IN THE DISTRICT CONSUMERS’ DISPUTES REDRESSAL FORUM AT MYSORE<br /> <br /> PRESENT: 1. Shri.A.T.Munnoli<br /> B.A., L.L.B (Spl.) - President <br /> <br /> 2. Smt.Y.V.Uma Shenoi<br /> M.Sc., B.Ed., - Member<br /> 3. Shri. Shivakumar.J.<br /> B.A., L.L.B., - Member<br /> <br /> <br /> CC 247/09 DATED 24.09.2009<br /> ORDER<br /> <br /> Complainant<br /> <br /> G.R. Suresh # 817, Kaivalya Marga, Siddhartha Nagar, Mysore-10.<br /> <br /> <br /> <br /> (Sri. N. Govinda, Advocate)<br /> <br /> <br /> Vs.<br /> <br /> <br /> Opposite Party<br /> <br /> 1.President, Maduvana Housing Building Co-operative Society, # 345, 3rd cross, Indira Nagar, Mysore-10.<br /> 2.Secretary, Maduvana Housing Building Co-operative Society, # 345, 3rd cross, Indira Nagar, Mysore-10.<br /> <br /> <br /> <br /> <br /> <br /> (Sri. Sridhar Chakke, Advocate)<br /> Nature of complaint<br /> :<br /> Deficiency in service<br /> Date of filing of complaint<br /> :<br /> 14.07.2009<br /> Date of appearance of O.P.<br /> :<br /> 04.08.2009<br /> Date of order<br /> :<br /> 24.09.2009<br /> Duration of Proceeding<br /> :<br /> 1 Month 20 days<br /> <br /> <br /> <br /> PRESIDENT <br /> <br /> <br /> <br /> <br /> <br /> MEMBER<br /> <br /> <br /> <br /> MEMBER<br /> <br /> Sri. A.T.Munnoli,<br /> President<br /> <br /> 1.Under Section 12 of the Consumer Protection Act the complainant has filed the complaint seeking a direction to the opposite parties to pay a sum of Rs.66,917.75 paisa the interest on the amount that was paid by the complainant to the opposite parties for allotment of site.<br /> <br /> 2.Amongst other facts in the complaint, it is alleged that, the complainant had applied for a site measuring 50 X 80 feet at Sathagalli layout in the year 1990. On various dates the complainant paid in all Rs. 1,04,500/- to the opposite parties before 1999. In the year 1994 provisional allotment letter was issued. The complainant enquired as to where the site is situated. It was learnt, no site was available in the said layout. Then the complainant decided to withdraw the amount from the opposite parties. On the letter of the complainant on various dates in installments, the opposite parties repaid Rs.70,000/- a sum of Rs.33,500/- is still due to the complainant from the opposite parties. Thus the complainant has claimed the said amount of Rs.33,500/- and interest at the rate of 18% p.a. on the amount that he had paid to the opposite parties, till the dates of refund made. Accordingly, it is prayed to allow the complaint.<br /> <br /> 3.The opposite parties have admitted certain facts including that, the complainant had paid advance amount, but it is stated the amount was not Rs.1,04,500/-. Amongst other facts alleged it is contended that, at Sathagally layout no site was available for allotment to the complainant and was informed that in the next layout that could be formed by the opposite parties a site will be allotted. The complainant had orally agreed and after waiting for some time, he approached the opposite parties to refund. It is admitted that, a sum of Rs.30,000/- is payable by the opposite parties to the complainant. As regards interest, it is stated the complainant has received the payment made and did not claim interest and further, it is stated, the opposite parties are not under obligation to pay interest. Hence, it is prayed to dismiss the complaint.<br /> <br /> 4.To prove the facts alleged in the complaint, the complainant has filed his affidavit and produced certain documents. On the other hand the second opposite party secretary of the society has filed the affidavit, wherein the facts of the version are repeated. We have heard the arguments and perused the entire material on record. <br /> <br /> 5.Now, the points for our consideration are as under.<br /> <br /> 1.Whether the complainant has proved that any deficiency on the part of the opposite parties and that he is entitled to any relief ?<br /> 2.What order?<br /> <br /> 6.Our findings are as under:-<br /> Point no.1 : Affirmative<br /> Point no.2 : As per the order.<br /> <br /> REASONS<br /> <br /> 7.Point no. 1:- The complainant has claimed that, he had paid in all Rs.1,04,500/- to the opposite parties towards allotment of site. That is denied by the opposite parties. The opposite parties have stated that, only a sum of Rs.1,01,000/- was paid by the complainant. To substantiate the payment as claimed by the complainant, certain documents are produced. But, from the said receipts the total amount would be only Rs.1,01,000/- and not Rs.1,04,000/-. It appears, the complainant to arrive at said figure taken the amount in the receipt on page 34 a sum of Rs.3,500/- and also the acknowledgement at page 36 for the said amount. In these two documents only a sum of Rs.3,500/- is paid and not Rs.3,500+3,500/-. Hence, the amount paid by the complainant to the opposite parties is only Rs.1,01,000/- and not Rs.1,04,500/-.<br /> <br /> 8.The complainant claims that, on his application for refund of the amount paid towards the allotment of site, a sum of Rs.71,000/- is repaid and remaining balance has not been paid. The opposite parties admits a sum of Rs.30,000/- is due to the complainant and are ready to pay.<br /> <br /> 9.Main dispute between the parties is, the interest. The complainant has claimed the interest from the dates he paid the amount to the opposite parties and till the dates the opposite parties refund the amount. We feel it not necessary to mention all those dates and the amount as well as the interest worked out because, correctness of the same has not been disputed by the opposite parties.<br /> <br /> 10.Hence, now only we have to consider, whether the interest claimed by the complainant is justifiable. It is stated by the complainant that, in the year 1991, 1992 and 1994 major portion of the amount was paid to the opposite parties towards allotment of site. In the year 1999 nearly 1/3 amount has been paid. Now we are in the year 2009. Thus, considering the fact that in the year 1991 itself nearly 1/3 amount and in the year 1992 more than 1/3 amount was paid by the complainant to the opposite parties, it is nearly more than 16 17 years back. As could be seen from the version of the opposite parties, no site is available in the Sathagally layout for allotment to the complainant. It goes to show that, all the sites in the said layout have been allotted to other members or persons. The opposite parties contend in the next layout which could be formed, a site could be allotted to the complainant. It is not know when new layout will be formed by the opposite parties. Under these circumstances, the complainant sought refund of the amount. Taking into consideration of this fact we are of the opinion that, claim of the interest by the complainant at the rate of 18% is just and reasonable. Learned counsel for the opposite parties vehemently argued that, the opposite parties forms layout and sites with no profit and loss basis and hence it is not liable to pay any interest. But the fact remains that, the complainant had paid huge amount 16 17 years back with a hope to have site but the opposite parties not allotted any site. It is submitted for the complainant has been used by the opposite parties to acquire land in which sites were formed and allotted to other members of the society. Hence, the opposite parties utilized the amount of the complainant. If the opposite parties did not utilize the amount of the complainant and had kept the said amount in the bank or other financial institutions, now the amount could have become several times more than the amount. Hence, the opposite parties are liable to pay interest. <br /> <br /> 11.Accordingly we answer the point No.1 in affirmative. <br /> <br /> 12.Point No. 2:- From the discussions made above and conclusion arrived at, we pass the following order: <br /> <br /> ORDER <br /> <br /> 1.The Complaint is partly allowed.<br /> 2.The opposite parties are hereby directed to pay jointly and severally a sum of Rs.30,000/- to the complainant with interest at the rate of 18% p.a. from 01.04.1999 till payment of the entire amount.<br /> 3.Further, the opposite parties are hereby directed to pay jointly and severally a sum of Rs.33,480/- towards the interest to the complainant within a month from the date of the order and on failure, the opposite parties are liable to pay interest on the said amount at the rate of 18% p.a.<br /> 4.Also the opposite parties are directed to pay a sum of Rs.2,000/- towards cost of the proceedings.<br /> 5.Give a copy of this order to each party according to Rules.<br /> (Dictated to the Stenographer, transcribed by her, transcript revised by us and then pronounced in the open Forum on this the day 24th Sept 2009)<br /> <br /> <br /> <br /> <br /> (A.T.Munnoli) <br /> <br /> President <br /> <br /> <br /> <br /> (Y.V.Uma Shenoi)<br /> <br /> Member<br /> <br /> <br /> <br /> (Shivakumar. J)<br /> Member<br />