ESTATE OFFICER PUDA Vs. JASPAL SINGH DARA

JUDGEMENT

(1.) This revision petition has arisen out of the order dated 24-4-1996 passed by the Punjab State Commission at Chandigarh upholding the order dated 19-1-1996 passed by the District Forum, Ludhiana and directing the opposite parties to pay interest to the complainant on the sum of Rs. 6,000/- from the date of deposit till 31-1-1992 calculated at the rate of 10% per annum.

(2.) The facts lie in a narrow compass and may be noticed. The Government of Punjab, through its agencies, has been carrying on the welfare activity of planning and developing residential colonies in the various Urban Estates in the State of Punjab. From time to time the lands are acquired by the Government and after development, housing plots are made available to the public in accordance with the Punjab Urban Estate (Development and Regulation) Act, 1964 and the Urban Estates (Sale of Sites) Rules, 1965 made thereunder. On 25th March, 1990 the Department of Housing and Urban Development, Punjab advertised a Scheme offering free-hold residential plots in Sector 32-A Urban Estate, Ludhiana. The complainant in response to the said advertisement had applied for allotment of a plot measuring 300 sq. yards and had deposited a sum of Rs. 6,000/- on 20-4-1990. As the complainant was not successful in the draw of lots, he applied on 24-9-1993 for the refund of his deposit. The Complainant was refunded the amount of his earnest money on 18-1-1994 with 10% interest with effect from 1-2-1992 but no interest was paid for the earlier period from 20-4-1990 to 31-1-1992. The complainant made a representation to the opposite party but of no avail and ultimately filed the complaint, alleging deficiency in service on the part of the opposite party.

(3.) On being noticed the opposite party filed its written version. It was pointed out that the complainant and other persons had applied for the allotment of residential plot in April, 1990 in Sector 32-A, Samrala Road, Ludhiana, that a price of Rs. 1,200/- per sq. yard was fixed for all sizes of plots, that the draw of lots was scheduled to commence from 18th December, 1991 but was postponed as some of the applicants wanted the price fixed for the plots to be reviewed and brought down, that the Housing Board reconsidered the entire matter and decided not to reduce the price already fixed but some other terms and conditions were liberalised, that this decision had been conveyed to all the applicants during the month of January, 1992 and the applicants had been requested to give their option in the prescribed form, that some of the applicants had filed writ petitions in the Punjab and Haryana High Court against the price fixed by the Board, that all these writ petitions had been dismissed and the Boards case for charging Rs. 1,200/- per sq. yard had been upheld by the High Court and that since the complainant had not withdrawn his earnest money he was entitled to be considered for allotment of the plot in this Sector. The complainant and other applicants similarly situated were duly informed that draw of lots for allotment of plots would take place as per the schedule indicated. It was also pleaded that the Housing Board had further decided that with effect from February, 1992 all the applicants would be paid interest on their earnest money at the rate of 10% per annum till such time as the allotment of plot/ flat is offered or the amount is refunded. It is also pointed out that the terms and conditions of the advertisement dated 25-3-1990 clearly stated that "no interest will be paid on earnest money".