Axis Bank to pay Rs 50,000 for failing to provide free airport lounge services

The consumer redressal forum, SAS Nagar, has held the Axis Bank guilty of deficiency in services and has directed it to pay Rs 50,000 for not providing the promised free airport lounge service to a costumer.
Updated on May 21, 2015 11:15 AM IST
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Hindustan Times | ByAmandeep Dixit, Sas Nagar

The consumer redressal forum, SAS Nagar, has held the Axis Bank guilty of deficiency in services and has directed it to pay Rs 50,000 for not providing the promised free airport lounge service to a costumer.

The bank had offered various benefits to the complainant, Parmod Bharti, through his credit card, including free airport lounge services, the complainant stated, adding that on March 24, 2014, he had availed the said service but was charged Rs 1,330, contrary to the promised free service.

Bharti also claimed that after he had received no satisfactory answer from the bank, he requested it to cancel the credit card but the bank kept on sending him the statements or messages about dues, presumably the interest component. He claimed that the bank had even admitted that the service was offered initially, but was later discontinued.

Denying any deficiency in services, the bank replied that the complimentary priority pass card for availing airport lounge services was not covered under the definition of service under Consumer Protection Act. "In the request for availing complimentary priority pass, it was clearly mentioned that the services is not free, the bank stated, adding on merits, it was also denied that the complainant was promised free airport lounge services.

"The complainant is a literate person and has, himself, signed the request form, thus Rs 1,330 was charged legally from the complainant. Also, he had requested for cancellation of the card on March 9, 2014. However, since outstanding payment was pending till August 25, 2014, messages related to statements were sent to him,"stated the bank in its reply.

Meanwhile, the court directed the bank to pay the compensation of Rs 50,000 for mental agony and harassment along with Rs 11,000 as litigation expenses. The court also directed to refund the illegal charges on account of free usage of airport lounge along with interest on the interest charges already paid and then, issue no objection certificate for credit card.

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