DISTRICT CONSUMER DISPUTES REDRESSAL FORUM, SAHIBZADA AJIT SINGH NAGAR (MOHALI)
Consumer Complaint No.230 of 2017
Date of institution: 22.03.2017 Date of decision : 10.08.2017
1. Narinder Pal Singh son of Shri Hakam Singh, resident of 3051, Sector 29-D, Chandigarh.
2. Manu Saroch son of Late Ved Parkash Saroch, resident of 3062/1, Sector 29-D, Chandigarh now resident of 3051, Sector 29-D, Chandigarh.
……..Complainants
Versus
The Sky Rock City Welfare Society, Mohali, Site Office, Sector 111-112, Mohali through its President/Vice President/Secretary/Treasurer/Authorised representative.
………. Opposite Party
Complaint under Sections 12 of
the Consumer Protection Act.
Quorum
Shri Ajit Pal Singh Rajput, President Shri Amrinder Singh Sidhu, Member.
Mrs. Natasha Chopra, Member.
Present: Shri Kulwinder Singh, counsel for the complainants.
Opposite Party ex-parte.
ORDER
By Ajit Pal Singh Rajput, President
Complainants Narinder Pal Singh and Manu Saroch have filed this complaint against the Opposite Party (hereinafter referred to as the OP) under Section 12 of the Consumer Protection Act. The brief facts of the complaint are as under:
2. The OP Society invited applications for becoming its members. The complainants also became member of the OP by submitting application form dated 25.02.2012 and paid Rs.10,000/- towards membership fee vide receipt No.530. For providing residential plots, the OP assured its members about purchase of land in the revenue estate of Mullanpur Part-II, Mohali. The complainants also agreed to purchase 100 sq. yard plot @ Rs.8,000/- per sq. yard from the OP. As per the terms and conditions supplied by the OP alongwith the payment schedule, it was mentioned that if the complainant does not want to continue even after paying some installments, he will be refunded the entire amount paid with 8% interest per annum after three years from the date of requisition. It was further mentioned that the plot will be handed over physically not later than two years of registration/requisition. The complainants paid to the OP Rs.80,000/- vide cheque No.252306 towards first installment and further paid Rs.1,20,000/- vide two cheque Nos.252305 and 245887. The complainants became members of the OP on 25.02.2012 but till date no possession has been handed over to them. However, without obtaining requisite permissions and approvals from the competent authorities, the OP started giving advertisements in the newspapers and also received hefty amounts from its members. The complainants also came to know that CLU granted to the OP had been canceled by the authorities. The OP had received a total amount of Rs.2,10,000/- from the complainanst i.e. more than 25% of the cost of the plot. The OP has enrolled more number of members than the flats available as per the approval and the GMADA has also taken cognizance of this fact and issued public notice in The Tribune on 28.02.2017. Thus, the act and conduct of the OP in receiving the amounts from the complainants is a clear cut case of deficiency in service and unfair trade practice on its part. Hence the complainants have sought direction to the OP to refund them the deposited amount of Rs.2,10,000/- alongwith interest @ 18% from the dates of deposit till realisation; to pay them Rs.5.00 lakhs as compensation for mental harassment and agony and Rs.33,000/- as costs of litigation.
2. Shri Vikas Cuccria, Advocate appeared on behalf of the OP and filed memo of appearance on 27.04.2017 and sought time to file POA/reply. Accordingly, the complaint was adjourned to 06.06.2017 for filing POA and reply. Thereafter, neither the POA/reply was filed nor anyone caused appearance on behalf of the OP. Accordingly, the OP was proceeded against ex-parte vide order dated 12.06.2017.
3. In order to prove the case, the counsel tendered in evidence affidavit of the complainants Ex. CW-1/1; copies of application form Ex.C-1; receipts Ex.C-2, C-4 & C-5; terms and conditions Ex.C-3; and public notice Ex.C-6.
4. The learned counsel for the complainants has argued that despite making more than 25% payment of the total sale consideration of the plot, the possession of the plot has not been handed over to the complainants within the assured period of two years from 25.02.2012. Learned counsel has argued that the GMADA has issued notice dated 28.02.2017 which proves that the OP is indulging in unfair trade practice with the general public as well as the complainants by receiving amounts without having any approvals from the competent authorities. Learned counsel has thus argued that the complainants may be got refunded of their deposited amount alongwith compensation for mental harassment and agony as well as costs of litigation.
5. We have gone through the pleadings, evidence and heard the oral submissions addressed by the learned counsel for the complainants. Against the price of the plot, the complainants had deposited with the OP an amount of Rs.2,10,000/- which is proved from the documents Ex.C-2, C-4 and C-5. When the complainants learnt that the OP does not have the approvals/sanctions from the competent authorities for the project, they requested the OP for refund of the amount. The complainants have proved notice dated 28.02.2017 Ex.C-6 issued by the GMADA which shows that the OP is indulging in unfair trade practice by receiving the amounts from the general public without having necessary approval/sanctions from the competent authorities. It is well settled law as has been held by the Hon’ble National Commission in Kamal Sood Vs. DLF Universal Ltd., 2007 (2) CLT 440 that a builder/developer collecting money from the consumers without having proper and necessary sanctions in its favour from the competent authorities has indulged into unfair trade practice. The facts of the present complaint are squarely covered with the aforesaid decision of the Hon’ble National Commission. As the OP has not filed any reply and evidence to the complaint despite the fact that it had put in appearance through counsel on 27.04.2017 and thereafter not appeared which shows that the OP has nothing to say with regard to the averments of the complainant. The Hon’ble Punjab State Consumer Disputes Redressal Commission in a latest decision in Ms. Sneh Sood Vs. M/s. Bajwa Developers Ltd. in Consumer Complaint No.240 of 2016 decided on 23.02.2017 has ordered refund of the deposited amount of the complainant alongwith interest @ 12% per annum from the different dates of deposit of different amounts till the date of actual refund.
8. Accordingly, in view of our aforesaid discussion, we direct the OP to refund the deposited amount of Rs.2,10,000/- (Rs. Two Lakhs Ten thousands only) to the complainants alongwith interest @ 12% per annum from the different dates of deposit of different amounts, till the actual date of refund. We also find that complainants are entitled to a sum of Rs.25,000/- (Rs. Twenty five thousand only) on account of mental agony due to the negligent act of the OPs and litigation cost of Rs.10,000/- (Rs. Ten thousand only). The present complaint stands allowed.
The OP is further directed to comply with the order of this Forum within 30 days from the date of receipt of this order, failing which the amount of compensation awarded shall carry interest at the rate of 12% per annum from the date of this order till realisation.
The arguments on the complaint were heard and the order was reserved. Now the order be communicated to the parties. Copy of the order be sent to the parties free of cost and thereafter the file be consigned to the record room.
Pronounced
Dated: 10.08.2017
(A.P.S.Rajput)
President
(Amrinder Singh Sidhu)
Member
(Mrs. Natasha Chopra)
Member