MANGALORE: The DK District Consumer Disputes Redressal Court has slapped a fine of Rs 10,000 on the ICICI Bank for indiscriminately levying interest on a customer by violating the RBI guidelines.
The court in its judgment has directed the Bank to reimburse the additional amount collected and also pay the penalty amount of Rs 10,000.
P Jayaram Nayak of Udupi Badagupete had availed a personal loan of Rs 50,000 from the Mangalore branch of ICCI Bank. He had even paid the instalments for three years at an EMI of Rs 2768. During the three years the interest paid by him alone amounted to Rs 49,648, which meant the bank had levied interest at the rate of 33.10 per cent. Jayaram Nayak had moved the Consumer Court questioning this and the investigation revealed that the Bank had collected a higher interest rate.
The verdict has asked the bank to reimburse the additional amount of Rs 14,216 collected from the customer, apart from paying a penalty of Rs 10,000 and Rs 1000 toward court expenses within one month failing which it has to reimburse the amount by paying 10 per cent interest per month.
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