Consumer Commission Dismisses Complaint Againt Kotak Mahindra Bank Over Unauthorized Credit Card Transactions

The District Consumer Disputes Redressal Commission, Chandigarh, comprising Amrinder Singh Sidhu (President) and B.M. Sharma (Member), has dismissed a consumer complaint against Kotak Mahindra Bank, holding that the dispute concerning alleged unauthorised credit card transactions was premature, as the matter was still under investigation and had not been finally settled by the bank Facts of the Case The complainant, Joginder Singh, upon checking his credit card statement dated 15 January 2025, noticed two unauthorised transactions of ₹19,520.29 and ₹31,040.25, both dated 23 December 2024. He claimed that no transaction alerts were received. On contacting customer care, the amounts were initially credited back to his account on the same date, as reflected in subsequent statements. However, the amount of ₹19,520.29 was withheld by the bank on the pretext of investigation, while ₹31,040.25 was shown as “unbilled (outstanding)”, with the complainant being informed that he would be liable to pay the same, failing which additional charges would be levied. Alleging deficiency in service and unfair trade practice, and stating that repeated emails and correspondence did not yield any final resolution, the complainant approached the Consumer Commission seeking refund of the disputed amounts along with interest, compensation, and litigation costs. The opposite parties—namely Kotak Mahindra Bank, its Nodal Officer, and the Reserve Bank of India—failed to appear before the Commission despite service of notice and were accordingly proceeded ex parte. Observations and Decision of the Commission After hearing the complainant in person and examining the record, the Commission observed that, as per the complainant's own case, the transaction of ₹19,520.29 was still under investigation and had not been finally rejected by the bank. With respect to the amount of ₹31,040.25, the Commission noted an email dated 11 August 2025 from the Nodal Officer of Kotak Mahindra Bank stating that reversal of funds depended on a response from the beneficiary bank and that further assistance would be possible only thereafter. In view of the above, the Commission held that the dispute relating to both transactions had “not finally been settled” by the opposite parties. It concluded that the consumer complaint was clearly premature and that it would be inappropriate to record any finding at this stage. Accordingly, the complaint was dismissed, with liberty granted to the complainant to challenge the final action taken by the bank in respect of the disputed transactions before the appropriate authority, in accordance with law. Case Title: JOGINDER SINGH vs. Kotak Mahindra BankCase No.: DC/AB1/44/CC/195/2025 Click Here To Read/Download Order

Consumer Commission Dismisses Complaint Againt Kotak Mahindra Bank Over Unauthorized Credit Card Transactions

Praveen Mishra

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