Petitioner booked a flat at Kundli with the respondent and paid the sum of Rs.3,00,000/-. However, flat was not allotted.

 Later on respondents issued a letter that the flat was cancelled due to non-payment of installments.

Petitioner being aggrieved filed a complaint before the District Forum. District Forum allowed the complaint. The photocopy of the cheque showing payment of Rs.1,50,000/- was produced before the District Forum. District Forum taking into consideration the fact that Rs.1,50,000/- have already been paid by the respondents to the petitioner, directed the respondents to pay the balance amount of Rs.1,50,000/- alongwith litigation expenses of Rs.10,000/-.

Respondent accepted the order of the District Forum and did not file the appeal before the State Commission.

Complainant/petitioner filed the appeal before the State Commission seeking modification of the order of the District Forum. It was contended that the District Forum had wrongly observed that the that the respondent had already refunded the sum of Rs.1,50,000/- to the petitioner. Petitioner sought a direction that the respondents be directed to pay the entire amount of Rs.3,00,000/-. The State Commission dismissed the appeal as well as the complaint by observing that the District Forum, UT Chandigarh did not have the jurisdiction to entertain the complaint as no cause of action had arisen at Chandigarh. Liberty was reserved of the petitioner to file a complaint before the appropriate forum.

On a contention raised by the counsel for the petitioner that in the appeal filed by the petitioner an order adverse to petitioner could not be passed, limited notice was issued to the respondents to show cause as to why the impugned order be not set aside and the case remitted back to the State Commission to decide it afresh in accordance with law.

Counsel for the respondent fairly concedes that an order adverse to the petitioner could not be passed in the appeal filed by the petitioner. In view of the concession made by the counsel for the respondents the limited notice issued to the respondents is made absolute. Impugned order of the State Commission is set aside and the case is remitted back to the State Commission to decide it afresh in accordance with law after affording due opportunity of hearing to the parties.

Parties through counsel are directed to appear before the State Commission on 25.01.2012.