Now Reading: Consumer panel tells GMADA to pay interest on Rs 7 lakh
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Consumer panel tells GMADA to pay interest on Rs 7 lakh
Hindustan Times reports that the Mohali consumer commission has directed GMADA to pay 6% annual interest on Rs 7 lakh it retained from Om Parkash Verma for over four years. Verma had…
The Story in Brief
Hindustan Times reports that the Mohali consumer commission has directed GMADA to pay 6% annual interest on Rs 7 lakh it retained from Om Parkash Verma for over four years. Verma had applied for a 500-square-yard industrial plot in IT City in October 2016 and deposited the earnest money. His name was number one on the waiting list after the November 2016 draw. GMADA refunded the principal only in October 2022 after Verma sought it. The commission also ordered Rs 25,000 compensation for mental agony and Rs 20,000 litigation costs. If payment is not made within a month, interest will rise to 9% per annum.
The Indian Opinion
Stories about government agencies sitting on citizens' money are common, but this order shows the system can work. The commission rightly noted that GMADA kept the money indefinitely without justification. The real test is whether GMADA complies within the one-month deadline or lets the interest rate rise to 9%. Citizens should not have to go to the consumer forum simply to get their own money back.
Source: hindustantimes.com
This story was synthesised by AI from the source linked above.
