SOUTHERN PENINSULA HOUSING LIMITED Vs. VINCENT RAJKUMAR

JUDGEMENT

(1.) The complainant's case is as follows: The complainants approached the opposite party and booked a flat in the second floor facing road side in one of its projects namely "vaigai" at Rangarajapuram, Kodambakkam, Madras. The complainants paid an advance of Rs.25,000/- to the opposite party and a receipt dated 3.5.1996 was issued. There was no communication from the opposite party for a long time. In September, 1996, the complainants were prepared to pay Rs.2 lakhs towards cost of the balance. The opposite party, however, without informing the actual progress of the project simply cancelled the allotment of road facing flat to the complainants. The opposite party has also not refunded the advance of Rs.25,000/-. Hence, the complaint.

(2.) The opposite party pleaded as follows: The receipt of advance is admitted. The value of the flat was Rs.15 lakhs. The complainant failed to make periodical payments towards purchase of the flat. They also changed their address without intimating to the opposite party. That the complainant was ready to pay Rs.2 lakhs in September is not true. As further payment towards cost of the flat was not made, the agreement was cancelled and a cheque for Rs.26,366/- was sent to the complainant and the cheque was returned unserved. There was no deficiency in service.

(3.) The lower forum allowed the complaint and directed the opposite party to pay a sum of Rs.25,000/- with a compensation of Rs.3,000/- and Rs.1,000/- towards costs. Aggrieved by the same, the present appeal.