BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, SIRSA.            

                                                          Consumer Complaint no. 285 of 2017                                                                         

                                                        Date of Institution         :    3.11.2017

                                                          Date of Decision   :    27.3.2018.

Ravinder Kumar Chaudhary, Advocate son of Shri Inder Nath, resident of H. No.59, Dwarka Puri, Sirsa.

                      ……Complainant.

                             Versus.

1. Chief Administrator, Housing Board, Haryana, Plot No.C-15, AWAS BHAWAN, Sector-6, Panchkula.

2. Chief Revenue Officer, Housing Board Haryana, Plot No.C-15, AWAS BHAWAN, Sector-6, Panchkula.

3. Estate Manager, Housing Board Haryana, Hisar, H. No.1305-1306-A, HBC, Sector-15, Hisar.

                                                                     ...…Opposite parties.

            Complaint under Section 12 of the Consumer Protection Act,1986.

Before:        SH. R.L.AHUJA…………………………PRESIDENT

          SH. MOHINDER PAUL RATHEE …… MEMBER.   

Present:       Sh. R.S. Saxena,  Advocate for the complainant.

                   Sh. Sachin Nanda, Advocate for opposite parties.

ORDER

                   The case of the complainant in brief is that Housing Board, Haryana advertized to provide to public the built up modern flats of different size in different categories at Hisar, Bahadurgarh, Sirsa, Karnal and Jind on “Hire Purchase Basis” and the period of registration was fixed from 2^nd March, 2010 to 30^th March, 2010. That the complainant got registered himself for purchase a Type-B (Stilts/ground + three storey) flat in Sector-19, Sirsa, the tentative covered area of which was 460 Sq. feet and the total tentative price of which was 7.50 lacs with the condition that the amount payable with the application was Rs.75,000/- only i.e. 10% of the total tentative cost and the amount payable was Rs.1.15 lakh i.e. approximately 25% of the total tentative price of plot after draw of plots. As per Note-6 of brochure issued by H.B. Haryana, the flats were available for allotment/ possession, tentatively by 31.12.2011/ 31.12.2012 and as per clause ‘g’ of ‘General Conditions’ in brochure, if any applicant does not fulfill any eligibility condition, the registration as well as allotment of the flat shall be cancelled and 10% of the registration deposit shall be forfeited. It is further averred that complainant deposited the required sum of Rs.75,000/-  being earnest money with the application and the complainant was allotted one flat in draw. It is further averred that above said draw was set aside by the Hon’ble Punjab and Haryana High Court vide its order dated 1.5.2012. The Hon’ble High Court also ordered to refund of 15% of the amount deposited with the Board alongwith interest @10% per annum monthly compoundable. The Board refunded the amount of Rs.1,60,021/- to the complainant vide cheque no.602343 dated 31.12.2014 annexed with its memo no.HBH/CRO/2014/PM-SPL 832 dated 31.12.2014 i.e. after two years and eight months of the order of the Hon’ble Punjab and Haryana High Court. It is further averred that Board again determined the list of successful candidates in draw with the consent of complainant which was held on 20.8.2015 for the allotment of Type-B plots at Sirsa and the complainant was again allotted one flat at Sirsa and was informed on 26.10.2015 and advised for deposit of Rs.1,15,000/- being 15% of tentative price within 30 days. The complainant was also informed by Housing Board to pay the amount of ELC (enhanced land compensation) on the basis of demand raised by HUDA which comes to Rs.2,38,987/-. In compliance, the complainant deposited Rs.1,15,000/- and asked the department regarding ELC amount for which he was informed that if he did not deposit it within 30 days, it shall be recovered alongwith the monthly installments of the flat, so he did not deposit the ELC amount. It is further averred that the flats were completed and were ready to be allotted and for giving possession by 31.12.2012, if the Hon’ble Punjab and Haryana High Court had not set aside the previous draw held by Housing Board, Haryana and till then there was no any ELC. Therefore, when the ELC was made, the complainant was supposed to be informed about the enhanced cost of the flat and the consent of complainant was also required regarding enhanced amount of ELC of the plot before second draw of flats. Thus, the Board concealed the facts and cheated complainant and other alloties too. It is further averred that when the final allotment letter no.458 was issued to the complainant of flat, Type-B No.346-C, vide No.5137 dated 8.10.2016 and he was also directed to execute the Hire Purchase Tenancy agreement. As just after one year of the issue of allotment letter dated 26.10.2015 vide which the complainant was asked to deposit Rs.1,15,000/-, the 15% of the total cost of flat plus ELC amount i.e. Rs.2,38,987/-, the cost of the flat was also increased in arbitrary and unjustified manner to the tune of Rs.13,83,100/- from the total cost of Rs.7,50,000/-, in this final allotment letter without mentioning any reason and detail of it. As the flats were already completed in 2012, so there was no justification of increase at this stage. Thus, in this way, the Housing Board again concealed the material facts and cheated the complainant and other customers as well. That on receipt of this final allotment letter dated 8.10.2016, the complainant was shocked to see the inflated amount of the flat and decided to surrender the flat and on the same day he informed the Housing Board Department regarding his decision by e-mail and a letter in this regard was also sent to department. In this letter he also requested to refund Rs.1,90,000/- deposited by him. It is further averred that as the rates of the plot was enhanced arbitrarily and disproportionately and without consent of complainant, therefore, the complainant did not execute the Hire Purchase Tenancy agreement and also the possession of the plot was not taken by him. The office of the Estate Manager, Housing Board, Haryana Hisar vide his office memo dated 15.11.2016 called upon the complainant to appear personally or through duly authorized agent on 30.11.2016 to show cause and tender evidence if any as to why the tenement allotted to him should not be cancelled and if he fails to appear on the specific day, the matter shall be decided in his absence and his name shall be removed from the allotment register and 50% of the earnest money deposited by him with the Housing board, Haryana shall be forfeited. It is further averred that in compliance, the complainant appeared through his counsel and informed the Department about reason that why he was not willing to retain the flat and requested to refund the amount deposited by him with the department alongwith interest @18% per annum and also to compensate him by paying Rs.50,000/- as compensation but till today even after about a year, the department neither replied to complainant’s representation nor refunded his deposits. Hence, this complaint.

2.                On notice, opposite parties appeared and filed written statement taking certain preliminary objections that complainant has no locus standi to file the present complaint as the complainant has failed to execute the Hire Purchase Tenancy agreement and to take possession of the allotted Type-B flat no.346-C in HBC, Sector-19, Sirsa within a period of 30 days of issuance of allotment letter no.5137 dated 8.10.2016 as per terms and conditions of allotment. A show cause notice dated 15.11.2016 was also issued to the complainant. As per Regulation 13 of Housing Board Haryana (Allotment Management and Sale of Tenements) Regulations, 1972, the allotment of flat no.346-C made vide letter no.5137 dated 8.10.2016 is liable to be cancelled and 50% of the earnest money is liable to be forfeited. Other preliminary objections regarding cause of action, maintainability, jurisdiction and concealment of true and material acts have also been taken. On merits, it is submitted that the availability of flats for allotment/ possession by 31.12.2012 was only tentative. It is further submitted that against the order of Hon’ble High Court, further appeal was filed in the Hon’ble Supreme Court which was decided in the year 2014. The complainant was declared successful in draw of lots held on 20.8.2015 and the ops vide their letter no.8836 dated 26.10.2015 requested the complainant to deposit a sum of Rs.1,15,000/- being 15% of the tentative price of the flat within 30 days of the issuance of the letter. The complainant was also informed vide the aforesaid letter that HUDA has raised demand of enhanced land compensation (ELC) from Housing Board Haryana in respect of the land allotted in the above colony. Complaiannt was requested to make payment of the ELC amount of Rs.2,38,987/- alongwith aforesaid amount of Rs.1,15,000/- on 23.11.2015 but did not deposit the amountof ELC. The flats actually became available for possession in 2015. It is further submitted that ELC can be claimed at any time as per the rules of HBH. There is no such rule that ELC cannot be claimed after allotment of flats. As per the conditions of allotment, the amount of monthly installment, rate of interest to be charged and the total cost of the house/flat can be increased at any time without assigning any reason. As per general conditions mentioned in Brochure, it was made clear to the applicants that HBH reserves the right to make modifications in the designs, scope of work, specifications and price without assigning any reason and it shall be binding on the applicants. The complainant was informed by the ops about the enhanced land compensation vide letter no.8836 dated 26.10.2015. After receiving this letter, the complainant has deposited Rs.1,15,000/- being 15% of the tentative price but he of his own opted not to deposit the amount of Rs.2,38,987/- of ELC, so as per letter itself the complainant is liable to pay the ELC amount alongwith interest. So there is no question of giving consent by complainant regarding amount of ELC. It is further submitted that it is wrong that the costs of the flat was increased in arbitrary and unjustified manner rather the cost was assessed as actual cost which is Rs.13,83,100/-. The flats were constructed on the land taken from HUDA and therefore the demand of ELC was raised by HUDA and same was transferred/ conveyed to allotttees. It is further averred that a letter dated 7.11.2016 was received by the ops on 10.11.2017 (actually 10.11.2016). This letter dated 7.11.2016 was properly replied by the ops through their memo no.6609 dated 18.11.2016. Through this memo, the complainant was intimated to send the original papers for surrender of flat i.e. original allotment letter, deposit slips, no dues certificate etc. with surrender application. It is further submitted that complainant failed to execute the agreement and take possession of the house within 30 days of the issuance of allotment letter i.e. latest by 7.11.2016, so his name is liable to be removed from the allotment register and 50% of the earnest money deposited by him is liable to be forfeited. It is further submitted that issuance of memo no.6399 dated 15.11.2016 is a matter of record. Through the aforesaid memo, the complainant was requested to appear personally or through duly authorized agent on 30.11.2016 but the complainant did not comply it rather a false and baseless legal notice was received by ops on 30.11.2016. Remaining contents of complaint are also denied.

3.                The parties then led their respective evidence. The complainant produced his affidavit Ex.CW1/A and copies of documents Ex.C1 to Ex.C9. On the other hand, ops produced affidavit of Sh. Rajbir Singh, Estate Manager Ex.R1  and copies of documents Ex.R2 to Ex.R9.

4.                We have heard learned counsel for the parties and have perused the case file carefully. Learned counsel for ops has also cited judgment of the Hon’ble National Commission in case titled as Sudha Nagla Vs. Rajasthan Housing Board, IV (2016) CPJ 63 (NC).

5.                 It is an admitted fact that the complainant was allotted one flat type-B No.346-C vide allotment letter No.5137 dated 8.10.2016 for total cost of Rs.13,83,100/-. It is also an admitted fact that complainant deposited Rs.1,15,000/- as per the allotment letter dated 8.10.2016. It is also an admitted fact that total amount of deposit with Housing Board, Haryana amounted to Rs.75,000/- being the registration fee and Rs.1,15,000/- being 15% of the cost of flat. It is also an admitted fact that Housing Board, Haryana demanded enhanced cost of flat amounting to Rs.13,83,100/- vide the said allotment letter dated 8.10.2016. It is also proved on record that complainant did not deposit ELC amounting to Rs.2,38,987/-. The complainant decided to cancel his allotment due to enhancement of rates/ costs of the flat and taken up the matter for refund of his deposited amount amounting to Rs.1,90,000/- vide his email dated 8.11.2016 and letter dated 7.11.2016 questioning the enhanced cost of the flat. The ops have taken the stand that ELC can be claimed at any time as per rules of the Housing Board, Haryana and there is no such bar that ELC cannot be claimed after allotment of flats. The ops have claimed that they are right in claiming enhanced costs of the flat and complainant’s letter dated 7.11.2016 was replied properly vide memo no.6609 dated 18.11.2016 and was intimated to send the original papers for surrender of flat i.e. original allotment letter, deposit slips, no dues certificate etc. with surrender application. The ops have averred that complainant failed to execute the agreement and take possession of the house within 30 days of the issuance of allotment letter i.e. latest by 7.11.2016, so his name is liable to be removed from the allotment register and 50% of the earnest money deposited by him is liable to be forfeited. The complainant instead of sending original papers for surrender of flat had sent a legal notice dated 30.11.2016 and thus failed to execute the agreement and take possession of said flat. We are of the considered view that Housing Board, Haryana is right in deduction of 50% of the earnest money deposited by the complainant in terms of allotment letter condition at Sr. No.2 which reads as follows “If the allottee fails to execute the agreement and to take possession of the house within 30 days of the issue of this letter, his/her name shall be removed from the allotment register and 50% of the earnest money deposited by him/her shall be forfeited”. Further, we have observed that ops have not refunded 50% amount of registration money i.e. Rs.37,500/- and Rs.1,15,000/- being 15% of the price of the flat till date which amounts to deficiency in service on the part of opposite parties. It is pertinent to mention here that prior to it, the complainant was allotted one flat in draw which was set aside by Ho’nble Punjab & Haryana High Court vide its order dated 1.5.2012 and had ordered to refund of 15% amount deposited to the applicants alongwith interest @ 10% per annum(monthly compoundable). In compliance to order of Ho’nble Punjab & Haryana High Court, the Housing Board Haryana had refunded on 31.12.2014 Rs.1,15000/- deposited by the complainant alongwith 10% per annum rate of interest (monthly compounded) amounted to total of Rs. 1,60,021/- being the 15% amount of final no.837 registration no.5859 in pursuance of the orders of the Hon’ble High Court dated 1.5.2012 passed in CWP No.17910/2010 titled Savita Chaudhary Vs. State of Haryana & others, CWP No.14864/2012 titled Asha Goel Vs. Housing Board Haryana & CWP No.24409/2012 titled Geeta Rani & others vs. Housing Board Haryana. Hence, we are of the opinion that the complainant is entitled to interest on his refundable amount amounting to Rs.1,52,500/- at the rate of 10% per annum (monthly compounded). Since complainant decided to cancel his allotment vide letter dated 7.11.2016, so it will be appropriate date to consider as cut date for payment of interest on the total amount of Rs.1,52,500/-. It is proved beyond any doubt that ops failed to refund the refundable amount in time till date, hence they are liable for deficiency in service on their part.

6.                In view of the above, we allow the present complaint and direct the Housing Board authorities, Haryana to refund a sum of Rs.1,52,500/- alongwith interest @10% per annum (monthly compounding) with effect from 7.11.2016 till actual payment to the complainant within a period of 45 days from the date of receipt of copy of this order. We further direct the opposite parties to pay a sum of Rs.15,000/- as composite compensation and litigation expenses to the complainant. These orders are to be complied with by all the opposite parties jointly and severally. A copy of this order be supplied to the parties as per rules. File be consigned to the record room.   

Announced in open Forum.                                           President,

Dated: 27.3.2018.                              Member                District Consumer Disputes

                                                                                      Redressal Forum, Sirsa.