DEVRAJ vs SARVAJAN KALYAN SAMITI

THE complainant as well as the opposite party, a Housing Co-operative Society aggrieved of the order dated 20.10.1997 passed in Case No. 296/96 by the District Consumer Disputes Redressal Forum, Indore (for short the ''District Forum'') have filed their separate appeals.

FACTS giving rise to the case are thus : the Sarvajan Kalyan Samiti (for short "Samiti") invited applications for sale of plot near Phooti Kothi in the name and style of Dwarkapuri Colony after its full development. The complainant on the assurance and advertisement deposited the full price of the plot of size and area 1,000 sq. ft. Rs. 10,560/- on different dates, but, the plot was not allotted to the complainant. Therefore, the complaint was filed. After notice, the opposite party did not file written statement and, the case, proceeded ex parte. The District Forum after appreciation of evidence on record found deficiency in service and ordered the opposite party to allot any one plot of the area of 1,500 sq. ft. in the said locality. In default to pay interest at the rate of 18% per annum from 6.8.1996 on the amount of Rs. 10,560/- and also to pay compensation of Rs. 50,000/- for escalation in the cost of the plot and construction, Rs. 500/- was awarded as costs of the proceedings. The complainant submits that the cost of the plot now is more than Rs. 4 lacs, therefore, besides interest on the amount of Rs. 10,560/- at the rate of 18% per annum from the date of last deposit, that is 18.3.1988 the compensation of atleast Rs. 3 lacs as claimed ought to have been awarded.

Learned Counsel for the Samiti, submits that the complaint was barred by time and that the Samiti was not afforded a reasonable opportunity to defend the case. The award of interest and compensation is not only excessive but in the circumstances of the case is illegal.

THE contention that the Samiti was not afforded reasonable opportunity of hearing is meritless. On going through the record of the case, we find that the full opportunity was afforded to the Samiti for filing their defence version, but, inspite of grant of opportunities the written statement was not filed. THErefore, the case was fixed for recording of evidence of the complainant on 6.3.1997. THE opposite party, did not appear on 6.3.1997 and 9.4.1997. On 5.8.1997 the opposite party again sought one more opportunity to file defence version which was granted and the case was adjourned to 7.10.1997, but on 7.10.1997 also the written statement was not filed. THErefore, the right to file defence version was closed and the arguments were heard. The contention that the complaint was barred by time is also of no substance as the Samiti did not allot the plot. Till the plot is allotted or any other action is not taken adverse to the rights of the complainant cause of action continues. See the decision of the Supreme Court in case of Lata Constructions & Ors. v. Dr. Ramesh Chandra, III (1999) CPJ 46 (SC)=X (1999) SLT 77=1999 (2) CCON.C 143 (NS).

THE amount of interest at the rate of 18% per annum is legal and proper, however, it ought to have been awarded on the amount of Rs. 10,560/- from the date of the last deposit, that is 18.3.1988 for which the District Forum has not assigned any reason. The compensation of Rs. 50,000/- awarded in the circumstances of the case for escalation in the cost of the plot and construction is also excessive. The ends of justice would meet if the amount is reduced to Rs. 25,000/-. In view of the above we direct the Samiti to allot the plot as ordered by the District Forum, in failure of that to return the amount of Rs. 10,560/- with interest at the rate of 18% per annum from the date of last deposit, i.e. 18.3.1988 till payment with the compensation of Rs. 25,000/- and the costs as awarded by the District Forum. The Samiti shall comply the order within a period of two months from the date of receipt of certified copy of this order.

IN view of the above the order of the District Forum shall stand substituted as indicated hereinabove. Appeals shall stand disposed of with no order as to costs. A copy of this order be conveyed to the parties and a copy be sent to the District Forum alongwith the record of the case. Appeals disposed of.