Realty firm fined for not handing over office space

A Ballard Estate-based realty firm was held guilty by the state Consumer Dispute Redressal Commission on Wednesday, for refusing to hand over two office spaces booked by the complainants in 1993. The firm has been asked to return the booking amount that was paid, along with an 18 per cent interest on it. The commission also asked the firm to pay an additional amount of Rs 25,000 and Rs 75,000 toward litigation cost and mental trauma, respectively.

Juhu resident Ashok Talwar and the family of deceased Raj Marwah, Pali Hill residents, had booked space for their respective offices with firm Usha (India) Limited in the year 1993. The firm had informed the two that they would receive the possession of their respective spaces by 1995. While Talwar had paid an amount of Rs 7,34,424, Marwah had paid Rs five lakh.

The complainants claimed that the office spaces saw no development within the stipulated time period, so they sought compensation. When the commission asked the firm to file its reply, they claimed that both parties were not consumers. The spaces were booked for commercial purposes, whereby they couldn't be regarded as consumers anymore and hence weren't eligible to file a plea before the consumer commission.

The commission, after going through the evidence produced by the plaintiffs, said, "It is mentioned by the complainant's themselves that they had invested their hard earned money in buying the office premises. Therefore, just because the spaces were slated to be office premises, they cannot be passed off as commercial. Also, the firm stands guilty for being unable to hand over the property even after receiving the money."