AVKASH ENTERPRISES Vs. CONSUMER PROTECTION COUNCIL

JUDGEMENT

(1.) APPELLANTS were the opposite parties before the State Commission. Complaint of the complainants-respondents was allowed wherein they had claimed deficiency in service in the construction of the tenements. Complaint was filed by the Consumer Protection Council, a recognised voluntary consumer organization registered under an Act, as first complainant and complainant No. 2 was the Chairman of the organization of the tenements owners numbering 36. State Commission while allowing the complaint partly, directed the second appellant, Chirag Builders to pay Rs. 1,96,500/- for the defects described in the construction of the tenements. Cost of Rs. 3,000/- was also imposed out of which Rs. 2,000/- was to be paid to the first complainant and Rs. 1,000/- to the second complainant. As far as opposite party No. 1 i.e. first appellant is concerned, a direction was issued for it to extend full cooperation to the tenements owners in the steps for obtaining sale deed/deeds from the original owners of the land on which tenements were constructed.

(2.) COMPLAINANTS had alleged that the first appellant was carrying on business of organiser of societies and rendering services for consideration. Second appellant-Chirag Builders was the builder who constructed tenements. Land was purchased by the appellants from the original owners for the purpose of developing and for construction of houses. This land was divided in the plots and one such plot on which 56 tenements were to be constructed was called Shital Park and appellants had sponsored and organised the housing scheme for the purpose in the name of Shital Park Society. Each member was to pay Rs. 1.00 lakh for the tenement. We are concerned with 36 members who became the members of the Shital Park Society for purchase of the tenements by each one of them. Then each one of them had paid Rs. 12,500/- to the first appellant for land and Rs. 45,000/- to Chirag Builders for construction of the tenements. It is alleged that besides the aforesaid amount further amount of Rs. 42,500/- was received from each of the tenements owners by the appellants though for this amount no receipt was given. Thirty six members, therefore, became owners of the tenements of the Shital Park Society. However, there was defect in construction and these defects were :

(3.) THERE cannot be any dispute that construction was defective as per the grievance of the complainants and which we have already quoted above. Non-provision of the facilities and defects in the construction amounted to deficiency in service and State Commission rightly held that complaint raised 'consumer dispute' and that the complainants were the 'consumers'. In spite of the fact that Chirag Builders did not appear and file its written version yet it filed appeal before us jointly with Avkash Enterprises.