H.U.D.A. vs DEV DUTT GANDHI

The Supreme Court held that interest at the rate of 18% per annum cannot be uniformly granted in all cases by Consumer Forums, 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 must be based on a finding of deficiency in service or misfeasance in public office. The Court upheld the National Commission's order for refund of amounts paid to the Respondent, affirming that no further interest could be claimed due to prior payments made.