Commission finds fault with banquet cancellation policy

Ramkrishan Upadhyay

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Tribune News Service

Chandigarh, December 28

Finding fault with the banquet cancellation policy of its hotels, the District Consumer Disputes Redressal Commission Chandigarh has directed Chandigarh Industrial and Tourism Development Corporation Limited (CITCO) to refund Rs35,000 booking amount to a consumer for a function that was cancelled due to unavoidable reasons.

In one of the important judgments, the Commission has also directed the CITCO to pay a lump sum compensation of Rs5,000 to the complainant for mental agony and harassment caused to him. It also directed the CITCO to comply with the order within 30 days from the date of receipt of its certified copy, failing which the amounts will fetch 9 per cent interest per annum from the date of this order till its actual payment.

Ramesh Kumar Gupta, a resident of Sector 44-D, approached the Commission after the CITCO management refused to return the booking amount after a marriage function was cancelled due to unavoidable circumstances citing the banquet policy.

Gupta, in the complaint, said he made a booking on March 19, 2015 for a banquet hall of Shivalik Hotel for celebration of his daughter’s marriage function, which was to be held on May 10, 2015 by paying advance money of Rs35,000. Due to a mishap in her in-laws’ family, the function could not be held and the marriage was cancelled. Prior information, in this regard, was also made to the booking manager of the hotel.

CITCO, in its written statement, claimed that the complainant was duly apprised of the banquet cancellation policy before any deposit was made by him. The banquet cancellation policy was also printed on the menu, which was handed over to the guest prior to the booking of the banquet/deposit of advance money. The banquet of Hotel Shivalik View went vacant on May 10, 2015, on account of the commitment made to the complainant.

Later on the complainant’s request, CITCO allowed him two-year time (till December 2017) to conduct any function so that the advance money could be adjusted. Even after that, he failed to conduct any function within the given time. After a prolonged and unexplained delay of three and half years, he asked for the refund of his money for the first time on September 15, 2018, by writing a letter to CITCO or to allow time up to March 31, 2019 to conduct the function. CITCO, in the letter dated February 3, 2020, informed the complainant that refund was not possible.

After hearing the arguments, the Commission said CITCO had no right to retain the hard-earned money of the complainant since no services had been availed of by him. In view of this, the present complaint is allowed. The Managing Director, CITCO, and the DGM, Finance, Hotel Shivalik View, are directed to refund Rs35,000 to the complainant and a compensation of Rs5,000.