Mumbai, July 23: The District Consumer Disputes Redressal Commission, Central Mumbai, has directed a Chembur-based real estate developer to refund Rs 10.45 lakh along with 8% annual interest to a 72-year-old retired teacher after failing to hand over possession of a flat despite accepting nearly 30% of the sale consideration.
The Commission also awarded Rs 50,000 as compensation for mental harassment and deficiency in service and Rs 10,000 towards litigation costs.
Commission Finds Deficiency In Service
“Failure of the developer to refund the money amounts to clear deficiency in service. Furthermore, the developer’s conduct in retaining the money despite failing to fulfil its obligations is an unfair trade practice. The complainant had to make several communications, which resulted in mental agony. Thus, the complainant is entitled to get compensation for mental and physical agony,” reads the order.
According to the order, complainant Shobhnath Ramkumar Yadav had booked a flat in a residential project at Tilak Nagar, Chembur, developed by Srusti Raj Enterprises (India) Ltd. The flat, measuring 791 sq ft, was priced at Rs 34.80 lakh.
The builder had assured possession within three years of booking, following which Yadav paid Rs 10.45 lakh between September 2009 and March 2010.
However, despite receiving about 30% of the total sale consideration, the developer neither executed a registered agreement for sale nor completed the project or handed over possession.
Also Watch:
Builder Failed To Refund Money
The Commission noted that the builder unilaterally cancelled the booking on December 8, 2016, but failed to refund the amount paid by the complainant. Even after a legal notice issued in September 2024 seeking a refund with interest, the developer did not respond, prompting the consumer complaint.
The developer remained absent during the proceedings, and the matter was decided ex parte.
To get details on exclusive and budget-friendly property deals in Mumbai & surrounding regions, do visit: https://budgetproperties.in/
