PER SHRI.S.M.SHEMBOLE, HON’BLE PRESIDING MEMBER 

1.         This appeal is an exception to the judgment and order dated 30/07/2001 passed by District Consumer Forum, Nagpur in CC No.364/2000.

2.         Brief facts giving rise to this appeal are that:-

            The appellant is a Co-operative Housing Society registered under Co-operative Act. It runs a business of selling the plots. On 09/12/1997 respondents / original complainants agreed to purchase plots and became a member of the appellant society. As per bylaws of the society, they become member of the society by purchasing the 25 shares of Rs.10/- each and deposited an amount of Rs. 50,000/- each with the appellant towards the price of plots. It was agreed by the appellant society to allot the plot to the respondents/original complainants from the land bearing Kh. No.82/1, Mouza- Babulkheda, Tahsil & District Nagpur. But, appellant failed to allot the plot to the respondents / original complainants. On 22/10/1999 the respondents / original complainants by notice demanded their share amount and deposit amount. But the appellant did not comply with the notice. Therefore, respondents / original complainants made complaint before the Consumer Forum, Nagpur.

3.         In response to the notice, appellant / opponent society appeared before the District Forum, Nagpur and resisted the complaint by submitting written version contending inter alia, that the amount which was deposited with the society, is invested by the society to purchase of land for their members. But the litigations started between land owner and society. It is further contended that, the amount of share capital cannot be refunded unless share certificate are returned to the society and apply for cancellation of shares to the society. However, they shown their willingness to repay the deposited amount and initially issued cheque of Rs. 10,301/- each to the complainant / respondent No. 1, 2 & 3. 

4.         On hearing both the sides and considering the evidence on record, the District Consumer Forum, Nagpur allowed the complaint and directed the appellant society to repay an amount of Rs. 50,351/- each to the complainants/respondents with interest at the rate of 12% w.e.f. from the date of deposit of the amount.

5.         Feeling aggrieved by the said judgment and order, the opponent society came in the appeal.

6.         We heard Ld. Counsel for both the sides before admission and perused the record, specifically the copy of impugned judgment and order.

7.         It is submitted by Mrs. Anuradha Deshpande, Ld. Counsel for the appellant that, the appellant could not repay the deposit amount as well as share amount to the respondents/complainants as the dispute started between the land owner and society. For the same reason also the society could not allot the plots to the complainants / respondents. However, the appellant society was ready and willing to repay the amount of shares to the complainant subject to condition that the complainants / respondents shall return the share certificates with an application for cancellation of the membership. But complainants/ respondents have not returned the share certificates. 

8.         She has further submitted that even though the society has shown its willingness to repay the amount of deposit by installment and accordingly issued the cheque of Rs.10,301/- each to the complainants / respondents but complainants / respondents have not presented the cheque for encashment in the bank etc. It is submitted that the society has not committed any deficiency in service and therefore, complaint is not at all tenable. But District Consumer Forum, Nagpur on considering all the facts, allowed the complaint.

9.         Per contra Mr. Gaydhani, Ld. Counsel for the respondents / complainants denied the submission of Ld. Counsel for the appellant and submitted that though the appellant society has cancelled the membership of the complainants / respondents on 07/08/1998 by letter dated 10/08/2000, an amount of shares and deposits has not been repaid. The appellant society neither complied with the notice nor replied the notice which was given by the complainants / respondents. Further, it is submitted that though the appellant society issued the cheque of Rs. 10,351/- each to the complainants / respondents, it was necessary for the appellant society to refund the amount in lum sum therefore, the respondents did not encash the cheque, etc.

10.       Thus, according to Ld. Counsel for the respondents, appellant society has committed deficiency in service and therefore, complainants / respondents were compelled to lodge the complaint.  He has further submitted that, the litigation between the society and land owner started in the year 1982 and therefore it has no relevance to the dispute, in question. Thus, he has supported the impugned judgment and order and submitted to dismiss the appeal.

11.       Since, undisputedly the appellant society has neither to complied the demand notice dated 22/10/1999 of the complainants nor it was replied by the appellant society, we find no merit in the submission of Ld. Counsel for the appellant. When the dispute started since prior to accepting the deposits from the respondents / complainants & the appellant society could not allot the plots to the respondents / complainants within the reasonable period, it was necessary for the appellant society to repay an amount of share as well as the deposits to the respondents / complainants.

12.       Considering all these facts, the District Consumer Forum has rightly allowed the complaint. We are have given anxious consideration to the facts of the case and arguments advanced by both the sides. We find no infirmity or any illegality in the impugned judgment and order. Hence, no interference is warranted.

13.       In the result, the appeal is being devoid of any merit deserves to be dismissed summarily. 

            Hence the order…

1)                 Appeal is summarily dismissed.

2)                 No order as to cost.

3)                 Inform the parties accordingly.