Honorary Secretary Elegance Members Associationcomplaina vs M S Prarthana Construction Company Pvt Ltd

THIS complaint in our view can best be tried in a Civil Court. Complainant Elegance Members Association, a registered body comprising of the flat buyers of the Elegance Tower in a Housing Complex which was being developed by Prarthana Construction Company Pvt. Ltd., opposite party No. 1 under an agreement with M/s. Koras Properties Pvt. Ltd., opposite party No. 2 owners of the land. There are five other opposite parties and their role is alleged to the publicity etc. Land was purchased by Koras Properties for Rs. 2.53 crores. Thereafter an agreement was entered into between the Koras Properties and Prarthana Construction for development of the housing complex containing various facilities. Members of the complainant entered into an agreement for purchase of the flats in the Elegance Tower and various payments made. It is stated that Prarthana Construction took loan of Rs. 1.5 crores to finance cost of construction of the project. THIS amount was guaranteed by Koras Properties by Security of the land on which project was to be constructed. Further allegations are that respondents could not complete the construction and they decided to hand over the possession of the incomplete project to flat buyers who constituted the association called Elegance Members Association, complainant herein and got the association registered. A memorandum of understanding was signed between the parties, terms of which had been set out. Disputes continued to exist between the parties and it is not necessary for us to detail all these disputes except to record the reliefs claimed by the complainant. These are (i) payments of Rs. 1.55 crores with details as under :

In lacs (a) To settle the external in -complete work carried out by the Association to the tune of Rs. 60.00 (b) Work to be carried out by the Association as per your commitment and promises Rs. 70.00 (c) Amount collected by you from Members towards A.E.C. Legal and Allied charges to be paid to Asso -ciation as Association has incurred these expenses Rs. 3.00 (d) A Amount towards common work within the premises of the members not carried out by you as per details given by the members(Rupees one crore and fifty five lacs only)Total Rs. 22.00 Rs. 155.00" (ii) To hand over complete project including the land and building without any riders and free from all encumbrances and liabilities created by taking loan from HDFC in accordance with MOU signed on 17th November, 1999; (iii) to hand over all the legal documents concerning the project; (iv) compensation of Rs. 2.00 lakhs to each of the members of the association for loss of mental peace and harassment suffered by each of the members of the complainant; (v) compensation for negligence, lack of care etc. at 30% of all the dues; (vi) escalation cost at 25% of the cost of the project; (vii) cost of Rs. 15.00 lakhs with 15% interest, Rs. 3.5 lacs as expenses incurred in having various meetings with the opposite parties; and (viii) legal cost of Rs. 50,000/ -.

COMPLAINT is accompanied with the documents containing general terms and conditions for the scheme of the project, publicity materials, memorandum of understanding dated 17th September, 1999 and other documents. It is certainly not a case which can be decided in our summary jurisdiction. It requires great deal of evidence both oral and documentary and raises complex questions of law and facts. We would, therefore, reject this complaint and leave the complainant to pursue its remedy before a Civil Court or before any other appropriate Forum. Our rejection of the complaint will certainly not come a bar for the complainant in pursuing its remedy in Civil Court. Complaint dismissed.