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Builder told to return booking amount,pay compensation

A builder who neither executed a sale agreement with a customer for a flat nor returned the booking amount was told by a consumer court to return Rs 2.5 lakh booking amount with interest,pay a compensation and bear the litigation cost.

A builder who neither executed a sale agreement with a customer for a flat nor returned the booking amount was told by a consumer court to return Rs 2.5 lakh booking amount with interest,pay a compensation and bear the litigation cost. The Additional Pune District Consumer Disputes Redressal Forum passed the order within five months of the complaint relying on documents filed by the complainant as the builder did not represent himself in court.

The Forum directed Jagbhushan Arya of Shree Constructions to pay 2.5 lakh to Bhupendra Chhetri of Vimannagar.

Chhetri stated he booked a flat in a residential project being developed by Shree Constructions and on September 16,2008,paid Rs 1.75 lakh as booking amount. A month later,he paid Rs 75,000 as per the builder’s demand for executing an agreement. “Despite repeated reminders,the builder failed to execute the agreement,” Chhetri said in his complaint.

After regular follow-ups,the builder refused to sell the flat to Chhetri and told him his booking amount will be returned soon. Two cheques of Rs 2.5 lakh given by the builder to refund the booking amount,on October 15,2011 and November 10,2011 bounced,said Chhetri.

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On February 29 this year Chhetri sent a legal notice to the builder but the builder did not reply. In April 2012,Chhetri moved the consumer court. He submitted receipts of the amount paid,photocopies of the two cheques given by the builder as refund and the bank’s remark stating insufficient funds.

The builder did not represent himself in court,and the bench of Anjali Deshmukh,president of the forum and S K Kapse,member relying on documents submitted by Chhetri,concluded there was deficiency in services. The court directed Arya to repay Rs 2.5 lakh with nine per cent interest from October 2008,besides Rs 10,000 as compensation and Rs 1,000 litigation cost.

First published on: 28-09-2012 at 02:34:30 am
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