SBI to pay Rs 20K for deducting pension without reason

State Bank of India (SBI) has been directed by a consumer forum here to pay Rs 20,000 to a retired Income Tax Commissioner for deducting a portion of his pension deposited with it without giving any reason.
The Bank had later refunded most of the amount deducted, but had failed to provide a reason for the deduction or subsequent partial refund.
The East District Consumer Disputes Redressal Forum also said the deduction made by SBI was not as per the directives of the Central Pension Processing Centre (CPPC) as the bank had claimed in its written statement.
"During the course of argument, the counsel for the bank failed to clarify as to how the recovery was made and why it was reverted back to the complainant account.

"We hold that the deduction made by the bank was not in accordance with CPPC directives," a bench presided by N A Zaidi said, while directing SBI to pay Rs 20,000 as compensation to Delhi resident Santosh Narain Nautial and to return the balance Rs 668 which was deducted from his pension.
The forum, taking note of Nautial's submission that he visited the bank several times seeking a reason for the deduction, also said that "it is expected" of the bank to take special care of senior citizens and retired government servants and it would be "desirable" to post sympathetic staff on counters for pensioners to address their grievance.

Nautial, in his complaint, had alleged that the bank had deducted from his pension a sum of Rs 3,036 per month from July 2009 till April 2010, for a total of Rs 30,360, without giving a reason.
The bank in its defence had contended that the deduction was made at the CPPC for excess adhoc paid and thereafter arrears of Rs 29,692 was paid to Nautial in August 2011.
The forum rejected the contention, saying the bank had not filed on record any document issued by CPPC for carrying out the deductions.