H.U.D.A. vs RAJ KUMAR RATHI

The Supreme Court held that interest at the rate of 18% cannot be uniformly granted in consumer cases, as established in Ghaziabad Development Authority vs. Balbir Singh (2004) 5 SCC 65. The Court emphasized that compensation for mental agony must correlate with actual loss or injury and that the Consumer Forums must determine deficiency in service or misfeasance in public office. The Court upheld the District Forum's order granting interest at 10% and directed the delivery of an alternate plot at the original price, dismissing the appeal without costs.