HARYANA URBAN DEVELOPMENT AUTHORITY vs SUMAN BANSAL

The Supreme Court held that interest at the rate of 18% per annum cannot be uniformly granted in consumer cases, emphasizing that compensation must be based on actual loss or injury as established in Ghaziabad Development Authority vs. Balbir Singh (2004) 5 SCC 65. The Court found that the National Commission's increase of interest was unsustainable due to lack of evidence and that the District Forum's award of 15% interest was appropriate given the circumstances. The Court also noted the inadequacy of compensation for mental agony and suggested future awards should consider escalation in construction costs.