₹17.5 lakh sandalwood investment ends in consumer court order

Realty firm stopped payments after six months; commission orders ₹60,000 monthly till 2031

Property Pulse

A ₹17.50 lakh investment in a sandalwood plantation project has ended in a consumer court order directing the realty firm to pay ₹60,000 a month until June 2031. Suresh Kumar Chinta invested ₹17.50 lakh through UPI payments between March 4 and March 23, 2023, in a project promoted by Squares and Yards Infra Pvt Ltd. Agricultural land was registered in his name on March 31, 2023, followed by agreements covering plantation and maintenance.

The company paid ₹30,000 a month from April to September 2023 but stopped payments from October. The buyer approached company director Baira Chandrasekhar, but the payments did not resume. The consumer commission found that the buyer was the full owner of the land and that the separate agreements created payment obligations. Since the lease arrangement had not been cancelled, its terms remained applicable.

The commission held that failure to meet those obligations amounted to deficiency in service and unfair trade practice. It ordered payment of ₹60,000 a month from October 10, 2023, until June 10, 2031. Delayed payments will carry interest at 9 per cent a year. The company was also directed to pay ₹25,000 towards mental agony and physical hardship and ₹5,000 towards litigation costs.

 Investment Warning

• ₹17.50 lakh was the amount invested.
• ₹30,000 was the initial monthly payment.
• Six months of payments were made.
• ₹60,000 is the monthly amount ordered.
• June 2031 is the payment end date.
• ₹30,000 covers compensation and litigation costs.