Consumer Forum orders developer to refund with interest

Mysore/Mysuru: Mysuru District Consumer Disputes Redressal Forum has ordered a site developer to pay back the customer along with Rate of Interest (ROI) for failing to honour the commitment.

Srikanta Bhat, a retired employee and a resident of Chikka Thoguru in Bengaluru, had paid Rs. 3.96 lakh to Gurumallesh, Managing Director of Real Value Consumer Network Private Ltd., Ramakrishnanagar in 2014. However, even after 10 years, Gurumallesh had allegedly failed to either provide the site or refund the amount, much to the agony of Bhat. Bhat had moved Mysuru District Consumer Disputes Redressal Forum seeking justice.

After hearing the arguments of both the parties, the Forum ordered Gurumallesh to refund Rs. 3.9 lakh along with 10 percent rate of interest applicable from the day he received the amount, within a period of two months. If failed to comply with the order, he has to refund the amount with 15 percent rate of interest applicable from the day of order till payment, according to the Forum’s order dated Feb. 5.

That apart, Rs. 10,000 should be paid for service lapse and Rs. 3,000 towards case expenses totalling Rs. 13,000, within two months from the date of order.

Any non-compliance of the order by Gurumallesh attracts a punitive action with jail imprisonment as per Section 72 of Consumer Protection Act and imposition of fine. Besides, Bhat is entitled to file a criminal case against Gurumallesh, added the Forum in its order.

This post was published on February 21, 2024 7:38 pm