GHAZIABAD DEVELOPMENT AUTHORITY vs RAJESH CHANDRA

The Supreme Court held that the National Consumer Disputes Redressal Commission's practice of granting uniform interest at 18% per annum is unsustainable and must be based on the specific facts of each case. The Court emphasized that compensation for mental agony or harassment must correlate with actual loss or injury, as established in Ghaziabad Development Authority vs. Balbir Singh (2004) 5 SCC 65. The Court set aside the National Commission's order and directed that compensation must be determined based on the facts of each case, rather than a blanket application of interest rates.