DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, SAHIBZADA AJIT SINGH NAGAR (MOHALI)
Consumer Complaint No.392 of 2017
Date of institution: 01.06.2017
Date of decision : 05.04.2018
Kamlesh wife of S. Mohinder Singh resident of Flat No.333, United Coop. Society Sector 68, Mohali.
…….Complainant
Versus
1. Sky Rock City Welfare Society (Regd.), SCO No.672, Sector 70, First Floor, Mohali, District SAS Nagar, Mohali through its President/Director/Authorised Signatory Navjeet Singh.
2nd Address
Sky Rock City, Site Office Behind Chandigarh Group of Colleges, Landran Road, Sector 111-112, SAS Nagar, Mohali.
2. Navjeet Singh, President of Sky Rock City Welfare Society, SCO 668, Top Floor, Sector 70, SAS Nagar (Mohali).
2nd Address
Sky Rock City, Site Office Behind Chandigarh Group of Colleges, Landran Road, Sector 111-112, SAS Nagar, Mohali.
……..Opposite Parties
Complaint under Section 12 of
the Consumer Protection Act.
Quorum: Shri G.K. Dhir, President,
Mrs. Natasha Chopra, Member.
Present: Shri A.K. Handa, counsel for the complainants.
OPs Ex-parte.
Order by :- Shri G.K. Dhir, President.
Order
Complainant after becoming member of OP No.1 society, on payment of initial amount of Rs.10,000/-, got booked one residential plot measuring 150 sq. yards @ Rs.10,000/- per sq. yard in its project situate in Sector 111-112 of SAS Nagar, Mohali on 25.08.2011. Installments of Rs.3,75,000/- even was paid by complainant to OPs and thereafter demand notice of deposit of installment was issued through letter dated 24.10.2011 and complainant deposited the demanded amount through cheque No.167371 dated 20.12.2011. Share certificate mentioning membership No.2322 was also issued in favour of complainant regarding share to the extent of 150 sq. yards. Complainant claims to have deposited amount of Rs.1,12,500/- as EDC through cheque on 31.05.2013 and another amount of Rs.2,25,000/- through cheque dated 20.12.2014, for which receipts were issued. In all complainant claims to have deposited Rs.14,72,000/- upto December, 2014. In February, 2015 complainant approached OPs for enquiring about the status of handing over of possession of plot to the allottees and was informed by OPs as if the development work is complete. Possession was promised to be delivered by June, 2015. Thereafter again when complainant contacted OPs in July, 2015, they put off the matter of delivery of possession on one pretext or the other. Ops refused to give anything in writing as to the date of delivery of actual possession. OP No.2 was arrested by police in February, 2017 on complaints of members of the society, who applied for purchase of plots. Complainant came to know as if development work has not been completed on the site and PUDA has refused to issue certificate regarding completion of development works due to violation of provisions of PAPRA Act, 1995. By pleading deficiency in service on part of OPs, prayer made for directing OPs to refund the received amount of Rs.14,72,000/- with interest @ 9% per annum. Compensation for mental harassment and agony of Rs.2.00 lakhs and litigation expenses of Rs.25,000/- more claimed.
2. OPs filed joint written statement through Secretary, who has been authorised vide resolution dated 15.04.2017 to represent OP No.1. It is claimed that OP No.2 President of the society has not used any funds of the society for personal use and as such he is not personally liable. Society works on principle of “no profit no loss” basis. Subscription certificate is issued of ownership to each member of the housing scheme of the society. Complainant is not consumer of OPs and even she is alleged to be having no cause of action. Housing plot allotted to members of the society on the agreed terms and conditions. Earnest efforts were made by OP society for purchase of sufficient land and completion of formalities. CLU was granted to OP society by competent authority and necessary approvals for development licence even have been obtained by OP society. It is claimed that complainant has concealed the material facts because besides paying basic price of the plot fixed at Rs.10,000/- per sq. yard, she was also liable to pay EDC charges and IDC charges, which comes to Rs.6,37,500/- for 150 sq. yard of plot. Till date complainant has not paid the total due amount and nor she has completed the formalities of submitting residential proof, PAN Card and signing other documents. Complainant purchased plot in question for speculative purposes, but due to slump in the market now she is seeking refund of the amount, which cannot be claimed by her. Before seeking refund, complainant should have surrendered her allotment letter to the society, so that other member can be adjusted in her place. OP No.1 society is duly registered under the Societies Registration Act and in view of arbitration Clause-17, matter needs be got decided from the Arbitrator. Status of delivery of possession and of undertaken works were used to be communicated to the members from time to time. As complainant herself failed to deposit the balance amount and that is why possession could not be given to complainant.
3. Complainant to prove her case tendered in evidence hers affidavit Ex.CW-1/1 alongwith documents Ex.C-1 to Ex.C-11 and thereafter closed evidence through counsel. None turned up for OPs and nor any evidence produced despite imposition of cost of Rs.500/- and as such OPs were proceeded against ex-parte vide orders dated 28.03.2018.
4. Written arguments not submitted. Oral arguments heard and record gone through.
5. It is admitted case of the parties that complainant became member of OP No.1 society on deposit of Rs.10,000/- as membership fee through receipt Ex.C-2. It was after becoming member of OP No.1 society and on submission of application form Ex.C-1 that different amounts were got deposited from complainant through receipts Ex.C-3, Ex.C-5, Ex.C-8 to Ex.C-10. Those receipts reflect the deposit of Rs.3,75,000/- on 24.08.2011; Rs.3,75,000/- more on 21.12,2011; Rs.3,75,000/- more on 21.08.2012; Rs.1,12,500/- on 12.06.2013 and Rs.2,25,000/- on 26.12.2014. Copy of the share certificate of complainant also produced on record as Ex.C-6 which reflects the date of registration as 16.02.2012. As OPs after acceptance of above referred amount of Rs.14,72,000/- promised to handover possession of the allotted plot No.219-A to complainant and such promise was made in consideration of acceptance of price amount and other necessary charges and as such certainly complainant is consumer of OPs.
6. OP No.2 as President of the Society signed on receipts Ex.C-2, Ex.C-3, C-5, Ex.C-10 and even on requisitions Ex.C-4, C-11, Ex.C-7 and certificate Ex.C-6 and as such it is obvious that OP No.2 performed active role in accepting the demanded amount of EDC charges etc. and the price amount of the plot in question from complainant. In view of this active role of OP No.2 in accepting payments, now OP No.2 cannot escape from liability that he did not use the collected amounts for personal use. Rather President of the society is bound to work for the society by bearing all responsibilities/liabilities and as such OP No.2 certainly is liable for the shortcomings or deficiencies of OP No.1.
7. As OP society has not completed the project and even handed over the possession to complainant, despite the fact that OP was required to handover possession within certain time and as such certainly deficiency in service on part of OP remains. Complainant has paid hefty amount of Rs.14,72,000/-, albeit not full price amount alongwith EDC and IDC charges etc., but despite that she has been deprived of the privileges of getting possession of the allotted plot due to fault of OPs in not completing the project and as such certainly complainant entitled for refund of the deposited amount with interest, but from the date of filing of complaint namely 01.06.2017 because earlier notice for such refund never issued. In view of circumstances that complainant had been made to wait for long time by OPs, but despite that possession not delivered and further keeping in view the fact that requisition for refund submitted by complainant through this complaint first time only, it is fit and appropriate to allow interest @ 12% per annum from the date of filing of this complaint. As complainant suffered mental harassment and agony and stood dragged in this litigation and as such she is entitled for compensation on account of that and also to litigation expenses, but of reasonable amount.
8. As a sequel of above discussion, complaint allowed with direction to OPs to refund the received amount of Rs.14,72,000/- with interest @ 12% per annum with effect from the date of filing of complaint namely 01.06.2017 till payment. Compensation for mental harassment and agony of Rs.20,000/- and litigation expenses of Rs.5,000/- more allowed in favour of complainant and against the OPs, whose liability is held as joint and several. Payment of these amounts of compensation and litigation expenses be made within 30 days from the date of receipt of certified copy of order. Certified copies be supplied to the parties as per rules. File be indexed and consigned to record room.
Announced
April 05, 2018.
(G.K. Dhir)
President
(Mrs. Natasha Chopra)
Member
