Karnataka

Chitradurga

CC/80/2014

R.Lakshmidevi W/o. S.Thipperudra Reddy - Complainant(s)

Versus

The Managing Director, Great Way Shopping (P) Ltd., - Opp.Party(s)

D.K.Shila

21 Sep 2015

ORDER

   COMPLAINT FILED ON :17/09/2014

              DISPOSED ON: 21/09/2015

 

BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, CHITRADURGA

 

CC. NO. 80/2014 DATED:21st  September 2015

 

PRESENT :-     SRI. T.N. SREENIVASAIAH      PRESIDENT                                      B.A., LL.B.,

                        SRI.H.RAMASWAMY                MEMBER

                                B.Com., LL.B.,(Spl.)

                        SMT.G.E.SOWBHAGYALAKSHMI           

                                B.A., LL.B.,                       MEMBER

 

COMPLAINANTS	1. R. Lakshmidevi,          W/o S. Thipperudra Reddy   2. S. Thipperedra Reddy,     S/o Sannappaiah,     Driver in APMC, Challakere      Both are R/o II Cross,    4th Main, IUDP Layout,    Chitradurga.   (Rep by Sri. S. Anjaneyalu,  Advocate)
OPPOSITE PARTIES	1. Great Way Shopping (P) Ltd., represented by its Managing Director, Flat No.406, 4th Floor, Ratna Complex, Beside Image Hospital, Ameerpet, Hyderabad-500018. 2.  Great Way Shopping (P) Ltd., by its Director Shrishaila A Hooli, H.No.B/49, Azad Co-operative Housing Society, Hindalaga Taluk, Belagavi District. (Rep by Sri. N.S. Shamasundar, Advocate)

SMT.G.E. SOWBHAGYALAKSHMI, MEMBER.

ORDER

 

The above said complaint has been filed by the  complainants U/s 12 of C.P. Act 1986 seeking reliefs to direct the Opposite Parties (herein called OPs) to return the complainants sale consideration amount of Rs.2,58,000/- with interest at the rate of 18% p.a from 28.02.2010 to till the date of realization and to direct the OPs to pay the compensation of Rs. 5,00,000/- towards mental agony and to grant the cost and such other reliefs.

 

 2.    Brief facts of the complaint is that, OP is a registered company under the company's Act, 1958 and is having its registered office at the cause title given address, which is said to have been intended to take up a work of developing laying and selling of residential plots of 1200 sq.ft., each under the name Kubera Fort at Palavvanahally village, Aimangala Hobli, Hiriyur Taluk, Chitradurga District in Re.Sy.No.10/5, 20/1, 20/2, 20/3, 20/4 and 20/5.  Further OP company already take up the said lands through the agreement of sale/sale deeds/and irrevocable General Power of Attorney and is in the process of conversion of the said land into non agricultural purpose, with this assured back ground, the OP company invited the proposed purchasers for the said residential plots, from General Public by its advertisement and also through its agents. 

 

3.     The complainants believing the OPs assurances, agreed to purchase two plots measuring 1200 sq.ft., each for a fixed valuable consideration of Rs.1,29,000/- for each plot.  In furtherance of this sale transactions, the complainants have paid entire sale consideration of Rs.2,58,000/- for two plots through two D.D bearing No.004961 and 004962 drawn on ICICI Bank, Chitradurga dated 28.02.2010 each for Rs.1,29,000/-.

 

4.     After receipt of the entire sale consideration through DDs for two plots, evidencing the above sale transaction the OP No.2 as a GPA holder of the OP No.1 has executed an unregistered agreement of sale on 31.08.2012 representing their company in favour of the complainants. 

 

5.     As per the terms and conditions set out in the said sale agreement dated 31.08.2012 the OPs have clearly specifically and unequivocally agreed to execute the registered sale deeds with respect to the two plots measuring 1200 sq.ft. each within six months of the procedural aspects, but it was assured to the complainants only within six months, any how the OPs have managed to add the vogue and ambiguous words of completion of the procedural aspects after the words within six months in the sale agreement. 

 

6.     The complainants have paid entire sale consideration even two years before the execution of the sale agreement though as per the terms and conditions of the sale agreement she has nothing to perform except to get the registered sale deed at their cost, for that also the complainants are ever ready and willing to get the registered sale deed at their cost, as such the complainants  constantly and repeatedly demanded with the OPs and with their agents to perform their part of contract, but the OPs for one or the other reason by their false assurances dragged on the matter till today, without any pin point progress in their work. 

 

7.     The complainants further stated that, the terms and conditions set out in the sale agreement dated 31.08.2012 executed by the OPs in favour of the complainants are twisted, evasive and are against to the real facts and have mentioned by the OPs according to their whims and fancies by taking undue advantage of the complainants innocence and ignorance of the complainants which are not binding on these complainants.

8.     The complainants are middle class people since from four long years with lot of hopes, dreams and ambition to have residential sites, invested huge amount of Rs.2,58,000/- with great risk, as such the complainants repeatedly forced to know the progress of the OPs work with respect to the allotment of plots but now a days the OPs and their agents used to give evasive ambiguous and irresponsible answers and are trying to avoid their responsibility towards the complainants and their sale transactions.

 

9.     The OPs are said to be the registered company with an intention to deal with the public by his assurances and promises to provide residential plots for price, obviously it should have utmost bound and duty responsibility towards the public and their money, OPs must adopt fairness, promptness sincerity honest and punctuality in practicing with his trade and business instead of this the OPs just to knock of the public money including the complainants by his unfair dishonest defective and deficient trade practice and service misused the public and complainants trust and their money, hence this complaint.

 

10.   The cause of action arose on and from 28.02.2010, 31.08.2012, 02.09.2013 and on various occasions and finally on 18.07.2014 at Chitradurga within the jurisdiction of this Hon'ble Forum and prayed for allow the complaint with cost. 

              

11.   On service of notice OPs appeared through their Advocate and filed version stating that, the constitution of company of OP and its intention is to form layouts is not in much dispute.  The approach of the OP towards general public is purely based on conditions imposed by it and voluntarily agreed to the same by the public.  The complainants have approached the OPs voluntarily.  As admitted by the complainants the process of development of residential plots and layout is in progress. 

 

12.   No false assurances are given by the OPs to the complainants.  The transaction between the complainant and the OPs is purely based on agreements of sale and this Forum has no jurisdiction to adjudicate the matter alleged by the complainants.  Contract between the parties cannot be subject matter for decision before the Hon'ble Forum. 

 

13.   The alleged agreement dated 31.08.2012 and alleged payment on 26.02.2010 both are barred by limitation to seek any kind of relief before this Forum.

 

14.   It is false the wordings used in the agreement dated 31.08.2012 are vague, the complainants are parties, and have signed the agreement voluntarily are stopped from pleading otherwise.

 

15.   The enforcement of contract is outside the purview of this Hon'ble Forum.  All other allegations made against the OPs are denied.

 

16.   It is false that the OPs have intentionally and deliberately have not performed their part of contract.  All these allegations can be agitated only in a suit before a Civil Court not in the complaint before the Forum.

 

17.   Agreement of sale and its due performance is outside the purview of the Forum.  It is false that OPs have dragged the matter without any reasons. 

 

18.   The OPs does not know about the status of complainants.  Complainants are well educated.  Complainant No.2 is a Government Employee.  All other allegations are false.

 

19.   There is no cause of action against the OPs and the one alleged is false and the complaint is barred by time. 

 

20.   Without prejudice to the contentions of OPs, the OPs are working with every responsibility to complete the project of forming layout.  In view of litigations, official red tapism and other reasons beyond the control of OPs, there is some delay in completing the project.  Documents are produced to show the progress.  The complainants are not entitled to any of the reliefs and prayed for dismissal of the complaint with cost. 

    

 21. Complainant No.1 herself examined as Pw-1 by filing affidavit evidence and filed 10 documents, the same were got marked as Ex A-1 to A-10.

 

        22. On behalf of OPs one Shrishaila A Hooli, the Director of OP No.2 company examined as DW-1 by filing affidavit evidence and filed 9 documents, the same were got marked as Ex.B-1 to B-9.   

 

        23. Heard the arguments.

 

24.   Now the Points arise for our consideration for the decision of the complaint are that:-

 

Point No.1:- Whether the complainants prove that they agreed to purchase two plots measuring 1200 sq.ft., each for a fixed valuable consideration of Rs.1,29,000/- for each plot from the OPs.  In furtherance of this sale transactions, the complainants have paid entire sale consideration of Rs.2,58,000/- for two plots through two D.D bearing No.004961 and 004962 drawn on ICICI Bank, Chitradurga dated 28.02.2010 each for Rs.1,29,000/- to OPs?

 

Point No.2:- Whether the complainant proves that, OP No.2 has executed an agreement of sale on 31.08.2012 representing their company in favour of the complainants and as per the sale agreement till today OPs have not executed the sale deed in favour of the complainants, thereby OPs have committed deficiency of service and unfair trade practice and complainants entitle for the reliefs?

 

Point No.3:- What order?

       

25. Our findings on the above points are as below.

 

        Point No.1:- Affirmative.

        Point No.2:- Partly Affirmative.

Point No.3:- As per the final order.

 

                                ::REASONS::

 

       26. Point Nos. 1 & 2:-  We like to discuss the points No.1 & 2 simultaneously for the sake of convenience and since they are connected.  It is not in dispute that the OPs  company is registered under the company's Act 1958 and is having its registered office and the said company has been intended to take up a work of developing laying and selling of residential plots of 1200 sq.ft.,  each under the name Kubera Fort at Palavvanahally village, Aimangala Hobli, Hiriyur Taluk, Chitradurga District in Re.Sy.No.10/5, 20/1, 20/2, 20/3, 20/4 and 20/5.  The OP company already take up the said lands through the sale deeds and irrevocable G.P.A and invited the proposed purchasers by its advertisement and also through its agents.  It is not in dispute that the complainants have paid entire sale consideration of Rs.2,58,000/- for two plots through two DDs bearing No.004961 and 004962 drawn on ICICI Bank, Chitradurga dated 26.02.2010 each for Rs.1,29,000/-.  It is not in dispute that after receipt of entire sale consideration OP No.2 has executed an agreement of sale on 31.08.2012 representing their company in favour of the complainants.  It is only in dispute that the OPs have received the entire sale consideration of Rs.2,58,000/- from the complainants even two years before the execution of the sale agreement till today OPs have not come forward to allot the two plots and to execute the registered sale deeds in favour of the complainants.  It is only in dispute that the complainants demanded the OPs and their agents to perform their part of contract but, the OPs for one or the other reasons dragon the matter till today and the complainants repeatedly forced to know the progress of the OPs work with respect to the allotment of plots but, now a days the OPs and their agents used to give evasive ambiguous and irresponsible answers and on trying to avoid their responsibility towards the complainants and their sale transactions.  Due to the act of the OPs complainants suffered mentally, physically and financially, thereby OPs have committed unfair trade practice and deficiency in their service. 

 

27.  To prove their case, complainant No. 1 herself examined as PW-1 by filing affidavit evidence in which she has reiterated the contents of complaint and relied on documents got marked as Ex.A-1 to A-9.  Ex.A-1 and Ex.A-2 are sale agreements dated 31.08.2012 executed in favour of the complainants by the OPs.  Ex.A-3 two consenting letters dated 20.05.2010.  Ex.A-4 and Ex.A-5 two progress intimation letters dated 04.02.2011 and 18.07.2011 respectively issued by the OPs to complainant No.1, Ex.A-6 two temporarily receipts issued by the OPs to complainant No.1, Ex.A-7 two application forms, Ex.A-8 legal notice and Ex.A-9 two RPAD postal receipts and two acknowledgements.

 

28.  On perusal of the Ex.A-1 and Ex.A-2 agreements dated 31.08.2012 shows the said two agreements between 1^st OP's GPA holder i.e., OP No.2 and complainants.  Ex.A-1 and Ex.A-2 agreement terms and conditions No.2 shows:

 

"The first party shall allot the said residential plot to the second party within six months after completing all the procedural aspects like conversion of lands to non-agricultural use, layout of plots and demarcation etc.  Ex.A-3 two consenting letter issued by the OP No.1 to complainant No.1, Ex.A-4 and Ex.A-5 progress intimation letters dated 04.02.2011 and 18.07.2011 issued by the OP No.1 to complainant No.1.  It shows OPs have been purchased to the extent of 37 Acres of land situated at Palavvanahally village, Aimangala Hobli, Hiriyur Taluk, Chitradurga District through sale agreements, GPA's and sale deeds.  All the lands are taken position".

 

29.  As per Ex.A-5 on the progress made as on 15^th July 2011 and the OPs taken position of lands to forming layout.  Ex.A-6 two receipts dated 28.02.2010 given by the OPs to complainant No.1.  It shows OPs received sum of Rs.1,29,000/- each through DDs dated 26.02.2010 drawn on ICICI Bank at Chitradurga Branch, it is not in dispute.  Ex.A-7 two application form.  It shows the complainant No.1 applied for plot to the OP company, it is not in dispute.  Ex.A-8 legal notice shows the complainant No.1 issued the legal notice through her advocate on 18.07.2014 and called upon the OPs to execute the registered sale deed with respect to two plots measuring 1200 sq.ft., each as per the sale agreement dated 31.08.2012 or refund the amount of Rs.2,58,000/- with 18% interest p.a from the date of 26.02.2010 till the payment within 15 days from the date of service of this notice.  Ex.A-9 postal acknowledgments shows legal notice issued by the complainants through her advocate to OPs duly served but, OPs have not replied the complainant's legal notice. 

 

30.  On the other hand, to prove the contention taken by the OPs, OP No.2 its Director Shrishaila A. Hooli S/o Appanna r/o Belagavi, examined as DW-1 by filing affidavit evidence in which reiterated the contents of version and relied on documents got marked as Ex.B-1 to Ex.B-9.  Ex.B-1 to Ex.B-3 true copy of the registered sale deeds dated 25.10.2014, Ex.A-4 to Ex.A-9 letter issued by the Deputy Commissioner Office, Chitradurga dated 18.07.2012.  Nos. ALNCR 312/2013-14 to No. ALNCR 316/2013-14.  It reveals that the lands sy.No. 20/2, 5-32 Acres, Sy.No.20/1, 4-Acres, Sy.No.20/6, 3-30 Acres, sy.No.20/5, 2-Acres, Sy. No.20/4, 09-04 Acres, Sy.No.10/7, 6-35 Acres situated at Palavvanahally village, Chitradurga District are alienated and converted as non-agricultural purpose imposing some conditions.  The condition No.11 of the above order discloses that, "¨sÀÆ ¥ÀjªÀvÀð£É ¢£ÁAPÀ¢AzÀ ªÀÄÄA¢£À 3 ªÀµÀðzÀ M¼ÀUÁV ¨sÀÆ ¥ÀjªÀvÀð£ÉAiÀiÁzÀ GzÉÝñÀPÉÌ G¥ÀAiÉÆÃV¹PÉƼÀî¢zÀÝ ¥ÀPÀëzÀ°è F DzÉñÀ vÀAvÁ£É gÀzÀÄÝUÉƼÀÄîvÀÛzÉ".

 

31.  On perusal of the Ex.A-4 to Ex.A-9 No.ALNCR 312/2013-14 to ALNCR 316/2013-14 dated 18.07.2012 shows the alienation order passed by the Deputy Commissioner on 18.07.2012 as per the condition No.11 reveals that from the date of alienation order within three years the said lands are used for non-agricultural purpose.  If fails to use the said lands, that purpose i.e., non-agricultural purpose or which purpose the lands are alienated, the order is automatically concealed.  On carefully verifying the Ex.B-4 to Ex.B-9 order dated 18.07.2012 condition No.11 shows without forming layout within three years i.e., 18.07.2015 the order is concealed automatically.  Complainant No.1 issued legal notice to OPs through their counsel on 18.07.2014, the same was served to OPs, till today, OPs have not replied to the said notice and they have not come forward to refund the amount paid by the complainants on 26.02.2010 and they have not intimated the progress of forming layout and they have not ready to register the two plots to the complainants.  It is clearly shows that OPs have committed unfair trade practice and deficiency of service towards the complainants. 

 

32.  On perusal of the entire case records and documents it is clearly shows that the complainants No.1 and 2 have paid the entire sale consideration amount of Rs.2,58,000/- to OPs to purchase of two plots measuring 1200 sq.ft., each through two DDs bearing No.004961 and 004962 drawn on ICICI Bank, Chitradurga dated 26.02.2010 each for Rs.1,29,000/- and the OP No.2 executed an agreement in favour of the complainants on 31.08.2012 representing their company.  OPs have admitted the execution of agreement and received an amount of Rs.2,58,000/- from the complainants.  OPs have taken contention that, the  complaint is barred by time and there is no cause of action and there is no deficiency of service and unfair trade practice.  The OPs are working with every responsibility to complete the project of forming layout.  In view of litigations, official redtapism and other reasons beyond the control of OPs, there is some delay in completing the project and the complainants are not entitled to any reliefs.  OPs have admitted in their version at para 14 that, "there is some delay in completing the project".  OPs themselves admitted that there is some delay in completing the project.  It is clearly shows that the OPs have committed unfair trade practice towards complainants and committed deficiency in their service.  OPs received the amount from complainants on 26.02.2010 till today they have not forming layout.  OPs have not produced any documents to show that they have completed 50% or 75% of the project work.  Only for the purchase of lands and conversion of land for alienation is not sufficient to show that the OPs have not committed unfair trade practice and deficiency in their service towards complainants.  OP No.2 Director DW-1 deposed that, the constitution of company of OPs and its intention to form layouts and sale the sites to the public.  The public voluntarily approached the company and abide the conditions and entered into a contract.  The complainants approached the OPs to purchase sites.  The attitude of the OPs shows that they have not forming layouts and sale the sites to public as early as possible.  Complainants lost their hopes to get the sites from OPs because they have paid the site amount to OPs on 26.02.2010 till today OPs have not inform the progress for forming layout.  OPs received the amount from complainants since last five years.  So, non informing the progress details to the consumer i.e., complainants till today that's why complainants lost the confidence from the OPs to get the plots.  The acts of OPs is not fair.  It is clearly shows that OPs have committed unfair trade practice and deficiency in their service.  Therefore, OPs are liable to pay sum of Rs.2,58,000/- with interest at 9% p.a from 26.02.2010 till the payment to the complainants.  Complainant No.1 and 2 are entitle for sum of Rs.1,29,000/- each along with interest at the rate of 9% p.a from 26.02.2010 till the payment and complainant Nos.1 and 2 are also entitle for sum of Rs.20,000/- each towards mental agony and Rs.5,000/- each towards cost of this proceedings.  Hence, we have not agitate to answer the Point No.1 held as affirmative and Point No.2 is held as partly affirmative. 

 

33.   Point No.3:- As discussed on the above points and for the reasons stated therein, we pass the following.

 

ORDER

It is ordered that complaint filed by the complainants U/Sec.12 of the C.P. Act, 1986 is hereby partly allowed.

It is further ordered that the OPs 1 and 2 are jointly and severally liable to pay sum of Rs.2,58,000/- to the complainants.  The complainant Nos.1 and 2 are entitled for sum of Rs. 1,29,000/- each along with interest at the rate of 9% p.a from the date of paying the site amount i.e., 26.02.2010 till the date of realization. 

 

It is further ordered that OPs are directed to pay sum of Rs.20,000/- each towards mental agony and Rs.5,000/- each towards cost of this proceedings to the complainants . 

 

It is further ordered that OPs are directed to pay the amount of Rs.2,58,000/- along with interest at 9% p.a to the complainants within two months from the date of this order. 

 

Accordingly complaint is partly allowed.

 

        (This order is made with the consent of President and Member after the correction of the draft on 21/09/2015 and it is pronounced in the open Court after our signatures.)

 

 

MEMBER                 MEMBER                         PRESIDENT

 

:ANNEXURES:

Complainant by filing  affidavit evidence taken as PW-1.

Witness examined on behalf of Complainant:

                                                -Nil-

On behalf of OPs one Shrishaila A. Hooli S/o Appanna Director, examined as DW-1 by filing affidavit

evidence Witnesses examined on behalf of OPs:

-Nil-

Documents marked on behalf of complainant:

01	Ex-A-1 & 2:-	Sale agreements dated 31.08.2012 executed in favour of the complainants by the OPs
02	Ex-A-3:-	Two consenting letters dated 20.05.2010.
03	Ex-A-4 & 5:-	Two progress intimation letters dated 04.02.2011 and 18.07.2011 respectively issued by the OPs to complainant No.1
04	Ex-A-6:-	Two temporarily receipts issued by the OPs to complainant No.1
05	Ex-A-7:-	Two application forms
06	Ex-A-8:-	Legal notice
07	Ex-A-9:-	Two RPAD postal receipts and two acknowledgements.

 

Documents marked on behalf of Opponent:

01	Ex-A-1 to 3:-	True copy of the registered sale deeds dated 25.10.2014
02	Ex-A-4 to 9:-	Orders dated 18.07.2012 passed by the DC, Chitradurga.

 

 

MEMBER               MEMBER           PRESIDENT

 

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