Punjab

StateCommission

CC/1042/2017

Harpreet Kaur Dhillon - Complainant(s)

Versus

GMADA - Opp.Party(s)

Rajiv Kataria

14 Nov 2018

ORDER

                                                               FIRST ADDITIONAL BENCH

 

 

STATE  CONSUMER  DISPUTES  REDRESSAL  COMMISSION,   PUNJAB

          SECTOR 37-A, DAKSHIN MARG, CHANDIGARH.

 

 

                   Consumer Complaint No.1042 of 2017

 

 

                                                          Date of Institution   : 30.11.2017        

                                                         Order Reserved on : 12.11.2018

                                                         Date of Decision     : 14.11.2018

 

1. Smt. Harpreet Kaur Dhillon wife of Naininder Singh, Dhillon.
2. Naininder Singh Dhillon son of Sh.Jagjit Singh, both resident of House No. 50, Sector 8-A, Chandigarh.

 

                                                                                      ….Complainants

 

                   Versus

 

1. Greater Mohali Area Development Authority (GMADA), PUDA Bhawan, Sector 62, SAS Nagar (Mohali) through its Administrator.
2. Estate Officer, Greater Mohali Area Development Authority (GMADA), PUDA Bhawan, Sector 62, SAS Nagar (Mohali).

 

                                                                        ….Opposite parties

 

 

Consumer Complaint U/s 17(1)(a) of the Consumer Protection Act, 1986 (as amended up to date).

 

Quorum:-

          Shri J. S. Klar, Presiding Judicial Member.

              Smt. Kiran Sibal, Member.

Present:-

          For the complainants       :  Sh. Rajiv Kataria, Advocate

          For opposite parties         :  Sh. G.S Arshi, Advocate

 

J. S. KLAR, PRESIDING JUDICIAL MEMBER:-

                                     

                     The complainants have filed this complaint U/s 17(1)(a) of the Consumer Protection Act 1986 (in short the "Act) against OPs on the averments that after selling their residential property, they wanted to purchase new property in the area of Eco City developed by OPs. Gian Kaur daughter of Ghaniya Ram was earlier allotted plot, vide letter of intent dated 01.02.2012 by OPs in the above project. She was interested in sale of her plot whereas complainant wanted to construct their own house. They purchased letter of intent from Gian Kaur and OPs transferred her letter of intent in favour of complainants on 11.10.2012 after compliance of the formalities. The terms and conditions of the letter of intent remained the same, as entered with Smt. Gian Kaur by OPs, the original allottee in this case. The transfer letter dated 11.10.2012 was put in place in this regard. The complainants paid full and final payment of total sale consideration of plot no. 6 (Park Facing) Block B, Street 5, measuring 500 sq. yards in Eco City-1 New Chandigarh (Mullanpur) SAS Nagar Mohali and letter of intent was transferred in their favour. As per clause 19 of letter of intent, the possession of the plot was to be handed over by OPs to them within a period of 30 months from the date of issue of letter of intent i.e. 01.02.2012 and possession was to be given by 31.07.2014 by OPs. The OPs have not delivered the possession to the complainant on the agreed date i.e. 31.07.2014 within a period of 30 months from the date of issue of letter of intent by developing it. The complainants wrote letter dated 24.09.2015 and 27.10.2015 to OPs in this regard. Allotment letter was issued to complainants on 01.012.2015 after a delay of 16 months from scheduled date of delivery of possession of plot. OPs have not delivered the possession of plot to the complainants within scheduled period of time, as per clause 19 of letter of intent. The complainants seek interest @ 18% per annum on the total payment paid by them to OPs for delayed delivery of possession for a period of 16 months. OPs issued  letter of allotment to complainants on 01.12.2015 after a delay of 16 months from 31.07.2014. The complainants have prayed for below noted reliefs  on account of deficiencies in service by OPs:-

1. OPs be directed to pay Rs.23,82,600/- on account of delay in handing over the possession to complainants besides Rs.5 lac for mental harassment along with 18% interest on the total amount till its realization to them.
2. OPs be directed to pay Rs.50,000/- as costs of litigation.

2.                Upon notice, OPs appeared and filed written reply and contested the complaint of the complainant by raising preliminary objections that this Commission has no pecuniary jurisdiction to entertain and try the complaint. Since complainants have continued in the scheme and have not withdrawn from the scheme and as such Clause 19 of letter of intent is not applicable in this case. The complaint is alleged to be without any cause of action. The OPs  pleaded it to be barred by time. On merits, OPs admitted this fact that originally letter of intent for residential plot no. 6 Block No. B Street No. 5 measuring 500 sq. yards was issued to Gian Kaur daughter of Ghanaya Ram of the plot. OPs further admitted this fact in the written reply that complainants purchased letter of intent of plot from Gian Kaur and it was transferred in their names, vide office letter dated 11.10.2012. After payment of price of the plot, the complainants were issued “No Due Certificate”, vide office letter dated 29.01.2016, subject to terms and conditions contained therein. The complainants are subsequent purchasers of the plot from Gian Kaur on 11.10.2012 with the clear knowledge of the fact that Gian Kaur was not delivered the possession on the date of purchase of letter of intent. The complainants are thus stopped from raising grievance regarding non-delivery of the possession in this case. In case GMADA is unable to deliver the possession of the plot within stipulated period, the allottee will have the right to withdraw  from the scheme by moving an application to Estate Officer and GMADA shall then refund the entire amount deposited by allottee with interest. The complainants have not withdrawn from the scheme and continued in the scheme after completion of development work of Eco-city scheme. Allotment letter was issued to complainants and possession of the plot was offered, vide memo  no. 49739 dated 01.12.2015.  No due certificate was issued to complainants on 29.01.2016 on deposit of 5% balance price  and conveyance deed of the plot was executed on 10.03.2016 by OPs also. OPs controverted the entitlement of the complainant to reliefs claimed in the complaint and prayed for dismissal of the complaint.

3.                The complainant no.1 tendered in evidence her affidavit Ex.C-A along with copies of documents Ex.C-1 to Ex.C-6 and closed the evidence. As against it; OPs tendered in evidence affidavit of Ms.Amaninder Kaur Estate Officer as Ex.OP-A and closed the evidence.

4.                We have heard learned counsel for the parties and have also examined the record of the case. Complainant no.1 Harpreet Kaur Dhillon tendered in evidence her affidavit Ex.C-A testifying her case on oath, as pleaded in the complaint. She has stated in her deposition that the plot was allotted to them with the express approval of OPs from Gian Kaur, the previous allottee thereof. The letter of intent issued to Gian Kaur contained the same terms and conditions between complainant and OPs also. She further deposed that letter of intent was transferred in favour of complainants by OPs on 11.10.2012 with regard to plot in question. She emphasized this point in her testimony that as per clause 19 of letter of intent, the possession was to be delivered by OPs to them within a period of 30 months from the date of issuance of letter of intent dated 01.02.2012. She further maintained that the scheduled date of delivery of possession was 31.07.2014, but OPs delivered the possession to her on 01.12.2015. She seeks compensation for them for delayed delivery of possession on the analogy of Clause 19 of letter of intent. The letter of intent was issued in favour of original allottee Gian Kaur vide Ex.C-1 dated 01.02.2012. Ex.C-2 is transfer of letter of intent in favour of complainants by OPs on 11.10.2012. Clause 14 of transfer of letter of intent states that possession of the said plot shall be handed over to allottee after completion of development work at site within a period of 30 months from the date of issuance of this letter of intent. In case GMADA is unable to deliver the possession within stipulated period, the complainants have right to withdraw from scheme by moving an application to Estate Officer and then seek refund of the amount with 8% interest compounded annually. Ex.C-3 is letter regarding balance 5% payment to the tune of Rs.5,22,502/- to complainants by OPs. OPs issued balance certificate of plot no. 1161  Sector 5 to complainants on 29.01.2016. Ex.C-4 is letter dated 24.09.2015 by complainants to Chief Administrator GMADA Mohali followed by letter Ex.C-5. Allotment letter issued to complainants by OPs on 01.12.2015 is Ex.C-6 on the record.

5.                To refute this evidence, OPs tendered in evidence affidavit of Amaninder Kaur Estate Officer GMADA as Ex.OP-A. She testified her case  on oath strictly on lines as pleaded in the written reply by OPs.

6.                From appraisal of evidence on the record and hearing respective submissions of counsel for the parties, we find that there is no controversy of this fact complainants purchased the letter of intent from Gian Kaur original holder of letter of intent of this plot. Letter of intent was issued to Gian Kaur by OPs vide Ex.C-1 dated 01.12.2012. Clause 19 of letter of intent Ex.C-1 stipulates the period of 30 months from the date of this letter of intent to deliver the possession to complainants. The plot stood transferred in favour of complainants by OPs, vide Ex.C-2 and allotment letter of this plot was issued by OPs to complainants on 01.12.2015, when possession was offered, vide Ex.C-6.  The scheduled date of delivery of possession, as per clause 19 of letter of intent was 30 months from the date of this letter of intent dated 01.02.2012. 30 months came to an end on 01.08.2014. The allotment of plot with possession was issued to complainants by OPs on 01.12.2015. There is thus delay in delivery of possession  by OPs to complainant from 01.08.2014 to 01.12.2015 despite receipt of entire sale consideration from the complainants by them. Undoubtedly, clause 19 of letter of letter is not strictly applicable in this case, because complainants continued with the scheme and have not withdrawn from the scheme, but complainants have to be compensated for delay in delivery of possession on the part of OPs for the period from 01.08.2014 to 01.12.2015. Clause 11 of letter of intent Ex.C-1 stipulates that payment of interest with 12% per annum in case of delayed payment of installments by allottee to OPs. On the analogy of Clause 11 of letter of intent,  we find that complainants are also entitled to recover the interest on the deposited amounts by them from OPs  @ 12% per annum for the period from 01.08.2014 till 01.12.2015.

7.                As a result of our above discussion, the complaint of the complainants is accepted and OPs are directed to pay interest to complainants @ 12% per annum for delayed delivery of possession on the deposited amounts of complainants from 01.08.2014 to 31.12.2015. The complainants are also held entitled to compensation of Rs.25,000/- for mental harassment and Rs.15,000/- as costs of litigation.

8.                Arguments in this complaint were heard on 12.11.2018 and the order was reserved. Certified copies of the order be communicated to the parties under rules.

9.                The complaint could not be decided within the statutory period due to heavy pendency of court cases.

 

                                                                          (J. S. KLAR)

                                                             PRESIDING JUDICIAL MEMBER

 

 

                                                                          (KIRAN SIBAL)

                                                                                MEMBER

November 14 ,   2018                                                              

(ravi)