Kerala

StateCommission

CC/15/95

P S PRATHEEP - Complainant(s)

Versus

GOOD EARTH PROPERTIES - Opp.Party(s)

AJITH JOY

13 May 2016

ORDER

KERALA STATE CONSUMER DISPUTES REDRESSAL

COMMISSION, VAZHUTHACAUD, THIRUVANANTHAPURAM

 

C.C No.95/2015

JUDGMENT DATED 13/5/2016

  

PRESENT:

SMT. A. RADHA                                      :         MEMBER

SHRI. K. CHANDRADAS NADAR           :        JUDICIAL MEMBER

SMT. SANTHAMMA THOMAS              :        MEMBER

COMPLAINANT:

            Dr. P.S. Pratheep, S/o V. Prabhakaran Pillai,

Chaithram, Karuvatta, Adoor P.O.

Pathanamthitta-691 523.

(By Adv:  Ajit Joy)                    

                        Vs

RESPONDENTS:

1. Good Earth Properties, T.C.7/1211,

N,H 47, Pongumoodu,

Medical College P.O., Thiruvananthapuram-695 011.

Rep: by its Chief Executive Mohanachandran Pillai.

 

2. Mohana Chandran Pillai,

S/o. V. Madhavan Pillai,

Chief Executive, Good Earth Properties,

Residing at Kauthukam, Puthukunnu,

Powdikonam P.O., Thiruvnanthapuram-695 587.

                

 

 

JUDGMENT

SMT. A. RADHA  :  MEMBER

          Alleging deficiency in service and unfair trade practice the complaint is filed under section 17 of Consumer Protection Act for direction to against the opposite parties to complete the construction of the house as per agreement or to refund the entire amount of Rs.15,48,600/- with 18% interest, Rs.20 Lakhs towards compensation and Rs.30,000/- as cost of the proceedings.  Further prayer is for payment of rent @ Rs.13,000/- p.m from 1/4/2012 till date.

          2.  The complainant is an Associate Professor in College and intended to settle down in Thiruvananthapuram. Attracted by advertisements of opposite parties in the newspapers he approached the opposites. The opposite parties 1 and 2 are the Builders, Good Earth Properties, and the project named ‘Bhavana Deepthi’ was launching for medium budget residential building in 4-5 cents of land at Poudikonam, Thiruvananthapuram.  This property comprised in Re-survey No.164/16, 164/16-1-1 of Uliyazhathura Village admeasuring 4.5 cents was identified by the 2^nd opposite party.  The property was purchased from the owners by virtue of 2 sale deeds of Pothencode Sub Registrar Office. The agreement dated 23/6/2016 was entered into with the complainant and the land owner took place under the mediation of 2^nd opposite party as a part of the project.  On 12/5/2011 an agreement was entered into between the complainant and opposite parties for construction of residential building having 1068 sq.ft and the total cost fixed was for Rs.15,48,600/- to be paid in 4 equal instalments of Rs.3,87,150/- each.  The construction has to be completed within 10 months and the date of completion by 11/3/2012.  All the payments effected in time as per agreement by availing a loan of Rs.18 Lakhs from State Bank of Travancore on a fixed repayment of loan amount @ Rs.18,300/- p.m.  It has come to the knowledge of the complainant that the construction had encroached into a neighboring plot and the construction of the building was in a negligent manner.  While so, on 5/9/2012 the complainant received a notice from the Corporation of Thiruvananthapuram intimating him that there is encroachment in the ongoing building construction and to stop further construction work.  The opposite parties shirked their liability on lame excuses.  The complainant had to lodge complaint before the Criminal Court.  The opposite parties have not completed the project as per the agreement and abandoned the project after extracting the entire sale consideration which amounts to unfair trade practice and deficiency in service.  Hence filed this complaint.

          3.  Though notice was served, the 2^nd opposite party remained absent and set exparte.

          4. Based on the pleadings and documents the points for consideration are:-

1.  Whether there is deficiency in service and unfair trade practice on the part of opposite parties?
2.   If so, whether the complainant is entitled for compensation.
3.   Reliefs and costs?

5.  The complainant filed proof affidavit and documents marked as

Exbts: A1 to A9 and heard the counsel in detail.

 

Point No.1:  The complainant entered into an agreement for purchase of 4.5 cents plot in Re-survey No.164/16, 164/16-1-1 in Uliyazhathura Village in Thiruvananthapuram by virtue of 2 sale deeds and the agreement is marked as Exbt: A1.  Thereafter an agreement dated 12/5/2011 was entered into between the complainant and opposite parties for the construction of a house having 1068 sq.ft in the property and Rs.15,48,600/- was fixed to be paid in 4 equal instalments @ Rs.3,87,150/- each and produced Exbts: A2 and A3.  The acknowledgments for the payments are produced as Exbts: A4, A6, A7 and A8.  The second opposite party issued a letter dated 9/9/2013 for extension of period to 31/12/2013 for the completion of the building is produced as Exbt: A9.  In order to facilitate the payments to the opposite party in time the complainant availed  a loan of Rs.18 Lakhs from State Bank of Travancore, Pongumoodu Branch, Thiruvananthapuram is produced as Exbt: A5.  The stop memo dated 5/9/2012 issued from the Corporation of Thiruvananthapuram is produced as Exbt: A10 to show that the construction work is yet to complete by the opposite parties.  Hence it is clear from the documents that the construction of the building is yet to complete and not complied the terms and conditions of the agreement between the parties whereas all the payments were effected in time by the complainant.  Hence we find deficiency in service on the part of opposite parties and is entitled for compensation.  Thus points No.1 and 2 go in favour of the complainant.

          6.  The complainant availed loan for payment of sale consideration and he has to pay interest against the loan amount.  The complainant paid Rs.15,48,600/- and he being a salaried person is struggling for the repayment of loan along with the house rent as he is occupying in a rented house.  We find that the complainant suffered mental agony due to the        non-completion of the house and financial loss.  The complainant also incurred expenses for conducting the case engaging lawyer and other expenses and we fix Rs.25,000/- as cost of proceedings.  We are of the considered view that there is deficiency in service and unfair trade practice on the part of opposite parties and opposite parties are liable to refund the amount received from the complainant with interest.

          In the result, we partly allow the complaint as follows:-

1.  The opposite parties are directed to refund Rs.15,48,600/- (Rupees fifteen lakhs fortyeight thousand and six hundred Only)  to the complainant with interest @ 9% p.a from 3/8/2012 till realization.
2.   An amount of Rs.2 Lakhs (Rupees Two Lakhs Only) as compensation for mental agony.
3.   An amount of Rs.25,000/- (Rupees twentyfive thousand Only) towards cost of proceedings.

 The order shall be complied within a period of 30 days from the date of receipt of the copy of the order.  Failure to comply this order will entitle the complainant to recover interest @ 12% to the entire amount from the date of this order till realization.

 

 A. RADHA         :          MEMBER

 

K. CHANDRADAS NADAR  :  JUDICIAL MEMBER

 

SANTHAMMA THOMAS     :      MEMBER

APPENDIX

1. Exbt: A1 – Copy of the Agreement dated 23/6/2010.
2. Exbt: A2 – Copy of the Agreement dated 12/5/2011.
3. Exbt:A3 – Location sketch.
4. Exbt:A4 – Copy of the acknowledgment 12/5/2011.
5. Exbt:A5 – Copy of the loan sanction letter 6/8/2011.
6. Exbt:A6 – Copy of the acknowledgment dated 24/10/2011.
7. Exbt:A7 – Copy of the acknowledgement dated 5/3/2012.
8. Exbt:A8 – Copy of the acknowledgement dated 3/8/2012.
9. Exbt: A9 – Copy of the document dated 9/9/2013.

10.Exbt:10 – Copy of the notice dated 5/9/2015.

 

A. RADHA          :          MEMBER

 

 

K. CHANDRADAS NADAR  :  JUDICIAL MEMBER

 

SANTHAMMA THOMAS  :  MEMBER

 

Sa.

 

 

 

 

 

 

 

KERALA STATE CONSUMER                                                                                       DISPUTES REDRESSAL

COMMISSION,    

VAZHUTHACAUD,

THIRUVANANTHAPURAM.

 

 

 

 

C.C No.95/2015

JUDGMENT DATED 13/5/2016

 

 

 

 

 

Sa.