Kochi Consumer Commission Orders Rs 10 Lakh Compensation for Defective Excavator
Kochi Commission Awards Rs 10 Lakh for Faulty Excavator

Kochi Consumer Commission Awards Rs 10 Lakh Compensation in Defective Excavator Case

The District Consumer Disputes Redressal Commission in Kochi has issued a landmark order, directing a company to pay Rs 10 lakh as compensation to a complainant for supplying a defective hydraulic excavator. The complainant, Binoy T V of Perumbavoor, purchased the machinery for over Rs 29.5 lakh in 2012 to support his livelihood through self-employment, but the equipment developed severe defects within months, leading to significant financial losses.

Details of the Complaint and Defects

The complaint was filed against Sany Heavy Industry Ltd, based in Pune, and its local dealer, Icon Equipment in Perumbavoor. According to Binoy's submission, the excavator, which came with a promised warranty of 5,000 operating hours or four years, began malfunctioning within just 50 hours of operation. The defects were extensive and included:

  • Diesel filter head issues
  • Cabin cracks and foundation failure
  • Operator seat vibration
  • Rust-induced counterweight damage
  • Operating lever and arm cylinder leakage
  • Bonnet operation failure
  • Various other mechanical problems

Despite the local dealer attending to repairs 15 times, the defects were never satisfactorily rectified, leaving the machine in a persistent state of malfunction.

Financial Hardship and Company Refusal

The excavator's poor performance had dire consequences for Binoy's livelihood. Even after the machine accumulated 2,250 operating hours, he was unable to generate adequate income to pay his loan instalments due to its unreliable operation. When Binoy approached the company for scheduled service, they refused to provide assistance or supply spare parts, instead demanding substantial charges that he was not liable to pay under the warranty terms.

Commission's Ruling and Additional Directions

In its order, the commission found the company and dealer liable for supplying defective machinery and failing to honor the warranty. In addition to the Rs 10 lakh compensation for the complainant's losses and hardship, the commission directed the firm to pay Rs 40,000 towards court fees. This ruling underscores the importance of consumer protection in cases involving high-value equipment essential for livelihoods, setting a precedent for similar disputes in the region.