Retired Bangalore University professor wins ₹13 lakh after suing bank

The court observed that a customer revealing Aadhaar card details cannot be grounds for his bank account being compromised. It also saw that the bank had failed to prove that the professor had unknowingly aided the fraud.

A 65-year-old retired Bangalore University (BU) professor won back ₹13 lakh of his retirement funds that he had lost to cyber criminals by suing a national bank after he was denied a refund, along with another ₹35,000 compensation.

A retired professor in Bengaluru won a court battle against all odds and got back ₹13 lakhs that he lost to cyber fraud. (Representational Image)

According to reports, professor KP Sreenath had the shock of his life when he saw that nearly ₹13 lakh of his retirement funds were missing from his bank account with the State Bank of India (SBI).

Upon enquiring with the bank, he found that fraudulent transactions had taken place. He was in for another shock when the bank refused to grant him a refund.

According to an RBI mandate, he had to report the fraud within three working days to be eligible for a refund. However, the bank said he had lodged a complaint seven days after the fraud, and refused him a refund. Following this, Sreenath reportedly approached the Bangalore 1st additional district consumer disputes redressal commission in Shantinagar in July 2021.

During the court battle, the bank's representative argued that the victim received messages and One Time Passwords (OTPs) for the money transfers, which he ignored claiming he had trusted SBI.

According to the report, Sreenath was not a net-banking user and used cheques and pass books. The bank's advocate further said Sreenath had also received a phone call from a fraudster, where he revealed his Aadhaar details.

In a favourable verdict for the retired professor, the judges of the commission observed that a customer revealing Aadhaar card details cannot be grounds for his bank account being compromised. They also saw that the bank had failed to prove that the professor had unknowingly aided the fraud.

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The court further observed that a complaint was launched within three days of being aware of the fraud, as the professor learnt of it only on April 30, 2019, and reported it on May 2.

The consumer forum directed the bank to refund the entire amount lost with interest, plus a sum of ₹25,000 for damages, with another ₹10,000 towards his court expenses.