(1.) Respondent no.3 who is the member of the petitioner society filed a claim petition under Section 60 of the Delhi Cooperative Societies Act (in short "DSC Act") with the Registrar of Cooperative Societies sometime in 1993. The matter was referred for adjudication to the Arbitrator.
(2.) There were three claims preferred by Respondent no.3. Firstly that the actual cost of the flat allotted to him was escalated by 27% in comparison to the estimated cost and that the cost of the flat is not based on the basis of actual area of the flat between the mainsliding door and the peripheral outside wails. Second claim was that there were number of defects in the flat allotted to him and therefore the petitioner society may be directed to get the said defects removed and to reconcile the cost of the flat. Third grievance was against levying penal interest on call money by the petitioner society. According to the petitioner since there is no provision in the society's bye-laws in this regard nor had the society arranged any loan the question of levying penal interest did not arise.
(3.) The stand taken by the petitioner society was that construction was started in January, 1990 and the plans were approved by the General Body and therefore at this stage it is not open to the respondent to raise any dispute regarding designing of flats and that at the time of construction no member knew as to which kind of flat will be allotted to him. As regards penal interest, the petitioner-society pleaded that resolution in this regard was passed in General Body meeting on 24.2.1992 unanimously approving the revised cost estimates and penal interest @ 24% on default amount from 1.3.1992 was also approved. As regards defects in fiat of respondent no,3, the petitioner society had agreed to remove those defects after respondent no.3 took possession of the flat.