BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, MYSORE-570023

CONSUMER COMPLAINT NO.154-2015

DATED ON THIS THE 19^th August 2016

      Present:  1) Sri. H.M.Shivakumara Swamy

B.A., LLB., - PRESIDENT   

    2) Smt. M.V.Bharathi                    

                                   B.Sc., LLB., -  MEMBER

                     3) Sri. Devakumar.M.C.                  

                                                          B.E., LLB.,    - MEMBER

Sri H.M.SHIVAKUMARA SWAMY,

President

1.     This complaint is filed for a direction to opposite party to pay a sum of Rs.1,000/- being share amount and also Rs.1,99,000/- with interest at 18% p.a. being deposit amount by the complainant for site.
2.     The brief facts alleged in the complaint are that the opposite party is a Co-operative Society, created for the purpose of purchasing the agricultural land and convert it into residential sites and allot the same to its members.  The complainant is also a member of opposite party society and he has paid a sum of Rs.2,49,000/- towards sital value and Rs.1,000/- towards share amount.  Since the opposite party involved in illegal activities, which is against the bylaws of the Co-operative Society and indulged in providing money to the unauthorised land developers.  As such, the complainant has demanded for repayment of the amount paid by her.  Opposite party has refunded a sum of Rs.50,000/- and still there is balance of Rs.1,99,000/- and share amount of Rs.1,000/-, it amounts to deficiency of service.  As such, the complainant has sought for a direction to opposite party to pay the balance amount claimed in this complaint. The transaction took place between 24.01.2008 to 10.12.2014
3.     The opposite party appeared through the advocate and filed the following version:- the complaint is not maintainable.  It is admitted that the opposite party society is a registered co-operative society under Karnataka Co-operative Societies Act and purchasing the agricultural land and convert the same into residential sites and allot the same to its members.  It is admitted that the complainant has become the member and paid a sum of Rs.2,49,000/-.  The opposite party is working towards formation of layout to achieve its goals.  It is false allege that the society is indulging in providing money to unauthorised developers.  It is admitted that a sum of Rs.50,000/- was received by the complainant.  With false allegations, complaint is filed.  Thereby, opposite party has sought for dismissal of the complaint.  Then this matter is set down for evidence.
4.     During evidence, on behalf of complainant, affidavit evidence of the complainant is filed.  Further evidence closed.  Even on behalf of opposite party, representative of the opposite party filed affidavit.  Further evidence closed.  After hearing arguments, this matter is set down for orders.
5.      The points arose for our consideration are:-

1. Whether the complainant establishes that there is deficiency in service in not allotting the site on the part of opposite party, thereby, the complainant is entitled for the reliefs claimed?
2.  What order?

6.    Our findings on the aforesaid points are as follows:

Point No.1 :- Partly in the affirmative.

Point No.2 :- As per final order for the following

:: R E A S O N S ::

7.    Point No.1:- During evidence, complainant has filed affidavit reiterating the allegations made in the complaint to the effect that she became member of the society and opposite party has collected the amount to extent of Rs.2,49,000/-, but failed to provide sites and not made any attempt to form the layout.  As such, she has demanded repayment of the amount.  In this regard, opposite party has refunded the sum of Rs.50,000/- on 02.03.2014 and still due in a sum of Rs.1,99,000/- and further alleged that since the opposite party has not made any attempt to form layout and allot the site to the complainant, it amounts to deficiency in service.  Thereby, the complainant has sought for allowing this complaint.
8.    On behalf of opposite party, its Secretary has filed affidavit evidence reiterating the allegations made in the version.  It is admitted fact that opposite party has collected a sum of Rs.2,49,000/- towards sital value.  It is also admitted that sum of Rs.50,000/- was paid to the complainant and remaining amount is not paid.  But, the reasons for not allotting the site by the opposite party is that the society has made arrangement for forming layout and work has been entrusted to the Bangalore based developer.  The said developer did not proceed with the project and a litigation for recovery of the amount advanced by the society is pending and the serious set back to the opposite party society in its progress and the said amount from the developer is not yet to be recovered and the opposite party is also initiating further proceedings against the developers.  Thereby, there is no deficiency in service on the part of opposite party.  But, such explanation submitted by the representative of the opposite party cannot be accepted for the simple reasons that the opposite party has not come forward to form a layout immediately on collection of the amount from 2008 till 2015.  Thereby, it amounts to deficiency in service on the part of opposite party.  Hence, opposite party is liable to answer the claim made by the complainant.   Accordingly, point No.1 for consideration in the partly in the affirmative.
9.    Point No.2:- In view of the findings recorded on point No.1, the opposite party is liable to pay Rs.1,000/- towards share amount and a sum of Rs.1,99,000/- being advance amount paid by the complainant with interest.  In addition to it, opposite party is liable to pay compensation of Rs.10,000/- and litigation  expenses of `2,000/-. Hence, the following

:: O R D E R ::

1. The complaint is partly allowed.
2. The opposite party is directed to pay a sum of Rs.2,00,000/- (Rs.1,000/- share amount + Rs.1,99,000/- advance amount) with interest at 18% p.a. from the respective dates of deposits till payment.
3. The opposite party is directed to pay compensation of `10,000/- and `2,000/- towards litigation expenses to the complainant, within 60 days from the date of this order.
4.  In default to comply, the opposite party shall pay interest at 12% p.a. on the said total sum of `12,000/- from the date of this order until compliance is made.
5. In case of default to comply this order, the opposite parties shall undergo imprisonment and also liable for fine under section 27 of the C.P.Act, 1986.
6. Give the copies of this order to the parties, as per Rules.

(Dictated to the Stenographer transcribed, typed by her, transcript corrected by us and then pronounced in open court on this the 19^h August 2016)