BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, MYSORE-570023

CONSUMER COMPLAINT NO.220-2018

DATED ON THIS THE 8^th March 2019

      Present:  1) Sri. H.M.Shivakumara Swamy

B.A., LLB., - PRESIDENT   

                     2) Sri. Devakumar.M.C.           

                                        B.E., LLB., PGDCLP   - MEMBER

Sri DEVAKUMAR.M.C,

MEMBER

1.     The complainant filed the complaint under section 12 of the C.P.Act 1986, against the opposite party society, alleging deficiency in service and unfair trade practice and seeking direction to allot a site measuring 50 x 80 ft. in their “Atmananda Sagara Layout” and to execute registered sale deed in his favour and to pay Rs.4,00,000/- compensation for the mental agony, hardship and Rs.25,000/- towards cost of the proceedings with such other reliefs.
2.     The complainant, become a member of opposite party society by paying the prescribed fees and opposite party submitted application to purchase site measuring 50 x 80 ft, in opposite party’s layout by name “Athmananda Sagara Layout”, paid Rs.8,84,000/- towards sale consideration. The complainant also paid another sum of Rs.2,00,000/- towards the site.  The opposite party failed to develop the layout and execute the registered sale deed evenafter the lapse of considerable time.  The opposite party keep on promising the complainant with false assurances without allotting the site.  A legal notice was caused on 04.06.2018, demanding allotment of site and execution of sale deed was not complied.  Hence, the aggrieved alleging deficiency in service and unfair trade practice by opposite party filed the complaint seeking reliefs.
3.     The opposite party filed version and admitted the membership of complainant and the payment made towards allotment of residential site measuring 50 x 80 ft. in their “Athmananda Sagara Layout, in the year 2007.  The delay in development of layout was attributed to delay in approval of the land conversion and layout plans.  After the development of layout, the sites were allotted to the members on the basis of seniority.  However, admitted the sites were not allotted within the stipulated period.  Further, the complainant is still to pay the balance consideration, only on payment of the same, the site will be allotted.  Hence, there is no deficiency in service and unfair trade practice, as such, prays for dismissal of the complaint.
4.     The complainant and opposite party filed affidavit evidence with certain documents.  Written arguments filed and the counsel for complainant addressed arguments.  Perused the material on record and posted for orders.
5.    The points arose for our consideration are:-

1. Whether the complainant establishes the deficiency in service and unfair trade practice by opposite party society, for not allotting site and to execute registered sale deed in his favour and thereby he is entitled for the reliefs sought?
2.  What order?

6.    Our findings on the aforesaid points are as follows:

Point No.1 :- Partly in the affirmative.

Point No.2 :- As per final order, for the following

:: R E A S O N S ::

7.    Point No.1:- The complainant intending to purchase a site measuring 50 x 80 ft. in opposite party’s Athmananda Sagar Layout”, submitted an application with his membership No.A-26154.  A total sum of Rs.8,84,000/- has been paid apart from payment of additional sum of Rs.2,00,000/- towards sital value.  The opposite party promised to develop layout and allot site in 18 months from the date of payment.  However, failed to keep up the promise even after payment of entire sale consideration.  False assurance made by opposite party society relating to allotment and execution of registered sale deed in favour of the complainant.  Thereby, the aggrieved filed the complaint and sought for the reliefs.
8.    The opposite party society admitted the complainant as their associate member with associate membership No.A 26154 and the application for allotment of residential site measuring 50 x 80 ft, in their “Athamananda Sagara Layout” at Mysore and also the payment of Rs.8,84,000/- towards the sale consideration, in the year 2007.  The opposite party admitted the delay in development of layout owing to the delay in conversion by the authorities.
9.    Further, opposite party contended that, after development of the layout, they have allotted the sites to their members, based on the seniority.  However, they allotted 300 sites and the seniority members of complainant was 313, therefore they would be allotting site in favour of the complainant shortly.  The delay in allotment of site was not intentional, but because of government polices, the allotment was not done within stipulated period.  However, because of hike in sital value, the complainant would get the benefit of rise in value of the site.  Further, the complainant is required to pay the balance sale consideration, to become entitled for allotment of site.  As such, denied the allegation and prayed for dismissal of the complaint.
10. The material on record established that, the complainant had deposited a total sum of Rs.8,84,000/- with opposite party society, seeking allotment of residential site measuring 50 x 80 ft. situated in opposite party’s Athmananda Sagara Layout” at Mysore.  However, no material is placed to establish that, the complainant paid an additional amount of Rs.2,00,000/- to opposite party towards sale consideration.  Considering the submissions of opposite party, it is true that the opposite party have not developed the layout and failed to allot sites and execute registered sale deed, even after the lapse of considerable period.  The opposite party‘s contention for the delay in development of layout and sites not justified. In view of the same, we opine the complainant is entitled for allotment of site measuring 50 x 80 ft. at opposite party’s “Athmananda Sagara Layout” and also entitled to get compensation for the deficiency in service.   Accordingly, the point No.1 is answered partly in the affirmative.      
11. Point No.2:- with the above observations, the complaint is to be allowed in part with a direction to opposite party to allot a site measuring 50 x 80 ft. in their Athmananda Sagara Layout” at Mysore and shall pay compensation.  Hence, we proceed to pass the following:-

:: O R D E R ::

1. The complaint is hereby allowed in part.
2. The opposite party is hereby directed to allot a residential site measuring 50 x 80 ft. in their “Athmananda Sagara Layout” at Mysore and execute registered sale deed in 60 days of this order.  Failing to comply, the opposite party society is liable to pay penalty of Rs.250/- per day until compliance.
3. The opposite party shall pay compensation of Rs.2,00,000/- for the deficiency in service and Rs.25,000/- for causing mental agony, hardship etc., and Rs.5,000/- towards litigation expenses to the complainant in 60 days of this order.  In default, the opposite party shall pay interest at 12% p.a. on the said sum of Rs.2,55,000/- until payment made.   
4. In case of default to comply this order, the opposite party to undergo imprisonment and also liable for fine under section 27 of the C.P.Act, 1986.
5. Give the copies of this order to the parties, as per Rules.

(Dictated to the Stenographer transcribed, typed by her, transcript corrected by us and then pronounced in open court on this the 8^th March 2019)