Chandigarh

StateCommission

FA/651/2009

Sh. Ashwani Anand - Complainant(s)

Versus

Gee City Builders Privaate Limited, - Opp.Party(s)

Ramesh Kumar Bamal

16 Sep 2010

ORDER


The State Consumer Disputes Redressal CommissionUnion Territory,Chandigarh ,Plot No 5-B, Sector No 19B,Madhya Marg, Chandigarh-160 019
FIRST APPEAL NO. 651 of 2009
1. Sh. Ashwani AnandS/o Sh. B.D. Anand, resident of House No.85, Sector 7, Panchkula(Haryana) ...........Appellant(s)

Vs.
1. Gee City Builders Privaate Limited,Regd.Office at SCO No.358-359, sector 34, Chandigarh Through its Director. ...........Respondent(s)


For the Appellant :
For the Respondent :

Dated : 16 Sep 2010
ORDER

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JUDGMENT
                                                             16.9.2010
 
Justice Pritam Pal, President
 
 
 1.       The aforementioned three appeals arise out of one and the same order dated 20.10.2009   passed by the District Consumer Forum-I, U.T.Chandigarh   whereby three complaints bearing   No.515 of 2009, 516 of 2009 and 517 of 2009  filed by   Ashwani Anand  (hereinafter to be referred as complainant) were allowed against Gee City Builder Pvt. Ltd.  (hereinafter to be referred as OP) and  OP was directed to complete the construction in all respects and deliver possession of the premises to the complainant in all the three complaints within 6 months from the passing of order i.e. 20.10.2009. If the construction was not completed or the possession was not delivered, the OP was made liable to refund the amount of all the three flats of Rs.9,07,250/- + 9,07,250/- + 9,07,250/- total Rs.27,21,750/- to the complainant along with interest at the rate of 9% per annum since 5.11.2008 till payment.    The OP was also directed to pay a sum of Rs.5,000/- as litigation costs within 30 days from the date of receipt of copy of the order.
2.         In fact  Complainant Ashwani Anand   was allotted    three flats in November,2006 but possession was not offered to him by OP within the stipulated period,so he filed three separate complaints   before the District Forum which were decided by common order dated 20.10.2009 passed in complaint case No.515 of 2009. Against that order, now three appeals have emerged.  Since, in all  these appeals common questions of law and facts are involved, so, we are deciding   these    appeals by this common judgment.
 3.       The facts are culled out from Complaint case No.515 of 2009 titled Ashwani Anand Vs Gee city Builders Pvt. Ltd.   which are epitomized as under ;
               The Complainant in response to a scheme floated by OP in the year 2006 for allotment of flats in Rishi Apartments, Baddi, Distt. Solan (H.P.), booked a flat on depositing an amount of Rs.1.00 lac   whereupon he was allotted Flat No.C-6-301  and   an Agreement to Sell in respect of  the said flat was also executed between the parties. On the assurance of OP  that the possession  of flat would be delivered immediately on payment of 95% of the price, he had deposited Rs.9,07,250/- being 95% payment of the  flat in question. Thereafter, he requested OP to deliver the possession, but when no satisfactory reply was received, he served a legal notice dated 25.8.2008 upon the OP. Still it failed to give any satisfactory reply about the  time which  required to complete the flat.  It was alleged that as per information obtained by him under the RTI Act, 2005, from the H.P. Housing & Urban Dev. Authority, the license to start construction was granted on 26.8.2006 and Agreement to Sell was executed on 4.11.2006 which was a later event, so, according to Condition No. 11 of the Agreement to Sell OP was liable to deliver the physical possession on 4.11.2008, but it failed to deliver the same, which amounted to deficiency in service & unfair trade practice. On similar facts complaint Nos.516 of 2009 and 517 of 2009 were filed in respect of flats bearing No.C-4-301 and C-6-301respectively. 
 
4.          On the other hand, OP contested the complaint before the District Forum and filed reply inter-alia stating therein that  the complainant had failed to adhere to the payment schedule as per the allotment letter as well as the Agreement to Sell.   It was pleaded that OP never assured the complainant that on making the down payment of 95% of the price of the flat, possession would be given immediately. The complainant himself changed his option from installment to down payment and claimed discount which was already given as per Clause 8(b) of Agreement to Sell.  As per Clause 11 of the Agreement to Sell between the parties,   the possession of the flat/apartment  was to be delivered to the complainant within 24 months from the date of commencement of said units if the completion certificate by the competent authority, release of sewerage connection, water connection and electric connection by the concerned authorities were issued without any delay. However,   the completion certificate as well as the electric connection had not been supplied to the OP by the concerned authorities and hence the possession could not be delivered to the complainant. A letter dated 16.4.2009   was also issued to the complainant that the construction of the flats was complete but electric connection from the Board was  awaited and the possession would be delivered to him as soon as the electric connection was released. It was further stated that the consent of the Pollution Board was also awaited for the sewerage treatment plant, which had already been established. The  complaint was stated to be  premature as the completion/occupation certificate and electric connection had not been supplied by the competent authorities and even if the date of environment clearance i.e. 4.1.2008 was taken as the date of commencement of work, the two years were yet to   complete. It was pleaded  that when the complainant failed to make the payment as per the schedule inspite of issuing reminders,   he ultimately sought permission to mortgage the flat in order to raise loan for payment to OP, which was ultimately granted to him and a discount of Rs.45,000/- per flat was also given to him.  As per the revised payment schedule, the complainant was required to pay Rs.5.50 lacs as registration amount and Rs.3,57,250/- as balance amount upto 95% within 15 days of revised schedule. The remaining payment of 5% to the tune of Rs.47,750/- was to be paid at the time of possession.  Since the payment was made under the revised schedule on 10.7.2007, 14.7.2007 and lastly on 13.8.2007, so the date of the Agreement to Sell was to be considered w.e.f. 13.8.2007 as per the payment under the revised schedule and the period of 24 months came to an end on 12.8.2009. Similar pleas were taken in other two complaints and it was pleaded that there was no deficiency in service on their part and  a prayer was made for dismissal of the complaints.
5.       The District Consumer Forum after going through the evidence and hearing the learned counsel for parties  allowed the  three complaints vide common order dated 20.10.2009  as indicated in the opening part of this judgment. Still dissatisfied, complainant has come up in these appeals. 
 6.       We have heard learned counsel for the parties   and gone through the file carefully. The fore and foremost point of arguments raised on behalf of the complainant in all these three appeals is that the District Forum instead of passing the impugned order regarding delivery of the possession within six months should have only allowed the complaints for the refund of the entire cost price of flats deposited with OP together with interest as prayed for in the complaints. The second limb of his arguments was that the OP had played a fraud and cheated the complainant by mentioning in the first clause of the Agreement to Sell dated 4.11.2006  that all the requisite permissions required for raising the construction of flats were already with OP but this fact was proved to be wrong as the final permission for raising the construction was obtained only on 4.1.2008. At the last leg of his arguments, it was submitted that in fact the agreement dated 4.11.2006 is a void contract and not enforceable under any law inasmuch as no clause regarding the refund of amount on account of any breach of condition on the part of OP has been incorporated therein. On the other hand, learned counsel for OP has repelled the aforesaid arguments raised on behalf of the complainant and at the same time he submitted that as per directions in the impugned order passed by the District Forum, construction of the flats was completed within six months from the date of passing the impugning order and thereafter the possession was duly offered to the complainant and then he prayed for dismissal of the appeals. 
7.     We have given our thoughtful consideration to the above submissions putforth on behalf of the parties and find that admittedly the possession of flats was offered to the complainant within six months of the passing of the impugned order dated 20.10.2009 of the District Forum but the complainant is adamant only for the refund of the cost price of three flats together with interest as stated above. A perusal of the agreement dated 4.11.2006 entered between the parties goes a longway to show that there was no such clause regarding the refund of the deposited amount. The agreement was duly signed by the parties in the year 2006. The terms and conditions incorporated in the agreement   had been no where  challenged by the complainant However, now the contention of learned counsel for complainant is that   non-inclusion of the term and condition regarding the refund of the amount makes the agreement void and unenforceable. For that, a great deal of evidence is required to be led by the parties for coming to the conclusion that the agreement entered into between the parties is void and this fact, we feel, can be gone into by the civil court.
8.        Further, here in the instant case the  complainant is stated to have been cheated   as in the opening para of the agreement it was stated that the requisite permissions had already been obtained regarding raising of the construction. However, the material placed on the file indicates that the permission for raising the construction was finally obtained on 4.1.2008. This question of cheating and playing fraud by OP raised before us during the course of arguments should be left to be decided by the civil court as held in many pronouncements made by the Hon’ble National Commission.
9.          Now coming to the judgment rendered by this Commission in Shamsher Singh Sidhu Vs Parsvnath Developers Limited etc. in Complaint case No.4 of 2009 decided on 19.8.2010, relied upon by the complainant. We have gone through this judgment also and find that there was a specific clause in the Agreement vide which an allottee/buyer was entitled to get refund of the amount in case any breach of condition was shown on the part of OP/developer/builder. Here in the instant case, as discussed above, the position is quite contrary to the facts of the above cited case. In this view of the matter, no benefit can be derived by the learned counsel for complainant from the observations made by us in the above said ruling.
 10.    In view of the foregoing discussion, we find no illegality or impropriety in the impugned order passed by the District Consumer Forum. However, we before parting with this order observe that complainant would be at liberty to knock at the door of appropriate civil court for seeking redressal of his grievance regarding the refund of the amounts together with interest deposited by him with OP, in accordance with law. 
11.       In the result, all the aforesaid three appeals are disposed in the aforesaid terms, leaving the parties to bear their own costs.
            Certified Copies of this order be sent to the parties, free of charge. The file be consigned to record room.

HON'BLE MRS. NEENA SANDHU, MEMBERHON'BLE MR. JUSTICE PRITAM PAL, PRESIDENTHON'BLE MR. JAGROOP SINGH MAHAL, MEMBER