Building firm to pay over Rs 5 Lakhs for cheating by false promise

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Updated: Nov 05, 2014 5:17 PM

A real estate firm has been asked by a consumer forum here to pay over Rs five lakh...

A real estate firm has been asked by a consumer forum here to pay over Rs five lakh to a man for “cheating” him by taking money on the false promise of providing a flat in its planned project.

The New Delhi District Consumer Disputes Redressal Forum, presided by C K Chaturvedi, asked Delhi-based AJS Builders Ltd to pay Rs 5,28,400 to Delhi resident V K Bhandari.

The forum said the documents placed on record clearly established that the firm “played with hopes and expectations of the complainant (Bhandari), played with his money, to cheat him by promising something which was not possible”.

It held the firm “guilty of total deficiency, cheating and causing disappointment to the complainant”. It also said the firm was guilty of not refunding the money collected from the complainant.

“We direct the opposite party (firm) to return to the complainant the sum of Rs 4,88,400…and we allow compensation of Rs 40,000 for harassment and mental agony and this amount is inclusive of litigation charges also,” it said.

The forum also noted that several other cases of similar nature were also filed against the same firm where “various persons, who responded to various advertisements by the opposite party, felt cheated that they had paid the money against projects which were never to come up”.

Bhandari had told the forum that he had paid Rs 4,88,400 to the building firm in 2006 for booking a plot in its upcoming project in Haryana.

He later on came to know that no construction activity had been started at the site and when no reasons were given for the unreasonable delay, Bhandari requested to cancel the plot.

He asked refund of his deposited amount but the firm did not give any heed to his demands, he said.

Thereafter, Bhandari approached the forum seeking refund of the paid money.

The firm did not appear before the forum which proceeded it ex-parte and passed the order.

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