Forum directs housing boards to refund amount

Cites ‘unfair trade practices’ as ground for redress

January 08, 2018 12:14 am | Updated 12:14 am IST - HYDERABAD

The Consumer Redressal Forum, Hyderabad – III, has directed the Andhra Pradesh Housing Board (APHB) and Telangana Housing Board to jointly pay ₹1.45 lakh and a fine of ₹10,000 to a petitioner.

The forum was dealing with a petition filed by S. A. Rahman, who had made a payment of ₹1.45 lakh as earnest money deposit in 2013 for allotment of a flat under the APHB’s Low Income Group Housing Scheme in Red Hills. In his petition, Rahman said that, a notification of the project stated that it would be completed in a year from the date of agreement. But after the project failed to take off, the petitioner sought a refund which was denied. The Housing Board contended that it was not in a position to pay the money as the Income Tax department had attached its accounts.

‘Inadequate service’

While the Housing Board contended that the case was not that of a consumer dispute and sought its dismissal, the forum in its judgment deemed that the respondents had indulged in ‘unfair trade practices’. It also held that it was a case of ‘deficiency of service’. The forum ordered that the petitioner be paid 9% interest per annum on the sum of ₹1.45 lakh, from the date of depositing the money, which is December 28, 2013, till realisation.

Previous judgments

In a similar judgment last year, Hyderabad Forum – I in last June had ordered that the State Housing Board refund ₹3.08 lakh and pay interest at the rate of 9 percent per annum and further ₹15,000 as compensation and costs to a petitioner.

A similar case was disposed last February wherein the Hyderabad Forum – II directed the APHB and TSHB to pay ₹1.58 lakh, among other costs, to a complainant.

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