The National Consumer Disputes Redressal Commission (NCDRC) has ruled that Union Bank of India is accountable for deficiency in service.

The National Consumer Disputes Redressal Commission held Union Bank of India liable for deficiency in service due to unauthorized transactions. The complainant, a partnership firm, had an account with the bank, but two unauthorized transactions totaling Rs. 9,00,000 were made from the account. The company received registered mobile number messages informing them of the transactions, but the bank failed to take action despite the complainant’s attempts to report the issue and receive a refund. The bank argued that the registered mobile number for the account was incorrect and that OTPs were sent to the correct number. The National Commission concluded that the bank was deficient in service, as it failed to protect the account effectively, and the unauthorized transactions were undisputed. The commission ordered the bank to pay Rs. 9,00,000 with 7% interest, Rs. 15,000 as compensation, and Rs. 10,000 as litigation costs. The revision petition filed by the bank was dismissed, and the National Commission upheld the State Commission’s decision.