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2026 Supreme(Online)(SCDRC) 4930

STATE CONSUMER DISPUTES REDRESSAL COMMISSION CHANDIGARH
Raj Shekhar Attri, President, Preetinder Singh, Member
Dr. Asha Jamwal – Appellant
Versus
M/s Emerging India Housing Corporation Private Ltd. – Respondent
EXECUTION APPLICATION NO. SC/4/EA/105/2022|SC/4/CC/259/2018|SC/4/IA/455/2025



Advocates:
For the Appellants/Petitioners: Tanika Goyal
For the Respondents: Damanpreet Brar

Willful non-compliance with a Consumer Commission's order by a Managing Director attracts penal consequences, including imprisonment and fines, under Section 27 of the Consumer Protection Act, 1986.

Headnote:Under Section 27 of the Consumer Protection Act, 1986, the matter involves the non-compliance of a decree dated 10.06.2019. The complainant had booked a residential unit and paid Rs. 16 lacs, but neither possession nor refund was provided. The court found that the judgment debtor failed to comply with the order to refund the amount with interest and compensation, despite several opportunities. The court framed issues regarding whether the accused was the Managing Director and if he willfully failed to comply with the order. The ratio decidendi is that Section 27 provides stringent penal provisions to ensure the effective enforcement of orders, and willful non-compliance by a person in charge of the company's affairs attracts criminal liability, as the provision is intended to deter defiance and uphold the sanctity of the consumer redressal mechanism. The accused, Gurpreet Singh Sidhu is sentenced to undergo imprisonment for a period of 2 years and 6 months (Two years and six months) and to pay fine in the sum of Rs.2000/- (Two Thousand only).

ORDER

STATE CONSUMER DISPUTES REDRESSAL COMMISSION,

U.T., CHANDIGARH

Execution Application No.: 105 of 2022

Date of Institution: 03.11.2022

Date of Decision: 26.05.2026

Dr. ASHA JAMWAL w/o Devinder Singh Jamwal (retd.) R/o BNQ, 480, Sector-C, Sainik Colony, Bye Pass Road, Jammu.

…..Decree Holder/Complainant

Versus

1. M/s EMERGING VALLEY PRIVATE LIMITED, a unit of Emerging India Housing Corporation (P) Ltd. through its Managing Director/Authorized Signatory, Site Office at Emerging Heights III, SanteMajra Sector-115, Mohali. 2nd Office - SCO 46-47, First Floor, Sector 9-D, Near Mattka Chowk, Madhya Marg, Chandigarh-160009, through its Director Gurpreet Singh Sidhu. Email Id:-iinfo@emergingindia.in

2. Gurpreet Singh Sidhu, Managing Director, C/o M/s Emerging Valley (P) Ltd. a unit of Emerging India Housing Corporation (P) Ltd., R/o - Emerging Heights III, SanteMajra Sector-115, Mohali. 2nd Address - House No.208, Sector 9, Chandigarh-160009. Email:- ei.md@hotmail.com

3. SUSHIL KUMAR, Director R/o Emerging Heights III, SanteMajra Sector-115, Mohali. Email:- ei.md@hotmail.com.

... Judgment Debtor/Opposite parties

BEFORE: JUSTICE RAJ SHEKHAR ATTRI, PRESIDENT

MR. PREETINDER SINGH, MEMBER

PRESENT :-

Ms.Tanika Goyal, Advocate, counsel for the Decree Holder.

None for JD No.1.

Ms.Damanpreet Brar, Advocate, counsel for the judgment debtor/Gurpreet Singh Sidhu.

Sh.Gurpreet Singh Sidhu, Managing Director of Company (Produced from Model Jail, Burail Chandīgarh).

Sh.Sushil Kumar, Judgment Debtor No.3-on VC

PER JUSTICE RAJ SHEKHAR ATTRI, PRESIDENT

Above named accused-Gurpreet Singh Sidhu is facing the trial under Section 27 of the Consumer Protection Act 1986 (in short the Act) being the Managing Director of JD No.1-M/s Emerging Valley Pvt. Ltd. (in short the Company) on the allegations that he failed to comply with order Exh. C-2 which is dated 10.06.2019 passed in consumer complaint no.259 of 2018.

Factual scenario:-

Briefly stated, the facts of the case as mentioned in order dated 10.06.2019 (Exh. C-2) are that the complainant/Decree Holder had booked a residential unit in the project of the judgment debtors on 08.09.2012, under the name and style Emerging Valley, “Emerging Heights”, situated on Landran Banur Road, Mohali, Punjab. She paid in total, an amount of Rs.16 lacs. However, neither possession of the said residential unit was delivered nor was the amount paid refunded by the opposite parties/judgment debtors. Consequently, she filed Consumer Complaint No.259 of 2018 before this Commission on 08.06.2018 against Emerging Valley (P) Ltd. through its Director/Managing Director/Authorized Representative. The said consumer complaint was partly accepted vide order dated 10.06.2019 (Ex.C-2) as under :-

“…9. 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.16,00,000/- to the complainant, alongwith interest @12% p.a., from the respective dates of deposits onwards.

ii. To pay compensation, in the sum of Rs. 50,000/-, for causing mental agony and physical harassment, to the complainant, as also escalation in prices.

iii. To pay cost of litigation, to the tune of Rs.22,000/- to the complainant.

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) thereafter shall carry penal interest @15% p.a., instead of @12%, from the date of default, and interest @12% p.a.. on the amounts mentioned at sr.nos.(ii) and (iii) from the date of filing of this complaint, till realization…”

It is an undisputed fact that despite the order dated 10.06.2019 (Ex.C-2) having attained finality, but the same was not complied with, within the stipulated period despite a

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