GURBAKSH SINGH MALHOTRA Vs. TECHNOLOGY PARKS LTD

JUDGEMENT

(1.) This is a common order in respect of the main enquiry covered by UTPE No.168/90 and the compensation application covered by CA 267/96.

(2.) Shri Gurbaksh Singh Malhotra (complainant hereafter) has moved this Commission with two applications, one under Sec.36b (a) and the other under Sec.12b of the MRTP Act, 1969 praying for the initiation of an enquiry into certain unfair trade practices on the part of Technology Parks Ltd. (respondent 1 hereafter) and its Managing Director Shri Shaukat Rai Malhotra (respondent 2 hereafter) and praying for compensation for the loss and damaged suffered by him as a consequence of the alleged unfair trade practices. Respondent 1 is a Company incorporated under the Companies Act, 1956 and is engaged in the business of colonisation and selling of plots after development. It issued various advertisements in the newspapers offering residential, commercial and industrial plots with facilities like software development centre, RD center, Industrial Tool Room, corporate retreat center, Hotel, School etc. It represented that it would provide all these facilities and develop an integrated complex called the "park City".

(3.) The applicant induced by the advertisements booked a plot measuring 538.20 sq. yards. Plot No.68 on the NOIDA, Dadri Road, Ghaziabad District in the "park City" project. The respondents in their communications to the complainant represented that they had the certificate from the Collector, Ghaziabad for change of user of land from "agricultural" to "residential, commercial or industrial" purpose and had obtained from the U. P. Government approval for developing 200 acres of land for the "park City" project. The complainant was told that he should make payment of 40% of the total price at the time of booking, with the balance being payable in 36 equally monthly instalments. The complainant made payment of Rs.1,13,022/- out of the total price of Rs.1,61,460/- constituting about 70% of the same. The last payment was made in June, 1990. The complainant has alleged that till date there has been no development of the land. The complainant made repeated requests to the respondents on the state of affairs but there has been total silence from the latter. The complainant after visiting the site found that the land was "lying barren". He came to know of a Public Notice issued by the District Magistrate of Ghaziabad warning the public from entering into any sale or purchase agreement in the "park City" area. The respondents have been falsely representing that they have the approval of Government of Uttar Pradesh and Collector, Ghaziabad, contrary to the truth. The respondents are neither the owners nor are they in possession of the land in question for development. The respondents have, therefore, indulged in the unfair trade practices of misrepresenting to the public and in particular to the complainant visiting him with loss and damage. He has prayed for the institution of an enquiry for unfair trade practices. In his compensation application, he has sought compensation by way of the refund of Rs.1,13,022/- alongwith the interest and also damages for the loss incurred by him.