GHAZIABAD DEVELOPMENT AUTHORITY Vs. RAJESH CHANDRA

JUDGEMENT

(1.) Before this Court a large number of appeals have been filed by the Haryana urban Development Authority and/or the ghaziabad Development Authority challenging orders of the National Consumer disputes Redressal Commission, granting to complainants, interest at the rate of 18% per annum irrespective of the fact of each case. This Court has, in the case of ghaziabad Development Authority v. Balbir Singh, deprecated this practice. This Court has held that interest at the rate of 18% cannot be granted in all cases irrespective of the facts of the case. This court has held that the Consumer Forums could grant damages/compensation for mental agony/harassment where it finds misfeasance in public office. This Court has held that such compensation is a recompense for the loss or injury and it necessarily has to be based on a finding of loss or injury and must co-relate with the amount of loss or injury. This Court has held that the Forum or the Commission thus had to determine that there was deficiency in service and/or misfeasance in public office and that it has resulted in loss or injury. This Court has also laid down certain other guidelines which the Forum or the Commission has to follow in future cases.

(2.) This Court is now taking up the cases before it for disposal as per principles set out in earlier judgment. On taking the cases we find that the copies of the claim/petitions made by the respondent/complainant and the evidence, if any, led before the District Forum are not in the paper book. This court has before it the order of the District forum. The facts are thus taken from that order.

(3.) In this case, the respondent applied for a shop on 30. 10. 1995 in Commercial scheme Kaushambi, 1994 of the appellants and the value of the shop was Rs. 1,20,000/ -. The respondent deposited the entire amount with the appellants, but the possession of the shop was not delivered, while the possession has been given to other allottees. The respondent filed a complaint before the District Forum. On these facts, the District Forum directed the appellants to handover the physical possession of the shop within three months from the date of order after constructing the shop along with interest at the rate of 18% p. a. from 1.1. 1997 till the date of possession and awarded a sum of Rs. 2,000/- as cost and damages. It further directed that if the order is not complied with within the said period, the appellants shall pay interest at the rate of 21% p. a.