LAWS(SC)-2004-3-53

GHAZIABAD DEVELOPMENT AUTHORITY Vs. BALBIR SINGH

Decided On March 17, 2004
GHAZIABAD DEVELOPMENT AUTHORITY Appellant
V/S
BALBIR SINGH Respondents

JUDGEMENT

(1.) In this batch of matters the question is whether grant of interest at the rate of 18% per annum by the Consumer Forums in all cases is justifiable. As facts are varying, at this stage, this Court is only dealing with the question of law. Thereafter this Court shall take up each case separately.

(2.) The National Consumer Disputes Redressal Commission considered a bunch of matters, the lead matter being the case of Haryana Urban Development Authority v. Darsh Kumar. The Commission held, in those cases, that in cases, of decision of service by development authorities like HUDA and GDA, interest must be awarded at the rate of 18% per annum and that this would take into consideration the escalation in the cost of construction as well.

(3.) Pursuant to this judgment the National Commission has been disposing of all subsequent matters with a one paragraph order which, for all practical purposes, reads as under :-