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TAMIL NADU HOUSING BOARD AND ANR. versus P. PARTHASARATHI

Citation: [1996] SUPP. 7 S.C.R. 194 · Decided: 04-10-1996 · Supreme Court of India · Bench: K. RAMASWAMY · Disposal: Appeal(s) allowed

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Judgment (excerpt)

A 
TAMIL NADU HOUSING BOARD AND ANR. 
v. 
P. PARTHASARATHI 
OCTOBER 4, 1996 
B 
[K. RAMASWAMY AND S.P. KURDUKAR, JJ.J 
Urban Development : 
Tamil Nadu Housing Board-Allotment of plotJ"-Altottee not deposit-
ing the required amount-Plot converted into road-After nearly 12 years 
C allottee made application for possession of plot-Meanwhile allottee pur-
chased a flat-Board ready to allot another plot provided allottee gives an 
u11de1taki11g that he did not own any flat/plot-Allottee gave a false undertak-
ing-Application by allottee before State Consumer Disputes Redressal Com-
mission allowed granting him Rs. 5 lakhs as compensation-National 
D Commission enhancing rate of interest from 12% to 18o/cr-lleld, there is no 
deficiency in service rendered by the Board-Instead, conduct of allottee 
militated against him to seek any compensatiol!-Orders of both the Com-
missions set aside. 
CIVIL APPELLATE JURISDICTION : Civil Appeal Nos. 13131-32 
E of 1996. 
From the Judgment and Order dated 9.2.95 of the National Con-
sumer Disputes Redressal Commission, New Delhi in F.A. Nos. 252 and 
307of1993. 
F 
A Mariarputham for the Appellants. 
Joseph Vellapally and K.V. Mohan for the Respondent. 
The following Order of the Court was delivered : 
G 
Leave granted. 
We have heard learned counsel for both the parties. 
These appeals arise from the orders of the National Consumer 
Disputes Redressal Commission, New Delhi in First Appeal Nos. 252 and 
H 307 of 1993, dated February 9, 1995. 
194 
β€’ 
T.N.HSG.BD. V. P.PARTHASARATIIl 
195 
The admitted position is that the respondent had applied for allot-
A 
ment of a plot by the appellant on March 1, 1996. He was selected for 
allotment of the plot of land on February 6, 1987 subject to his depositing 
25% of the cost of the plot. It was accordingly communicated to him. In 
furtherance thereof, the respondent had deposited the requisite amount on 
March 28, 1987. On April 12, 1967 plot No. 1350 in Anna Nagar, Madras B 
was allotted to the respondent. He had executed lease-cum-sale agreement 
within two months from the date of allotment. The bone of contention 
thereafter is that the appellant had not delivered the possession to the 
respondent and, therefore, he did not comply with the payment of the 
balance amount in six half-yearly instalments. The contention of the 
respondent is that he had discharged his obligation but the appellants had C 
not delivered the possession. Be that as it may, the position new remains 
that the plot is not available for allotment since, admittedly, it was con-
verted into a road for public purpose. On 30.12.1974, when the respondent 
was directed to deposit the balance amount of Rs. 8,593.80. He, however, 
had on April 22, 1975, deposited only Rs. 593 and kept quite. The respon-
D 
dent then made an application on July 13, 1981 requesting the Board to 
hand over the possession of the plot indicating his willingness to take the 
same though admittedly it was not in existence. By a letter dated Marchβ€’4, 
1985, the Board was threatened to take legal action for non- delivery of 
possession. In 1985, the respondent purchased a flat. By a communication 
dated July 21, 1989, he was informed that the plot was not available for E 
allotment since it was already used for public purpose. However, it asked 
the respondent to give a letter of undertaking that he did not own any flat 
or plot in the city. In furtherance thereof, he gave an undertaking on 
November 15, 1989 stating that he did not own any flat or plot either in 
his own name or in the name of his dependents. It is now an admitted F 
position that he owns flat No. 23 Β·in Paramount Apartments, Mount 
Road, Madras. 
,. 
When he filed an application on April 16, 1992 before the State 
Consumer Dispute Redressal CommissioJl, claiming compensation of Rs. G 
10 lakhs for omission on the part of the appellant-board to render service 
to him, the State Commission returned the application on the ground that 
it did not have pecuniary jurisdiction of Rs. 10 lakhs. Resultantly, the 
respondent amended the claim petition restricting his claim to Rs. 9 lakhs 
by application dated November 13, 1992. The Commission, after consider-
ing the respective contentions, allowed the petition on May 24, 1993 H 
196 
SUPREME COURT REPORTS [1996] SUPP. 7 S.<;:.R. 
A granting a sum of Rs. 5 lakhs as compensation with interest at 12% per 
annum. On appeal by the appellant as well as by the respondent denying 
liabilities and cl

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