M.P.RAJYA BEEJ EVAM FARM VIKAS NIGAM vs BHAVAR SINGH

THIS appeal is directed against the common order dated 28.5.1999 passed in Complaint Case Nos. 21/1992 and 154/1998 by the District Consumer Disputes Redressal Forum, Vidisha (for short the ''District Forum'').

IT is not disputed that the respondent No. 1 purchased 2 quintals of seeds of soyabean from the appellant at the rate of Rs. 900/- per quintal of the quantity of J.S. 75-45 Lot No. October 90-12-235-709(2)C.M.P. sold with an assurance to give yield of 25 quintals per quintal. The seed after its saving germinated to the extent of 43% only of which the complaint was lodged and the seed was sent for examination to Government Testing Laboratory at Gwalior. In the Test Report sent by the Gwalior Laboratory, the seed was found of sub-standard quality which germinated to the extent of 43%. The complaint filed was resisted. The District Forum after appreciation of evidence held that on the basis of Testing Report Ex. P/7 held that the seed was of sub-standard quality, hence, ordered to pay Rs. 15,000/- with interest thereon at the rate of 12% per annum as loss suffered by the complainant. After hearing learned Counsel for the appellant and on reappraisal of evidence on record we are of the opinion that the order of the District Forum so far it relates to the finding of seeds being of sub-standard quality does not call for any interference nor the order of payment of compensation. However, the order of the payment of interest at the rate of 12% per annum on the amount of compensation is unwarranted. It is well-settled that when the compensation is awarded, the question of award of interest on the amount of compensation does not arise.

In view of the above, we direct that the appellant to pay Rs. 15,000/- with Rs. 500/- cost awarded by the District Forum within a period of two months from date of receipt of the certified copy of this order failing which the amount shall carry interest at the rate of 9% per annum from the date of this order.

IN the result, the appeal is partly allowed and the order of the District Forum shall stand modified accordingly. A copy of this order be conveyed to the parties and a copy be sent to the District Forum along with the record of the case. Appeal partly allowed.