COMPLAINT FILED ON:20.01.2011

DISPOSED ON:06.01.2012.

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM AT BANGALORE (URBAN)

6^th DAY OF JANUARY-2012

  PRESENT:-  SRI. B.S. REDDY                        PRESIDENT

                     SRI. A. MUNIYAPPA                       MEMBER

       COMPLAINT NO.122.2011

O R D E R

SRI. B.S. REDDY, PRESIDENT

The complainants filed this complaint U/s. 12 of the Consumer Protection Act 1986, seeking direction against Opposite Party (herein after called as OP) to refund an amount of Rs.3,00,000/- with interest at 18% p.a. and pay compensation of Rs.25,000/- along with litigation cost of Rs.5,000/- on the allegation of deficiency in service on the part of the OP.

2.As per the complaint allegations, the complainants booked an apartment in ‘SG 203’ in Signature Tower in the ‘Golden Blossom Project’ at Whitefield, Bangalore which was taken up by OP for development and construction. Out of total amount of Rs.50,00,000/-, the complainants paid an amount of Rs.3,00,000/- as advance sale consideration on 22.06.2009 through cheque and obtained the receipt from OP. Due to personnel and domestic reasons, the complainants could not make further additional payments and demanded to get back the amount paid as advance sale consideration OP agreed to refund the amount. Subsequently, the apartment booked by the complainants was sold to some other customer by OP. The legal notice dt.04.10.2010 was issued demanding to refund the advance sale consideration. OP neither complied the demand nor replied for the said notice. Hence the complaint.

3.During the pendency of the proceedings, Advocate for OP filed Memo on 15.07.2011 reporting settlement and issued the cheque for Rs.1,50,000/-. Further on 16.08.2011 another cheque for Rs.1,50,000/- was issued towards refund of the amount. Thus the total amount of Rs.3,00,000/- was refunded. Thereafter, the matter was adjourned from time to time for settlement regarding interest claimed and compensation costs of litigation. The counsel for complainants filed Memo of calculation on 08.09.2011 claiming interest at 12% and worked out at Rs.69,000/- along with compensation of Rs.25,000/- and costs of the proceedings of Rs.5,000/-. The learned counsel for the OP has not agreed for the said amount claimed in the Memo of Calculation. The complainants filed affidavit on 15.07.2011.

4. Arguemnts from complainants’ side heard.

5.The complainants paid initial advance sale consideration of Rs.3,00,000/- on 22.06.2009. However, the complainants have claimed interest from 27.10.2009 at the rate of 12% p.a. In the complaint the interest claimed is at 18% p.a. OP has utilized the said amount for his project and the plot booked by these complainants was sold to the other customer. Taking into consideration of all these facts, we are of the view that interest claimed at 12% p.a. on the amount of Rs.3,00,000/- is reasonable. When once the interest has been claimed, the same is by way of compensation only. Separate compensation of Rs.25,000/- claimed by the complainant cannot be allowed. The costs of the proceedings claimed at Rs.5,000/- is on higher side. Under these circumstances, we proceed to pass the following:

O R D E R

The complaint filed by the complainants is allowed in part.

OP is directed to pay interest at 12% p.a. on the amounts of Rs.3,00,000/- from 27.10.2009 till 15.07.2011 and pay litigation cost of Rs.2,000/- to the complainants.

Send the copy of this order to both the parties free of cost.

(Dictated to the Stenographer and typed in the computer and transcribed by her, verified and corrected, and then pronounced in the Open Court by us on this the 6^th   day of JANUARY– 2012.)

MEMBER                                                         PRESIDENT

Cs.