BROADWAY TOWER INDIA PVT LTD Vs. SHARAT CHAWLA

JUDGEMENT

(1.) These are cross-appeals against the order of the State Commission in Case No. 572 of 1993 dated 30th October, 1997.

(2.) Shri Sharat Chawla (hereinafter be referred as Shri Chawla) was the complainant before the State Commission. He booked flat No. 6 on the ground floor and basement floor in block I with a total area of 2200 sq. ft. with the Broadway Tower (India) Pvt. Ltd. (hereinafter be referred as the builder) in a Multistoreyed Commercial Building on 8.6.1981 by making a payment of Rs. 90,000. As the builder failed to start the construction activities, the complainant issued legal notice to him. Though the builder issued certificates acknowledging receipt of Rs. 90,000 on 14.6.1989 and 26.9.1992, he did not confirm the date on which the construction could be started. Hence, the complainant filed a complaint before the State Commission claiming refund of Rs. 7,44,000 interest pendente lite and future interest @ 18% with quarterly rests with costs.

(3.) The case was contested by the builder on the plea that it was barred by limitation, stating that certificates on deposits of Rs. 90,000 issued were obtained by the complainant surrepetitiously from his employee. Further the construction activities could not be started as the seller of the land refused to perform his part of the contract. The complainant filed a rejoinder stating that the signatory of the certificate was an accountant who was authorized to issue the same and that there is a continuous cause of action and there is no question that the claim is barred by limitation.