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DELHI STATE CONSUMER DISPUTES REDRESSAL COMMISSION
J.D. Kapoor, President and Rumnita Mittal, Member
DELHI DEVELOPMENT AUTHORITY - Appellant
Versus
PANKAJ SATIJA - Respondent
Appeal No. 17 of 2005
Decided on : 23-05-2008
Mr. P.K. Aggarwal, Advocate, for the Appellant; None., for the Respondent
The court's decision was based on the application of the Consumer Protection Act and the absence of mala fide on the part of the appellant in demolishing the structure.
Headnote:
Consumer Protection Act - Compensation for Demolition - The court modified the impugned order and directed the appellant to pay compensation for demolition of the structure, mental agony, harassment, inconvenience, and physical discomfort suffered by the respondent, as well as the cost of litigation.
Fact of the Case:
The appellant demolished a construction under the belief that it was raised on unallotted land, later revealed to be purchased by the respondent from the original allottee. The District Forum directed the appellant to pay compensation for demolition, mental agony, harassment, and litigation costs.
Finding of the Court:
The court modified the impugned order, considering the peculiarity of the facts and absence of mala fide on the part of the appellant in demolishing the structure. It directed specific amounts for compensation and costs to be paid by the appellant to the respondent.
Issues: Compensation for demolition, mental agony, harassment, inconvenience, and physical discomfort suffered by the respondent.
Ratio Decidendi: The court applied Section 14(1)(d) of the Consumer Protection Act and considered the absence of mala fide on the part of the appellant in reaching its decision on the compensation to be paid.
Final Decision: The appellant was directed to pay Rs. 1,80,000 for demolition, Rs. 50,000 for mental agony, harassment, inconvenience, and physical discomfort, and Rs. 5,000 as cost of litigation to the respondent within one month from the date of receipt of the order.
ORDER
J.D. Kapoor, President (Oral)- Admittedly the appellant demolished the construction of house under the belief that the construction has been raised on an unallotted land whereas the fact later on revealed that the flat was purchased by the respondent from the original allottee.
2. On account of this lapse on the part of the appellant, the District Forum has vide impugned order dated 3.8.2004 directed it to pay compensation for demolition Rs. 1,80,000 along with interest from January 2003 till it is fully paid and Rs. 1 lac for mental agony and harassment and Rs. 2,000 as cost of litigation. Feeling aggrieved the appellant has preferred this appeal.
3. In terms of Section 14(1)(d) of the Consumer Protection Act, a complainant is entitled for an amount of compensation as to the actual loss suffered by him besides the injuries suffered by him for mental agony and harassment.
4. However, wherever there is no term of agreement between the parties as to the liability of the opposite party to pay interest, the interest can be awarded on the ground of equity, conscience and justice as held by the Supreme Court in Sovintorg (India) Ltd. v. State Bank of India, New Delhi, (1999) 6 SCC 406.
5. In view of the peculiarity of the facts of the case and there being no mala fide on the part of the appellant in demolishing the structure which was demolished under the belief that it was the construction on unallotted land, we deem that compensation of Rs. 1,80,000 towards actual loss was the reasonable compensation whereas no interest should have been awarded besides this compensation. Similarly for the mental agony and harassment, inconvenience suffered by the respondent, the compensation was on the higher side. In our view the lumpsum compensation of Rs. 50,000 in this regard shall meet the ends of justice.
6. In the result, we direct the appellant by modifying the impugned order in the following terms:
(i) Appellant shall pay Rs. 1,80,000 to the respondent towards compensation for demolition of the structure.
(ii) Appellant shall pay Rs. 50,000 for mental agony, harassment, inconvenience and physical discomfort suffered by the respondent.
(iii) Appellant shall pay Rs. 5,000 as cost of litigation.
7. The payment shall be made within one month from the date of receipt of this order.
8. Bank Guarantee/FDR, if any, furnished by the appellant be returned forthwith.
9. A copy of this order as per the statutory requirements be forwarded to the parties free of charge and also to the concerned District Forum and thereafter the file be consigned to Record room.
