ORDER

S.T. Barne, Judicial Member—Complainants, Mr. Shekhar Rijhwani and Mrs. Sharmista Shekhar Rijhwani are husband and wife. They are resident of Bandra West, Mumbai. They were in need of purchase of flat with specious accommodation and various facilities. Therefore they approached the opponent no.2 who assured the complainants that the flat would be ready for occupation within eighteen months and possession would be given by December, 2015. Believing his representation the Complainants booked flat bearing Unit No.B-1709 on the 17th Floor of Tower B in Alta Monte Building to be constructed at Tadi Compound at Malad (East) in Mumbai. The total consideration of the flat was agreed to Rs.2,50,54,600/20. The complainants have paid total amount of Rs.51,70,741/- in installments, which works out to 20.6% of the total consideration. Since the opponents have delayed the construction and has not given possession within stipulated time, the complainants discussed with the opponents and submitted letter for cancellation of booking and for refund of amount paid. Since the opponent did not refund the money the complainants sent them e-mail dated 22/08/2016. In reply opponents sent e-mail dated 17/11/2016 to the complainants informing that the company’s management had been requested to approve a full refund of Rs.51,70,741/- within a period of three months. However, the opponents sent allotment letter dated 28/12/2016 to the complainants asking them to agree for mortgage of land. It is the case of the complainants that there was no agreement till this time despite of receiving more than 20% amount by opponents out of total consideration, the opponents thereby violated the provisions of Maharashtra Ownership Flats Act. Hence, the complainants have issued letter to the opponents on 14/03/2017 to refund the entire amount of Rs.51,70,741/-. As the opponents failed to refund the amount the complainants approached to this Commission.

2. It is the contention of Complainants that cause of action arose in Mumbai and the complainants have claimed refund of the amount paid to opponents along with interest and compensation amounting to total sum of Rs.79,55,076/-. Thus, this Commission has territorial jurisdiction and pecuniary jurisdiction.

3. Opponents have appeared before this Commission and filed written version. Said written version is at page nos.C-26 to C-33 of compilation. The opponents have denied all adverse contentions in the complaint. It is the contention of opponents that the complainants approached the opponents somewhere on 24/02/2014 to purchase the Unit No.B-1709 ON THE 17TH Floor of Tower B in Alta Monte Building to be constructed at Tadi Compound at Malad (East) in Mumbai. Total consideration was agreed to Rs.2,50,54,600/-. The complainants paid Rs.7,00,000/- on 24/02/2014 with application as fee/token money in respect of said flat. In the said application in Clause (vii) of the terms and conditions signed by the complainants, it is mentioned that “if the Applicant/s wish to withdraw from/cancel the application, the amount of application fee paid by him/them shall stand forfeited”. The complainants were not regular in payment of installments. Hence, the amount of Rs.1,13,703/- is due from the complainants towards delayed payment. It is admitted that the complainants have paid total amount of Rs.51,70,741/- till 23rd August, 2016. The complainants due to financial difficulties wanted to cancel the booking of the flat. However, under the guise of alleged delay they claimed refund of money with interest. The opponents never promised the complainants that possession of the flat would be handed over within a period of eighteen months, it is general practice that the possession of flat is given within the period of about three years from the date of execution and registration of the Agreement for Sale subject to Force Majure events. The complainants have abruptly cancelled the booking and caused financial loss to the opponents. Hence, t