Rajesh Kanna
New member
- Bank Name
- EQUITAS SMALL FINANCE BANK
- Customer Care Number
- 1800 103 1222
- Loss Amount
- 5000000
- Ratings
- Opposite Party Address
- Equitas Small Finance Bank VS ONE STOP TO SHOP- PROPRIETOR - S.RAJESH KANNA, NO.4/445, AMIRTHAMBAL NAGAR 6TH CROSS, ATHUR POST, KARUR-639008. TN. INDIA
TITLE: Gross Deficiency of Service, Predatory Usurious Interest Manipulation, and Multi-Forum Harassment by Equitas Small Finance Bank
COMPLAINANT DETAILS:
1. Background of Credit Facility & Unilateral Interest Hikes:I am a registered MSME entrepreneur operating a home textile manufacturing and export unit under the name M/s. ONE STOP TO SHOP in Karur, Tamil Nadu. I availed credit facilities from Equitas Small Finance Bank Ltd. consisting of an Overdraft facility and a Term Loan Against Property, originally sanctioned at an agreed competitive interest rate of 10.25%.
Without issuing any prior written notice, justification, or a formal Speaking Order, the bank unilaterally, arbitrarily, and predatorily inflated the interest rate to an astronomical 23.94%. This silent escalation added an illegitimate financial burden of approximately ₹31.77 Lakhs in manipulated interest overcharging, directly disrupting the cash flows of a working MSME unit.
2. Physical Possession and Predatory Asset Seizure:Following the financial stress caused directly by their own usurious overcharging, the bank aggressively initiated recovery proceedings and took absolute physical possession of my primary business and residential properties located in Karur. The value of the physical assets seized and locked by the bank far exceeds the actual baseline loan dues. Despite holding total physical control over my assets, the bank refused to provide a transparent accounting or a copy of the Internal Ombudsman’s Speaking Order explaining their calculations.
3. Malafide Multi-Forum Litigation & Jurisdictional Fraud:In an act of extreme bad faith, institutional harassment, and forum shopping, the bank suppressed the fact that they already held physical possession of my assets in Tamil Nadu. They deliberately presented a single consolidated security instrument (Cheque No. 000004) at a centralized collection branch in Malviya Nagar, New Delhi—a location where I have never resided, operated a business, or held a bank account.
By manufacturing a false geographical link 2,500 km away from the actual place of business and cause of action, they initiated criminal proceedings under Section 138 of the Negotiable Instruments Act (CC NI ACT/3123/2024) in the Saket Courts, New Delhi. This cross-border litigation was engineered solely to induce panic, bypass regional MSME protections, and exploit my physical vulnerability as a recovering accident survivor.
4. Serious Deficiency in Service & Violation of Fair Practices Code:The acts of Equitas Small Finance Bank constitute an extreme Deficiency in Service and an Unfair Trade Practice under the Consumer Protection Act. They directly violate:
COMPLAINANT DETAILS:
- Name: S. Rajesh Kanna (Proprietor, M/s. ONE STOP TO SHOP)
- Location: Karur, Tamil Nadu
- Contact Number: 93857 43873 / 94437 43873
- Equitas Small Finance Bank Ltd. (Head Office / Principal Nodal Office)
1. Background of Credit Facility & Unilateral Interest Hikes:I am a registered MSME entrepreneur operating a home textile manufacturing and export unit under the name M/s. ONE STOP TO SHOP in Karur, Tamil Nadu. I availed credit facilities from Equitas Small Finance Bank Ltd. consisting of an Overdraft facility and a Term Loan Against Property, originally sanctioned at an agreed competitive interest rate of 10.25%.
Without issuing any prior written notice, justification, or a formal Speaking Order, the bank unilaterally, arbitrarily, and predatorily inflated the interest rate to an astronomical 23.94%. This silent escalation added an illegitimate financial burden of approximately ₹31.77 Lakhs in manipulated interest overcharging, directly disrupting the cash flows of a working MSME unit.
2. Physical Possession and Predatory Asset Seizure:Following the financial stress caused directly by their own usurious overcharging, the bank aggressively initiated recovery proceedings and took absolute physical possession of my primary business and residential properties located in Karur. The value of the physical assets seized and locked by the bank far exceeds the actual baseline loan dues. Despite holding total physical control over my assets, the bank refused to provide a transparent accounting or a copy of the Internal Ombudsman’s Speaking Order explaining their calculations.
3. Malafide Multi-Forum Litigation & Jurisdictional Fraud:In an act of extreme bad faith, institutional harassment, and forum shopping, the bank suppressed the fact that they already held physical possession of my assets in Tamil Nadu. They deliberately presented a single consolidated security instrument (Cheque No. 000004) at a centralized collection branch in Malviya Nagar, New Delhi—a location where I have never resided, operated a business, or held a bank account.
By manufacturing a false geographical link 2,500 km away from the actual place of business and cause of action, they initiated criminal proceedings under Section 138 of the Negotiable Instruments Act (CC NI ACT/3123/2024) in the Saket Courts, New Delhi. This cross-border litigation was engineered solely to induce panic, bypass regional MSME protections, and exploit my physical vulnerability as a recovering accident survivor.
4. Serious Deficiency in Service & Violation of Fair Practices Code:The acts of Equitas Small Finance Bank constitute an extreme Deficiency in Service and an Unfair Trade Practice under the Consumer Protection Act. They directly violate:
- The RBI Fair Practices Code for Lenders (failure to provide transparency in interest resets).
- The rights of an MSME unit against coercive multi-forum recovery when assets are already under secure physical possession.
- The principle of transparency by withholding the Internal Ombudsman's report.
- Direct the Bank to immediately halt all coercive, cross-border personal harassment actions while the physical properties in Karur remain under their locked possession.
- Direct a Full Re-audit of the loan account statements from the date of inception to reverse all unilaterally inflated interest charges above the originally sanctioned rate.
- Direct the Production of the full Internal Ombudsman's Speaking Order and complete account tracking.
- Grant Compensation for severe mental harassment, business disruption, and unnecessary legal expenses forced upon an outstation MSME proprietor.