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The Hindu
The Hindu
National
The Hindu Bureau

Car maker directed to refund vehicle cost to buyer

A consumer commission in Hyderabad directed car maker Mahindra to refund ₹16.90 lakh to a customer after finding that a manufacturing defect was not rectified.

The District Consumer Disputes Redressal Commission - III, Hyderabad, was dealing with a complaint filed by Hansley & Deora Corporate Advisors. The opposite parties (OPs) were Mahindra and Mahinda Limited and Automotive Manufacturers Private Limited (AMPL).

The complainant stated that they bought a Mahindra XUV-500 WZ on October 19, 2019, which was registered in January 2020. From the beginning, when the brakes were used, they could hear a noise, they stated. The issue was reported on several occasions but the noise persisted and the problem remained unrectified. They also claimed that in November 2021, a service manager called to inform them that the car was sent to another service centre, and the existence of a manufacturing defect.

For their part, both OPs denied all allegations. While Mahindra contended that the issue of noise while using brakes was not raised. In December 2020, when it was, the issue was diligently looked into. No manufacturing defect was noted, the company stated. In January 2022 the car was voluntarily picked up and old brake pads were replaced, they stated. AMPL too denied the allegations and maintained that no service manager had called the complainant.

Taking all arguments and evidence placed on record into consideration, the commission noted that a copy of the vehicle history and vehicle information showed entries that stated that the brakes were less effective and that a noise was heard while using the brakes.

Relying on judgments of the Supreme Court and National Consumer Disputes Redressal Commission, the District Commission found evidence of a manufacturing defect in the car which was under the warranty period.

Stating that there was a deficiency in service, the commission directed the OPs to pay ₹ 16,90,718 along with 12% interest per annum, and ₹10,000 as compensation. The OPs were also directed to take back the vehicle from the complainant after the refund was made.

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