Andhra Pradesh

Chittoor-II at triputi

CC/62/2015

V.Murali, S/o. Murugesan Achari - Complainant(s)

Versus

Agri Gold Farms Estate India Pvt. Ltd., Rep. by its Vice chairman, E.S.S.V. Prasad Rao - Opp.Party(s)

G.Madhusudan Reddy

21 Oct 2016

ORDER

Filing Date: 14.12.2015

Order Date:21.10.2016

 

 

 

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM-II,

CHITTOOR AT TIRUPATI

 

 

      PRESENT: Sri.M.Ramakrishnaiah, President ,

        Smt. T.Anitha, Member

 

 

 

FRIDAY THE TWENTY FIRST DAY OF OCTOBER, TWO THOUSAND AND SIXTEEN

 

 

 

C.C.No.62/2015

 

 

Between

 

 

V.Murali,

S/o. Murugesan Achari,

Hindu, aged 49 years,

D.No.18-8-112/5, AIR Bypass Road,

Tirupati,

Chittoor District.                                                                                          … Complainant

 

 

 

And

 

 

1.         Agri Gold Farms Estate India Pvt. Ltd.,

            Rep. by Vice Chairman, E.S.S.V.Prasad Rao,

 

2.         The Joint Managing Director,

            Agri Gold Farms Estate India Pvt. Ltd.,

            Rep. by A.H.S.V.Prasad

 

            Both O/at

            D.No.40-6-3, Plot No.6,

            Old Revenue Colony,

            Nimmagadda Somasankara Rao Street,

            M.G.Road,

            Vijayawada – 520 010, A.P., India.

 

3.         Mr. K.Siva Rama Krishna,

            Director for Tirupati Branch,

            M/s. Agri Gold Farms Estate Pvt. Ltd.,

            Opp. Anantha Law College, Kesavaynagunta,

            Behind Srinivasa Kalayana Mandapam,

            Tirupati.

 

4.         Sri Hari Iyangaru,

            Branch Manager,

            Agri Gold Farms Estate India Pvt. Ltd.,

            Beside Dhanalakshmi Bank,

            D.No.8-65, R.C.Road,

            Tirupati.                                                                                 …  Opposite parties.

 

 

 

 

            This complaint coming on before us for final hearing on 07.10.16 and upon perusing the complaint, written version and other relevant material papers on record and on hearing Sri.G.Madhusudan Reddy, counsel for complainant, and opposite parties 1 and 2 remained exparte, and complaint against opposite parties 3 and 4 dismissed, and having stood over till this day for consideration, this Forum makes the following:-

ORDER

DELIVERED BY SRI. M.RAMAKRISHNAIAH, PRESIDENT

ON BEHALF OF THE BENCH

           

            This complaint is filed under Section – 12 of C.P.Act 1986, by the complainant against the opposite parties for the following reliefs  1) to direct the opposite parties     1 and 2 to pay the entire cheque amount of Rs.1,25,407/- with accrued interest, 2) to direct the opposite parties 1 and 2 to pay Rs.1,00,000/- for mental agony and physical pain and 3) to direct the opposite parties 1 and 2 to pay the costs of the complaint, and for such other and further orders as this Hon’ble Forum, may deem fit and proper in the circumstances of the case.    

            2.  The brief averments of the complaint are:-  that the opposite parties         1 and 2 have started firms under the name and style of Agri Gold Farm Estate India Pvt. Ltd., with a motive to sell lands / plots under the scheme of Green Shine Projects and made publicity through their subordinates and agents with a motive to develop their business. The complainant joined in the Green Shine Project scheme under customer I.D.No.1013641670 on 26.02.2011 and booked a small and medium segment plot with a minimum installment amount of Rs.3,000/- every month. The complainant paid the installments up to 06.02.2014 regularly from 26.02.2011 and the receipts also filed. At the time of maturity of the said project, the complainant has given undertaking letter to cancel the plot and refund the amount with accrued interest as per the terms and conditions of the scheme.

            3.  As the maturity period of the scheme was over, complainant was instructed to give a letter for collection of his maturity amount. To that effect, complainant submitted his claim form to the subordinates of opposite parties, inturn, they handed over the cheque of opposite party No.1 firm for a matured amount of Rs.1,25,407/- cheque bearing No.927743 dt:15.12.2014, drawn on Andhra Bank, Vijayawada, with a direction to collect the same on 09.01.2015. That the complainant presented the cheque in Indian Overseas Bank, Tirupati, for collection, but it was returned on 18.02.2015 with an endorsement “Funds Insufficient” and the same was intimated to the complainant on 18.02.2015 by IOB, Tirupati. Thus, opposite parties rendered deficiency in service. That the complainant informed the opposite parties about dis-honour of cheque, for which the opposite parties and their subordinates have requested time for payment, but failed to pay the amount.

            4.  That the complainant came to know through the newspapers dt:12.11.2014 and 13.11.2014 and TV9 news channel dt:06.02.2015 that the opposite parties have cleverly cheated the complainant and closed their business. The complainant got issued legal notice on 12.06.2015. Opposite parties 1 and 2 have acknowledged the notice, whereas opposite parties 3 and 4 have managed to return the notice, and the opposite parties neither paid the amount nor gave any reply. Hence the complaint.

            5.  On 31.03.2016, complainant filed memo stating that he has given-up the case against opposite parties 3 and 4, as such the case against opposite parties 3 and 4 was dismissed. Though opposite party No.2 made appearance through his advocates Sri.Manoj Kumar and Sri.A.V.L.N.Sarma on 21.03.2016, he did not file written version. Notice to opposite party No.1 was served but he did not appear before the Forum, and both the opposite parties 1 and 2 did not choose to file written version till 13.06.2016 and no representation was left on their behalf, as such they were set exparte on 13.06.2016.

            6.  Complainant filed his evidence affidavit as P.W.1 and got marked Exs.A1 to A6 and written arguments were also filed. Heard the counsel for complainant.

            7.  Now the points for consideration are:-

            (i).  Whether the opposite parties 1 and 2 are liable to pay Rs.1,25,407/- as

                  claimed?          

            (ii).  Whether the complainant is entitled to the reliefs sought for?

            (iii). To what relief?

            8.  Point No.(i):- since the case against the opposite parties 3 and 4 was withdrawn by the complainant, there is no case against them. As such opposite parties 1 and 2 are the only contesting parties, but they also remained exparte even without filing written versions. Thus, it appears that there is no case for the opposite parties     1 and 2 to contest.    

To answer this point, firstly we have to state that there is no dispute that the opposite parties 1 and 2 have introduced a scheme known as Green Shine Projects under the control of Agri Gold Farms Estate India Pvt. Ltd., with an object of promoting their business in selling lands and plots. The complainant has joined in the said Green Shine Projects, as a member under customer ID No.1013641670 on 26.02.2011 and booked a small and medium segment, for which he has to pay an amount of Rs.3,000/- per month as installment. As could be seen from Ex.A1, which consists of payments receipts 7 in number, and under each receipt, the complainant has paid a sum of Rs.3,000/-, totaling a sum of Rs.21,000/-. Those receipts were issued by Agri Gold Farms Estate India Pvt. Ltd. (opposite party No.1). According to the complaint and evidence affidavit of complainant, at the time of maturity of the said project, the complainant will be paid back the amount, he has paid under installments with accrued interest, as per the terms and conditions of the scheme. The term of scheme was not mentioned either in the complaint or in the evidence affidavit or in the receipts under Ex.A1. It is also evident in the affidavit of the complainant that the maturity period of the scheme was over in pursuance of the terms and conditions of the scheme. The opposite parties have given a cheque bearing No.927743 dt:15.12.2014, in the name of complainant under Ex.A2 for Rs.1,25,407/-. The complainant further stated that while issuing the cheque, opposite parties have instructed the complainant to encash the cheque on 09.01.2015. The cheque is drawn on Andhra Bank, Vijayawada. Accordingly, the complainant has presented the cheque in IOB, Tirupati, where his account exists, for collection of the amount, but the cheque was returned on 18.02.2015 with an endorsement “Funds insufficient”. Though the opposite parties have instructed the complainant to collect the amount by presenting the cheque on 09.01.2015, till 18.02.2015, no amounts were available in the account of opposite parties in Andhra Bank, Vijayawada. Thereafter, dis-honour of cheque was informed to the subordinates of the opposite parties 1 and 2, for which they sought some time for payment, but later neither amount is paid nor reply is given to the legal notice got issued by the complainant on 12.06.2015.

            9.  It prima facie appears that the opposite parties have established the firm under Agri Gold Farm Estate India Pvt. Ltd., only with an intention to promote their business in selling lands and plots to the public and also with an intention to collect the amounts from the public under the guise of some attractable schemes like Green Shine projects etc. When the complainant has paid only Rs.21,000/-, unless the opposite parties got ill-motive, they ought not have issued cheque for Rs.1,25,407/- i.e. nearly 6 times of the actual amount paid. No amount will be doubled within a span of 6 years or 5 years, but in this case, the opposite parties have issued cheque for Rs.1,25,407/- in favour of the complainant stating that it is the matured amount under the scheme, by giving such false statements or publicity, the opposite parties have rendered themselves not only deficiency in service but also adopted unfair trade practice, and simply avoided to pay the actual amount paid atleast. The opposite parties have introduced such schemes, alluring the public or attracting the public, to join themselves as members / customers, to pay some amounts under the guise of allotment of lands or plots, but finally they have shifted their board and closed their business and skip-off from the place, where they have opened their office, this is also certainly amounts to cheating the public.. Under the above circumstances, we are of the opinion that the opposite parties 1 and 2 are liable to pay the amount covered under the cheque bearing No. No.927743 dt:15.12.2014 to the complainant with interest. Ex.A3 is a return memo from Andhra Bank with an endorsement “funds insufficient”. Exs.A1, A2 and A3 clearly supports the case of the complainant and he is entitled to refund of the matured amount of Rs.1,25,407/- under the cheque covered by Ex.A2. Accordingly this point is answered.

            10.  Point No.(ii):-  in view of the discussion made under point No.1, and in view of the allegations made in the complaint as well as evidence affidavit of complainant and his written arguments, the complainant has established that opposite parties 1 and 2 have cheated the complainant by adopting unfair trade practice and also established that there is deficiency in service on the part of the opposite parties    1 and 2. The payment receipts issued by opposite party No.1 under Ex.A1, which consists of receipts, 7 in number, shows that the complainant has paid Rs.21,000/- towards the plot booked by the complainant under small and medium segment with the opposite party No.1, that the opposite parties 1 and 2 also agreed that matured period of Green Shine Project was completed and he has given a cheque under Ex.A2 for the matured amount of Rs.1,25,407/- in favour of the complainant, so the complainant is also entitled to the said amount of Rs.1,25,407/-, for which opposite parties 1 and 2 are liable, in view of the unfair trade practice adopted by the opposite parties, which caused not only deficiency in service but also much mental agony to the complainant. Therefore, the complainant is also entitled for compensation from the opposite parties, as well as costs of the complaint. Accordingly, this point is answered.

            11. Point No.(iii):-  in view of the discussion made under points 1 and 2, we are of the opinion that the opposite parties 1 and 2 have adopted unfair trade practice, cheated the complainant and also there is deficiency in service on the part of the opposite parties. Therefore, complainant is entitled to the matured amount of Rs.1,25,407/- with interest at 9% p.a. from the date of cheque i.e. 15.12.2014, till realization and he is also entitled for the compensation and costs of the complaint. Hence, complaint is to be allowed accordingly.

            In the result, complaint is allowed in part directing the opposite parties 1 and 2 jointly and severally to pay Rs.1,25,407/- (Rupees one lakh twenty five thousand four hundred and seven only) to the complainant with interest at 9% p.a. from the date of cheque i.e. 15.12.2014, till realization. Opposite parties 1 and 2 also jointly and severally directed to pay Rs.10,000/- (Rupees ten thousand only) towards compensation for adopting unfair trade practice, and deficiency in service on the part of the opposite parties, and for causing mental agony to the complainant. Opposite parties 1 and 2 also further directed to pay Rs.2,000/- (Rupees two thousand only) towards costs of the complaint. Opposite parties 1 and 2 further directed to comply with the orders within six (6) weeks from the date of receipt of copy of this order, failing which the compensation amount of Rs.10,000/- shall also carry interest at     9% p.a. from the date of order, till realization.                                    

Dictated to the stenographer, transcribed and typed by him, corrected and pronounced by me in the Open Forum this the 21^st day of October, 2016.

 

        Sd/-                                                                                                                     Sd/-                   

Lady Member                                                                                                      President

 

APPENDIX OF EVIDENCE

 

 

WITNESSES EXAMINED ON BEHALF OF COMPLAINANT/s

 

PW-1: V. Murali (Chief Affidavit filed).

 

WITNESSES EXAMINED ON BEHALF OF OPPOSITE PARTY/s

-NIL-

EXHIBITS MARKED ON BEHALF OF THE COMPLAINANT/s

 

Exhibits	Description of Documents
Ex.A1.	Original Payment Receipts 7 in Number. Dt: 05.06.2012, 07.05.2012, 07.02.2013, 07.03.2013, 03.04.2013, 07.05.2013, 03.06.2013.
2.	Andhra Bank Cheque (Original) issued by Opposite Parties No.1 & 2. Dt: 15.12.2014.
3.	Andhra Bank Cheque Return Memo in original. Dt: 18.02.2015.
4.	Office copy of the legal notice issued by the complainant to the Opposite Parties. Dt: 12.06.2015.
5.	Acknowledgements 2 in number by Opposite Parties No.1 and 2.
6.	Returned covers 2 in Number by Opposite Parties No.3 and 4.

 

EXHIBITS MARKED ON BEHALF OF THE OPPOSITE PARTY/s

 

-NIL-

  

                                                                                                                                    Sd/-

                                                                                                                      President

             // TRUE COPY //

// BY ORDER //

 

Head Clerk/Sheristadar,

             Dist. Consumer Forum-II, Tirupati.

 

            

Copies to:-     1.  The complainant.

                        2.  The opposite parties.