A district consumer court in New Delhi has ordered a milk delivery company to return an unspent app wallet balance of Rs 170 to a subscriber and directed the firm to pay Rs 2,500 in compensation for mental distress and litigation costs.
The District Consumer Disputes Redressal Commission-VII (South-West Delhi), headed by President Suresh Kumar Gupta and Member Harshali Kaur, issued the order on September 22. The bench ruled that service providers have no legal right to retain a consumer’s funds after services are discontinued and are duty-bound to remit any outstanding balances immediately upon termination.
Unreturned Funds Ruled As Deficiency In Service
The judgment was delivered ex parte after the dairy company failed to appear or present a defense despite being formally served. As a result, the commission accepted the uncontested documentation and affidavit submitted by the complainant, Sameer Sarkar.
The forum found that the company’s refusal to return the balance without valid justification constituted a clear deficiency in service.
Under the ruling, the dairy enterprise must refund the Rs 170 balance alongside 6 per cent interest per annum, calculated from the complaint’s filing date on February 26, 2024, until the payment is realised. The company was also ordered to pay Sarkar Rs 2,500 as compensation for mental harassment, agony, and legal costs within 45 days of receiving the order. If the enterprise fails to meet this deadline, the Rs 2,500 award will additionally attract interest at 6 per cent per annum from the date of the order until settlement.
Origins Of The Delivery Dispute
The conflict began after Sarkar cancelled his morning milk deliveries in September 2023, citing dissatisfaction with product quality. He had been using the enterprise’s proprietary mobile application to receive daily doorstep shipments.
According to the case records, the final delivery took place on September 24, 2023, leaving an unspent credit of Rs 170 inside his digital wallet. Sarkar requested a formal refund on September 29, 2023. When the firm failed to remit the money, he escalated the issue to a consumer helpline before instituting legal proceedings before the district commission.
Evidence Reviewed By The Commission
In evaluating the matter, the commission examined mobile application screenshots furnished by Sarkar showing that an active balance of Rs 170 remained in his account on both September 24 and September 25, 2023.
The bench also reviewed written email correspondence in which the dairy company had previously assured Sarkar that refunds would be issued if a client was unsatisfied with its offerings. The commission observed that the firm disregarded its own policy by declining to reimburse the customer once the grievance was raised.
Having noted that the dairy company was declared ex parte on July 10, 2024, the commission decided the complaint on the merits of the documentary record and Sarkar’s sworn evidence.

