IMPORTANT POINT
Builder is bound to discharge statutory obligations for obtaining occupation certificate and executing conveyance deed.

V.B. Gupta, Presiding Member—Appellant/Opposite Party No.1 being aggrieved by order dated 18.06.2014, passed by State Consumer Disputes Redressal Commission, Maharashtra, Mumbai (for short, ‘State Commission’) in Consumer Complaint No. CC/00/219 has filed this appeal.

2. Initially, Respondent had impleaded M/s. R.W. Gudal & Associates before the State Commission as (Opposite Party No.2) and Executive Engineer of Municipal Corporation of Greater Bombay as (Opposite Party No.3). However, complaint was proceeded against only Appellant No.1, since (Opposite Parties No.2 & 3) were deleted by order dated 18.07.2002 of the State Commission.

3. Brief facts are that Complainant/Respondent is Co-Operative Housing Society. It filed consumer complaint against the appellant alleging various lapses on its part. The failure has been attributed to the appellant for not obtaining occupation certificate and execution of deed of conveyance, not forming co-operative society though required amount was collected from the individual members of the Complainant’s Society. Failure of appellant-builder to obtain occupation certificate resulted into hardship to pay extra water charges and sewerage charges. Since, water supply is made by the authorities on humanitarian ground in the absence of occupation certificate, charges twice the normal water rate are being paid together with forfeitable charges of Rs.2,500/- paid every six months to continue supply of water. In spite of having put in concerted efforts and constant correspondence, appellant did not pay any heed to the requests of the respondent.

4. It is also alleged, that statutory obligations u/s. 4 of The Maharashtra Ownership Flats (Regulation of the Promotion, Construction, Sale, Management and Transfer) Act,1963 (for short, “MOFA”) have not been discharged by the appellant. Even the legal notice dated 23.02.1998 to the appellant and its directors, did not meet any response. Thus, respondent society has claimed;

i) Refund of Rs.70,000/- collected from the members for formation of Co-operative Housing Society,

ii) Rs.1,98,180/-being refund of tanker water charges,

iii) Rs.1,16,346/- on account of extra water charges paid to the BMC,

iv) Rs.35,375/- paid towards forfeitable water charges to the BMC and

v) Rs.1,28,046/- paid towards extra sewerage charges to the BMC as these payments were made to the authorities.

5. Appellant in its written statement took the plea that issues raised by Respondent involves question of law and fact, which needs detailed adjudication and to be proved by producing documentary evidence on record. One Major Vishwanath R. Mishra was the original owner of the piece and parcel of the land on which building of the society has been constructed, He has failed to pass on the title of the land. Therefore, appellant filed a suit before the Bombay High Court, which is pending for decision. Except this point, all other averments made in the written version are simple denial.

6. The State Commission, vide impugned order partly allowed the complaint and passed the following directions;

(2) Opponent no.1 is directed to obtain occupation certificate and execute deed of conveyance in favour of the complainant society within a period of four months from the date of this order, failing which opponent no.1 is directed to pay Rs.1,000/- per day to the complainant society till compliance of this order.

(3) Opponent no.1 is directed to refund an amount of Rs.5,47,947/- (as detailed below) to the complainant society along with interest @ 9% p.a. from the date of complaint i.e.16.05.2000 within 60 days from the date of this order. On failure, rate of interest will be payable @ 12% p.a. till realization.

i. Refund of Rs.70,000/- towards charges for formation of society.

ii. Refund of Rs.1,98,180/-towards tanker water charges.

iii. Refund of Rs.1,16,346/- towards extra water charges.

iv. Refund of Rs.35,375/- towards forfeitable water deposit.

v. Refund of Rs.1,28,046/- towards extra sewerag