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NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION, NEW DELHI
Dinesh Singh, Presiding Member
Taken up through video conferencing
ATS Estate Private Limited and Ors. – Appellants
versus
Sonika Phaugat and Anr. – Respondents
First Appeal No.1732 of 2019
(Against the Order dated 23/04/2019 in Complaint No.836/2018 of the State Commission Punjab)
Decided on 25.2.2021
Consumer Protection Act, 1986 – Section 19 : [Consumer Protection Act, 2019 – Section 41] – Appeal – Rate of interest and lump sum compensation – Scope of interference with – State commission has awarded interest @ 12% p.a. – Having regard to facts and circumstances of the case rate of interest of 10% p.a. from the respective dates of deposit till its realisation found reasonable and equitable – Lump sum compensation of Rs. 50,000/- as awarded by State Commission upheld – Appellant-builder company directed to refund entire amount deposited by the respondent-complaints with interest @ 10% p.a. – Directions issued.
Held: The first residual question in this appeal is the rate of interest, which would be reasonable and equitable in the facts and circumstances of the case.
The State Commission has awarded interest at the rate of 12% per annum.
Having regard to the facts and circumstances of the case, rate of interest of 10% per annum from the respective dates of deposit till its realisation is reasonable and equitable. The award made by the State Commission requires to be modified to this extent.
Learned counsel for the respondents submits that rate of interest of 10% per annum is reasonable and equitable, and that, in similar facts and circumstances, a co-ordinate bench of this Commission has awarded rate of interest of 10% per annum.
The second residual question in this appeal is re the lump sum compensation of Rs. 50,000/- awarded by the State Commission.
Having regard to the facts and circumstances of the case, the lump sum compensation of Rs. 50,000/- awarded by the State Commission is reasonable and equitable.
It is ordered that the appellants (builder company and its managing director) shall refund the entire amount deposited by the respondents (complainants) with interest at the rate of 10% per annum from the respective dates of deposit till its realisation.
It is further ordered that if the award firmed up in para ‘13.’ above is not made good within the stipulated period of four weeks from today, the residual amount due to the respondents (complainants) shall carry interest at the rate of 12% per annum from the date of expiry of four weeks from today till its realisation.
This F.A. No. 1732 of 2019 is so disposed. (Paras 7 to 15)
Result: Appeal disposed of.
ORDER
Dinesh Singh, Presiding Member.—No one is present for the appellants. Mr. Siddharth Jain, learned counsel is present for the respondents.
2. Perused the entire material on record.
3. In the interest of justice, to decide the matter on merit, to prevent any miscarriage of justice, the delay in filing the appeal is condoned, and the matter is hereinafter being decided on merit.
4. On 13.03.2020, the following Order was passed:
Dated: 13-03-2020
ORDER
1. Heard learned counsel for the appellants.
Perused the material on record.
2. The award made by the State Commission vide its impugned Order dated 23.04.2019 reads as below:
ORDER
As a result of above discussion, the complaint is accepted and Ops are directed to refund the entire deposited amounts of complainants with interest @ 12% per annum from the date of their respective deposits till actual payment by deducting the amount of Rs.1,90,000/- already paid to complainants by Ops in the shape of penalty from January 2017 till August 2018 therefrom. The complainants are also held entitled to compensation of Rs.50,000/- for mental harassment and Rs.20,000/- as cost of litigation to be payable by Ops to the complainants. The above amounts shall be payable by Ops to complainants within 45 days from the date of receipt of certified copy of the order.
3. It is admitted that [a] the agreed and assured date of completion has elapsed and [b] the completion-cum-occupancy certificate of the subject unit has as yet not been duly obtained.
4. During the course of the arguments, learned counsel for the appellants submits, on instructions, that the appellants are ready and willing to refund, to the complainants, the entire amount deposited by the complainants, after deducting an amount of Rs. 1.90 lakh already paid to the complainants, and to also pay, to the complainants, the cost of litigation of Rs. 20,000/- awarded by the State Commission, within 8 weeks from today. Learned counsel further submits that the instant first appeal may hereinafter be confined and restricted to the questions of rate of interest and lump sum compensation only.
5. The above submissions, made on instructions, during arguments, are recorded.
6. The appellants are directed to refund, to the complainants, the entire amount deposited by the complainants, after deducting an amount of Rs. 1.90 lakh already paid to the complainants, and to also pay, to the complainants, the cost of litigation of Rs. 20,000/- awarded by the State Commission, within 8 weeks from today.
7. This instant first appeal shall hereinafter be confined and restricted to the questions of rate of interest and lump sum compensation only.
8. Issue notice to the respondents / complainants, subject to payment of Rs.20,000/- to the respondent no. 1 within 4 weeks from today to defray travel and allied expenses.
9. The Registry may ensure that the notice is issued and despatched within 10 days.
10. Let the notice also be ‘dasti’ in addition.
11. The appellants are directed to ensure the due ‘dasti’ service of the notice on the respondents, without fail, before the next date of hearing.
12. Contingent to the direction contained in para 6 above being complied with in its entirety within the stipulated period of 8 weeks from today, the operation of the impugned Order dated 23.04.2019 of the State Commission insofar as it relates to payment of interest and lump sum compensation shall remain stayed till the disposal of this first appeal.
13. It is made clear that if the said direction contained in para 6 is not complied with within the said period of 8 weeks from today, the State Commission shall undertake execution of its Order in its entirety as per the law.
14. List on 07-10-2020.
15. ‘Dasti’, in addition, to facilitate timely compliance.
16. On 16.09.2020, the following Order was passed:
Dated : 16-09-2020
ORDER
I.A./5244/2020
1. Taken up through video conferencing.
2. In furtherance of and in reference to the earlier Order dated 13.03.2020, learned coun
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