In Brief
A corporate customer (respondent) sought substantial credit facilities from Bank of India. The Bank debited Rs. 27.41 lakhs from the customer's account as processing and TEV study charges before loan sanction. The customer complained to the consumer commission, claiming unauthorized debit and seeking waiver of charges. The National Consumer Disputes Redressal Commission ordered refund of Rs. 20.55 lakhs. The Supreme Court reversed this, holding the Bank's circular authorized the charges and the customer's request for 50% waiver was never accepted. The Court allowed the appeal and ordered refund of only Rs. 9.16 lakhs, which the Bank had explicitly offered.
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