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2001 Supreme(HP) 278
High Court Of Himachal Pradesh
SURINDER SARUP,OMKAR CHAND THAKUR,PREM CHAUHAN
BHARAT - Appellant
Versus
BABA MUNGIPA EDUCATION TRUST - Respondent
Original Complaint No. 95 of 1995
Decided On : 10/08/2001
Mr. Ajay Goel, Advocate for the Complainant Mr. B.S. Ranjan, Advocate for respondents opposite parties Nos. 1 &
2. Miss. Suman Garg Advocate, Vice Mr. Rajiv Jeewan, Advocate for opposite parties Nos. 3 & 4.
The main legal point established in the judgment is that inducing a student to pay a capitation fee for admission to a non-existent educational institution constitutes deficiency in service under the Consumer Protection Act.
Headnote:
Consumer Protection Act - Educational Fraud - Section 10(a) of the Medical Council Act, 1956 - The court found that the complainant was lured into paying a capitation fee for admission to a non-existent medical college. The court held that the opposite parties were guilty of deficiency in service and ordered them to refund the capitation fee, annual fee, and other expenses incurred by the complainant. The court also awarded compensation and litigation expenses to the complainant.
Fact of the Case:
The complainant was induced to pay a capitation fee for admission to a non-existent medical college in Tripura. Despite spending a year at the college, he received no education. The complainant sought a refund of the capitation fee, annual fee, and other expenses, as well as compensation for the loss of career and trauma suffered.
Finding of the Court:
The court found that the opposite parties were guilty of deficiency in service as they lured the complainant into paying a capitation fee for admission to a non-existent medical college. The court ordered the opposite parties to refund the capitation fee, annual fee, and other expenses incurred by the complainant. Additionally, the court awarded compensation and litigation expenses to the complainant.
Issues: The main issue was whether the opposite parties were guilty of deficiency in service for inducing the complainant to pay a capitation fee for admission to a non-existent medical college.
Ratio Decidendi: The court held that the opposite parties were guilty of deficiency in service as they lured the complainant into paying a capitation fee for admission to a non-existent medical college. The court ordered the opposite parties to refund the capitation fee, annual fee, and other expenses incurred by the complainant. Additionally, the court awarded compensation and litigation expenses to the complainant.
Final Decision: The court ordered the opposite parties to refund the capitation fee, annual fee, and other expenses incurred by the complainant. Additionally, the court awarded compensation and litigation expenses to the complainant.
Justice Surinder Sarup (Retd.) President:
1. This complaint has been filed by one Bharat against six persons who have been arrayed as opposite parties. The prayer in the complaint is that he may be compensated for the loss that he has suffered qua his career, and also for the mental, physical and financial trauma suffered by him due to mis-representation of Baba Mungipa Education Trust opposite party No. 1 and the fraud played by the opposite parties on him, in terms of the order of the Gauhati High Court in the State of Assam. The total amount, thus, claimed in the complaint is Rs. 20,00,000/- alongwith interest 24% per annum with effect from 2.9.1992, on which date the cause of action allegedly arose to the complainant.
2. It has been stated in the complaint that he is a student residing at Solan in the State of Himachal Pradesh. He had his higher education from government College, Solan and as a student of that institution, he graduated with a Degree in B.Sc. from Himachal Pradesh University, Shimla. He, alongwith his father met opposite party No. 2 Dr. Om Prakash Sharma, projecting himself as the Chairman of the Baba Mungipa Education Trust, opposite party No.1, sometime in the middle of July. 1992 at New Delhi. The said Chairman informed the complainant and his father that a new Medical College had been sanctioned in favour of the Trust by the government of Tripura in the north-east of the country. He further informed that the . Trust in consequence thereof had decided to take a capitation fee between Rs. 5.00 lacs to 7.00 lacs from each desirous candidate/student for admission in the said Institution, and if the complainant was so interested, he should await and look for an advertisement in the newspapers, which would appear in the last week of July or 1st week of August, 1992, and meanwhile arrange for the funds of the capitation fee. The said Chairman also informed them that he has many friends in the State of Himachal Pradesh and he would visit Solan and Shimla in the last week of August/1st week of September, 1992 primarily for the purpose of admitting students in the proposed Medical College at Tripura.
3. In consequence of the advertisement purporting to be a notice in the newspapers dated 1.8.1992, the complainant applied for the application/admission form-cum-Prospectus of the said Medical College which was available at Tripura Bhawan, New Delhi, and the Chairman aforesaid was also camping there in connection with the admission. A copy of the advertisement and original prospectus have been annexed as Annexure C-1 and C-2 with the complaint. According to the complainant, he filled up the admission form and sent the same to the Trust of the opposite parties, alongwith declaration which was duly signed by him and his father. This was done in the middle of August. 1992 to the address of the Trust, in question, at Bhiwani in the State of Haryana.
4. Thereafter, he approached the Chairman Dr. Om Prakash Sharma at Bhiwani in Haryana as well as at Tripura Bhawan in New Delhi for further instructions in the matter. Ultimately, he was informed that the Chairman would himself be visiting Solan and Shimla sometime in the first week of September, 1992. At his instance and on his behalf, his maternal uncle had a talk with the Chairman regarding capitation fee/donation, in this connection in the last week of August. 1992. his father, namely, Dr. D.N. Kishore and his two maternal uncles met the said Chairman in the presence of one Dr. Ratinder Dutta. Director of Medical Services/Chief Advisor and Special Secretary (Health) Tripura Government at Tripura Bhawan, New Delhi. After negotiations, Dr. Om Prakash Sharma, Chairman, ultimately agreed to accept capitation fee/donation in the sum of Rs. 5.00 lacs on behalf of the complainant for his admission in the proposed Medical College at Tripura provided the amount was paid in lumpsum. Additionally he raised a demand of Rs. 30,000/- to be paid per annum. During this meeting the said
