MADHYA PRADESH STATE CONSUMER DISPUTES
REDRESSAL COMMISSION, BHOPAL
Honble Mr. Justice V.S. Kokje, President; Mr. M.L. Tiwari, Member
COMMISSIONER, MUNICIPAL CORPORATION—Appellant/Opposite Party
versus
RAKESH JOHARI & ORS.—Respondents/Complainants
Appeal No. 201 of 1992 — Decided on 28.11.1992
Consumer Protection Act - Municipal Corporation - The court found that the complaint was not entertainable by the District Forum as the complainants did not hire any services from the non-applicants, and the services rendered by a Government Department or a statutory body under provisions of an Act cannot be considered as services under the Consumer Protection Act, 1986.
Fact of the Case:
The complainants alleged that the Municipal Corporation, Rewa compelled them to pay development fees, which they refused, claiming that they had already paid the fees to the Town Improvement Trust, and were put to a loss on various counts.
Finding of the Court:
The court found that the complaint was not entertainable by the District Forum as the complainants did not hire any services from the non-applicants, and the services rendered by a Government Department or a statutory body under provisions of an Act cannot be considered as services under the Consumer Protection Act, 1986.
Issues: The main issue was whether the complaint was cognizable by a District Forum under the Consumer Protection Act, 1986.
Ratio Decidendi: The court applied the definition of 'service' under the Consumer Protection Act, 1986 and ruled that the complaint was not entertainable as the complainants did not hire any services from the non-applicants.
Final Decision: The appeal of the Commissioner of Municipal Corporation, Rewa was allowed with costs, and the appeal preferred by the complainants was dismissed. The complainants were ordered to pay a consolidated cost of Rs. 500/- to the Municipal Commissioner Rewa towards expenses in both the Courts.
Mr. Justice V.S. Kokje, President — This order shall also dispose off appeal No. 175 of 1992. This is an appeal preferred by the Commissioner, Municipal Corporation, Rewa against the majority judgment of District Forum, Rewa. The learned President of the Forum has dismissed the complaint but the two learned Members have awarded compensation of Rs. 2,400/- plus expenses.
2. The complaint is as regards some actions taken by the Commissioner, Municipal Corporation, Rewa in the purported exercise of powers under M.P. Municipal Corporations Act, 1956. The complaint is as regards compelling the complainant to pay the development fees. Both the parties have filed the appeals against the decision.
3. On perusal of record the question which stares us in our face is whether the complaint was cognizable by a District Forum under the Consumer Protection Act, 1986. The complainants have impleaded three non-applicants, number (1) Commissioner, Municipal Corporation, Rewa, number (2) Chief Executive Officer, Rewa, Town Improvement Trust and number (3) State of Madhya Pradesh through Collector Rewa. The allegations are that the complainants purchased a plot From one Dilip Kumar. This plot was developed by Town Improvement Trust, Rewa. The Town Improvement Trust had charged Rs. 36,000/- for development of the plot. The complainants applied for permission of Municipal Corporation Rewa for constructing a building on the plot. The application was made on 18.3.91 and according to the complainants till 14.9.91 nothing was done in the matter. On 14.9.91 a notice was received by the complainants alleging that the construction which was being put up by them was illegal. The complainants filed a reply.
4. The non-applicant No. 1 Municipal Corporation Rewa served a demand notice for realisation of Rs. 3,450/- (Rs. 1,050/- for permission and Rs. 2,400/- for development). The complainants refused to pay the amount on the ground that they had already paid development charges to the Rewa Town Improvement Trust and are not liable to pay again. According to the complainants Rs. 1,450/- was realised from them as compounding fees forcibly. According to the complainants the aforesaid actions were illegal and they were put to a loss on various counts. Acompensation of Rs. 88,450/- has been claimed from non-applicant No. 1 Municipal Corporation Rewa and sum of Rs. 4,800/- with interest at the rate of 12% has been claimed from non-applicant No. 2- Rewa Town Improvement Trust. In para 15 of the complaint it is stated that as the Municipal Corporation has charged fees for granting permission to build the relationship of consumer and the lender of services has been established between them.
5. From the aforesaid facts it is clear that there is no question of hiring any services by the complainants from the non applicants. The State of Madhya Pradesh has nothing to do with the complaint. There is nothing which is alleged against the Town Improvement Trust which could make it liable. So far as the Municipal Corporation is concerned whatever it has done or not done, has been done or not done under the purported exercise of powers under the M.P. Municipal Corporations Act, 1956. On the allegations in the complaint itself it has not been proved that the complainant was a consumer under the Consumer Protection Act, 1986 and any services were hired by the complainants. Section 2(1)(o) of the Act defines "service" to mean service of any description which is made available to potential users and includes the provision of facilities in connection with banking, financial insurance, transport, processing supply of electrical or other energy, board or lodging or both, entertainment, amusementor the purveying of news or other information. Though the definition is inclusive any other service which is not enumerated will have to be a service like the services enumerated. Rule of ejusdem generis will have to be applied. Thus, service rendered by a Government Department or a statutory
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