Date of Filing: 22.09.2010
Date of Order: 26.03.2011
BEFORE THE II ADDITIONAL DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, SESHADRIPURAM BANGALORE-20
Dated: 26TH DAY OF MARCH 2011
PRESENT
Sri S.S. NAGARALE, B.A, LL.B. (SPL.), President.
Smt. D. LEELAVATHI, M.A.LL.B, Member.
Sri BALAKRISHNA. V. MASALI, B.A, LL.B. (SPL.), Member.
COMPLAINT NO: 2180 OF 2010
1. Shiva Raman Pandey
S/o. B.R. Pandey
2. Mandavi Pandey
W/o. Shiva Raman Pandey
Both residing at Flat # D-201
The Canopy Apartment
Agara Main Road, Babusapalya
Kalyan Nagar, Bengaluru 560 043 Complainant
V/S
M/s. Blue Valley Properties Pvt. Ltd.
Blue Valley Celestial
No. 41, Nandidurga Main Road
Jayamahal Extn., Bangalore 560 046
Rep. by its Managing Director
K. Suryanarayana Raju
S/o. Late K. Narasimha Opposite Party
ORDER
By the President Sri S.S. Nagarale
This is a complaint filed under Section 12 of the Consumer Protection Act.
The facts of the case are that the complainants have paid Rs. 7,12,500/- to the opposite party for allotment of site. This amount was paid on different dates through cheques. Complainants were entitled to withdraw the investment made by them as per their wish. In that situation opposite party has to refund the advance sale consideration with interest at 18% p.a. at the time of withdrawal. The complainants were entitled to get the money back within two weeks from the date of their submission of application for withdrawal. As per the agreement Clause X (4) complainants made written request of withdrawal to opposite party on 12.02.2010. The opposite party refunded Rs. 7,12,500/- to the complainants by way of cheques dated 07.04.2010 and 19.05.2010. The opposite party has committed breach of agreement which amounts to deficiency of service. The opposite party is liable to pay interest at 18% p.a. Hence, the complaint.
2. The opposite party has filed defence version admitting the receipt of the amount of Rs. 7,12,500/- from the complainants. The opposite party has taken defence that it has refunded Rs. 1,00,000/- through cheque dated 07.04.2010 and remaining amount of Rs.6,12,500/- was also refunded to complainant by way of two cheques, one for Rs. 3,00,000/- and another for Rs. 3,12,500/-. In this way the opposite party refunded the entire principal amount of Rs. 7,12,500/- to the complainant. Since, opposite party has paid the entire principal amount as per the talk between them, therefore, opposite party prayed to dismiss the complaint. The opposite parties are not liable to pay interest or compensation. There is no deficiency of service from their end.
3. Affidavit evidences are filed. Parties have produced documents.
4. Arguments are heard.
5. The points for consideration are:
1. Whether the complainants are entitled for interest on the amount paid by them?
2. Whether the complainants have proved deficiency of service?
6. It is admitted case of the parties that complainants have paid in all Rs. 7,12,500/- to the opposite party. There is absolutely no dispute in respect of payments made by the complainants. The complainants have produced purchase agreement executed by opposite party dated 26.05.2007. As per clause X (4) the purchasers can withdraw the investment made by them as per their wish and they will be paid an interest of 18% p.a. at the time of withdrawal. Purchaser shall get their money within two weeks when they submit their application for withdrawal. So as per this agreement the complainants herein are entitled for interest at 18% p.a. on the investment / amount. The complainants have exercised option of withdrawal of the investment as per clause X (4) and they have given written intimation to the opposite party on 12.02.2010. Therefore, the complainants are entitled for the refund of Rs. 7,12,500/- principal amount along with 18% interest on that amount from 12.02.2010 till the date of payment made by the opposite party. Admittedly, the opposite party had given back Rs. 7,12,500/- to the complainants through cheques. Therefore, there is absolutely no dispute between the parties regarding refund made by the opposite party. However, the opposite party has not given interest at 18% p.a. as per the agreement clause X (4). Since, there is written agreement between parties, the agreement terms and conditions are binding on the parties. The opposite party cannot deny payment of interest. Non-payment of interest as per the agreement amounts to deficiency of service on the part of opposite party. The complainants are definitely entitled for interest as per agreement clause X (4) entered into between the parties. Therefore, the opposite party shall have to be directed to pay the interest at 18% p.a. from 12.02.2010 till the date of payment. In the result I proceed to pass the following:
ORDER
7. The complaint is allowed. The opposite party is directed to pay interest on Rs. 7,12,500/- at 18% p.a. from 12.02.2010 (date of withdrawal) till the date of payment / realisation. The opposite party is directed to comply the order within 30 days from the date of this order.
8. The complainant is entitled for Rs. 3,000/- as costs of the present proceedings from the opposite party.
9. The opposite party is directed to calculate the interest as ordered above and send the amount directly to the complainants by way of D.D. / cheque with intimation to this forum.
10. Send the copy of this Order to both the parties free of costs immediately.
11. Pronounced in the Open Forum on this 26TH DAY OF MARCH 2011.
Order accordingly,
PRESIDENT
We concur the above findings.
MEMBER MEMBER
