New Delhi: In a significant ruling, a Delhi consumer court has ordered the freezing of Yes Securities India Ltd’s (YSIL) bank accounts for failing to comply with a previous court order. The Delhi District Consumer Disputes Redressal Commission (North District) took this action after YSIL did not provide the compensation awarded to a consumer, Naresh Chand Jain, for mental harassment, financial loss, and non-delivery of services.
The court, chaired by Divya Jyoti Jaipuriar, alongside members Harpreet Kaur Acharya and Ashwini Kumar Mehta, directed the freezing of YSIL’s accounts in Yes Bank and HDFC Bank, both located in Mumbai, to enforce the decision. The branch managers of the respective banks have been instructed to freeze the accounts immediately and submit compliance reports within a week.
Naresh Chand Jain, a senior citizen, had filed a complaint against YSIL, accusing the company of not fulfilling its obligations under its premium research service known as the “Silver Scheme.” Jain had paid Rs 59,000, expecting assistance in converting physical shares to a demat account and receiving market research and investment guidance. However, YSIL failed to deliver the promised services, leading Jain to seek legal recourse.
The court had previously ordered YSIL to compensate Jain for the mental harassment and financial loss he suffered, along with returning his subscription amount. Additionally, YSIL was ordered to pay an extra Rs 50,000 as compensation for non-compliance. When the company did not follow the court’s directive, the decision to freeze their accounts was made to ensure compliance.
This ruling highlights the legal accountability of financial service providers and serves as a reminder of the importance of delivering on service promises.