Builder penalised for failure to deliver flat in time
Builder penalised for failure to deliver flat in time
posted by 1newsbusinesNew Delhi: The Delhi Consumer Commission has recently awarded a man Rs 63 lakh compensation after a real estate firm failed to grant him possession of his flat even after seven years.In 2013, complainant Raminder Chimni, represented by Advocate Mohd Irshad, had purchased a 1,920-sq-ft flat in Parsvnath Exotica, Ghaziabad, for Rs 60 lakh.
According to the flat buyers agreement, the construction of the house was to begin within six months of purchase and completed within three years, with the possession being handed over by March 2017.
Noting that the construction had not begun till date, the Delhi State Consumer Disputes Redressal Commission (DSCDRC) directed the firm to pay the man a refund of Rs 60 lakh along with Rs 3 lakh as “mental agony and litigation” costs.
Relying on arguments similar to many real estate firms, Parsvnath told the Commission that the complainant was not a consumer but an investor as he was a permanent resident of Gurgaon.
“Mere allegation that the purchase of the said flat is for earning profits cannot be the ground to reject the present consumer complaint,” held members Rajan Sharma and Bimla Kumari in the order dated March 19.
The Commission also held that the real estate firm was misguiding complainants as the valid licence for the construction of the project had expired in 2012 itself.
Even if construction had begun by the opposite party — in this case, Parsvnath — it would have been an illegal construction, said the Commission.
Builder penalised for failure New Delhi: The Delhi Consumer Commission has recently awarded a man Rs 63 lakh compensation after a real estate firm failed to grant him possession of his flat even after seven years.
In 2013, complainant Raminder Chimni, represented by Advocate Mohd Irshad, had purchased a 1,920-sq-ft flat in Parsvnath Exotica, Ghaziabad, for Rs 60 lakh.
According to the flat buyers agreement, the construction of the house was to begin within six months of purchase and completed within three years, with the possession being handed over by March 2017.
Noting that the construction had not begun till date, the Delhi State Consumer Disputes Redressal Commission (DSCDRC) directed the firm to pay the man a refund of Rs 60 lakh along with Rs 3 lakh as “mental agony and litigation” costs.
Relying on arguments similar to many real estate firms, Parsvnath told the Commission that the complainant was not a consumer but an investor as he was a permanent resident of Gurgaon.
“Mere allegation that the purchase of the said flat is for earning profits cannot be the ground to reject the present consumer complaint,” held members Rajan Sharma and Bimla Kumari in the order dated March 19.
The Commission also held that the real estate firm was misguiding complainants as the valid licence for the construction of the project had expired in 2012 itself.
Even if construction had begun by the opposite party — in this case, Parsvnath — it would have been an illegal construction, said the Commission.
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