Punjab

Ludhiana

CC/18/664

Parveen - Complainant(s)

Versus

Aeropostale Chawla Fashion - Opp.Party(s)

31 Jan 2019

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, LUDHIANA.

 

Consumer Complaint No. 664 of 29.10.2018

Date of Decision            :   31.01.2019

Parveen Dangwal s/o Lt.Sh.Jayanand Dangwal r/o H.No.1133, Sector 7-B, Chandigarh.

….. Complainant

                                                         Versus

Aeropostale Chawla Fashions Shop No.1, Silver Arc Mall, Ferozepur Road, Ludhiana, Punjab through its Manager or Authorized representative.

Opposite party

 

 

             (Complaint U/s 12 of the Consumer Protection Act, 1986)

 

 

QUORUM:

SH.G.K.DHIR, PRESIDENT

MS.JYOTSNA THATAI, MEMBER

 

COUNSEL FOR THE PARTIES:

For complainant            :         Sh.Samdish, Advocate

For OP                           :         Ex-parte.

 

PER G.K.DHIR, PRESIDENT

 

1.                Complainant purchased one product from OP on 28.07.2017 by paying amount of Rs.524/- through invoice dated 28.07.2017. MRP of the said product inclusive of all taxes was of Rs.999/-. After discount of 50% on the MRP of the said product, the discounted price payable was of Rs.499.50P (wrongly mentioned as Rs.449.50P in complaint), but GST @5% of Rs.24.98P (CGST 2.5% amounting to Rs.12.49P and SGST 2.5% amounting to Rs.12.49P) charged. That practice of charging GST on discounted price alleged to be an unfair trade practice and that is why, this complaint filed for seeking refund of excess charged GST amount of Rs.24.98P along with compensation on account of mental and physical harassment of Rs.25,000/- and litigation expenses of Rs.15,000/-.

2.                 OP is ex-parte in this case.

3.                Counsel for complainant in ex-parte evidence tendered affidavit Ex.CA of complainant along with documents Ex.C1 and Ex.C2 and thereafter, closed the evidence.

4.                Written arguments not submitted, but oral arguments of counsel for complainant heard. Records gone through carefully.

5.                Tag Ex.C2 is produced on record to show that MRP of the purchased product is inclusive of all taxes. Invoice Ex.C1 establishes that one product APL/NA3/97296821 was sold on discounted price of Rs.499.50P. However, on this discounted price of Rs.499.50P, GST @5% of amount of Rs.24.98P (i.e. CGST of Rs.12.49P and SGST of Rs.12.49P) more charged. So, virtually Rs.24.98P has been charged as GST on discounted price for claiming total amount of Rs.524/- from the complainant.

6.                As per law laid down in cases titled as M/s. Aero Club (Woodland) through its Manager vs. Rakesh Sharma, bearing Revision No.3477 of 2016 decided on 4.1.2017 by the Hon'ble National Consumer Disputes Redressal Commission, New Delhi and Ethnicity vs Heena Aggarwal-2017(1)CLT-621(Chandigarh State Consumer Disputes Redressal Commission ), in case, discount on MRP is given under circumstance that MRP is inclusive of all taxes, then act of deliberately charging VAT/GST and other taxes on price after discount, is an unfair trade practice. In view of law laid down in above cited cases, it is obvious that an unfair trade practice adopted by OP in charging the GST of amount of Rs.24.98P after giving discount on the MRP. In view of adoption of this unfair trade practice, certainly complainant suffered somewhat mental harassment and agony and as such, he is entitled to compensation for mental harassment and agony along with litigation expenses.

7.             Therefore, as a sequel to the above discussion, complaint allowed with direction to OP to refund the excess received amount of Rs.24.98P with interest @ 6% per annum w.e.f.28.07.2017 till payment. Compensation for mental harassment and agony of Rs.2,000/- (Rupees Two Thousand only) and litigation expenses of Rs.2,000/- (Rupees Two Thousand only)   more allowed in favour of complainant and against OP. Payment of amounts of compensation and litigation expenses be made within 30 days from the date of receipt of copy of order. Copies of order be supplied to parties free of costs as per rules.

8.                File be indexed and consigned to record room.

 

                     (Jyotsna Thatai)                                     (G.K. Dhir)

              Member                                        President

Announced in Open Forum

Dated:31.01.2019

Gurpreet Sharma.