Director of real estate firm arrested for noncompliance with consumer court’s order
Ram Raj Verma had moved an application for registration of the allotment of a showroom in a shopping mall to be constructed by Shalimar Estates Private Limited in Mohali, Punjab. The total price of the showroom was Rs36 lakh. The draw of lots in respect of the commercial unit was held on 2 February 2006. Verma was allotted a showroom of category C, with super-built-up area of 400 square feet. He opted for instalment payment plan and deposited a total of Rs 23.31 lakh up to 28 May 2007 with the developer. The remaining amount was to be paid at the time of possession. Until February 2008, though, there was no sign of any construction at the site. Verma sent several
The Punjab State Consumer Disputes Redressal Commission, on 21 November 2014, asked Shalimar Estates to refund Rs 23.31 lakh deposited by the complainant and pay a compensation of Rs 1 lakh for mental harassment. The commission also asked the realtor to pay Rs 10,000 as cost of litigation.
As it turned out, for not complying with the order of the commission, the local police arrested Ineet Aggarwal, director of Shalimar Estates. The commission sentenced the owner of the real estate company to three years in jail.