27 September 2004
Supreme Court
Download

H.U.D.A. Vs SOMA DEVI

Bench: S. N. VARIAVA,B. P. SINGH
Case number: C.A. No.-007596-007596 / 2002
Diary number: 12102 / 2002
Advocates: J. P. DHANDA Vs K. K. MOHAN


1

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 1 of 2  

CASE NO.: Appeal (civil)  7596 of 2002

PETITIONER: Haryana Urban Development Authority

RESPONDENT: Soma Devi

DATE OF JUDGMENT: 27/09/2004

BENCH: S. N. VARIAVA & B. P. SINGH

JUDGMENT: J U D G M E N T

S. N. VARIAVA, J.

       Before this Court a large number of Appeals have been filed by  the Haryana Urban Development Authority and/or the Ghaziabad  Development Authority challenging Orders of the National Consumer  Disputes Redressal Commission, granting to Complainants, interest at  the rate of 18% per annum irrespective of the fact of each case.  This  Court has, in the case of Ghaziabad Development Authority vs. Balbir  Singh reported in (2004) 5 SCC 65, deprecated this practice.  This  Court has held that interest at the rate of 18% cannot be granted in all  cases irrespective of the facts of the case.  This Court has held that  the Consumer Forums could grant damages/compensation for mental  agony/harassment where it finds misfeasance in public office.  This  Court has held that such compensation is a recompense for the loss or  injury and it necessarily has to be based on a finding of loss or injury  and must co-relate with the amount of loss or injury.  This Court has  held that the Forum or the Commission thus had to determine that  there was deficiency in service and/or misfeasance in public office and  that it has resulted in loss or injury.  This Court has also laid down  certain other guidelines which the Forum or the Commission has to  follow in future cases.

       This Court is now taking up the cases before it for disposal as  per principles set out in earlier judgment.  On taking the cases we find  that the copies of the Claim/Petitions made by the  Respondent/Complainant and the evidence, if any, led before the  District Forum are not in the paper book. This Court has before it the  Order of the District Forum.  The facts are thus taken from that Order.   

In this case, the Respondent was allotted a plot bearing No. 93,  Sector-15, Jagadhri on 23.8.1991.  The Respondent paid substantial  amounts but the possession was not delivered as the plot was under  litigation. Thus, the Respondent filed a complaint claiming refund of  amounts paid. On these facts, the District Forum directed refund with  interest on amounts deposited @ 18% p.a. from each date of deposit  till its actual payment.  It further directed to pay Rs.5,000/- as  compensation on account of harassment and mental agony and  awarded Rs.2,000/- as cost of litigation.  

The State Forum dismissed the Appeal and modified the Order of  the District Forum by reducing the interest from 18% p.a to 12% p.a.   The Appellants went in Revision before the National Commission.  The  National Commission dismissed the Revision filed by the Appellants  relying upon its own decision in the case of Haryana Urban  Development Authority v. Darsh Kumar and observing that interest @  18% p.a. has been allowed by them under similar circumstances.  

2

http://JUDIS.NIC.IN SUPREME COURT OF INDIA Page 2 of 2  

When this matter reached hearing on 1st September, 2004,  counsel for the Respondent, without pointing out that in this case the  only Order was directing refund of monies paid, showed to Court  correspondence wherein Respondent had asked for possession of plot  and some officer of the Appellants had offered possession on certain  terms.  We had thus presumed, on that date, that this was also a  matter where Appellants had been directed to deliver possession.   Thus by Order dated 1st September, 2004 we had directed that  possession be given to the Respondent.

We are informed that the Appellants have in obedience of our  Order given possession.  However, now, on looking into the matter, we  find that the only Orders are for refund of monies with interest.    

It is not denied that Appellants have on 1st July, 2004 paid to  Respondent a sum of Rs.4,97,736/-.    They have also, on 26th July,  2004, paid another sum of Rs.3,000/- to the Respondent.  The  Appellants have thus complied with the Orders directing refund of  amounts deposited with interest thereon.    

On behalf of Respondent it was submitted that the Respondent is  willing to return the sums of Rs.4,97,736/- and Rs.3,000/- to the  Appellants and is also willing to pay the market value, as on date, of  the plot of which possession is delivered to him.  It is submitted that  the person who had been allotted the neighbouring plot has also been  given possession of his plot and thus the Respondent, is also entitled  to possession of the plot.

On behalf of the Appellants it is submitted that the Respondent  had asked for a refund of monies deposited by him and thus his  monies have been refunded with interest.  It is submitted that the  Respondent is thus not entitled to possession of any plot.   It is  submitted that for the first time orally submissions are being made  about the allottee of the neighbouring plot.   It is submitted that it is  possible that the allottee of the neighbouring plot may have waited for  possession and not asked for a refund and thus that case may not be a  comparable case.   

We see substance in submission on behalf of the Appellants.   Respondent having claimed a refund and having received the amounts  can now have no right to possession.  The possession obtained under  Orders of this Court was without disclosing proper facts to this Court.   Respondent cannot be allowed to retain possession.  We therefore  direct that the Respondent forthwith return the possession to the  Appellants.  If Respondent does not return possession, Appellants will  be at liberty to take back possession.  If Respondent wants a plot, she  may apply afresh under any of the Schemes of the Appellants.  Such  application, if made, will undoubtedly be dealt with on merits in  accordance with normal policy.

As refund has been made with interest at the rate of 18%, on  principles laid down by us in the case of Ghaziabad Development  Authority vs. Balbir Singh (supra) no refund can now be claimed by  the Appellants.

Thus, this Appeal stands disposed off with no further or other  Orders.  No order as to costs.