Skip to main content

Construction must be defect-free, rules consumer commission

Upholding Additional District Forum's verdict, the Nagpur bench of State Consumer Disputes Redressal Commission has asked a private builder to rectify defects as claimed by the residents or pay compensation. The residents of Wathoda-based Indira Town had alleged substandard construction that led to cracks and seepage of water in their new tenements.

A bench of presiding member BA Sheikh and Jayashree Yengal, while delivering the order, made it clear that "it's always obligatory on the part of developer/builder to make construction without any defect... The construction firm cannot claim cost of repairing when the leakage or seepage occurred. Even if the possession of homes was taken over by the residents, in current case that didn't absolve the builder from rectifying defects," the judges observed.

According to residents, their township was launched in 2004 and builder Sarju Constructions had allegedly taken maintenance amount of some Rs 4.25 lakh towards facilities from them apart from Rs 10.5 lakh towards cost of tenement. After monsoon, the problems started on account of poor maintenance. They claimed even the safety wall constructed on the southern side was below the specified height and the construction was not as promised by the builder in the brochure.

As Sarju Construction refused to take action, the residents moved Additional District Forum in the city alleging deficiency in service and unfair trade practice and demanded Rs 20 lakh compensation towards damage to each of the complainant. They also demanded to equalize plinth level of all rows of the apartments in the township under the supervision of a qualified architect.

The construction firm contended that the forum did not have jurisdiction over such complaints and they could not be decided under Consumer Protection Act. The lower forum, while partly allowing the residents' prayer, directed the builder to rectify defects and finish incomplete work or pay compensation to each complainant. The forum relied on the report of a commissioner appointed by it to verify the allegations.

The forum told the firm maintenance amount collected by it should be kept in account of the residents in the name of - Indiradevi Township Association. The builder challenged this order in the State Commission which upheld the findings of lower forum. The commission observed the sale deed could not exonerate the builder from removal of defects in the construction. It also rejected residents' demand to reappoint new commissioner for inspection of defects.

Article referred: http://timesofindia.indiatimes.com/city/nagpur/Construction-must-be-defect-free-rules-consumer-commission/articleshow/45210569.cms

Comments

Post a Comment

Most viewed this month

Appellate authorities under Special Statutes cannot be asked to condone delay

Madras High Court in R.Gowrishankar vs. The Commissioner of Service Tax has held that Appellate authorities cannot be asked to condone the delay, beyond the extended period of limitation A Division Bench comprising of Justices S. Manikumar and D. Krishnakumar, made this observation while considering an appeal filed against Single Bench order declining to set aside the order made in the condone delay petition filed by the petitioner to condone 223 days in filing the appeal before the Commissioner of Service Tax (Appeals). Article referred: http://www.livelaw.in/appellate-authorities-special-statutes-cannot-asked-condone-delay-beyond-extended-period-limitation-madras-hc/
Post a Comment
Read more

'Seize assets to pay damages to accident victim'

Her story might be an inspiration for the physically challenged but justice has remained elusive for her. In 2008, a bus accident left research engineer S Thenmozhi, 30, paraplegic. In April 2013, the motor accident claims tribunal directed the Tamil Nadu State Transport Corporation (TNSTC) to provide her a compensation of 57.9 lakh. However, TNSTC refused to budge and on Tuesday a city court ordered attaching of movable assets of the transport corporation. Thenmozhi was employed in C-DOT, a telecom technology development centre in Bangalore. On July 21, 2008, she was coming to Chennai in a private bus. Around 2am, the bus had a flat tyre and the driver parked it on the left side of the road near Pallikonda in Vellore district on the Bangalore-Chennai highway. While the tyre was being changed, a TNSTC bus of Dharmapuri division hit the stationary bus. The rear part of the bus was smashed and passengers were injured. Thenmozhi who had a seat at the back of the bus suffered...
Post a Comment
Read more

Mumbai ITAT rules income of offshore discretionary trust is subject to tax in India

The Mumbai Income Tax Appellate Tribunal (ITAT) has recently determined the following issue in the affirmative in the case of Manoj Dhupelia: Should the income of an offshore discretionary trust be subject to tax in India, if no distributions have been made to beneficiaries in India? The question arose from appeals filed by individual beneficiaries in relation to a Lichtenstein-based trust, the Ambrunova Trust and Merlyn Management SA (the Trust) with the ITAT. It is important to note that the individuals in this case were amongst those first identified by the Government of India (GOI) as holding undeclared bank accounts in Lichtenstein. The ITAT ruling raises the following issues: Taxation of Trust Corpus: ITAT classified the corpus of the trust as "undisclosed income" and declared it taxable in the hands of the beneficiaries. Taxation of Undistributed Income: ITAT refused to draw a distinction between the corpus and undistributed income from the trust and declared i...
Post a Comment
Read more