State Consumer Disputes Redressal Commission
Sadguru Land Finance vs Santosh Garg, on 26 August, 2008
FA-08/128 IN THE STATE COMMISSION : DELHI (Constituted under Section 9 clause(b) of the Consumer Protection Act, 1986) Date of Decision: 26.8.2008 Appeal No.FA-2008/128 (Arising from the order dated 08.01.2008 passed by District Forum(Central), ISBT, Kashmere Gate, Delhi in complaint case No.59/2007) M/s Sadguru Land Finance, Appellants Through its Partner Through 898, Joshi Lane, Ms. Sonali Malhotra, Karol Bagh, Advocate. New Delhi-110005. Versus Smt. Santosh Garg, Respondent W/o Shri Inder Prakash Garg, R/o IX/483, Subhash Road, Gandhi Nagar, Delhi-110031 CORAM Ms. Rumnita Mittal -- Presiding Member
1. Whether reporters of local newspapers be allowedto see the judgment?
2. To be referred to the Reporter or not?
Ms. Rumnita Mittal, Member The instant appeal has been filed under Section 15 of the Consumer Protection Act against the order of the District Forum dated 8th January, 2008 whereby the appellant was held guilty of deficiency of service in demanding the maintenance charges and was directed to execute the sale deed of Plot No.E-20, Ved Vihar, Loni, U.P. without demanding any amount either on account of maintenance charges or registration charges as the complainant had already paid the sum of Rs.40,800/- to the OP.
2. Aggrieved by the aforesaid order, the Appellant has preferred the instant appeal.
3. The facts which led to the passing of the impugned order are that the Respondent, Mrs. Santosh Garg was the allottee of plot No.E-20, Ved Vihar, Loni, UP in a project launched by the OP and had agreed to pay Rs.1,20,000/- being the cost of the plot. The last installment of Rs.8600/- was paid on 30.06.1993 vide receipt No.1845.
However, the Appellant did not inform the complainant about the status of the project till 22.09.2006, when the Respondent was asked to pay a sum of Rs.30,800/- for execution of the sale deed.
Vide said letter the Appellant also called upon the Respondent to pay maintenance charges of Rs.3,16,000/- which were subsequently increased. Though the Respondent was not satisfied with the illegal demand, yet she sent a cheque of Rs.40,800/- to the Appellant (Rs.30,800/- as registration charges and Rs.10,000/- for maintenance charges, yet the OP failed to execute the sale deed and kept on inflating its demand towards maintenance charges and registration charges. As such, the Respondent filed a complaint before the District Forum, praying for directions to the Appellant to withdraw the inflated demand and to accept Rs.40,800/- as full and final payment of outstanding amount and also prayed for cost and compensation.
4. The Appellant controverted the allegations of the Respondent and justified its demand of maintenance charges on the ground that the plot in question was allotted to one Smt. Sundari Devi Bhatia w/o Late Shri Thaker Dass Bhatia who had failed to pay installments towards the sale consideration whereas the Appellant had continued to perform its obligations and develop the colonies as per the terms laid by the Ghaziabad Development Authority. The said Smt. Sundari Devi Bhatia sold the plot of land to the Respondent vide agreement dated 30th March, 1993, whereunder the Respondent agreed and undertook to pay the installments and expenses to the Appellant as well as to the other local and government bodies well in time. On the basis of the said agreement, the allotment of the plot in question was transferred in favour of the Respondent but the Respondent failed to perform her obligations i.e sign the buyers agreement with the appellant in respect of the plot in question; pay the amount payable to the Appellant which remained due since 1990 alongwith interest due there on and deposit the charges towards stamp duty, registration charges etc. to get the sale deed executed in her favour. The Appellant has been developing and maintaining the residential colony in question since 1990 and has been repeatedly requesting the complainant to pay up the dues but the Respondent having failed to do so, there is no deficiency of service on its part.
5. The Respondent has in its complaint admitted the factum of being liable to pay the maintenance charges in as much as it has been stated in para 3 of the complaint that the Respondent had paid the last instalment which also included maintenance charges of the plot till June, 1993 and also the fact that the Appellant has placed on record the list of other allottees who have made the entire payment of the maintenance and other charges goes to show that the said charges are justified and payable in terms of the agreement. The Supreme Court has also in case of Bharti Knitting Mills Vs. DHL Worldwide Express (JT-1996(6)SC 254) held that the terms of the agreement should be interpreted strictly as while entering into the agreement, both the parties are aware of the terms and conditions. Furthermore, the developer/colonizer invests money into the project and if the allottees are allowed to withhold the payments, the project would not only suffer but the other allottees would also suffer on account of the defaulters as the paucity of funds could delay the project. The relevant terms of the Agreement read as under:-
5).
The above agreed price of the plot covers development of internal services such as laying of roads, laying of water lines, laying of sewer lines etc. within the peripherial limits of the Colony. The charges for laying and providing external development and/or peripherial services such as water, sewer, storm water drains, roads, electricity, horticulture etc. to be provided by the Seller and/or by any Government agency or local authority for any bigger zone shall be calculated and intimated to the Purchaser later. Such charges levied by any Government agency or local authority shall be paid by the Purchaser to the Seller on demand. If however, at the time of the Sale Deeds, no such demand has been made by the Seller, the Sale Deed shall contain a provision to the effect that the Purchaser shall pay the same to appropriate authority/Govt. Agency such sum as may be demanded by it. Similarly, any other levy or charges of any nature whatsoever made by any Govt./local authority in respect of the plot agreed to be sold shall also be borne by the Purchaser. In case a consolidated demand for the whole Colony is made, the same shall be apportioned to the various Purchasers on the basis of the area agreed to be purchased by them and the apportionment so made by the Seller shall be final and binding on the Purchaser.
(12). The Purchaser shall also pay to the Seller such charges as may be determined by the Seller for maintaining various services/facilities in the Colony until the same are handed over to the Ghaziabad Development Authority or a Local Body for maintenance. The Purchaser shall deposit with the Seller a sum of Rs.3600/- (Rupees Three Thousand Six Hundred only) by way of interest free services maintenance security to ensure such payments by him, which does not form a part of the instalments detailed in Schedule annexed to this Agreement and is payable by the Purchaser to the Seller on Demand. In case of default in payment of the aforesaid charges by the Purchaser, the Seller shall be entitled to recover the same by way of appropriation from the aforesaid security deposit and balance if any, in the Security Deposit account shall be refunded to the purchaser at the time of the handing over of the services to the Ghaziabad Development Authority or any other civil Authority as aforesaid.
(15). The Seller may, in its sole discretion, appropriate towards the sale price of the plot the amounts received from the Purchaser in any head/account and the appropriation so made shall not be questioned by the Purchaser. The Sale Deed shall, however, be executed only after the outstandings under all the heads are paid in full and all such outstandings, shall be paid by the Purchaser as and when demanded. Further that without prejudice to the Sellers rights under this Agreement or in the law the Purchaser shall be liable to pay to the Seller interest at the rate of 20% per annum on all amounts due and payable by the Purchaser under this Agreement if such amount is outstanding for more than ten days. The discretion for termination of the Agreement or acceptance of the delayed payments with interest at the rate of 20% P.A. shall exclusively vest with the Seller.
(16). The Seller shall execute the Sale Deed and have it registered in favour of the Purchaser within a reasonable time after the plot has been finally demarcated at Site and after receipt from the Purchaser of full sale price and other dues detailed herein above and the full cost of stamp paper and registration charges etc. provided that the Seller in its sole discretion may execute the Sale Deed at any time prior to the receipt of the full price and other dues. In that case even though the Sale Deed may have been executed, but the possession of the plot will be given to the Purchaser only when the Purchaser makes payment of the balance price and all other dues as stipulated in this Agreement.
(17). The Purchaser shall bear and pay all taxes (or his share of it) whether levied or leviable now or in future on the land and/or building(s) as the case may be, from the date of execution of this Agreement.
6. A combined reading of all the above clauses of the Agreement executed between the parties, makes it amply clear that the Respondent/allottee has to make payment of the external development charges, registration as well as the maintenance charges and it was only on payment of the entire dues that the possession was to be handed over to the Respondent.
7. Thus the finding of fact by the District Forum that the Respondent is not liable to pay the maintenance charges or the registration charges is not tenable as the said charges are payable in terms of the agreement entered into by the parties. Therefore, the impugned order is set aside.
8. However, the Respondent is entitled to credit of the amounts already paid by her, if any towards the maintenance/registration charges up to the date of filing of the complaint and the Respondent shall make payment of the amount of Rs.4,74,600/- (minus amount of Rs.40,800/- already paid) as demanded towards the charges payable strictly in terms of the agreement, and the Appellant shall hand over the possession of the plot in question as well as execute the sale deed in favour of the Respondent within one month of the making of the payment by the Respondent.
9. FDR/Bank Guarantee, if any, furnished by the appellant be returned to the appellant forthwith after completion of due formalities.
10. A copy of the order as per the statutory requirements be forwarded to the parties free of charge and also to the concerned District Forum and thereafter the file be consigned to Record Room.
(Rumnita Mittal) Presiding Member vs