CONSUMER CASE NO.560/08

Between:
S.Satyanarayana,S/o Ramu Naidu, Hindu, aged 52 years, residing at D.No.54-8-10, Isukathota, H.B.Colony, Visakhapatnam-22 ….. Complainant.
A n d:
1.M/s G.P.R Housing Pvt., Ltd., rep.by its Managing Director Sri G.Punna Rao,
Hindu, aed about 48 years, Brach Office, D.No.30-15-171, Saraswathi Park Junction,
Dabagardens, Visakhapatnam-20.
2. M/s G.P.R Housing Ltd., rep.by its Branch Manager, Sri G.Ramakrishnayya, Hindu,
aged about 45 years, Branch Office , D.No.30-15-171, Saraswathi Park Junction,
Dabagardens, Visakhapatnam-20. …. Opposite Parties.

This case coming on 04-03-2009 for final hearing before us in the presence of Sri Ch.Ravi, Advocate for the Complainant, and Sri D.N.Murthy, advocate for the Opposite Parties 1 and 2 and having stood over till this date for consideration, this Forum made the following:
O R D E R


1.This is a complaint filed under Section 12 of the Consumer Protection Act, 1986 seeking for a direction to the Opposite Parties:
a)To refund Rs.79,300/- together with interest @ 12% p.a., from respective dates of payments,
b)To pay Rs.50,000/- towards compensation for causing mental agony,
c)To pay Rs.10,000/- towards damages, and
d)To pay costs.


In Brief the case of the complainant is:
2. That he joined as a member of the venture “Sri Kanaka Durga Nagar” which is floated by the Opposite Parties to sell house plots on installments. The Opposite Parties issued a pass book bearing NOs.181 & 182 under the venture “Sri Kanaka Durga Nagar” and the Complainant has started the installment on 27-5-1994 and paid a total amount of Rs.79,300/- to the Opposite Parties for the plot, which is measured an extent of 400 sq.yards. But the Opposite Parties failed to develop the venture and also obtain from VUDA and further the said plots were allotted to some third parties. Immediately, the Complainant approached the Opposite Parties and demanded to refund the amount. Even though, Opposite Parties received legal notice on 4-2-2006, neither registered the sale deed, nor refunded the amount. That there is deficiency of service.


3. Opposite Party No.1 filed counter which is adopted by Opposite Party No.2. It is admitted that the Complainant joined as a member of the venture Sri Kanaka Durga Nagar and he paid in all Rs.79,300/-. Rest of the allegations are denied. It is contended that the Opposite Party developed the layout by constructing the road, drains and etc. The Opposite Parties invested lot of amount for the purchase and development of the land and as such refund of the amount is putting the Opposite Parties into financial difficulties. Hence, there is no deficiency of service on the part of the Opposite Parties.


4. The Complainant filed his evidence affidavit and marked Exs.A1 and A2. No affidavit is filed and no documents are marked by Opposite Parties. Heard both sides and perused the documents. The point that arises for consideration is whether there is deficiency of service?


5. It is an admitted fact that the Complainant joined as a member in Sri Kanaka Durga Nagar Layout which is floated by the Opposite Parties and paid Rs.79,300/- for the plot which is measured 400 sq.yards. Ex.A1 clearly shows that the Complainant paid in all Rs.79,300/- to the Opposite Parties. It is an admitted fact that the Opposite Parties did not develop the venture and did not get any approval from VUDA. It is their bounden duty to refund the entire amount, which is paid by the Complainant under Ex.A1 when the Opposite Parties did not get any approval from VUDA. Even though, Opposite Parties received legal notice, did not pay the amount to the Complainant. The Opposite Parties did not show any material before us to show that the Opposite Parties get any approval from VUDA. Hence, there is deficiency of service on the part of the Opposite Parties and the Complainant is entitle to receive the amount prayed for.


6. In the result, the complaint is allowed, directing the Opposite Parties to (a) refund Rs.79,300/- (Rupees Seventy Nine thousand and Three hundred only) with interest thereon at 12% p.a., from 30-01-1999 till realization, (b) to pay Rs.8,000/- (Rupees Eight Thousand only) towards compensation for mental agony and Rs.1,000/- (Rupees One thousand only) towards costs.
Dictated to the Stenographer, transcribed by him, corrected by me and pronounced by us in the open Forum on this the 5th day of March, 2009.

Sd/- Sd/-
President Female Member
Sd/- District Consumer Forum-I
Male Member Visakhapatnam