Date of Filing: 11.09.2017
Date of Order: 28.10.2019
BEFORE THE DISTRICT CONSUMER DISPUTES REDRESSAL FORUM – I, HYDERABAD
P r e s e n t
HON’BLE Sri P.VIJENDER, B.Sc. L.L.B. PRESIDENT.
HON’BLE Smt. D.NIRMALA, B.Com., LLB., MEMBER
ON THIS THE MONDAY THE 28th DAY OF OCTOBER, 2019
C.C.No. 388 / 2017
Between
Mrs. Parveen Sultana,
W/o. Riaz Ali Khan, Aged about 45 years,
Occ:House Wife, H.NO.18-117,
Hanumanpet Extension,
Malkajgiri, Hyderabad – 500 047.
,
Hyderabad – 500 048. ……Complainant
And
- M/s. Country Club Vacations,
Rep.by Managing Director,
Office at :Asian Building, 4th Floor,
Country Club, Begumpet,
Secunderabad – 500 016.
- Country Club Hospitality & Holidays Ltd.,
Office at¨Amrutha Castle,
5-9-16, Saifabad, Hyderabad 500 063,
Rep.by its Managing Director. ….Opposite Parties
Counsel for the complainant : M/s. G V S Prasad Rao & Associates.
Counsel for the Opposite Parties : Mr V.Sreenivasa Rao
O R D E R
(By Sri P. Vijender, B.Sc., LL.B., President on behalf of the bench)
1) This complaint has been preferred under Section 12 of Consumer Protection Act, 1986 alleging that refusal to refund the amount collected from the complainant towards membership fee and for a house plot amounts to unfair trade practice. Hence a direction to refund the amount with interest at 18% p.a. and award a compensation of Rs.1,00,000/- for causing mental agony to the complainant and his family members and costs of this complaint at Rs.10,000/-.
2) The complaint averments in brief are that:
Complainant received a phone call from the opposite party informing him about membership for the holiday package to take membership at the opposite party club and to purchase a house plot in fully developed venture having good market value besides enjoying club facilities as a privileged member. Complainant having believed the same agreed to pay a sum of Rs.1,90,000/-. There was a promise that the plot cost will be converted into EMIs and the plot will be locate within the 10 KM radius from the city. She paid Rs.90,000/- towards sale consideration of the plot and Rs.50,000/- towards club membership and obtained receipts.
Before making final payment made enquiries of the house plot offered to her and visited the location. After visiting the site she was shocked to see that there was no development as promised by the opposite party while taking the membership. There was no approach roads no layout in the area. Her enquiries revealed that the prevailing market rate was much lower than the prices offered to her. Hence requested the opposite party to cancel the membership and refund the amount paid as advance but there was no response from the opposite party. Hence the present complaint.
3) Opposite parties have filed a detailed written version denying the allegations of unfair trade practice and deficiency of service on its part. The stand of the opposite party is that the complainant having fully understand the terms and conditions of membership had signed purchase agreement for the club membership agreement on 10.2.2016 and paid Rs.50,000/-. The terms and conditions of the membership agreement are that the amount paid towards membership is non-refundable. The complainant was offered house plot admeasuring 150 sq.yds. in project known as Sagar Sundervan in Nalgonda for a total sale consideration of Rs.1,99,000/- and entered into an agreement. The complainant paid Rs.90,000/- and balance of Rs.1,09,000/- has not paid. Hence registration could not be done. The complainant did not avail facilities offered in the club after taking membership. The facilities includes fitness center , Access to , entertainment, events and amusement facilities etc. The complainant has not paid the annual maintenance charges also as per the terms and conditions of the membership agreement. The complainant having voluntarily entered into membership agreement with full knowledge and understanding it as an afterthought is asking for the refund of the amount without any valid reason. The opposite party is providing all the facilities to members subject to compliance of the terms and conditions and full payment of membership fee and annual maintenance charges. It is up to the complainant to utilize the facilities and benefits provided by the opposite parties club. But she miserably failed to prove the allegations of deficiency of service on the part of opposite party club. Hence the complaint is liable to be dismissed.
4) In the enquiry the complainant got filed her evidence affidavit reiterating the material facts of the complaint and to support the same got exhibited (4) documents. For the opposite parties evidence affidavit of its Asst. Manager is got filed and through him five (5) documents are exhibited . Both sides have filed written arguments.
5) On a consideration of the material brought on the record the
following points have emerged for consideration :-
1. Whether the opposite party entitled to refuse to refund the amount collected from the complainant towards plot cost and membership fee in the club?
2. Whether the complainant is entitled for the amounts claimed?
3. To what relief?
6) Point No.1: Only ground urged by opposite party the amount paid by the complainant towards membership fee is non-refundable as per the terms and conditions of membership agreement Exhibit A4. It is specific allegation of the complainant that, false promises were made at the time of taking membership and all the promises are found to be false. This Exhibit A4 agreement contains signature of complainant and representative of opposite party but evidence of the signatory on its behalf is not filed to substantiate that complainant knowing fully having agreed for terms and conditions signed it. When the complainant specifically pleads that false promises were made it is incumbent upon the opposite party to substantiate its stand that complainant having fully understood the terms and conditions which includes that the amount paid is non-refundable signed it. Without the evidence affidavit of the person who singed on Exhibit A4 original on behalf of opposite party the self-serving statement of opposite party cannot be taken as sacrosanct . Admittedly even as on today complainant has not availed any of the facilities in the opposite party club after payment of Rs.50,000/- as membership fee. Refusal to refund huge amount without providing any facility to the complainant is certainly unfair trade practice on the part of the opposite party. Opposite party cannot be allowed to enrich itself by collecting huge amounts from innocent persons like complainant with false promises.
Now coming to the aspect of refund of the amount collected towards part of sale consideration for the plot the specific allegation of the complainant is when she visited site of the project she was shocked because there was no development at all and it is at a far off distance and impression given to her was it is situate within distance of 10K.M from the city. That apart there was no road, development of lay out etc. The opposite party to substantiate its version that a fully developed layout was there with demarcation of the house plots has not filed acceptable documentary evidence on the record in support of it. For sale of any house plot in lay out sanction of it by a competent authority is necessary. The opposite party has not filed and sanction proceedings either from HMDA if it is within the jurisdiction of HMDA or from a local authority in whose jurisdiction lay out is falls. In the absence of sanctioned lay out by a competent authority opposite party cannot say that in fully developed house plot was offered to the complainant. Collecting of huge amount towards part of sale consideration with false presentation that plot is situate in a fully developed lay out amounts to unfair trade practice. Hence opposite party is liable to refund the amount.
Point No.2:- The opposite party by refusing to refund huge amount of Rs.1,40,000/- collected from the complainant caused mental agony and inconvenience to the complainant. Hence liable to pay compensation .Accordingly the point is answered.
Point NO.3: In the result the complaint is allowed in part directing the opposite parties.
1, To refund the amount of Rs.1,40,000/- along with interest at 18%p.a. from the date of collecting the same to the date of payment.
2. To pay a sum of Rs.50,000/- as compensation to the complainant for causing mental agony and inconvenience
3. To pay further sum of Rs.10,000/- as costs of this complaint.
Time granted for compliance is thirty days from service of this order.
Dictated to steno transcribed and typed by her and pronounced by us on this the 28th day of October, 2019.
MEMBER PRESIDENT
APPENDIX OF EVIDENCE
WITNESS EXAMINED
NIL
Exhibits filed on behalf of the Complainant:
Ex.A1 - Copy of receipt for Rs.20,000/-
Ex.A2 – Copy of receipt for Rs.20,000/-
Ex.A3 – Copy of receipt for Rs.30,000/-
Ex.A4 – Copy of purchase agreement for country club thumbs up membership
Exhibits filed on behalf of the Opposite parties:
Ex.B1 – Welcome call DC
Ex.B2 - Copy of agreement of sale of plot
Ex.B3 – Application cum letter of intent towards purchase of plot.
Ex.B4 - Layout plan
Ex.B5 – A few facts of the concept.
MEMBER PRESIDENT
