This case is coming for final hearing on 18.09.2014 in the presence of Sri Vasupalli Yellaji Rao Advocate for the Complainant and of Sri U.S.V.Prasad, Advocate for Opposite Party and having stood over till this date, the Forum delivered the following:

: O R D E R :

(As per Smt. K.V.R.Maheswari, Honourable President(FAC) on behalf of the Bench)

1.     The case of the Complainant is that the Complainant approached the Opposite party who is doing real estate business to purchase house plots in Opposite party’s venture Royal Hills-II covered under S.Nos.74 to 77 and 90 for the plots bearing Nos.375 and 376 in Appannadorapalem, Kottavalasa Mandal, Vizinagaram District.  On the same day, both the parties entered into the written agreement of Sale wherein the total sale consideration is Rs.1,90,000/- and the Complainant paid the total sale consideration as mentioned in the agreement and the same was acknowledged by the Opposite party through issuing receipts.  The Complainant stated that even after receipt of full payment, the Opposite party did not keep its promise and failed to obtain necessary approvals for the layout, as such because of enormous delay the Complainant suffered mental agony and loss of money apart from wastage of his precious time, as such, the Opposite party is liable to pay Rs.1,00,000/- towards damages apart from refund of the amount with 24% interest.  The Complainant stated that he borrowed money from 3^rd parties and paid to the Opposite party and the Complainant is paying the interest to the 3^rd parties, as he is unable to bear the same, he approached the opposite party several times and roamed around the offices for return of the amount, but the Opposite party is postponing the same. 

2.     Finally, the Complainant addressed a letter on 18.08.2011 and insisted for payment of amount then the opposite party agreed to settle the matter on or before 31.12.2011.  Again he did not keep its promise, because of acts of the Opposite party the Complainant has no longer interested to purchase those plots.  These acts of the Opposite party clearly shows its deficiency in service.  The complainant also issued a registered Legal Notice dated 20.03.2012 to the Opposite party for refund of amount of Rs.1,90,000/- with interest and for damages, but the Opposite party despite receipt of notice did not oblige and not send any reply.  Hence, this complaint to direct the Opposite party;

a) to refund an amount of Rs.1,90,000/- with 24% interest from 18.06.2010 till the date of complaint.

b) to pay Rs.1,00,000/- towards compensation besides costs.

3.     On the other hand, the Opposite party filed its counter and admitted about the payments received by the Complainant towards plots bearing Nos.375 & 376 in Appannadorapalem.  The Complainant knows that there is every possibility of delay in securing the layout, hence he is not entitled for damages of Rs.1,00,000/-.  The Opposite party addressed a letter to the Complainant, but the Complainant did not come forward to settle the issue and the Complainant failed to comply the terms and conditions of the agreement.  Hence, there is no negligence or deficiency of service on the part of the Opposite party, as such the Complaint is to be dismissed. 

4.     At the time of enquiry, the Complainant filed its evidence affidavit along with documents which are marked as Exhibits A1 to A6, no written arguments are filed on behalf of Complainant.  On the other hand, the Opposite party filed its counter, evidence affidavit and written arguments. No documents are marked for Opposite party.  Heard the counsel of complainant and Opposite party’s counsel represented that “consider the written arguments as oral arguments”. 

5.     In view of the respective contentions, the point that would arise for determination is:-

Whether there is any deficiency in service on the part of the opposite party, if so can the complainant entitle for the reliefs prayed for?

6.     The fact that Ex.A2 is the receipts 7 in nos. issued by Opposite party to the Complainant regarding the payments made by the Complainant on several dates from 07.05.2009 to 18.06.2010 for an amount of Rs.1,90,000/- is not in dispute.  Ex.A1 is the agreement of Sale of Plot on 12.05.2009 between the complainant and Opposite party is also not in dispute.  The version of the Complainant is that after the total payment made by him, the Opposite party not come forward regarding obtaining necessary approvals of the layout, hence the Complainant requested the Opposite party to refund the amount.  Ex.A3 is the letter issued by the Opposite party to the Complainant wherein, it clearly mentioned in para-2 of Ex.A3 that “for me it is very unfortunate that I could not keep my promise due to Government Policies and technical reasons”.  In para-3 of Ex.A3, it was mentioned that “as per our discussions held in our office regarding refund of your payment of Rs.1,90,000/- for the Plot Nos.375 & 376 in Royal Hills-II vide Pass Book No.300 will be settled on or before 31.12.2011”.  Wherein, it clearly shows that the Opposite party received the amount of Rs.1,90,000/- and only because of some technical reasons, necessary approvals of the layout are not obtained by the Opposite party.  Ex.A4 is the letter issued by the Complainant on 31.12.2011 regarding the request of refund of amount which was paid by the Complainant with interest.  Ex.A5 is the lawyer’s notice issued by the Complainant on 20.03.2012 and Ex.A6 is the acknowledgment.  As per Ex.A1 Agreement of Sale, the Complainant has to pay total amount of Rs.1,98,000/- but he paid Rs.1,90,000/- and there is balance amount of Rs.8,000/-.

7.     The Opposite party admitted about the receipt of amount, but ascertain that the Complainant knows the procedure to obtain a layout and also addressed a letter to the complainant, but complainant did not approach the Opposite party to settle the issue.  Ex.A4 i.e., letter issued by the Complainant to opposite party clearly shows that the complainant is willing to cancel and ready to accept the amount which was paid by him with interest as per Ex.A3 i.e., letter issued by opposite party regarding acceptance given by the Opposite party to refund of amount. Hence, the Complainant is entitled for an amount of Rs.1,90,000/- but the Complainant ascertained at the time of arguments that as per Condition-12 in Ex.A1 i.e., “In case of any delay or any problem arises for obtaining necessary approvals, company will pay the money back with 15% interest p.a. for the paid amount after 12 months from the date of commitment” i.e., date of agreement is 12.05.2009 and the commitment for completion of layout infrastructure is within 12 months i.e., 12.05.2010.  Hence, the Opposite party is liable to pay at 15% p.a. on the amount due i.e., Rs.1,90,000/- from 12.05.2011 i.e., after one year of the commitment date. 

8.     It is evidenced by the Ex.A3 that the Opposite party failed to obtain necessary permissions from the authorized persons, which clearly shows its deficiency of service and more over even after issuance of legal notice the Opposite party has not come forward to settle the issue, which causes mental agony and financial hardship to the Complainant.  More over, it is to be noted that the Complainant has to deprive of having his own plot even after spending huge amount and he has to incur huge amount to obtain plot now-a-days, hence awarding compensation of Rs.10,000/- would be just and proper. 

Accordingly, this point is answered.

9.     In the result, the Complaint is allowed directing the Opposite party to pay an amount of Rs.1,90,000/- with interest @15% p.a. from 12.05.2011 till the date of filing of complaint i.e., 21.06.2012 and from then, the Opposite party has to pay the same with interest @ 9% p.a. till the date of realization.  The Opposite party is further directed to pay Rs.10,000/- towards compensation besides costs of Rs.1500/-.  Time for compliance three months.

Dictated to the Shorthand Writer, transcribed by her, corrected and pronounced by us in the open Forum on this the 26^th day of September, 2014.

   Sd/-                                                                  Sd/-

Member                                                     President (FAC)

                                                        District Consumer Forum-I

                                                                        Visakhapatnam

Consumer Complaint No:237/2012

APPENDIX OF EVIDENCE

Exhibits Marked for the Complainant:

Exhibits Marked for the Opposite Party: NIL

   Sd/-                                                                  Sd/-

Member                                                     President (FAC)

                                                        District Consumer Forum-I

                                                                Visakhapatnam

//VSSKL//