Punjab

Faridkot

CC/19/177

Dalip Kaur - Complainant(s)

Versus

Department of Local Bodies. - Opp.Party(s)

Harlok Nath Muthreja

29 Sep 2022

ORDER

DISTRICT CONSUMER DISPUTES REDRESSAL COMMISSION, FARIDKOT

Complaint No. :       177 of 2019

Date of Institution:    22.07.2019

Date of Decision :     29.09.2022

Dalip Kaur, aged about 84 years, wife of Late Mahendar Singh, resident of 277 AX Model Town Extension, Ludhiana, District Ludhiana.

            .......Complainant

Versus

1. The Principal Secretary, Department of Local Bodies, Punjab at Chandigarh.
2. The Chairman, Improvement Trust, District Faridkot.
3. Executive Officer, the Faridkot Improvement Trust, Faridkot.

                     ....OPs

           Complaint under Section 12 of the

Consumer Protection Act, 1986.

 

Quorum:     Smt Param Pal Kaur, Member,

                     Sh Vishav Kant Garg, Member.

 

Present:      Sh  Naresh Gupta, Ld Counsel for complainant,    

                  Sh Iqbal Kaushal, Ld Counsel for OPs,

ORDER

(Param Pal Kaur, Member)

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                                                Complainant Dalip Kaur (hereinafter referred to as complainant) has filed this complaint under section 12 of the C.P. Act 1986 (hereinafter referred as ‘Act’ before this Commission against Principal Secretary, Department of Local Bodies and others (hereinafter referred as Opposite parties).

2                                            Briefly stated, the case of the complainant is that OP-2 and OP-3 floated scheme for allotment of residential plots at Baba Jiwan Singh Nagar, Faridkot and in this regard invited applications from 10.07.2013 to 09.08.2013. Complainant applied for same under Sikh Migrants and terrorist Affected Persons Category, draw of lots held on 26.11.2013 and complainant succeeded in said draw and plot no.94 measuring 200 square yards was allotted to her. As per letter no.166 dated 02.04.2014 issued by OPs to complainant, price of plot was mentioned therein as Rs.11,00,000/-. Complainant had already deposited Rs.1,10,000/-as 10% of earnest money alongwith application form no.111 and in compliance of said letter, she deposited remaining amount of 15% i.e Rs.1,65,000/- alongwith cess, cancer fund and miscellaneous charges with OPs on 29.04.2014 against proper receipt and in this way, she has paid

 

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Rs.3,42,500/-to OPs and remaining amount of Rs.8,25,000/- with interest was to be paid by her in five instalments.

3                                           It is alleged that as per terms the Ops were to complete development work and to deliver the possession of residential plots to allottees within 36 months. OPs were to provide basic amenities such as roads, streets, water supply, sewerage, electricity etc and only after that vendees were to construct houses within 3 years, but Ops did not fulfil their promise.

4                                       It is further alleged that OPs neither delivered  possession of plot nor provided basic facilities within time. It is submitted that possession of plot in question was not handed over to complainant. The complainant requested Ops many times to complete the development work, but all in vain and even no basic amenities were provided at that place. Even OPs have not obtained NOC from various Government Agencies like Punjab Pollution Control Board, District Town Planner, Forest Department and PWD (B&R) for carving passage to the colony and have also not removed high tension wires of 11000 KW voltage that go through the above said project land.

 

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5                                          Further alleged that complainant requested Ops many times that without provision of all basic facilities, complainant was unable to construct house within stipulated period. It is further submitted that without the sewerage, water and electric supply, construction of house cannot be started and moreover, delay in construction is not due to complainant but due to late delivery of plot by OPs and in not providing the basic amenities like sewerage, water and electric supply at that place.

6                                                 It is alleged that repeated requests made by complainant to Ops to complete construction work, bore no fruit, which amounts to deficiency in service. Moreover, Ops have not supplied all the basic facilities at the site as installation of sewerage treatment plant has not been done there and electricity connections are also not supplied at that place. Without installation of sewerage treatment plant and electricity connections, construction can not be done at said plot. Thus, delay in not raising construction at plot in question is due to delay in providing basic facilities by Ops. Complainant made many requests to OPs to start the construction work, but all in vain and they did not pay any heed to listen to her requests. All this amounts to deficiency in service on the part of Ops and has caused great tension, harassment and mental

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agony for which she has prayed for compensation alongwith main relief. Hence, the  present complaint.

7                                            Even after completion of five years, OPs have not initiated even a single step to make development at that place. Repeated requests made by complainant to OPs to develop the market at that place have bore no fruit.

8                                         Complainant has alleged that he has suffered huge financial loss as well as harassment and mental agony due to this act of OPs, which amounts to deficiency in service and trade mal practice.

9                                             On this backdrop of facts, the complainant has prayed for directions OPs to refund the amount of Rs.3,42,000/-paid by her to OPs and to pay compensation to the tune of Rs.50,000/-  for harassment and mental agony suffered by her besides litigation expenses of Rs.10,000/-.

10                                                 The Counsel for complainant was heard with regard to admission of the complaint and vide order dated 29.07.2019, complaint was admitted and notice was ordered to be issued to the opposite parties.                            

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11                                    On receipt of notice, OPs appeared in the Commission through Counsel and filed reply taking preliminary objections that complaint is not maintainable on the ground that in case of any dispute or differences between the parties, matter shall be referred to the Secretary, Local Government Department of Punjab, Chandigarh whose decision shall be final. It is averred that complainant has never approached answering OPs seeking to obtain possession of plot in question and he has also not deposited the remaining amount. As per OPs, complainant was to submit complete site plan before starting construction at the site, but she neither submitted any site plan nor made any effort to start the construction within stipulated period. Further averred that there is no provision for refund in allotment letter, therefore, complaint is liable to be dismissed. However, on merits ld counsel for OPs have denied all the allegations of complainant being wrong and incorrect and asserted that complainant has intentionally not deposited the remaining amount of sale consideration. It is admitted by OPs that work of construction of road and boundary wall is still under process and matter regarding laying sewerage and water pipe lines is under consideration and correspondence to carry out the work is going on. It is reiterated that there is no deficiency in service on their part and made prayer for dismissal of complaint with costs.

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12                         Parties were given proper opportunities to prove their respective case. Ld counsel for complainant tendered in evidence affidavit of complainant as Ex C-1 and documents Ex C-2 to 8 and closed the same.

13                                   In order to rebut the evidence of the complainant, ld Counsel for OPs tendered in evidence affidavit of Gobind Kumar, Court Clerk in the office of Improvement Trust, Faridkot Ex OP-1 and documents Ex OP-2 to Ex OP-9 and then, closed the evidence.

14                                We have heard the learned counsel for the parties and have very carefully gone through the affidavits and documents placed on the file.

15                                     From the careful perusal of record and documents placed on record by respective parties, it is observed that case of complainant is that on assurance of Ops that they would provide all the basic amenities and develop a good residential area complainant purchased a plot worth Rs.11,00,000/- from OPs and paid Rs.3,42,000/- on account of consideration as earnest money and she was to pay the remaining amount in five equal

 

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instalments, but despite repeated requests OPs did not make any development at the site. Despite  completion of five years, OPs neither delivered  possession of plot nor provided basic facilities within time. Even no basic amenities were provided at that place and moreover, OPs have not obtained NOC from various Government Agencies and without provision of all basic facilities, complainant was unable to construct house within stipulated period. It is further submitted that without the sewerage, water and electric supply, construction of house cannot be started and moreover, delay in construction is not due to complainant but due to non delivery of plot by OPs and in not providing the basic amenities like sewerage, water and electric supply at that place, which amounts to deficiency in service.

16                                     On the contrary, stand of OPs is that complainant never approached them for obtaining possession of plot. She was required to submit complete site plan before starting construction at the site, but she neither submitted any site plan nor made any effort to start the construction within stipulated period. As per OPs, refund sought by complainant is not admission as per their rules and regulations. However, it is admitted by them that

 

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complainant has paid 1/4^th amount of sale consideration at initial stage and has denied the other allegations being wrong and incorrect.

17                                    Complainant has relied upon document Ex C-2 that proves the fact that complainant falls under the category of Sikh Migrants and Terrorists Affected Persons. Ex C-4 is copy of allotment letter dated that proves the pleading of complainant that she has paid Rs. 1,10,000/- to OPs as earnest money and receipt Ex C-6 further proves the fact that complainant has paid 15% of total amount to OPs on 29.04.2014. Thus, in total complainant has made payment of Rs.3,42,500/-to OPs for making purchase of said plot. Keeping in view photographs Ex C-7 and Ex C-8 there remains no doubt to the allegations of complainant that there is no development work at the site. All this, justifies the allegations of complainant that there are no signs of development at that place and there is no water storage tank and there is no water supply provided by Ops at that place. Place in question has become shelter for stray animals like cows and dogs and  looks abandoned and there is no proper arrangement of water and sewerage system at that place. Through affidavit Ex C-1 complainant has reiterated her grievance. Complainant has placed on record sufficient and

 

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cogent evidence to prove her pleadings and all documents furnished by her all authentic and are beyond any doubt.

18                                        From above discussion, it is clearly proved that they have not provided basic amenities at the site in question. Plea taken by Ops that complainant never approached them for taking possession and has not submitted site plan for construction work at plot, has no legs to stand upon in the light of photographs annexed by complainant that clearly shows that there is no sign of any development at said site. Development or provision of basic amenities promised to be given by OPs does not appear in these pictures. Instead of looking developed, area in question seems to be abandoned. OPs have failed to fulfil their part of contract and develop the land in question on the spot as per agreement, so, they cannot claim the balance price. He has put reliance on citation  2015 (3) Consumer Law Today, 48 titled as EMAAR MGF Land Ltd and anr Vs Dilshad Gill, wherein our Hon’ble National Commission, New Delhi has observed that “ Consumer Protection Act, 1986, Section 2 (i) (g)- Housing Construction–Delayin possession by appellant/Builder- Complainant/respondent defaulted in payment- Held- Appellants themselves have violated the material conditions with regard to handing over of the possession, now, it does not lie in

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their mouth to demand further payment from the respondent-The respondent was fully justified in not making the payment, when appellants failed to complete the construction and handover the possession, within the agreed period. Hon’ble National Consumer Disputes Redressal Commission, New Delhi decided that if OPs have failed to hand over the possession in time, then, they can not demand further payment from the complainant.

19                           In the light of above discussion, this Commission is of considered opinion that there is deficiency in service on the part of OPs in not completing development work at the site. Complainant has succeeded in proving her case. Therefore, present complaint is hereby allowed. OPs are ordered to refund the amount of Rs.3,42,000/- paid by complainant to OPs for said plot alongwith interest at the rate of 6 % per anum from the date of filing the complaint till final realization. Ops are further directed to pay Rs.5000/-to complainant as compensation for harassment and mental agony suffered by them besides Rs.3,000/-as litigation expenses. Compliance of this order be made within one month of receipt of the copy of the order, failing which complainant shall be entitled to initiate proceedings as per Consumer Protection

 

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Act. Copy of the order be supplied to parties free of cost as per law. File be consigned to the record room. 

Announced in Commission

Dated : 29.09.2022

 (Vishav Kant Garg)                (Param Pal Kaur)    

  Member                                  Member