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General Manager, M/s. Shourya Towers Pvt. Ltd. & Others v/s Varun Shahi

    First Appeal No. 1022 of 2018

    Decided On, 14 March 2019

    At, National Consumer Disputes Redressal Commission NCDRC


    For the Appellants: Praveen Mahajan, Advocate. For the Respondent: Vikas Nautiyal, Advocate a/w Respondent in person.

Judgment Text


The complainant/respondent booked a residential flat with the appellants in a project namely ‘Shourya Greens Apartment’ which the appellants were to develop in Surya Enclave, Near Trinity College, at Jalandhar. Flat No.G1-0014 in the above referred project was allotted to the complainant and the possession of the said flat was to be delivered by 31.12.2008. The basic sale price of the flat was agreed at Rs.25,04,000/- though an additional payment of 10% could also be charged from the complainant. The grievance of the complainant is that the possession of the allotted flat was not offered to him despite he having paid Rs.22,78,060/- to the appellants. The complainant therefore, approached the concerned State Commission with the following prayers:

1. to give physical possession of the flat, in question, along with 6% penal interest on the amount lying deposited with them beyond the date of giving actual possession thereof;


2. to refund the deposited amount, along with 6% penal interest from the date of deposit till realization;

3. to pay Rs.2,00,000/- as compensation for mental agony and harassment suffered by the complainant; and

4. to pay Rs.22,000/- as litigation expenses.

2. The complaint was resisted by the appellants on several grounds but they did not dispute the allotment made to the complainant and also the obligation to deliver possession of the allotted flat by 31.12.2008. They however, claim that the complainant had paid only a sum of Rs.14,65,471/- to them.

3. The State Commission held that the complainant had in fact paid a sum of Rs.22,78,060/- to the appellants and decide the complaint with the following directions:

i) To refund the amount of Rs.22,78,060/- to the complainant, along with interest at the rate of 12% per annum from the respective dates of deposit till realization, as per Rule 17 of PAPRA;

ii) To pay Rs.2,00,000/- as compensation on account of the mental agony and harassment suffered by the complainant and

iii) To pay Rs.20,000/- as litigation expenses.

iv) The opposite parties shall comply with the order within 30 days of the receipt of the certified copy thereof, failing which the compensation amount shall also carry interest at the rate of 12% per annum from the date of this order till realization thereof.

4. Being aggrieved from the order passed by the State Commission, the appellants are before this Commission by way of this appeal.

5. When this appeal came up for admission hearing on 14.06.2018, a notice limited to the quantum of compensation was issued to the complainant. I have heard the learned counsel for the parties accordingly.

6. Admittedly, no evidence was led by the complainant before the State Commission to prove the actual loss suffered by him on account of the failure of the appellant to deliver the possession of allotted flats. It is a settled legal preposition that the compensation in such cases must commensurate with the loss suffered by the consumer. In the absence of such an evidence, the complainant in my view, was entitled only to the extent of the financial loss suffered by him on account of the appellants having utilized the amount of Rs.22,78,060/-. Considering the interest rates prevalent at the relevant time, I am of the view that an all-inclusive compensation in the form of simple interest @ 10% per annum alongwith cost of litigation awarded by the State Commission would meet the ends of justice. The appeal is therefore, disposed of in terms of the following directions:

(i) The appellant

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s shall refund the entire principal amount of Rs. 22,78,060/- to the complainant alongwith compensation in the form of simple interest @ 10% per annum from the date of each payment till the date of refund. (ii) The appellants shall pay a sum of Rs.20,000/- as the cost of litigation of the complainant. (iii) The payment in terms of this order shall be made within three months from today.