer protection rights against aggressive and illegal recovery practices by financial institutions.
NEW DELHI: The West Bengal state consumer commission, in an order dated July 30, held a finance company liable for deficiency in service after it seized a woman's truck without giving prior notice, even though there were no overdue payments on that loan. Holding that the seizure was illegal, the commission directed the company to pay Rs 17.17 lakh as compensation and litigation costs, close the loan account and not make any further recovery claims against her.Why did the woman approach the commission?According to the commission's order, complainant Sampa Basak bought a commercial truck after taking a loan of Rs 21.46 lakh from the finance company in August 2017. The loan was to be repaid in 46 monthly instalments of Rs 64,641 each.
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