LAWS(NCD)-1997-3-121

HARYANA STATE ELECTRICITY BOARD Vs. OM PARKASH GOEL

Decided On March 31, 1997
HARYANA STATE ELECTRICITY BOARD Appellant
V/S
OM PARKASH GOEL Respondents

JUDGEMENT

(1.) Complainant-mr. B. K. Aggarwal has come up in appeal against the order dated Ist March, 1996 passed by the learned District Forum, Gurgaon, whereby his complaint has been partly allowed against the Haryana Officers and Public Enterprises Employees' Welfare Cooperative Group Housing Society (hereinafter referred to as "the Society") by issuing the following directions : "thus upto 19.11.94, the increased rate of interest cannot be charged from the complainant and it shall be 12% only. But in case any principal amount of old instalments is found outstanding against him, he can be asked to pay interest on that amount at an increased rate only from 19.11.94 till the date of payment. Old members cannot be allowed to linger on the payments at old rate of interest even after the date of decision regarding the increase in the rate of interest, when on the other hand, the new entrants are asked to pay the interest at the increased rate. In case the complainant had cleared his dues upto the date of the aforesaid meetings, he is nothing to lose. But in case any amount of old instalments payable by that date was outstanding, he is liable to pay the same @ 12% interest upto 12.11.94 and then @ 24% till the date of payment. But the interest @ 24% cannot be charged for the period prior to 19.11.94. Further, in case the increased interest has not been charged from other old members committing default beyond 19.11.94, then it cannot be charged from the complainant even, as no such discrimination can be permitted in such matter. So the calculation be made accordingly within a fortnight and the complainant be allowed to make the payment, if any amount is found due, within a reasonable period. The possession of the flat be delivered to the complainant immediately in order to avoid the loss of rent to him. "

(2.) According to the complainant, the Society was formed for providing housing accommodation to its members on 'no loss and no profit' basis. vide its letter dated 15th June, 1994, the Society decided to enroll the appellant as its member and according to this letter, the new members were required to pay interest @ 12% per annum for the delay in making the payment of old instalments. The Society in its General Body's meeting held on 19th November, 1994, at Gurgaon under the Chairmanship of Mr. R. S. Malik-respondent, further decided that interest @ 24% be charged on old instalments wherever any new applicant was to be enrolled as member in future. The appellant had already paid the entire principal amount and an additional amount of Rs.75,000/over and above the old estimated cost of Rs.8.50 lakhs as also the floor charges of Rs.25,000/to the respondent-Society, which fact the Society in its letter dated 26th June, 1995, had also acknowledged by certifying that no amount towards principal was due from the appellant. Despite all this it still demanded an amount of Rs.1,42,277/as penal interest @ 24% being outstanding against the appellant. Aggrieved against this unfair and unreasonable demand and the deficiency of service on the part of the Society, the complainant approached the District Consumer Forum, Gurgaon for the redressal of his grievance. Though the notice of the complaint was served on the Society, yet it had refused to accept the same and the District Consumer Forum had to proceed ex-parte. After examining the evidence produced by the complainant, the learned District Forum, partly allowed the complaint by granting the aforesaid relief.

(3.) In the appeal before us, learned Counsel for the appellant has vehemently contended that as the Society was not entitled to demand interest @ more than 12%, its demand for @ 24% was wholly unfair and amounted to deficiency in service on the part of the Society. It is further contended, that the Society has therefore brought the figure to Rs.1,42,703/by multiplying the interest from time to time even though the complainant had already paid the entire amount of principal as also of interest.