Karnataka HC pulls up postal department for delaying disbursal of NSC payout

The National Consumer Disputes Redressal Commission on January 19, 2024, had passed an order in favour of the complainant, PN Krishna.
The Karnataka High Court.
The Karnataka High Court.Photo | ANI
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BENGALURU: A division bench of Karnataka High Court pulled up the postal department for delaying the disbursal of an amount of Rs 1.62 lakh under National Savings Certificates (NSCs) scheme for more than two decades.

The National Consumer Disputes Redressal Commission on January 19, 2024, had passed an order in favour of the complainant, PN Krishna. The Postmaster of Banashankari Post Office, Senior Superintendent of Bengaluru South Division, and the Postmaster General challenged the Commission’s order.

The bench of Justice DK Singh and Justice H Shanthi Bhushan dismissed the petition citing the postal department’s failure to follow the prescribed procedure and its inability to satisfactory explain the transfer and payment of the certificates despite the original certificates remaining with the complainant.

The petitioners contended that the complainant had colluded with an employee of the postal department and that the certificates were fraudulently transferred in his favour.

Rejecting the contention, the court noted that the persons in whose favour the NSC certificates were sought to be transferred as far back as in 1998, were made to run from pillar to post for no fault of his own, merely legitimately due to him.

The court noted that the postal department, being a public institution entrusted with the confidence of the ordinary citizen, is expected to discharge its duties with greater responsibility, diligence and accountability. It must ensure that such instances do not recur in future, the court said.

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