By Asish mehta
Post News Network
Bhubaneswar, Jan 2: The district consumer disputes redressal forum here has directed the Bhubaneswar Development Authority (BDA) to execute sale deed with a buyer of an MIG house, under Jatni Housing scheme and slapped a fine for causing mental agony.
Complainant Pradyumna Mohanty, a Jatni resident, who bought a house on installments from BDA for Rs 1, 82, 034 in 1995 found the house defective.
He explained to the forum as per a BDA advertisement in a newspaper February 26, 1993, he sought to buy an MIG house on lease-cum-sale basis.
The outright purchase cost of the house was fixed at `Rs 1, 05, 500 and on installment basis `Rs 1, 82, 034.
The buyer chose to buy the house on installments and deposited `Rs 31, 650. Thereafter BDA allotted him a house (MIG/12) for which the lease-cum-sale agreement letter was issued January 27, 1998 in which Mohanty was to pay ‘‘the balance of `Rs 1, 50, 384 in 52 quarterly installments commencing January 1, 1993.”
“However, at the time of the physical possession, I found the house defective. I asked the BDA to repair it, but it did not act. Finding no alternative, I was compelled to repair the house by spending `55, 000 in 1995,” Mohanty said.
The complainant said he had deposited `Rs 1, 63, 510 till August 3, 2001, and had to pay only `Rs 18, 524. “But the BDA arbitrarily imposed a penal interest of Rs 45, 835. I urged the agency to waive the amount as I had already spent Rs`55, 000 to repair the house,” he added.
After four years, BDA directed Mohanty October 26, 2006 to pay `Rs 1, 14, 674 towards his dues. The complainant then urged BDA to specify details of the dues up to August 3, 2001.
But BDA issued a statement of account February 28, 2007 stating he owed `Rs 1, 29, 495.30 as penal interest and service charges.
Surprisingly, the penal interest was charged since October 1994, but the lease-cum-sale agreement was executed January 27, 1998.
The counsel for the complainant said, “Imposition of penal interest from 1994 to February 28, 2007 was in violation of the terms and conditions of the agreement.”
But the BDA in its defence said the pact was executed between both the parties, but the installments were not paid on time and Mohanty defaulted consistently in payment of installments despite notices.
“Interest and defaulted installment was accumulated to `RS 1, 10, 971. On payment of “RS 1, 29, 495 plus the left over installment (Rs 18, 524) as on February 28, 2007, the house can be registered in the name of the complainant,” the BDA said.
After hearing both the sides, the forum directed the BDA to execute registered sale deed of the house immediately on receipt of only “RS 74, 645.
The district consumer disputes redressal forum asked BDA to pay “RS 2000 to the complainant for the mental agony he underwent and “RS 1000 as the litigation cost.