N.VAITHIALINGAM vs DEVI HOUSE CONSTRUCTIONS

THE appeal arises out of the order of the District Consumer Disputes Rodressal Forum, Madras dated 20.5.92 in O.P. 643/91. THE unsuccessful complainant is the appellant.

THE complainant entered into an agreement with the opposite party for the purchase of plot No. 14, Deepa Nagar, Madanandapuram and for the construction of a building therein. He has paid Rs. 30,000/- on 5.7.89 and another sum of Rs. 30,000/- on 15.7.89 as per the agreement. THE opposite parly failed to get the deed of sale in respect of the plot. THE complainant therefore demanded repayment of the amount. THE opposite party agreed to sell another plot bearing No. 4, Jayalakshmi Nagar, Madanandapuram and executed deed of sale for which the complainant had paid Rs. 6,000/- for registration charges. But the opposite party did not obtain the approval of the building plan in the said plot. It was found later that this lay-out was not approved by the MMDA and no construction could be put thereon. Hence this complaint. The opposite party resisted the complaint. It is admitted that an agreement was entered into between the complainant and the opposite party for the purchase by the complainant Plot No. 14, Deepa Nagar, Madanandapuram and for construction of a house therein. As the complainant did not pay the full amounts, the terms of the agreement could not be carried out. Subsequently the complainant agreed to purchase plot No. 4 of Jayalakshmi Nagar layout for Rs. 45,000/- and a deed of sale has been executed and the earlier agreement was cancelled. There was no agreement for applying for permission for the complainant or construction of any house in this plot. There is therefore no deficiency of service on the part of the opposite party.

The District Forum accepted the contention of the opposite party and dismissed the complaint. Aggrieved thereby the complainant has come forward with this appeal.

THERE was an original agreement between the complainant and the opposite party for the sale of plot No. 4, in Deepa Nagar and for the constretion of a building therein. But this agreement fell through. Subsequently the opposite party has sold another plot bearing No. 4 in Jayalakshmi Nagar. A deed of sale has also been executed by the opposite party in favour of the complainant. It is in respect of this plot, this complaint is filed. The deed of sale executed by the opposite party in favour of the complainant in respect of plot No. 4 of Jayalakshmi Nagar is produced before the District Forum. The said deed also contains the lay-out plan. It has not turned out that this lay-out has not been approved by the MMDA and hence no construction can be put up on the plot sold by the opposite party to the complainant. The learned Counsel for the opposite party/respondent con tended that it was a simple sale of the land and not any plot in a layout. But when the deed of sale was shown to him he has to admit that plot No. 4 of Jayalakshmi Nagar layout has been sold to the complainant and this layout has not been approved by the MMDA. The opposite party as promoter of buildings has prepared the layout but without getting approval from the competent authorities has sold plot No. 4, therein to the complainant on the misrepresentation that it is an approved plot. This certainly amounts to gross deficiency of service. This aspect of the matter has not been considered by the District Forum.

IT follows that the opposite party must refund the sale consideration, stamp duty and registration charges with interest thereon, as fairly conceded by the learned Counsel for the opposite party/respondent. The deed of sale is for a sum of Rs. 45,000/- . The stamp duty of Rs. 5,400 and registration charges of Rs. 466 have also been paid by the complainant. In all the amount comes to Rs. 50,866/- The complainant is entitled to get refund of the amount with interest thereon at 18% from the date of the sale deed till repayment. He is also entitled to claim compensation for mental pain and agony at Rs. 5,000/- . In the result the appeal is allowed, the order of the District Forum is set aside and it is ordered as follows : 1. The Respondent/Opposite Party shall pay to the complainant the sum of Rs. 50,866/- with interest thereon at 18% from 7.9.90 which is the date of the sale till repayment. 2. The Respondent/Opposite Party shall also pay Rs. 5,000/- to the complainant as compensation for mental pain and agony. 3. The Respondent/Opposite Party shall also pay Rs. 1,000/- as costs. Appeal allowed with costs.