(Passed on 9/6/2022)

Passed by Shri Atul D. Alsi, Hon’ble President 

1. The complainant filed a complaint case for non construction and allotment of flat as per agreement and seeking refund the cost of apartment paid with interest, compensation and cost. The fact in short is as under.
2. On 21/5/2015, the complainant wants to purchase a flat on survey No. 185,186 having 856 sq. ft bearing flat No. 105, building known as ‘ Kavyadhara’ at mauja Morva, Tah and Distt. Chandrapur from OP under flat scheme which is to be constructed by OP/ builder and developer against price of flat of Rs. 9,00,000/-. The complainant paid Rs. 4,75,000/- in installments towards consideration of sale of flat which is to be constructed in 12 months period of time as promised by OP/builder with agreement to sale dated 21/5/2015.
3. After repeated demands and recalls, the OP builder could not able to get sanctioning for construction from Municipal authority within reasonable time. Therefore the OP/builder failed to construct flat scheme as agreed in agreement to sale dated 21/05/2015. Therefore with inability to construct the flat scheme, the OP/builder decided to refund the earnest money received towards consideration of flat by further forming mutual agreement between the complainant and OP/builder dated 8/5/2019 has agreed to refund Rs. 4,75,000/- which were received towards earnest money for consideration of flat in ‘Kavyadhara’ apartment. The complainant further submits in petition that the OP/builder has falsely mentioned the refund amount of Rs. 4,00,000/- towards earnest money as total consideration for flat scheme. But actually the complainant wants to received 4,75,000/- which is actually paid towards purchase of flat. The OP/builder failed to refund Rs. 4,75,000/- as per mutual agreement of refund dated 8/5/2019. Therefore the complaint is filed to refund the earnest amount with interest @ 15 percent per annum from 20/10/2017 till realization with compensation amount of Rs. 5,00,000/- towards cost of litigation.
4. The OP failed to appear in spite of service of notice. Hence case proceeded exparte against the OP as per order dated 1/2/2022.

REASONING

5. The OP/builder as agreed to construct a flat bearing No. 105 in the scheme known as ‘Kavyadhara’ apartment as per agreement dated 21/05/2015 but the OP/builder could not get the necessary permission for construction. Therefore agreed to refund the earnest amount of Rs. 4,00,000/- as per mutual agreement executed between the parties on 8/5/2019 but the OP/builder failed to refund the agreed amount as per agreement for delayed in construction of flat scheme. Therefore the act of OP amounts to unfair trade practices. Hence the OP is liable to refund the written amount mentioned in mutual consent agreement dated 8/5/2019, Rs. 4,00,000/- along with interest at the rate of 7 percent per annum from the date of judgment till realization along with compensation for mental torture amounted to Rs. 20,000/- and cost of litigation amounted to Rs. 10,000/- as per following order.

ORDER

1. The complaint is partly allowed.
2. The OP/builder is liable to refund Rs. 4,00,000/- towards consideration  for the flat bearing No. 105 in ‘Kavyadhara’ apartment along with interest at the rate of 7 percent from the date of judgment till realization.
3. The OP /builder is liable to pay Rs. 20,000/- towards compensation for mental torture and agony  along with Rs. 10,000/- with cost of litigation.
4. Copy of order be furnished free of cost to both parties.