ADHIYAMAAN COLLEGE vs MAT APATHY

THIS appeal has arisen against the order dated Is February, 1993 of the State Commission, Tami Nadu, allowing the complaint of ten Complain ants and directing the appellant herein to refund to each of the ten Complainants a sum of Rs. 7,000/- with interest at 12 per cent per annum.

THE appellant College is a private unaided engineering college situated in Hosur, in the State of Tamil Nadu. The ten Complainants were allotted by the Directorate of Technical Education for admission to the said college to the 1st year B.E. Degree Course and they remitted a fee of Rs. 7,000/- each. Later on, they obtained re-allotment and obtained the transfer certificates agreeing to abide by the rules that the fees paid would not be refunded. After getting admissions in other colleges, they filed a joint complaint before the District Forum alleging deficiency in service in the refund of fees, thereby claiming refund of Rs. 7,000/- with interest and a compensation of Rs. 5,000/- each. The State Commission allowed the complaint. The appeal came up for hearing before this Commission on 13.2.1995. The Counsel appearing for the appellant urged that the said college is situated in backward area and primarily intended for the uplift of backward people, however, students from various other parts were allotted to the college and the college has no option but to admit them. Some students, though admitted, do not want to reside and study in backward area and subsequently manage to obtain reallotment to different colleges in cities. This caused serious dislocation to the management and extra unnecessary expense for additional classes for fresh students. To avoid this hardship, the college had taken according to the rules, an undertaking from the students to the effect that in the event of their transfer, they will not claim refund of the) college fees that have been paid. Based on this factual position, the learned Counsel raised several legal objections that there is no consumer dispute within the meaning of Section r 2(1)(e) of the Consumer Protection Act and in If any case there is no deficiency in service etc. This Commission, after some hearing, adjourned the matter to enable the parties to explore possibility of amicable settlement.

THE matter came up for hearing before this Commission on 29.3.1995. The Counsel for the parties agreed before this Commission that; the appellant would refund to each of the ten complainants a sum of Rs. 6,900/- each within two months from that day without prejudice to the appellant''s contentions on the merits and the Counsel for the complainants agreed to it.

LET the sum of Rs. 6,900/- be paid to each of the Complainants within two months. This will not constitute as a precedent nor shall this be construed as constituting our approval of the decision of the State Commission on merits No costs.