Rupay Card Holder Scheme, Jhajjar District Commission Holds Oriental Bank , PNB Liable For Failure To Disburse

Brief Facts:

The deceased had an account with the Oriental Bank of Commerce and held a Rupay card. He died in a road accident and his nominee approached the branches of the bank to claim personal accident insurance under the Rupay Card Holder Scheme. Despite providing all necessary documents and making several visits, the claim amount was not paid. The Oriental Bank of Commerce was taken over by Punjab National Bank as per a government order. The insurance policy stipulated that a claim amount of Rs. 2,00,000/- was payable on the death of the policyholder. Feeling aggrieved, the legal heirs of the nominee filed a consumer complaint in the District Consumer Disputes Redressal Commission, Jhajjar, Haryana (“District Commission”) against Oriental Bank of Commerce and PNB.

Oriental Bank of Commerce and PNB didn't appear before the District Commission for the proceedings.

Observations by the District Commission:

The District Commission noted that the evidence submitted by the Complainants was not rebutted or challenged by the Oriental Bank of Commerce and PNB. The evidence presented by the Complainants was found to be satisfactory to establish a valid claim.

Therefore, the District Commission held there was a deficiency in service on the part of both Oriental Bank of Commerce and PNB for not honouring the legitimate claim of the Complainants. Consequently, the District Commission directed Oriental Bank of Commerce and PNB jointly and severally to pay the claim amount of Rs. 2,00,000/- to the five legal heirs of the deceased along with simple interest at the rate of 9% per annum.

Additionally, Oriental Bank of Commerce and PNB were further directed, jointly and severally, to make a lump-sum payment of Rs. 30,000/- for the mental agony and harassment suffered by the Complainants, and also to cover litigation expenses.

Case Title: Rambir and Ors. vs Punjab National Bank and Anr.

Case Number: 70 of 2021

Date of Decision: 21.06.2024