Citibank

1. That the Jaipur Branch of ICICI Bank had installed Credit Card

approval Machine (EDU Machine) in March 2003 and following accounts were

allotted to us :

• Merchant ID - 11550178

  
  




• Terminal ID - 1509095

  
  




• Current A/c No. - 001205002646

  
  




• That we own a big fully air-conditioned Departmental Stores (Marked

  
  

Annexure ’A’) having 1400 Sq. Ft. in the main commercial hub of Jaipur -

i.e. Ajmeri Gate and we are primarily dealing in Jaipuri Bandhej (Tie &

Die) Sarees, Lehanga-Chunni Sets having Zardozi work and various

handicrafts, which are regularly purchased by local residents as well as

visiting Indian and International tourists.

1. That we have been accepting payments in cash and through credit

cards from the tourists as well as local buyers, who purchase goods from

us.

1. That on 03.03.04, few tourists groups comprising 3 to 6 persons

(one/two ladies with male members) arrived in the forenoon and made

purchases of Lehanga-Chunni sets, Sarees, apparels etc. from our showroom

and offered to make payment by credit cards issued by Citi Bank to which

the undersigned explained that there was no objection. The total purchases

of these groups were to the tune of Rs. 2, 64, 010/- against which the

charge slips duly approved with approval codes were issued by EDU machine

in settlement of purchases made by these customers (Photocopy of charge

slips enclosed marked Annexure ’B’)

1. That at the end of the day, settlement was done and the Photocopy

of successful settlement report for 2, 64, 010/- is enclosed marked

Annexure ’C’)

1. That we were informed by EDU department of your Jaipur branch

officials on 04.03.04 that some investigation has been initiated by Citi

Bank in respect of few transactions of the credit cards swiped on 03.03.04

at our departmental stores.

1. That the total settlement amount of Rs. 2, 64, 010/- which include

Citi Bank Cards as well as Non-Citi Bank cards) has been unauthorised

withheld by ICICI Bank pending investigations of Citi Bank.

1. That on 04.03.04, we were informed by the EDU department to carry

out normal Credit Card sales and further amounts will be released in

regular process as has been done in the past one year (from the date of

installation of EDU machine). We wish to further inform you that we have

given substantial business through credit cards sales to ICICI Bank from

March, 2003 to 03.03.04 and there has not been a single case of reversal

of sales / debits during this period

1. That we were further informed by the EDU department officials not

to worry about the payment and the same would be released within 15 days

time period i.e. within 18.03.04 and ICICI Bank had no role in the

investigation carried by CITI Bank and the payment of Rs. 2, 64, 000/- would

be forthcoming shortly.

1. That as authorised by EDU dept. we carried out the credit cards sales

and items worth Rs. 30, 000/- were sold on 06.03.04, photocopy of

settlement report (marked Annexure ’D’) enclosed. This payment was further

withheld by ICICI Bank, without rhyme or reason, totaling to Rs.

2, 94, 010/-.

1. That no satisfactory reply has been given by the officials of EDU

department and no reasons for delay in payment have been given so far.

1. That further sales worth Rs. 25000/-were made on 08.03.04 though

credit cards, for which the payment has been received and credited in our

account referred above.

1. That the EDU department had arbitrarily terminated the Merchant

Establishment agreement on 09.03.04 (marked Annexure ’E’)

1. That we have been following up the matter from last five months

claiming the amount of Rs. 2, 94, 010/- with the EDU branch officials of

ICICI Bank at Jaipur for which no reply has been given to us as to when

the amount, legally due to us, will be released.

1. That we have even contacted Citi Bank officials, who have now informed

us, that these new credit cards were sent by their Chennai office to their

respective owners in Calcutta by BLAZEFLASH COURIERS (a third rated

courier Company as per our information) and these were stolen on the way

and produced in our showroom for making purchases.

1. That we understand from reliable sources that similar case of stolen

cards has happened with ICICI Bank and ICICI Bank management decided to

debit the losses suffered by them from the pending bills of the courier

service, which was responsible to carry the cards from originating station

to the destination i.e. to the rightful owners of the credit cards,

without disrupting the Merchant establishment and /or the credit card

holder. This should become an eye opener for Citi Bank officials and

should be taken as rightful precedence as the owner of Merchant

establishment as well as credit card holder(s) are not at fault due to

sheer negligence or may be willful indulgence of the officials of courier

company.

1. That, the Citi Bank officials have further informed us that they do

not have the system of activation of credit cards after it reaches to the

rightful owners of the credit cards.

1. That, till date we have not received the settlement amount of Rs.

2, 94, 010/-, on frivolous grounds despite follow up from our side with the

officials of ICICI Bank, Jaipur Branch.

1. That your Mr. Vikram Singh Gill, incharge of EDU department, has taken

liberty to alter the last paragraph of our letter dated 08.03.04 (document

marked Annexure ’F’) by his own handwriting, in which we have claimed

outstanding amount of Rs. 2, 94, 010/- with 18% interest, for each day’s

delay after 03.03.04, till the final payment is received by us.

1. That we are rightfully entitled to the aforesaid amount of Rs.

2, 94, 010/- alongwith 18% interest from 03.03.04 onwards for each day of

delay, till the full payment is released to us. Since the credit cards

were duly approved with approval codes by the EDU machine installed by

Jaipur Branch of ICICI Bank and the transactions were completed on the

strength of charge slips, duly approved with approval codes and the goods

purchased by customers had been forthwith delivered to them.

In view of above, we request you to kindly look into the matter and

expedite release of Rs. 2, 94, 010/- alongwith 18% interest, since the

amount has been withheld by ICICI Bank, without any reasonable cause or

justifiable reasons.