Firm asked to pay Rs 86 for misleading, exploiting consumer

A consumer forum here has asked a firm to pay Rs 86,000 to a man for collecting funds like a chit fund company and then disappearing from the market, noting that it had "misled the innocent consumers and exploited them deliberately".
A bench of New Delhi District Consumer Disputes Redressal Forum, presided by C K Chaturvedi, asked Lakshmi Vatika Ltd to pay Rs 86,000 to Ghaziabad resident Vinod Chaudhary, while terming it a clear case of deficiency and unfair trade practices.
"It appears from exparte evidence of complainant that the firm deliberately trapped various innocent consumers through publicity and collected funds from open market and remained silent since 2006 to 2014," the forum said.

Terming it a clear case of unfair trade practices on the part of the firm, the forum said that the firm collected funds like a "chit fund company" and "disappeared from market despite a police complaint".
It also noted that in this case, police also remained a silent spectator.
"It is apparently visible that firm has done such mischief with close collisions with miscreants knowingly that land in question is neither under his possession nor any sanction of project till publicity and collected funds from market...," it said.

It also noted that no one appeared on the firm's behalf to contest the case since 2008 to 2014, "which is clear case of deficiency/breach of contract and unfair trade practices" on the part of firm which "misled the innocent consumers and exploited them deliberately".

"Keeping in view, we direct firm to refund Rs 51,000... We also award Rs 35,000, as compensation for harassment inclusive of litigation expenses," it said.
In his complaint, Chaudhary had told the forum that he had booked a plot measuring 100 sq yards with a sum of Rs 51,000 in April 2006 but he was neither allocated the plot nor was he informed anything about any provisional allotment.
Ultimately, he had requested the firm to cancel his provisional allotment but it again remained silent, he said, adding that he had also approached Deputy Commissioner of Police for taking legal action but nothing was done and thereafter, he filed a complaint before the forum.

The forum passed the order after the firm did not appear before it and proceedings were conducted exparte.