MADAN BUILDERS Vs. R K SAXENA

JUDGEMENT

(1.) M /s. Madan Builders -appellant (hereinafter referred to as the appellant for short) has filed this appeal against the Final Judgment and Order dated 25.8.2004 passed by the State Consumer Disputes Redressal Commission, New Delhi (hereinafter referred to as the State Commission for short) in Complaint Case No. C -288 of 1999 where under the State Commission has accepted the Complaint filed by the respondent -complainant (hereinafter referred to as the respondent for short) and has directed the appellant to refund the amount deposited by the respondent towards the price of the shop i.e., Rs. 2,27,852 together with interest @ 12% p.a. A sum of Rs. 25,000 has been awarded towards compensation for harassment and mental agony suffered by the respondent. The sum of Rs. 25,000 included the cost of litigation as well.

(2.) APPELLANT issued a Press Advertisement in April, 1989 regarding the construction of a business complex at Gurgaon. In the brochure and in the publicity material, the appellant had held many promises to prospective buyers in order to allure them to buy the shops. A few of them are mentioned hereunder:

(3.) AFTER going through the advertisement and personal discussions, the respondent booked two shops in joint names of himself and his wife being shop Nos. G -50 and 51 on the first floor of the complex known as Laxmi Bazar which was being constructed by the appellant. Respondent paid 95% of the price of the shops i.e., Rs. 2,27,852 in instalments upto the period January, 1992. On the further demand being raised by the appellant for the remaining balance amount of 5% towards the cost of the shop, the same was not paid by the respondent as the shopping complex was still incomplete, inasmuch as, the amenities promised at the time of booking and as reflected in the brochure such as glass capsule lifts and 24 KVA standby generator had not been provided. Apart from this, the shops which were originally allotted to the respondent were unilaterally and arbitrarily sold to Mr. Ved Arya and Mr. Rajesh Gupta and instead the respondent was allotted two other shops bearning Nos. G -38 and 39. The respondent thereafter filed a complaint for the deficiency in service and the unfair trade practice and prayed that he be awarded Rs. 11,33,095.10 as per details contained in para 19 of the complaint together with interest @ 18% p.a. from the date of filing of the complaint till its actual payment.