Latest Fraud Type – Bank Tender Fraud Case:
A Case of Tender Fraud Noticed by WLN Juris:
XXYZ Bank issued the tender/auction notice to public via email. Mr. Abhi got this email and got immediately interested in one of the products listed under the product lot list of tender/auction. The table was provided with Bank Branch Address, product details, base price and Earnest Money Deposit (EMD) details.
Mr. Abhi who was interested in purchase of lot number 12 item listed in list, went ahead and deposited the EMD amount in bank details provided by bank through NEFT payment. However, Bank had clearly mentioned its term / conditions which are read as follows:
1. EMD Payment should be made only through cheque or DD amount or else it’s not accepted and would not be considered for bidding.
2. EMD payment once made and at the time of bidding 25% of product price is not deposited, and then it would be forfeited and would not be reimbursed.
3. EMD payment would be forfeited for non-participation.
4. If there is no other bidder found at the time of bidding, and you are only participant then you will be considered as only bidder if you have paid the EMD.
In this situation, where terms/conditions were clearly mentioned on the very below portion of table, still Mr. Abhi had paid through NEFT. However, to the surprise, the amount was considered for tender by Bank (THIS IS FIRST MISTAKE)
Then, Mr. Abhi after getting clarification on amount and conditions tried to withdrawn his interest from Tender/Auction bidding and asked for non-participation and to reimburse the amount.
However, Bank informed that there was no other bidder and he was the only person whose EMD was deposited for lot no. 12 hence, his amount was considered under bidding and 25% of deposit to be paid for product is taken from it. Hence, no reimbursement can be given now.
Hearing this he asked for the product delivery for that much amount, then Bank said, for non-participation your amount is forfeited and hence, you are not eligible for EMD refund now.
This was really coming as disappoint and shocked to Mr. Abhi. He did not understood the terms and conditions while making payment. And, immediately after getting clarification he had withdrawn his interest from this bidding. Payment mode was not allowed but still since money was already credited it was never reversed back for correct payment. And, ultimately his amount was forfeited without the product delivery also.
This type of phishing happens to trap the people who do not enquire about terms and conditions before making payment. And, then they are given different excuses for not giving refund. It becomes very difficult to get the refund in such situation however, one must initiate the legal process to highlight such cases in the eyes of law, as it is taking undue benefit of innocent people and they lose money for no reason.
What to do for Internet Tender Fraud / Internet Phishing Case?
WLN Juris has expertise to provide you with legal assistance for internet phishing cases of Tender/Auction Fraud. You can consult us for notice and initiating the fraud case against such companies if you are trapped.