Consumer Issues
District consumer forum orders HSBC Bank to pay Rs 25,000 for deficiency in service

The consumer forum directed the bank to issue a no-dues certificate to Delhi-resident Vinay Chola and to reconsider a fresh card for him. The forum also awarded him compensation of Rs25,000 towards litigation charges and harassment caused to him

The New Delhi District Consumer Disputes Redressal Forum has ordered Hongkong and Shanghai Banking Corporation (HSBC) to pay Rs25,000 as compensation to one of its former credit card holders for not getting his name removed from a defaulters list even after he cleared all his dues.


The consumer forum observed that once the card holder paid all the dues, the bank should have closed the accounts and informed the Credit Information Bureau (India) (CIBIL) that nothing was outstanding.


“We hold opposite party (HSBC Bank) deficient in service in not informing CIBIL of settlement of all outstanding dues of complainant...,” the bench presided by CK Chaturvedi said.


It directed the bank to issue a no-dues certificate to Delhi-resident Vinay Chola and to reconsider a fresh card for him. The forum also awarded him compensation of Rs25,000 towards litigation charges and harassment caused to him.


The order came on the complaint of Vinay who had alleged that his credit status with CIBIL showed him as a defaulter despite having cleared all his dues with the bank.


According to a settlement agreed upon with the bank, Vinay said, he had paid Rs25,000 in three separate instalments one of which was collected late by the recovery agents and the same was shown as outstanding by HSBC.


The bank, in its defence, had contended that the settlement amount was not paid within the agreed upon time.


The forum, however, rejected the contention saying its recovery agents collected the last payment late.




4 years ago

Foreign Banks in India run, for the most part, with Indians recruited off the streets and without the "apprentice" schemes of India's nationalized Banks. BUT, my former batch mates who are CGMs and above in SBI and have retired as CMD of PNB testify that the quality of employees, their trainability, commitment, and reliability have deteriorated sharply over the last few decades in faithful imitation of India's ruling scum.

Weekly Market Report: Will the Nifty, Sensex fight back before the Budget?

The Nifty will have to close above 5,920 in the next two days for a short upmove to start

Underperformance by the broader indices, mainly on lacklustre earnings from corporates, led the market marginally lower on a weekly basis. Disappointing industrial output data overshadowed the easing in the headline inflation. Investors are likely to play “wait-and-watch” ahead of the Union Budget on 28th February.
The Sensex closed the week down 17 points (-0.09%) at 19,468 and the Nifty fell 16 points (-0.27%) to 5,887. The Nifty will have to close above 5,920 in the next two days for a short upmove to start.
The market fell on Monday on lack of cues from Asia and on concerns about the nation’s economic growth. The Sensex snapped its eight-day losing streak to end higher on Tuesday despite lacklustre industrial output numbers for December.
Although the market was in the positive throughout the trading session on Wednesday, the benchmarks pared their gains in late trade to end marginally in the positive, on nervousness ahead of the release of the headline inflation data for January. Selling in heavyweights led the market lower on Thursday. The benchmarks settled lower on Friday on weak corporate earning and unsupportive global cues.
In the sectoral space, BSE PSU and BSE Healthcare ended flat while BSE Realty (down 5%) and BSE Capital Goods (down 4%) were the top losers.
Tata Motors, Sun Pharmaceutical Industries (up 6% each), HDFC Bank (up 4%), Coal India and ONGC (up 3% each) were the top Sensex gainers. The key losers were Maruti Suzuki (down 7%), Jindal Power & Steel (down 6%), Larsen & Toubro (down 4%), Bajaj Auto and Wipro (down 3% each).
The majors on the Nifty were Tata Motors (up 7%), Sun Pharma (up 5%), HDFC Bank, HCL Technologies (up 4% each) and Coal India (up 3%). Siemens (down 8%), DLF, Maruti Suzuki, JSPL (down 7% each) and BPCL (down 5%) were the main losers on the benchmark in the week.
The MCX Stock Exchange (MCX-SX) benchmark index SX40 went live with its equity trading platform on both the equities and equity derivatives on Monday. MCX-SX became India’s third full-fledged equity bourse after the BSE and the NSE.
Reserve Bank of India (RBI) governor Duvvuri Subbarao on Monday cautioned the country was headed for the highest ever current account deficit this fiscal, after it rose to 5.3% of GDP in the second quarter.
India’s retail inflation rose to 10.79% in January, on higher prices of vegetables, edible oil, cereals and protein-based items. On the other hand, Wholesale Price Index (WPI) based inflation fell to 6.62% in January, declining for the fourth month in a row, despite rise in prices of food items like vegetables, onions and rice.
Industrial output, as measured by the Index of Industrial Production (IIP) contracted to a three-month low of 0.6% in December on account of the poor performance of manufacturing and mining sectors and a slowdown in production of capital as well as consumer goods.
The Securities and Exchange Board of India (SEBI) on Wednesday ordered the attachment of all assets of two Sahara group firms —Sahara Housing Investment Corp and Sahara India Real Estate Corporation —besides freezing their bank accounts and those of their promoters and directors including that of group head Subrata Roy.
In international news, leaders Group of 20 nations on Saturday announced there would be no “currency war” and postponed plans to set new debt-cutting targets in an indication of concern about the fragile state of the world economy.


Public Interest Exclusive
CAG Vinod Rai at Moneylife Foundation: “Our report on VVIP helicopter deal will be out soon”

At Moneylife Foundation’s 3rd anniversary event, CAG Vinod Rai referred to the ruling class as ‘typical bullies’, while answering questions on the recently uncovered VVIP helicopter purchase scandal, the UID or Aadhaar scheme, the Commonwealth Games and his political ambitions

Comptroller and Auditor General (CAG) of India Vinod Rai, after delivering a powerful and inspirational speech at Moneylife Foundation’s 3rd anniversary replied to some questions from the audience. Despite time constraints, the CAG tried to give answers to most of the questions. Here are the excerpts…  
Q) Citizens’ groups often lose battles against public institutions because the government says it has the mandate to do certain things, without looking into the needs of the people. But people don’t back the citizens’ groups up. How can these groups continue without the people on their side?
Vinod Rai:  I’m totally unable to answer your question, sure. Until now, the minority, which is the political class, is exercising its mandate. It is winning because it is more aggressive and articulate. But the citizens have to be tenacious. Once, twice, thrice, four times, as long as it takes. Those with the mandate are typical bullies. They bark and you recoil. If you bark back and bite, that’s when you’ll succeed.
Q) When will you have a Twitter account?
Vinod Rai: I’m sorry, but I’m totally ignorant of technology. But a friend has been kind enough to educate me. Maybe I’ll come online shortly. But I don’t know how to define that ‘shortly’.
Q) Has the CAG been looking at the UID or Aadhaar scheme, which currently appears to become a scam?
Vinod Rai: Well, that’s your opinion. We haven’t yet looked into it yet, no. But we’ll certainly be looking at Aadhaar at an appropriate time.
Q) I’ve heard that the Ministry of Defense (MoD) is not within the purview of the CAG. Is this true?
Vinod Rai: We do audit the MoD. We’ve done this, you don’t worry. We’re looking into it, the report will be out shortly. What needs to be exposed will be exposed.
Q) TN Seshan changed the Election Commissioner’s (EC) office. You’ve changed the CAG. But the EC’s office is no longer what it used to be. Hopefully, this will not happen to the CAG office. We need continuous good leadership.
Vinod Rai: I don’t share the view that the EC has declined. EC is a potent body. You and I aren’t scared, but those who do seek election are scared. Another thing, I can assure you that the government, if they did make a mistake appointing me as CAG, will make the right choice next time. But don’t you worry; the CAG isn’t just one person. The strength is in the large organisation I head. And it is empowered by a 24x7 media—that is often on overdrive. That is the force multiplier.
Q) Isn’t the CAG allowed to audit at the policy-making level? Why so much was invested in, for example, the Commonwealth Games? Couldn’t we have spent that money to build sports facilities in each district?
Vinod Rai: Public policy is audited. Before the policy is formulated, we have financial advisors. But the CAG doesn’t do that. We come in post the event. How good this audit is we don’t know but the policy is certainly there. The Commonwealth Games, there was debate in Parliament on this question. Some felt the money should be spent to create infrastructure, others thought it should be spent at the district level. It’s a difficult choice. But the CAG’s job is only to check if the money was spent for the purpose it was allocated for.
Q) Could you give us some facts contained in the report on the VVIP helicopter purchase scandal?
Vinod Rai: (Laughs) I know it’s being looked into, but I can’t comment now. 
Q) In your report on the coal scam, why wasn’t a discounting factor used over 25 years? This would have brought down the figure to Rs60,000 crore from Rs1.86 lakh crore. Also, some of the mines were allocated to government institutions, so why should we be bothered by that allocation?
Vinod Rai: Firstly, the report was only on allocations to the private sector. Secondly, we’ve explained why we did not use a discounting factor in the report. It was because we only made our calculations on present losses. You should read the report. It’s 700 pages and makes for fine reading. Even Rs60,000 crore is not a small amount.
Q) Could you mention three ways to reduce corruption?
Vinod Rai: No, I don’t know. I wouldn’t like to make such recommendations.
Q) Certain people say you have political ambitions and that you are supported by the BJP. Is any of this true? What’s your retirement plan?
Vinod Rai: Firstly, what’s wrong with having political ambitions? But I don’t have any retirement plan. If you have something to offer me, do let me know.



We are listening!

Solve the equation and enter in the Captcha field.

To continue

Sign Up or Sign In


To continue

Sign Up or Sign In



The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)