Consumer Commission asks JK Cooperative Housing Corp to pay fine
Srinagar, Aug 20: The State Consumer Dispute Redressal Commission Saturday directed the Jammu and Kashmir Co-operative Housing Corporation Ltd, Jammu to pay a fine of Rs 15 lakhs to a citizen as compensation for causing him financial losses, mental torture and agony.
The Srinagar bench of the Commission comprising Justice (Retd.) G.D. Sharma and Member Shabnum Munshi issued the order after hearing a complaint filed by Muzaffar Iqbal Qureshi, a Senior Judicial Officer of the State.
The Commission observed that the advertisement issued in the newspapers by the Housing Corporation for “sale of plots in the new residential colony by name of Watah Sanagri Gagar Bagh Brane Nishat in different sizes at very cheap rates” was misleading for the complainant.
“The Housing Corporation promised to give plots of different sizes at very cheap rates. The complainant paid three installments aggregating to Rs. 19 lakhs October 25, 2010. The last installment was to be paid at the time of delivery of possession of the plot. When the Housing Corporation dillydallied delivery of the possession of the plot the complainant smelt a rat”, the commission said.It said as the Managing Director of the Housing Corporation came to know about the action proposed to be taken by the complainant. “he started refunding the installment into the complainant’s bank account.”
“By the time, the complaint was filed by the complainant in the Commission, the Housing Corporation had in fact refunded the full amount of Rs.19 lakhs into the complainant’s bank account.”
“The conduct of the Managing Director of the Corporation was fraudulent from the beginning. How could a private colony developer float the scheme of a colony and promise to sell plots when it does not have even an inch of land in his possession along with the title?”, the Commission asked. “The colony developer had collected a part of the offered sale price and in a way fleeced them”.
The Commission held that the complainant is entitled to general compensation and special damages to the tune of Rs.15 lakhs which the Housing Corporation must pay within one month failing which interest at the rate of eight percent per annum would be charged till realization.
Lastupdate on : Sat, 20 Aug 2011 21:30:00 Makkah time
Lastupdate on : Sat, 20 Aug 2011 18:30:00 GMT
Lastupdate on : Sun, 21 Aug 2011 00:00:00 IST
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