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Realtor asked to repay with compensation

Special Correspondent

VISAKHAPATNAM: The Visakhapatnam District Consumer Forum-I has directed a real estate company to repay the amount collected from a consumer with compensation and costs.

A resident of city near NAD Adari Manju joined as member of Janachaitanya Housing Private Limited venture ‘Sai Divya Extension 1’ for purchase of a plot of 200 sq. yards. She paid the entire cost of Rs.90,000, leaving a balance of Rs.10,000 towards registration charges.

Legal notice

When the company failed to obtain layout and develop the venture, she sought refund and got issued a legal notice last year.

She later filed a complaint (900/2007) against the real estate company and also its managing director Sudhakar for refund of her money with interest, damages and costs.

The opposite party (OP) filed a counter contending that the total cost of the plot was Rs.1.2 lakhs but the complainant had paid only Rs.85,000 and committed default.

As per the conditions, the payment should be regular in monthly instalments failing which the membership would be terminated.

Therefore, there was no deficiency in service, it argued.

President of the Forum-I Y. Dhilleswara Rao and members G. Viswanatha Reddy and D. Suseela, in their verdict last week, observed that the original passbook issued by the OP to the complainant showed total payment of Rs.90,000 by the latter.

Deficiency in service

The OP did not choose to reply to the legal notice and neither registered the plot nor repaid the amount to her despite the notice, they said, and held there was deficiency in service causing mental agony to the complainant.

In the result, the complaint was allowed directing the OP to repay Rs.90,000 to the consumer and also pay Rs.15,000 towards compensation and Rs.1,000 as costs within 30 days from the date of the order, failing which the OP should pay 12 per cent interest on Rs.90,000 from March 5, 2007, the date of legal notice, till realisation.

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