Sri. Vijay Tata Ravipathi V/S Mrs. Ramani Jayaram. - Consumer Court Case

Karnataka

Bangalore Urban

CC/10/1394

Mrs. Ramani Jayaram. - Complainant(s)

Versus

Sri. Vijay Tata Ravipathi - Opp.Party(s)

Murugesh .V. Charati.

19 Jun 2010

ORDER

BANGALORE URBAN DISTRICT CONSUMER DISPUTES REDRESSLAL FORUM, BANGALORE, KARNATAKA STATE.
Bangalore Urban District Consumer Disputes Redressal Forum, Cauvery Bhavan, 8th Floor, BWSSB Bldg., K. G. Rd., Bangalore-09.
consumer case(CC) No. CC/10/1394

Mrs. Ramani Jayaram.						...........Appellant(s)
Vs.
Sri. Vijay Tata Ravipathi						...........Respondent(s)

BEFORE:

Complainant(s)/Appellant(s):

OppositeParty/Respondent(s):

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ORDER

COMPLAINTS FILED ON: 18.06.2010 DISPOSED ON: 28.08.2010 BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM AT BANGALORE (URBAN) 28TH AUGUST 2010 PRESENT:- SRI. B.S. REDDY PRESIDENT SMT. M. YASHODHAMMA MEMBER SRI. A. MUNIYAPPA MEMBER COMPLAINT Nos.1372, 1373, 1374, 1377, 1379, 1381, 1383, 1385, 1386, 1388, 1390, 1391, 1394, 1395 & 1398/2010 COMPLAINT NO.1372/10 COMPLAINANTS 1. N.V. Ramachandra Chetty, S/o Mr. N.Venkataramiah Chetty, Aged about 72 years. 2. M.R. Sreeshyla, S/o N.V. Ramachandra Chetty, Aged about 39 years, Both are R/at No.168, 18th Cross, M.C. Layout, Vijayanagar, Bangalore 560 040. COMPLAINT NO.1373/10 COMPLAINANT Sri. V.Jayesh, S/o K.N.G. Pillay, Aged about 32 years, R/t No.4001, 1st Block, Janapriya Heavens, Allalsandra, Bangalore 560 064. COMPLAINT NO.1374/10 COMPLAINANT Mr. Mohyuddin Rehmattullah, S/o Mr. Sheikh Rehmattullah, Aged about 35 years, Residing at No. D-32, 2-3, Sector-4, Nerul, Navi Mumbai-400 706. Rep. By his power of Attorney holder Mr. Saleem Mohammad Ali S/o Mohammad Ali Kadarmiya, Aged 43 years, Resident of S-102, Purva Fairmont Apartment, 24th Main, Sector II, HSR Layout, Bangalore 560 034. COMPLAINT NO.1377/10 COMPLAINANT Sri. Sajith. P.K., S/o Mr. P.N. Kuttappan, Aged about 30 years, R/at No.C-2, Viceroy Sree Apartment, Site No.4, Income Tax Colony, Opp: to Krishna Lilac, Sarjapur Road, Kaikondanahalli, Bangalore 560 034. COMPLAINT NO.1379/10 COMPLAINANT M.K. Gopinathan, S/o Late P. Narayanan Nair, 104, Varshitha Heights, Coconut Grove, Horamavu, Banasawadi, Bangalore 560 043. COMPLAINT NO.1381/10 COMPLAINANT Sri. Ramnaresh. Bhardwaj, S/o Ramshwaroop. Sharma, Aged about 50 years, R/at No.284/4, Air Force Station, Yalahanka, Bangalore 560 003. COMPLAINT NO.1383/10 COMPLAINANT Mr. Mohyuddin Rehmattullah, S/o Mr. Sheikh Rehmattullah, Aged about 35 years, R/t No.D-32, 2-3, Sector-4, Nerul, Navi Mumbai-400 706. Rep. By his power of Attorney holder Mr. Saleem Mohammad Ali S/o Mohammad Ali Kadarmiya, Aged 43 years, Resident of S-102, Purva Fairmont Apartment, 24th Main, Sector II, HSR Layout, Bangalore 560 034. COMPLAINT NO.1385/10 COMPLAINANT Mr. P. Adi Seshu Kumar, S/o P. Satyanarayan Rao, Aged about 35 years, R/at No.1, 1st Main, Jagadish Nagar, Tippasandra Post, Bangalore 560 072. COMPLAINT NO.1386/10 COMPLAINANT Sri. K. Subbaiah, S/o C.A. Keshavan, Aged about 70 years, R/at No.B-3, 193 kendriya Vihar, BB Road, Yelahanka, Bangalore 560 0064. COMPLAINT NO.1388/10 COMPLAINANT Anand. B. Bagri, S/o B.S. Bagri, Aged about 37 years, R/at No.B-02, Chitrakut Basil, 156/1, Mahayogi Vemanna Road, Kaggadasapura Main Road, C.V. Raman Nagar, Bangalore 560 093. COMPLAINT NO.1390/10 COMPLAINANT Sri. Manjunath Prasanna K., S/o Mr. Kempaiah, Aged about 29 years, R/at No.F-21, Sriramsadana, Gokula, Mathikere Post, Bangalore 560 054. COMPLAINT NO.1391/10 COMPLAINANT Mrs. Sushma K. Hegde, Aged about 35 years, W/o Mr. J. Krishnakumar, R/at S.V. Smart, G-02, First Floor, ITI Layout, A Narayanapura, Bangalore 16. COMPLAINT NO.1394/10 COMPLAINANT Mrs. Ramani Jayram, D/o Mr. Jayaramappa, Aged about 49 years, R/at No.15, III Cross, Jabbar Block, Vyalikaval, Bangalore 560 003. COMPLAINT NO.1395/10 COMPLAINANT Mr. Saleem Mohammadali, S/o Mohammad Ali Kadarmiya, Aged 43 years, Resident of S-102, Purva Fairmont Apartment, 24th Main, Sector II, HSR Layout, Bangalore 560 034. COMPLAINT NO.1398/10 COMPLAINANT Dr. C.S. Abdul Rahim, S/o Late Abdul Sattar, Aged about 62 years, R/at No.02, 5th Cross, Williams Town Extension, Bangalore 560 046. Advocate: Sri. M.V. Charati V/s OPPOSITE PARTY Sri. Vijay Tata Ravipathi, Proprietor, M/s Orange Construction & Infrastructure, Having its registered Office At 114/1, Outer Ring Road, Vijaya Bank Colony, Dodda Banaswadi, Bangalore 560 043. Ex-Parte O R D E R SRI. B.S.REDDY, PRESIDENT These are the complaints filed U/s. 12 of the Consumer Protection Act of 1986, by the respective complainants seeking direction against Opposite Party (herein after called as O.P) to refund the advance amounts paid with interest at 18% p.a. and to pay arrears of rentals and expenses incurred in visiting the office of the OP and for compensation on the allegations of deficiency in service on the part of the OP. As the OP in all the above complaints is common, the question involved, relief claimed being the same, in the interest of justice, in order to avoid the repetition of facts and multiplicity of reasonings, these complaints stand disposed of by this common order. The brief averments, as could be seen from the contents of these complaints, are as under: 2. The complainants being lured away with the advertisement and propaganda issued by the OP regarding a schemes towards the construction of residential apartments to be constructed at Akkupet Village called as Orange Premium and at Sannamanikera Village called as Orange Township, Devanahalli Town, Bangalore Rural District; booked flats and paid initial advance amount to the OP. OP executed deeds of agreement to sell with an undertaking to complete construction within 18 months and deliver the possession within 24 months from the date of approval of the plan. Further OP assured to pay certain amount every month towards monthly rentals till the completion of the project through ECS to the accounts of the complainants and executed another indenture of agreements. Later the complainants came to know that OP is unable to commence the project and complete the same and OP failed to pay the monthly assured rental premium, the complainants approached OP requested to adhere to the terms of the agreement and pay monthly rental premium. OP declared that he cannot pay the premium nor complete the project as agreed upon. The cheques issued by OP towards the payment of rental premiums and refund of the advance amount were also dishonoured by the bank for Insufficient Funds. OP promised that he would return the amount within three months, later he remained absconding for considerable period. The complainants lodged police complaint before the CCB Police, Bangalore and police registered the case against the OP for the offences punishable U/s 406 and 420 IPC. OP approached the Honble High Court and filed Criminal Petition No.3866/2009, during the pendency of the said petition. OP made part payments towards refund to some of the complainants and ultimately the said Criminal Petition was dismissed on 08.03.2010. OP is trying to avoid refunding the amount with dishonest intention to cheat, misappropriate amount paid towards booking of the flats. OP had the benefit of the advance amount received and the complaints are deprived of the benefit of that amount. OP is liable to pay interest at 18% p.a. The details of the flats booked by each of these complainants, advance amount paid, amount refunded and the total amount claimed is noted in the below chart for convenience sake: Sl. No. Complaint No. Flat No. and Project Name Total Advance amount paid with Date Amount Refunded Total Amount Claimed with interest & compensation 1 1372/10 A 004 Orange Township Rs.3,29,842 (Rs.1,00,000 27.12.08 Rs.1,00,000 30.12.08 Rs.1,29,842 27.02.09 Rs.40,000 Rs.5,94,842 2 1373/10 B 305 Orange Premium Rs.2,00,000 27.10.08 Rs.50,000 Rs.5,00,000 3 1374/10 C 209 Orange Premium Rs.2,00,000 (Rs.1,00,000 09.11.08 Rs.1,00,000 22.11.08) - Rs.5,80,000 4 1377/10 B 405 Orange Premium Rs.2,00,000 (Rs.1,00,000 24.11.08 Rs.1,00,000 07.01.09) Rs.40,000 Rs.4,77,850 5 1379/10 A 205 Orange Premium Rs.2,00,000 (Rs.1,00,000 26.10.08 Rs.1,00,000 24.11.08) Rs.50,000 Rs.5,23,500 6 1381/10 C 108 Orange Premium Rs.2,00,000 (Rs.1,00,000 10.11.08 Rs.1,00,000 22.12.08) Rs.50,000 Rs.5,00,000 7 1383/10 B 209 Orange Premium Rs.2,00,000 (Rs.1,00,000 09.11.08 Rs.1,00,000 22.11.08) - Rs.5,80,000 8 1385/10 B 501 Orange Premium Rs.2,00,000 (Rs.1,00,000 10.11.08 Rs.1,00,000 16.12.08 - Rs.5,37,500 9 1386/10 A 610 Orange Premium Rs.2,00,000 (Rs.1,00,000 02.11.08 Rs.1,00,000 25.12.08) Rs.40,000 Rs.5,05,000 10 1388/10 B 601 Orange Premium Rs.2,00,000 (Rs.89,000 10.11.08 Rs.1,00,000 16.12.08 Rs.11,000 09.11.08) - Rs.5,37,500 11 1390/10 C 606 Orange Premium Rs.2,00,000 (Rs.1,00,000 10.11.08 Rs.1,00,000 13.11.08) Rs.50,000 Rs.5,30,000 12 1391/10 B 606 Orange Premium Rs.2,00,000 (Rs.89,000 10.11.08 Rs.1,00,000 14.03.09 Rs.11,000 09.11.08) - Rs.5,47,500 13 1394/10 B 513 Orange Premium Rs.2,00,000 (Rs.25,000 09.11.08 Rs.75,000 11.11.08 Rs.1,00,000 09.12.08) Rs.40,000 Rs.5,10,000 14 1395/10 B 214 Orange Premium Rs.2,00,000 (Rs.1,00,000 09.11.08 Rs.1,00,000 22.11.08) Rs.40,000 Rs.5,05,000 15 1398/10 B 104 Orange Township Rs.3,17,937 (Rs.2,00,000 26.12.08 Rs.1,17,937 28.02.09) Rs.40,000 Rs.6,00,000 3. The notices issued to the OP by registered post returned as information delivered not claimed. Service held sufficient OP called out absent and placed ex-parte. 4. In order to substantiate the complaint averments, the complainants and their power of attorney holders filed affidavit evidences. Arguments heard from complainants side. 5. After going through the complaints averments, affidavit evidence, the documents produced, it becomes clear that the complainants being lured away with the advertisement and propaganda issued by the OP with regard to schemes Orange Premium and Orange Township construction of residential apartments to be constructed booked flats and paid initial advance amount to the OP as shown in the above chart. OP executed the deeds of agreement to sell, agreeing to sell the flats which were to be constructed with an undertaking that the construction would be completed within 18 months and possession would be delivered within 24 months from the date of approval of the plan. That apart OP also assured to pay monthly certain amount as rental premiums to the complainants till the projects are completed and executed the agreement deeds in favour of the complainants. The complainants with fond hope of getting monthly returns towards rental premiums and getting the flats ready for occupation within stipulated period shown in the agreement deeds parted with that huge advance amount, but OP failed to commence the work and pay the monthly premium rentals. It appears that OP has also issued the cheques in favour of the complainants towards refund of the advance paid and monthly rental premiums, but the said cheques are also dishonoured. OP assured to refund the advance amount within three months, but later he was absconding. All these complainants lodged police complaints, CCB Police, Banalore registered the case against the OP for the offences punishable U/s 406 and 420 IPC. The complainant challenged the same before the Honble High Court by filing criminal petition No.3866/09. During the pendency of that petition, OP has made part payments to some of the complainants; later the said criminal petition was dismissed. When OP was not able to commence the project and was unable to get the plan approved, it would have been fair enough on his part to refund the amount received from these complainants. Thre is nothing to discard unchallenged sworn testimony of the complainants, which find full corroboration with the contents of the undisputed documents produced. The evidence of the complainants appears to be very much natural, cogent and consistent. The very fact of OP remaining ex-parte, leads to draw an inference that the complaint averments are admitted by OP. Under these circumstances we are of the view that as the OP has failed to full fill its obligation in completing the project or to refund the advance amount received, the same amounts to deficiency in service and unfair trade practice on the part of the OP. 6. The complainants in all these complaints are seeking for refund of the advance amount paid, less the amount received by way of refund with interest at 18% p.a. and monthly rental arrears, expenses incurred in visiting the office of OP and compensation. The complainants in complaint Nos.1379 and 1398/10 in the complaints admitted the refund of Rs.50,000/- and Rs.40,000/- respectively, but not given deduction in the advance paid as such after giving deduction for the said refund of Rs.50,000/- and Rs.40,000/-, the balance advance payable is Rs.1,50,000/- and Rs.2,77,937/- respectively. Though OP has executed the agreement deeds assuring to pay monthly rental premiums till the completion of the projects, but when OP has not at all commenced the work and is unable to complete the projects, the terms of the said deed cannot be enforced. It appears that OP agreed to pay monthly rental premiums with a hope of completing the projects and complainants paying the entire cost of the flats as per the schedule of payments shown in schedule A-1 of the agreement deeds. Under these circumstances we are of the view that the complainants are not justified in claiming arrears of monthly rental premiums. With regard to claim towards expenses incurred for visiting the office of OP and for compensation and damages. We are of the view that awarding interest at 18% p.a. on the advance amount taken is to be treated as compensation and expenses. OP by withholding the advance amount received utilized the same for his benefit, thereby accrued wrong full gain to himself and caused wrong full loss to the complainants; as such OP is liable to pay interest at the rate of 18% p.a. from the date of respective payments, till the date of realization along with litigation cost. Accordingly we proceed to pass the following: O R D E R The complaints are allowed in part. 1. In complaint No.1372/2010 OP is directed to refund an amount of Rs.2,89,842/- with interest at 18% p.a. from April 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainants. 2. In complaint No.1373/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from November 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 3. In complaint No.1374/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from December 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 4. In complaint No.1377/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from February 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 5. In complaint No.1379/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from December 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 6. In complaint No.1381/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 7. In complaint No.1383/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from December 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 8. In complaint No.1385/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 9. In complaint No.1386/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 10. In complaint No.1388/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 11. In complaint No.1390/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from December 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 12. In complaint No.1391/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from 15.03.2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 13. In complaint No.1394/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from December 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 14. In complaint No.1395/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from December 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 15. In complaint No.1398/2010 OP is directed to refund an amount of Rs.2,77,937/- with interest at 18% p.a. from March 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. OP to comply the order within four weeks from the date of this order. This original order shall be kept in the file of the complaint No.1372/2010 and a copy of it shall be placed in other respective files. 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 him, verified and corrected, and then pronounced in the Open Court by us on this the 28th day of August 2010.) PRESIDENT MEMBER MEMBER Snm:

COMPLAINTS FILED ON: 18.06.2010 DISPOSED ON: 28.08.2010 BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM AT BANGALORE (URBAN) 28TH AUGUST 2010 PRESENT:- SRI. B.S. REDDY PRESIDENT SMT. M. YASHODHAMMA MEMBER SRI. A. MUNIYAPPA MEMBER COMPLAINT Nos.1372, 1373, 1374, 1377, 1379, 1381, 1383, 1385, 1386, 1388, 1390, 1391, 1394, 1395 & 1398/2010 COMPLAINT NO.1372/10 COMPLAINANTS 1. N.V. Ramachandra Chetty, S/o Mr. N.Venkataramiah Chetty, Aged about 72 years. 2. M.R. Sreeshyla, S/o N.V. Ramachandra Chetty, Aged about 39 years, Both are R/at No.168, 18th Cross, M.C. Layout, Vijayanagar, Bangalore 560 040. COMPLAINT NO.1373/10 COMPLAINANT Sri. V.Jayesh, S/o K.N.G. Pillay, Aged about 32 years, R/t No.4001, 1st Block, Janapriya Heavens, Allalsandra, Bangalore 560 064. COMPLAINT NO.1374/10 COMPLAINANT Mr. Mohyuddin Rehmattullah, S/o Mr. Sheikh Rehmattullah, Aged about 35 years, Residing at No. D-32, 2-3, Sector-4, Nerul, Navi Mumbai-400 706. Rep. By his power of Attorney holder Mr. Saleem Mohammad Ali S/o Mohammad Ali Kadarmiya, Aged 43 years, Resident of S-102, Purva Fairmont Apartment, 24th Main, Sector II, HSR Layout, Bangalore 560 034. COMPLAINT NO.1377/10 COMPLAINANT Sri. Sajith. P.K., S/o Mr. P.N. Kuttappan, Aged about 30 years, R/at No.C-2, Viceroy Sree Apartment, Site No.4, Income Tax Colony, Opp: to Krishna Lilac, Sarjapur Road, Kaikondanahalli, Bangalore 560 034. COMPLAINT NO.1379/10 COMPLAINANT M.K. Gopinathan, S/o Late P. Narayanan Nair, 104, Varshitha Heights, Coconut Grove, Horamavu, Banasawadi, Bangalore 560 043. COMPLAINT NO.1381/10 COMPLAINANT Sri. Ramnaresh. Bhardwaj, S/o Ramshwaroop. Sharma, Aged about 50 years, R/at No.284/4, Air Force Station, Yalahanka, Bangalore 560 003. COMPLAINT NO.1383/10 COMPLAINANT Mr. Mohyuddin Rehmattullah, S/o Mr. Sheikh Rehmattullah, Aged about 35 years, R/t No.D-32, 2-3, Sector-4, Nerul, Navi Mumbai-400 706. Rep. By his power of Attorney holder Mr. Saleem Mohammad Ali S/o Mohammad Ali Kadarmiya, Aged 43 years, Resident of S-102, Purva Fairmont Apartment, 24th Main, Sector II, HSR Layout, Bangalore 560 034. COMPLAINT NO.1385/10 COMPLAINANT Mr. P. Adi Seshu Kumar, S/o P. Satyanarayan Rao, Aged about 35 years, R/at No.1, 1st Main, Jagadish Nagar, Tippasandra Post, Bangalore 560 072. COMPLAINT NO.1386/10 COMPLAINANT Sri. K. Subbaiah, S/o C.A. Keshavan, Aged about 70 years, R/at No.B-3, 193 kendriya Vihar, BB Road, Yelahanka, Bangalore 560 0064. COMPLAINT NO.1388/10 COMPLAINANT Anand. B. Bagri, S/o B.S. Bagri, Aged about 37 years, R/at No.B-02, Chitrakut Basil, 156/1, Mahayogi Vemanna Road, Kaggadasapura Main Road, C.V. Raman Nagar, Bangalore 560 093. COMPLAINT NO.1390/10 COMPLAINANT Sri. Manjunath Prasanna K., S/o Mr. Kempaiah, Aged about 29 years, R/at No.F-21, Sriramsadana, Gokula, Mathikere Post, Bangalore 560 054. COMPLAINT NO.1391/10 COMPLAINANT Mrs. Sushma K. Hegde, Aged about 35 years, W/o Mr. J. Krishnakumar, R/at S.V. Smart, G-02, First Floor, ITI Layout, A Narayanapura, Bangalore 16. COMPLAINT NO.1394/10 COMPLAINANT Mrs. Ramani Jayram, D/o Mr. Jayaramappa, Aged about 49 years, R/at No.15, III Cross, Jabbar Block, Vyalikaval, Bangalore 560 003. COMPLAINT NO.1395/10 COMPLAINANT Mr. Saleem Mohammadali, S/o Mohammad Ali Kadarmiya, Aged 43 years, Resident of S-102, Purva Fairmont Apartment, 24th Main, Sector II, HSR Layout, Bangalore 560 034. COMPLAINT NO.1398/10 COMPLAINANT Dr. C.S. Abdul Rahim, S/o Late Abdul Sattar, Aged about 62 years, R/at No.02, 5th Cross, Williams Town Extension, Bangalore 560 046. Advocate: Sri. M.V. Charati V/s OPPOSITE PARTY Sri. Vijay Tata Ravipathi, Proprietor, M/s Orange Construction & Infrastructure, Having its registered Office At 114/1, Outer Ring Road, Vijaya Bank Colony, Dodda Banaswadi, Bangalore 560 043. Ex-Parte O R D E R SRI. B.S.REDDY, PRESIDENT These are the complaints filed U/s. 12 of the Consumer Protection Act of 1986, by the respective complainants seeking direction against Opposite Party (herein after called as O.P) to refund the advance amounts paid with interest at 18% p.a. and to pay arrears of rentals and expenses incurred in visiting the office of the OP and for compensation on the allegations of deficiency in service on the part of the OP. As the OP in all the above complaints is common, the question involved, relief claimed being the same, in the interest of justice, in order to avoid the repetition of facts and multiplicity of reasonings, these complaints stand disposed of by this common order. The brief averments, as could be seen from the contents of these complaints, are as under: 2. The complainants being lured away with the advertisement and propaganda issued by the OP regarding a schemes towards the construction of residential apartments to be constructed at Akkupet Village called as Orange Premium and at Sannamanikera Village called as Orange Township, Devanahalli Town, Bangalore Rural District; booked flats and paid initial advance amount to the OP. OP executed deeds of agreement to sell with an undertaking to complete construction within 18 months and deliver the possession within 24 months from the date of approval of the plan. Further OP assured to pay certain amount every month towards monthly rentals till the completion of the project through ECS to the accounts of the complainants and executed another indenture of agreements. Later the complainants came to know that OP is unable to commence the project and complete the same and OP failed to pay the monthly assured rental premium, the complainants approached OP requested to adhere to the terms of the agreement and pay monthly rental premium. OP declared that he cannot pay the premium nor complete the project as agreed upon. The cheques issued by OP towards the payment of rental premiums and refund of the advance amount were also dishonoured by the bank for Insufficient Funds. OP promised that he would return the amount within three months, later he remained absconding for considerable period. The complainants lodged police complaint before the CCB Police, Bangalore and police registered the case against the OP for the offences punishable U/s 406 and 420 IPC. OP approached the Honble High Court and filed Criminal Petition No.3866/2009, during the pendency of the said petition. OP made part payments towards refund to some of the complainants and ultimately the said Criminal Petition was dismissed on 08.03.2010. OP is trying to avoid refunding the amount with dishonest intention to cheat, misappropriate amount paid towards booking of the flats. OP had the benefit of the advance amount received and the complaints are deprived of the benefit of that amount. OP is liable to pay interest at 18% p.a. The details of the flats booked by each of these complainants, advance amount paid, amount refunded and the total amount claimed is noted in the below chart for convenience sake: Sl. No. Complaint No. Flat No. and Project Name Total Advance amount paid with Date Amount Refunded Total Amount Claimed with interest & compensation 1 1372/10 A 004 Orange Township Rs.3,29,842 (Rs.1,00,000 27.12.08 Rs.1,00,000 30.12.08 Rs.1,29,842 27.02.09 Rs.40,000 Rs.5,94,842 2 1373/10 B 305 Orange Premium Rs.2,00,000 27.10.08 Rs.50,000 Rs.5,00,000 3 1374/10 C 209 Orange Premium Rs.2,00,000 (Rs.1,00,000 09.11.08 Rs.1,00,000 22.11.08) - Rs.5,80,000 4 1377/10 B 405 Orange Premium Rs.2,00,000 (Rs.1,00,000 24.11.08 Rs.1,00,000 07.01.09) Rs.40,000 Rs.4,77,850 5 1379/10 A 205 Orange Premium Rs.2,00,000 (Rs.1,00,000 26.10.08 Rs.1,00,000 24.11.08) Rs.50,000 Rs.5,23,500 6 1381/10 C 108 Orange Premium Rs.2,00,000 (Rs.1,00,000 10.11.08 Rs.1,00,000 22.12.08) Rs.50,000 Rs.5,00,000 7 1383/10 B 209 Orange Premium Rs.2,00,000 (Rs.1,00,000 09.11.08 Rs.1,00,000 22.11.08) - Rs.5,80,000 8 1385/10 B 501 Orange Premium Rs.2,00,000 (Rs.1,00,000 10.11.08 Rs.1,00,000 16.12.08 - Rs.5,37,500 9 1386/10 A 610 Orange Premium Rs.2,00,000 (Rs.1,00,000 02.11.08 Rs.1,00,000 25.12.08) Rs.40,000 Rs.5,05,000 10 1388/10 B 601 Orange Premium Rs.2,00,000 (Rs.89,000 10.11.08 Rs.1,00,000 16.12.08 Rs.11,000 09.11.08) - Rs.5,37,500 11 1390/10 C 606 Orange Premium Rs.2,00,000 (Rs.1,00,000 10.11.08 Rs.1,00,000 13.11.08) Rs.50,000 Rs.5,30,000 12 1391/10 B 606 Orange Premium Rs.2,00,000 (Rs.89,000 10.11.08 Rs.1,00,000 14.03.09 Rs.11,000 09.11.08) - Rs.5,47,500 13 1394/10 B 513 Orange Premium Rs.2,00,000 (Rs.25,000 09.11.08 Rs.75,000 11.11.08 Rs.1,00,000 09.12.08) Rs.40,000 Rs.5,10,000 14 1395/10 B 214 Orange Premium Rs.2,00,000 (Rs.1,00,000 09.11.08 Rs.1,00,000 22.11.08) Rs.40,000 Rs.5,05,000 15 1398/10 B 104 Orange Township Rs.3,17,937 (Rs.2,00,000 26.12.08 Rs.1,17,937 28.02.09) Rs.40,000 Rs.6,00,000 3. The notices issued to the OP by registered post returned as information delivered not claimed. Service held sufficient OP called out absent and placed ex-parte. 4. In order to substantiate the complaint averments, the complainants and their power of attorney holders filed affidavit evidences. Arguments heard from complainants side. 5. After going through the complaints averments, affidavit evidence, the documents produced, it becomes clear that the complainants being lured away with the advertisement and propaganda issued by the OP with regard to schemes Orange Premium and Orange Township construction of residential apartments to be constructed booked flats and paid initial advance amount to the OP as shown in the above chart. OP executed the deeds of agreement to sell, agreeing to sell the flats which were to be constructed with an undertaking that the construction would be completed within 18 months and possession would be delivered within 24 months from the date of approval of the plan. That apart OP also assured to pay monthly certain amount as rental premiums to the complainants till the projects are completed and executed the agreement deeds in favour of the complainants. The complainants with fond hope of getting monthly returns towards rental premiums and getting the flats ready for occupation within stipulated period shown in the agreement deeds parted with that huge advance amount, but OP failed to commence the work and pay the monthly premium rentals. It appears that OP has also issued the cheques in favour of the complainants towards refund of the advance paid and monthly rental premiums, but the said cheques are also dishonoured. OP assured to refund the advance amount within three months, but later he was absconding. All these complainants lodged police complaints, CCB Police, Banalore registered the case against the OP for the offences punishable U/s 406 and 420 IPC. The complainant challenged the same before the Honble High Court by filing criminal petition No.3866/09. During the pendency of that petition, OP has made part payments to some of the complainants; later the said criminal petition was dismissed. When OP was not able to commence the project and was unable to get the plan approved, it would have been fair enough on his part to refund the amount received from these complainants. Thre is nothing to discard unchallenged sworn testimony of the complainants, which find full corroboration with the contents of the undisputed documents produced. The evidence of the complainants appears to be very much natural, cogent and consistent. The very fact of OP remaining ex-parte, leads to draw an inference that the complaint averments are admitted by OP. Under these circumstances we are of the view that as the OP has failed to full fill its obligation in completing the project or to refund the advance amount received, the same amounts to deficiency in service and unfair trade practice on the part of the OP. 6. The complainants in all these complaints are seeking for refund of the advance amount paid, less the amount received by way of refund with interest at 18% p.a. and monthly rental arrears, expenses incurred in visiting the office of OP and compensation. The complainants in complaint Nos.1379 and 1398/10 in the complaints admitted the refund of Rs.50,000/- and Rs.40,000/- respectively, but not given deduction in the advance paid as such after giving deduction for the said refund of Rs.50,000/- and Rs.40,000/-, the balance advance payable is Rs.1,50,000/- and Rs.2,77,937/- respectively. Though OP has executed the agreement deeds assuring to pay monthly rental premiums till the completion of the projects, but when OP has not at all commenced the work and is unable to complete the projects, the terms of the said deed cannot be enforced. It appears that OP agreed to pay monthly rental premiums with a hope of completing the projects and complainants paying the entire cost of the flats as per the schedule of payments shown in schedule A-1 of the agreement deeds. Under these circumstances we are of the view that the complainants are not justified in claiming arrears of monthly rental premiums. With regard to claim towards expenses incurred for visiting the office of OP and for compensation and damages. We are of the view that awarding interest at 18% p.a. on the advance amount taken is to be treated as compensation and expenses. OP by withholding the advance amount received utilized the same for his benefit, thereby accrued wrong full gain to himself and caused wrong full loss to the complainants; as such OP is liable to pay interest at the rate of 18% p.a. from the date of respective payments, till the date of realization along with litigation cost. Accordingly we proceed to pass the following: O R D E R The complaints are allowed in part. 1. In complaint No.1372/2010 OP is directed to refund an amount of Rs.2,89,842/- with interest at 18% p.a. from April 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainants. 2. In complaint No.1373/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from November 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 3. In complaint No.1374/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from December 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 4. In complaint No.1377/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from February 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 5. In complaint No.1379/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from December 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 6. In complaint No.1381/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 7. In complaint No.1383/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from December 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 8. In complaint No.1385/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 9. In complaint No.1386/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 10. In complaint No.1388/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from January 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 11. In complaint No.1390/2010 OP is directed to refund an amount of Rs.1,50,000/- with interest at 18% p.a. from December 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 12. In complaint No.1391/2010 OP is directed to refund an amount of Rs.2,00,000/- with interest at 18% p.a. from 15.03.2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 13. In complaint No.1394/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from December 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 14. In complaint No.1395/2010 OP is directed to refund an amount of Rs.1,60,000/- with interest at 18% p.a. from December 2008 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. 15. In complaint No.1398/2010 OP is directed to refund an amount of Rs.2,77,937/- with interest at 18% p.a. from March 2009 till the date of realization and pay litigation cost of Rs.2,000/- to the complainant. OP to comply the order within four weeks from the date of this order. This original order shall be kept in the file of the complaint No.1372/2010 and a copy of it shall be placed in other respective files. 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 him, verified and corrected, and then pronounced in the Open Court by us on this the 28th day of August 2010.) PRESIDENT MEMBER MEMBER Snm: