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2026 Supreme(Online)(SCDRC) 2776

STATE CONSUMER DISPUTES REDRESSAL COMMISSION
Raj Shekhar Attri, President, Preetinder Singh, Member
Roshan Kumar – Appellant
Versus
Emerging India Housing Corporation Ltd. – Respondent
EXECUTION APPLICATION NO. SC/4/EA/158/2018 | SC/4/CC/110/2016 | SC/4/IA/58/2026



Advocates:
For the Appellants/Petitioners: Shubham Bhardwaj
For the Respondents: Sonpreet Singh Brar

Section 27 of the Consumer Protection Act, 1986 serves as a stringent penal provision, empowering Consumer Commissions to act as Judicial Magistrates to punish willful, contumacious non-compliance of final orders with imprisonment to maintain the sanctity of the consumer redressal mechanism.

Headnote:(A) Consumer Protection Act, 1986 - Section 27 - Execution of decree - Willful disobedience - Quantum of punishment - Commission empowered with powers of Judicial Magistrate First Class to try offences summarily - Accused failed to comply with lawful order for over eight years - Contumacious conduct and persistent inaction established - Held, accused guilty of non-compliance and sentenced to two years imprisonment and fine. (Paras 12, 13, 14, 18, 19, 20)

Facts of the case:
The complainants booked a flat with the company and paid Rs.18,86,600/- but never received possession nor refund. An order was passed by the Commission on 11.01.2018 directing refund with interest and compensation. Despite the order attaining finality, the company and its Managing Director failed to comply for years, necessitating an execution application for punishment under Section 27.

Findings of Court:
The Commission found that the judgment debtor had failed to comply with the directive despite receiving numerous opportunities. It held that the calculation of outstanding dues provided by the Accounts Branch was correct, totaling Rs.31,28,338.31 ps. The accused was convicted for willful disobedience.

Issues: Whether the accused failed to comply with the order; whether the complainants proved the case beyond reasonable doubt; and whether the accused is liable under Section 27.

Ratio Decidendi: The provision of Section 27 of the Act is criminal in nature, designed to ensure effective enforcement of orders. Since guilt was established beyond reasonable doubt through documentary evidence and the admitted failure to pay the full decreetal amount, the accused is liable for imprisonment.

Result: Accused sentenced to two years imprisonment and fine.

Table of Content
1. failure to comply with final orders in consumer complaints leads to execution proceedings. (Para 1 , 2 , 3 , 4)
2. commissions use established calculation rules for interest and follow criminal procedure codes. (Para 5 , 6 , 7)
3. non-compliance with commission orders attracts penal consequences under section 27. (Para 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15 , 16 , 17 , 18)
4. deliberate defiance of lawful orders warrants punitive imprisonment and fines. (Para 19 , 20)

ORDER

STATE CONSUMER DISPUTES REDRESSAL COMMISSION, U.T., CHANDIGARH

Execution Application:158 of 2018
Date of Institution:16.05.2018
Date of Decision:09.04.2026

1. Roshan Kumar S/o Sh. Lal Chand,

2. Pooja Garg W/o Sh. Roshan Kumar

Resident of Aggarwal Book Depot, Nabha Gate, Sangrur.

....Decree Holders

Versus

1. Emerging India Housing Corporation Ltd., SCO 46-47, Sector 9-D, Near Mattka Chowk, Madhya Marg, Chandigarh-160009 through its Managing Director Sh.Gurpreet Singh Sidhu

2nd Address:- B-57, Lower Ground, South Extension, New Delhi-49

2. Sh.Gurpreet Singh Sidhu, Managing Director, Emerging India Housing Corporation (P) Ltd. SCO 46-47, Sector 9-D, Near Mattka Chowk, Madhya Marg, Chandigarh-160009

2nd Address:- B-57, Lower Ground, South Extension, New Delhi-49

3. Sh.Kamaljit Singh, R/o H.No.26, Hira Bagu, Chaura, University, Patiala-147002, Punjab,. Director of Emerging India Housing Corporation (P) Ltd. SCO 46-47, Sector 9-D, Near Mattka Chowk, Madhya Marg, Chandigarh (name deleted)

.....Judgment Debtors/opposite parties

JUSTICE RAJ SHEKHAR ATTRI, PRESIDENT

The present execution application has been filed by the complainants/decree holders under Section 27 of the Consumer Protection Act, 1986 against Emerging India Housing Corporation (P) Ltd. and its Managing Director, Gurpreet Singh Sidhu, for non-compliance of the order dated 11.01.2018 passed by this Commission in Consumer Complaint No.252 of 2017. Undisputedly, the said order dated 11.01.2018 has attained finality.

Background facts:-

2. Briefly stated, the facts of the case are that the complainants/decree holders, namely Sh. Roshan Kumar and his wife-Pooja Garg, booked a flat in the project of the judgment debtors and paid a total amount of Rs.18,86,600/- during the period from 2011 to 2013. However, neither possession of the said flat was delivered nor was the amount paid, refunded by the opposite parties/judgment debtors. Consequently, they filed Consumer Complaint No.252 of 2017 before this Commission on 20.03.2020, which was partly accepted vide order dated 11.01.2018 (Ex.C-2) as under:-

“…14. For the reasons recorded above, this complaint is partly accepted, with costs. The opposite parties, jointly and severally, are directed as under:-

(i) To refund the amount of Rs.18,86,600/- to the complainants, alongwith interest @12% p.a., from the respective dates of deposits onwards.

(ii) To pay compensation, in the sum of Rs.1 lac, for causing mental agony and physical harassment, to the complainants, as also escalation in prices.

(iii) To pay cost of litigation, to the tune of Rs.33,000/- to the complainants.

(iv) The payment of awarded amounts, in the manner mentioned at sr.nos.(i) to (iii), shall be made, within a period of 02 (two) months from the date of receipt of a certified copy of this order, failing which, the amount mentioned at sr.no.(i) shall carry penal interest @15% p.a., instead of @12%, from the date of filing of this complaint and interest @12% p.a., on the amounts mentioned at sr.nos.(ii) and (iii) also, from the date of filing of this complaint, till realization.

15. However, it is made clear that, if the complainants, have availed loan facility from any banking or financial institution, for making payment of installments towards the said unit, it shall have the first charge of the amount payable, to the extent, the same is due to be paid by them (complainants)….”

3. Upto filing of the instant application, nothing was paid by the accused. At that time, Exh. C-3 (calculation s

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