Alleged Unfair Practices: Goa Housing Case Remanded for On-Site Verification.


08 November 2024 Consumer Protection Act >> Consumer Rights  

The National Consumer Disputes Redressal Commission (NCDRC) has recently issued a significant order regarding two consumer complaints (CC No. 811 of 2020 and CC No. 529 of 2018) concerning the "Martins Palm Fringe" project in Taleigao, Tiswadi, Goa. The complaints, filed under Section 21 of the Consumer Protection Act, 1986, alleged deficiency in services, unfair trade practices, and unethical conduct by the project's developers.

The complainants, who had booked flats G 401 and G 402 with the intent to combine them for personal use, cited numerous grievances. These included delayed possession, substandard construction, non-provision of promised amenities such as a swimming pool and rainwater harvesting, and significant deviations from the originally approved building plans. They also raised concerns about the alleged illegal sale of terrace space, inflated pricing compared to other units, and the developer's obstruction of forming an independent Residential Welfare Association.


 

 

The developers contested the allegations, denying any wrongdoing and asserting that the complaints were baseless. However, the NCDRC found several issues warranting further investigation. Notably, the commission acknowledged the delayed possession and the admitted change in building plans, which resulted in the project being divided by a public road, potentially impacting security and incurring additional costs for residents.

The NCDRC observed that many of the raised issues required on-site verification and expert evaluation. Consequently, the commission remanded the cases to the State Consumer Disputes Redressal Commission, Goa, with specific directives.

Key Directives Issued by NCDRC:
Limited Scope: The State Commission is instructed to focus solely on issues arising from the Agreement for Sale dated 11.01.2012, addressing deficiencies in service and unfair trade practices as defined under the Consumer Protection Act.
Evidence on Affidavit: The complainants are to file detailed affidavits, supported by relevant documentation, substantiating their allegations.
Local Commissioner Appointment: The State Commission is to appoint a Local Commissioner to conduct an independent on-site assessment and verify the factual claims of both parties. The cost of this assessment will be shared equally by the complainants and the developers.
Inclusion of Authorities: The NCDRC recommended the inclusion of relevant authorities, such as the Goa State Pollution Control Board, North Goa Planning and Development Authority, and the Electricity Department, as parties to the proceedings to provide their evidence.
Expedited Hearing: The State Commission is directed to expedite the matter, aiming for a resolution within four months, following due notice to all parties.
Specific Appearance Date: Both parties are required to appear before the State Commission, Goa, on December 17, 2024.

The NCDRC emphasized that its order does not express any opinion on the merits of the case, leaving the State Commission to conduct a thorough and impartial inquiry. The decision underscores the importance of addressing consumer grievances and ensuring transparency and accountability in real estate projects. This remand aims to provide the complainants with a fair opportunity to present their case within the purview of consumer protection laws.


Section 21, Consumer Protection Act - 1986  

Consumer Protection Act, 1986