This case is coming for final hearing on 05-06-2014 in the presence of Sri V.Yellaji Rao, Advocate for the Complainant and of Sri Lodagala Krishna Advocate for 3^rd Opposite party and Opposite Parties 1, 2 & 4 called absent, set exparte and having stood over till this date, the Forum delivered the following.                                  

: O R D E R :

(As per Smt. K.V.R.Maheswari, Honourable President(FAC) on behalf of the Bench)

1.       The case of the complainant is that on 21.03.2012 people of 2^nd opposite party made a telephone call to the complainant and said that the complainant won some prizes of kitchen wear and a holiday tour and asked the complainant to come and collect the gifts along with his wife and also insisted to come and collect the prizes by telephone.  Then, the complainant went to the office of the opposite parties, they insisted the complainant to sign on certain bond papers saying that they would allot the plot of approved ventures of HUDA at Warangal District and obtained signatures of the complainant’s wife and the complainant. In the absence of complainant, the opposite parties went to the complainant’s house and insisted the wife of the complainant for an amount of Rs.30,000/- then, the wife of complainant paid that amount.  The complainant stated that he came to know about the payment of amount immediately approached the opposite parties and expressed his unwillingness to join as a member and take any plot from the ventures and requested the opposite parties to return the amount of Rs.30,000/-.  The Opposite parties promised to return the said amount within 7 days, but failed to do so.  After so many oral representations, the Complainant addressed a letter on 02.02.2012 for refund of amount and the said notice was received by them, but there was no reply.  Then, finally, the complainant issued a registered lawyer’s notice on 21.02.2012 and the same was received by them but neither paid the amount nor gave any reply to the said notice, which clearly shows their deficiency in service.  Hence, this complaint to direct the opposite parties

a) to pay Rs.30,000/- with 24% p.a. interest

b) to pay Rs.50,000/- towards compensation for deficiency of service besides costs.

2.       On the otherhand, the opposite parties 1, 2 & 4 called absent and set exparte.

3.       The 3^rd Opposite party filed its counter and denied the material allegations mentioned in the complaint and pleaded that there is no deficiency in service on the part of the opposite parties and the complainant not paid the further installments to the opposite parties as such there is no necessity to register the plot in his name.  The opposite parties pleaded that the complaint filed by the complainant is only for the purpose of harassing the opposite parties and there is no cause of action, hence this complaint is to be dismissed. 

4.       At the time of hearing, the complainant filed affidavit along with documents which are marked as Exhibits A1 to A8.  On the otherhand, the 3^rd opposite party filed its counter and affidavit.  No documents are marked on behalf of the opposite parties.  Heard both the counsels reiterated their versions. 

5.       In view of the respective contentions, the point that would arise for determination is:-

          Whether there is any deficiency in service on the part of the opposite party, if so can the complainant entitle for the reliefs prayed for?

6.       As per Exhibit A1 i.e., purchase agreement for club membership and Exhibit A2 its work sheet and Ex.A3 is the receipt issued by the opposite parties for an amount of Rs.30,000/- are not disputed by opposite parties.  Ex.A4 is the letter issued by the 3^rd opposite party on 24.01.2012 i.e., after one day of Ex.A1 i.e., purchase agreement wherein confirmed that the Plot at Janagoan Village, Warangal District, Hyderabad, will allotted to complainant after completion of the total payment.  In Ex.A1 it was clearly mentioned that the purchase agreement for club membership. Even though there is a clause of none refund of membership amount and in the 3^rd page of terms and conditions, fourth condition mentioned about the forfeiture clause, there was no letter issued by the opposite parties regarding the forfeiture of the amount paid by the complainant.  Moreover, upon the insistence made by the opposite parties, the complainant joined as a member by paying Rs.30,000/-.  Immediately, after next day, he insisted the opposite parties for return of amount and also issued letters i.e., Ex.A5 and Ex.A7 lawyer’s notice regarding the refund of amount made by him.  But the opposite parties neither replied nor refund the amount even after acknowledged those two notices i.e., Ex.A6 and Ex.A8.  In Ex.A4 the opposite parties clearly mentioned about the allotment of plot, but they neither allotted the plot nor refund the amount, moreover not issued any letter regarding the balance payment or forfeiture of the amount made by the complainant.

6.       The opposite party No.3 in person present before the Forum and stated that they are ready to pay Rs.30,000/- without interest.  The Opposite parties failed to allot the plot by collecting the balance amount from the complainant or refund the amount to the complainant as promised is injustice. The Opposite parties insisted the people to join in their club by taking huge amounts and after that they failed to provide the facilities to their members even as per the terms and conditions which clearly show the deficiency in service on their part.  Moreover, they received the notice issued by the complainant and kept quite by not settling the issue which clearly shows their negligent attitude of the opposite parties.  Hence, they are liable to refund the amount of Rs.30,000/- with 9% interest which would be just and proper from 23.01.2012.    

7.       The interest claimed by the complainant is on higher side, hence allowing interest at 9% p.a. from the date of order is just and proper. Because of the false promises made by the opposite parties and insistence regarding the membership and non-allotment of plot, the complainant must have suffered financial hardship and mental agony. Hence, allowing compensation of Rs.5,000/- would be just and proper. 

          Accordingly, this point is answered holding that the opposite parties are liable to refund the amount of Rs.30,000/- with interest at 9% p.a. from 23.01.2012 till the date of payment besides compensation of Rs.5,000/-.

8.       In the result, the complaint is allowed directing the opposite parties to refund the amount of Rs.30,000/- with interest at 9% p.a. from 23.01.2012 to the complainant within 3 months, failing which to pay the same with 12% p.a. interest till the date of payment.  The opposite parties are further directed to pay Rs.5000/- towards compensation besides costs of Rs.1,500/-.

Dictated to the Shorthand Writer, transcribed by her, corrected and pronounced by us in the open Forum on this the 13^th day of June, 2014.

   Sd/-                                                                        Sd/-

Member                                                                 President (FAC)

                                                                   District Consumer Forum-I

                                                                            Visakhapatnam

Consumer Complaint No:183/2012

APPENDIX OF EVIDENCE

Exhibits Marked for the Complainant:

Exhibits Marked for the Opposite Parties:

- NIL -

 Sd/-                                                                  Sd/-

Member                                                     President (FAC)

                                                        District Consumer Forum-I

                                                                  Visakhapatnam