Mumbai Consumer Commission Jails Sterling Constructions Partners

Mumbai's consumer commission has sentenced two partners of Sterling Constructions to two years simple imprisonment each for failing to comply with an earlier order.

The Maharashtra State Consumer Disputes Redressal Commission passed the order on August 21, 2026, against Sameer Zaiuddin Khan and Sarosh Khan, partners of Sterling Constructions. The commission also imposed a fine of Rs 10,000 on each partner and an additional fine of Rs 10,000 on the construction firm.

The case dates back to 2013 when Gladys D'Souza and Rommel D'Souza, residents of Kurla, filed a complaint against Sterling Constructions regarding possession of a flat in the Sterling Apartments project. The commission had directed the builders to complete construction, obtain occupancy and building completion certificates, and hand over possession to the complainants.

The commission also ordered the builders to pay 21 per cent annual interest on Rs 16,68,940 from the date of filing the complaint until possession was handed over, besides Rs 1 lakh as compensation for physical and mental harassment and Rs 15,000 towards costs.

However, the complainants moved an execution application alleging that the builders had failed to comply with the order. During the proceedings, Sameer Khan claimed that changes in the demarcation of the plot had resulted in changes to the building plan, and that amended plans had been submitted to the civic authorities.

But the commission observed that the original order had not been fully complied with, and that the accused had admitted to not obtaining an occupancy certificate during cross-examination. The commission held the construction firm and its partners guilty under Section 27 of the Consumer Protection Act, 1986, for non-compliance with the commission's order.

The commission awarded punishment to the partners, stating that they had miserably failed to comply with the order. The complainant's advocate had sought maximum punishment as prescribed under Section 27.

This judgment highlights the importance of complying with consumer commission orders and the consequences of non-compliance. It also sends a strong message to builders and construction firms to adhere to the rules and regulations and respect the rights of consumers.

The case has been closely watched by consumer rights activists, who have welcomed the judgment as a victory for consumers. The judgment is expected to have a significant impact on the construction industry, with builders and developers being held accountable for their actions.

In recent years, there have been several cases of builders and construction firms being held guilty of non-compliance with consumer commission orders. This judgment is a reminder that the consumer commission is committed to protecting the rights of consumers and will take strong action against those who fail to comply with its orders.

The Maharashtra State Consumer Disputes Redressal Commission has been actively working to resolve consumer disputes and protect the rights of consumers. The commission has been taking strong action against builders and construction firms who fail to comply with its orders, and this judgment is a testament to its commitment to consumer protection.

In conclusion, the judgment is a significant victory for consumers and a reminder to builders and construction firms to comply with consumer commission orders. It highlights the importance of consumer protection and the consequences of non-compliance.