LAKSHMI BUILDERS AND ORS. Vs. KESAVARAPU SOMESWARA RAO AND ORS.
LAWS(NCD)-2016-3-7
NCDRC
Decided on March 04,2016

Lakshmi Builders And Ors. Appellant
VERSUS
Kesavarapu Someswara Rao And Ors. Respondents

JUDGEMENT

- (1.) Appellants No. 1& 2 /Opposite Party No.1& 2 being aggrieved by impugned order dated 3.12.2015, passed by A.P. State Consumer Disputes Redressal Commission, Hyderabad (for short, 'State Commission') has filed present appeal.
(2.) Brief facts are, that Appellant No.2 being Proprietor of Appellant No.1 M/s. Lakshmi Builders, is engaged in real estate business in Visakhapatnam. Respondent No. 2/Opposite party No.3 is owner of plot bearing No.92 situated in Survey No.539, L.P.No.61/64 of Allipuram Extension Ward, Vizag. Appellants No.1 and 2 entered into an understanding with respondent no.2 for construction of a residential complex on the aforesaid plot under the name and style of "Lakshmi Plaza". Appellant No.2 approached Respondent No.1 /Complainant and persuaded him to purchase a flat in the complex. Respondent No.1 agreed to purchase a flat for a total consideration of Rs.40,50,000/- and paid a sum of Rs.15,00,000/- on 10.7.2010 as advance. It was agreed between the parties, that respondent no.1 would be allotted a Unit on the third floor marked as D.2 Dwelling Unit with a built up area of 1110 sq. ft, inclusive of common areas in the premises. Accordingly, an agreement was executed between the parties. Under the agreement, appellants undertook to complete the construction within a period of 15 months from the date of the agreement with a grace period of 6 months and possession would be handed over within one month after the completion of the flat or after receipt of the entire sale consideration, whichever is later.
(3.) It is alleged by respondent no.1, that appellants did not comply with conditions and were postponing the matter on some pretext or the other. Sensing dishonest intention of the appellants, respondent no.1 made an enquiry in February, 2013 with the office of Sub Registrar at Visakhapatnam. To his surprise, respondent no.1 found that the flat was already sold on 14.2.2011 to a third party by name Ummidi Potanna. Respondent No.1 questioned the appellants about their action, but they gave evasive replies. Respondent No.1 therefore, got issued legal notice dated 4.3.2013 and called upon appellants to refund the amount with interest at 24% per annum but they did not respond to the notice Hence, respondent no. 1 filed complaint seeking following reliefs; "a. To refund of Rs.15,00,000/- along with interest @ 18% per annum from the date of payment, till 10.07.2013 comes Rs.8,10,000/- b. To pay compensation of Rs.5,00,000/- for causing mental harassment and deficiency of service and untrade practice c. A sum of Rs. 50,000/- towards the cost of this complaint.";


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