OLX Autos Ordered to Pay ₹75,620 Plus Interest to Hyderabad Car Seller
HYDERABAD: The Ranga Reddy District Consumer Disputes Redressal Commission has ordered OLX Autos to pay ₹55,620 with 9% annual interest to a Hyderabad car seller after finding that the company unfairly withheld the amount despite receiving all the required loan closure documents.
The Commission also directed OLX Autos to pay ₹10,000 as compensation for mental agony and another ₹10,000 towards litigation costs.
Seller approached consumer panel over delayed payment
A. Rajesh Kumar, a resident of Gajularamaram, sold his Honda Jazz through OLX Autos. The company valued the car at ₹4,56,200 and completed the sale through its platform.
As part of the agreement, OLX Autos kept a holdback amount of ₹55,620. The company agreed to release the money after Rajesh Kumar submitted the loan closure documents, including the No Objection Certificate (NOC) and Form 35 issued by HDFC Bank.
Rajesh Kumar told the Commission that he submitted all the required documents to OLX Autos. However, the company did not release the holdback amount despite several follow-ups.
He also said OLX Autos ignored his legal notices, leaving him with no option but to file a complaint before the District Consumer Commission.
Commission finds OLX Autos at fault
After hearing the case, the Bench, comprising Commission President C.H. Latha Kumari and Member Madhavi, held OLX Autos responsible for deficiency in service and unfair trade practice.
The Commission ordered the company to pay the withheld ₹55,620 with 9% annual interest. It also awarded Rajesh Kumar ₹10,000 as compensation for mental agony and ₹10,000 towards litigation costs.
The Commission noted that OLX Autos failed to honour the agreement even though the complainant had submitted all the required documents.
