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Mohali builder gets two-year jail for defying consumer court order

Mohali builder did not comply with a consumer court order, wherein he was directed to refund 14 lakh to a buyer for failure to give possession of a plot at RKM City in Sector 113

Published on: Dec 1, 2021, 24:56:41 IST
By , Mohali
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The District Consumer Disputes and Redressal Forum, Mohali, on Tuesday awarded two-year imprisonment to KJS Ahluwalia, managing director of RKM City in Sector 113, for non-compliance of its 2016 order, wherein he was directed to refund 14 lakh to a buyer for failure to give possession of a plot.

The consumer court said that from his behaviour, it is clear the Mohali builder did not intend to pay the amount to the complainant. (Getty Images/iStockphoto)
The consumer court said that from his behaviour, it is clear the Mohali builder did not intend to pay the amount to the complainant. (Getty Images/iStockphoto)

Virender Singh, a resident of Sector 44, Chandigarh, in his complaint stated that he booked a 200-square-yard plot at the housing project in August 2011, and paid 14 lakh to the builder on different occasions on the assurance that he will get the possession in 2012. After waiting for four years, he moved the forum in 2016.

The forum in its orders, dated April 20, 2016, directed the builder to refund the amount along with 12% interest from the dates of deposits till payment along with compensation of 50,000 within 30 days. After Ahluwalia failed to comply, a show-cause notice was issued to him.

Forum president Sanjiv Dutt Sharma said: “(Ahluwalia’s) presence was procured by sending production warrants since the accused is already in Burail Jail in some other case... He was given sufficient time to deposit the amount, but he was reluctant to do so. In this case, the accused in a statement recorded that he is not in a position to make the payment to the complainant.”

The order stated that from his behaviour, it is clear the builder did not intend to pay the amount to the complainant in the future too, “which clearly proves that he has admitted his guilt”.

“Since the accused is very blunt and straightforward in his statement and has clearly shown his intention not to comply with the orders of this commission and pleads guilty, we feel that we are left with no other option except to punish him under Section 72 of the Act for wilful and intentional disobedience of our orders... we feel that the very purpose of the Consumer Protection Act will fail if persons like the accused are not brought to book and punished in accordance with the law,” the order mentioned.

  • Hillary Victor
    ABOUT THE AUTHOR
    Hillary Victor

    Hillary Victor is a Special Correspondent at Chandigarh. He covers Chandigarh administration, municipal corporation and all political parties.