DDA fined five lakhs by National Consumer Disputes Redressal Commission


New Delhi: The Delhi Development Authority has been fined Rs five lakh by the National Consumer Disputes Redressal Commission for its ‘meritless and frivolous litigation’. The fine was imposed challenging the compensation awarded to an allottee for giving a flat in a dilapidated condition.

Justice VB Gupta stated that such unscrupulous acts and “gross abuse of process of law” must be dealt with a heavy hand. Justice Gupta has also directed the DDA to recover the punitive damages from the salaries of the delinquent officers.

In his order Justice Gupta noted, “It was clear from the conditions of the flat, that petitioner (DDA) was trying to write off old flats to the public in general at a higher price without making them aware of its year/date of construction. The same amounts to a grave deficiency in service on the part of the respondent.”

When the customer wanted to give up the flat, he was told by DDA that he could not retain his Rohini Scheme Priority number. Following this, he approached the District Consumer Disputes Redressal Forum, which upheld his case and directed DDA to pay compensation and return deposit taken for Narela flat with 18 per cent interest.