ARUN KUMAR GUPTA Vs. MEERUT DEVELOPMENT AUTHORITY

JUDGEMENT

(1.) In this compensation application filed under Sec.12b of the Monopolies and Restrictive Trade Practices Act, 1969 (the MRTP Act in short), the applicant has claimed refund of the balance amount of Rs.20,000/- from the Meerut Development Authority (hereinafter referred to as the respondent ).

(2.) In response to a scheme floated by the respondent, the applicant applied for allotment of a plot measuring 180 sq. mtrs. in Category 'c' in the Shatabdi Nagar Residential Scheme. He deposited an amount of Rs.8,000/- by way of registration money which was duly acknowledged by the respondent vide receipt dated 15.9.1989. In the draw of lots held on 8.4.1992, the applicant was found successful and he was accordingly allotted a 'c' Category Plot No. B/103 in Sector 2 measuring 180 sq. mts. at an estimated cost of Rs.81,000/-. In the letter dated 14.2.1991, the applicant was required to deposit the reservation amount of Rs.20,000/- by 1.3.1991 and to pay the balance amount in eight six-monthly instalments, in the respondent's account in Allahabad Bank, either at Scindia House, New Delhi or at Meerut. It has been stated that the applicant deposited the reservation amount of Rs.20,000/- on 2.3.1991 vide Cheque No.890811 drawn on the State Bank of India, Wazirpur Industrial Area Branch, Delhi, which was paid in clearing through Allahabad Bank, Scindia House, New Delhi on 5.3.1991. It is further stated that, as per Clause 2 of the terms and conditions given in the respondent's letter dated 14.2.1991, possession of the plot was assured to be given in 1992.

(3.) The applicant's allegation against the respondent is that no progress was made at the site to provide basic infrastructural facilities for the development of plots and that the respondent failed to deliver possession of the plot in a developed condition within the stipulated period. It has also been alleged that the respondent raised the price of the plot from Rs.81,000/- to an unreasonable amount of Rs.1,08,000/-. In these circumstances, the applicant decided to withdraw from the scheme and claimed refund of the amount of Rs.28,000/- vide letter dated 10.7.1993. The respondent cancelled the allotment of plot and refunded an amount of Rs.8,000/- but declined to pay the balance amount of Rs.20,000/-. It has been claimed that the aforesaid conduct of the respondent is an unfair trade practice within the meaning of Sec.36-A of the MRTP Act, as a result of which, financial loss has been caused to the applicant. Hence, the present petition has been filed for grant of compensation.