Ankur Sahakar Griha Nirman Sanstha vs Shivram Dattatraya Parasnaik

FIRST Appeal No. 1 of 1994 is directed against the order dated 12.11.93 passed by the Maharashtra State Consumer Disputes Redressal Commission, Bombay in Case No. 93/92.

THE appellant herein (opposite party in the original complaint) is a Co -operative Housing Society for the staff members of the Bombay Electricity Service and Transport Undertaking (BEST) registered under the Maharashtra Co -operative Societies Act. The complainant, who was a member of the Society filed a complaint before the State Commission alleging that though he had paid Rs. 71,510/ - to the opposite party for booking a flat, he was not given the flat till he filed the complaint; he, therefore, claimed for the refund of the said amount with interest @ 21% per annum. During the pendency of the complaint the opposite party refunded to the complainant a sum of Rs. 70,000/ -. The State Commission, in a brief order directed the opposite party to refund the balance amount of Rs. 1,510/ - alongwith interest on the total amount of Rs.71,150/ - for a period of three years preceding the date of filing of the complaint till realisation and Rs. 100/ - by way of costs. Aggrieved by this order, the opposite party has filed the present appeal before us. The appellant has also filed certain documents regarding default in the payment of instalments by the respondent complainant, the proposed Annul General Body Meeting which would give the latter an opportunity to explain his position and the final action of removing him from the membership of the Society after he explained his position in his letter of resignation dated 7.2.92.

THE main points in the appeal are, (i) the respondent should move the Co -operative Court under the relevant provisions of the Maharashtra Co -operative Societies Act, 1960; (ii) the appellant Society is a limited Society and as such is not in the business of construction for earning profit; (iii) no time limit was fixed for handing over possession of the accommodation to the members, as the Society had to depend on getting the land from the B.E.S.T.; (iv) whatever amount was required to be spent for construction was collected from the members even at the enhanced rate and the respondent was unable to pay the required sum and became a defaulter; and (vi) the Society was not bound to pay any interest to a member who voluntarily withdraws his membership.

WE have carefully gone through the available records and heard the Counsel for the appellant. The respondent did not make his appearance either in person or through a Counsel or authorised representative when the case came up for final hearing on 13.3.97. It appears that the respondent was unable to pay further instalment despite communication from the Society asking him to deposit the same and voluntarily resigned from the membership. The Counsel for the appellant filed a copy of the Bye -laws of the Society. It is seen from the letter dated 1.4.92 sent to the respondent by the appellant Society that the meeting of the General Body on 14.2.92; (i) unanimously passed a resolution to remove members who are defaulters; (ii) accepted the resignation of the respondent but refused to pay interest; and (iii) passed the resolution to refund money without interest to those who have submitted resignation. There is also no mention in the Bye -Laws about payment of interest to members who resign or withdraw from the Society in a situation as in the instant case. In the light of the aforesaid, we do not find any deficiency of service on the part of the appellant Society.

WE are of the opinion that in the matter of payment of interest, the respondent may seek his remedy if he so desires in any other appropriate Forum. We, therefore, set aside that part of the State Commission''s order pertaining to payment of interest to the respondent. We, however, confirm the State Commission''s directions to the appellant to refund the balance amount of Rs. 1,510/ - to the respondent. The Appeal is disposed of as above. There is no order as to costs. Appeal disposed of.