Mumbai: The National Consumer Disputes Redressal Commission (NCDRC) has directed a city-based developer to pay six percent interest per annum on a deposit of more than Rs1 crore for delayed flat possession. The interest will have to be paid from 2014 till the flat is handed over.
The buyer could not take the possession because the place did not have an occupancy certificate (OC). The commission underlined said that it's illegal to give possession without the OC. The order dated May 18 was passed on a complaint by Navi Mumbai resident Ajit Singh against M/s Evershine Builders Pvt Ltd and anr and M/s Monarch & Qureshi Builders. The order to give six percent compensation was given to Monarch, while Evershine was directed to hand over the possession.
Disagreement between the two developers
Singh had booked a flat in an upcoming project by Evershine and Monarch in Andheri. In January 2006, he paid Rs5 lakh booking amount for the 24th floor flat which was priced at Rs1.09 crore. In May 2010, he paid Rs49.62 lakh followed by a second installment. Later, the developers informed that due to disagreement (apparently between the two developers), the construction would only be up to 17 floors. Singh then opted for a flat on the 16th floor with a “construction linked payment plan”. Executed in November 2010, the sale agreement stated that he would get possession by the end of 2013 provided permissions are in place. Till May 2012, Singh had paid Rs1.05 crore.
Reality hits hard
In February 2014, he was called by Evershine to take flat possession by making an ad hoc payment of Rs14.43 lakh but was also informed that the OC was yet to be received. When the buyer visited the project, he realised that the building was far from complete, still the developer handed out bills for maintenance, repair, etc in May 2016, which Singh protested.
When the matter reached commission, it was stated that Monarch was to build the slum rehabilitation component after the 17th floor and it was its responsibility to get the OC. The commission stated that after allotment, the construction should finish in three years, which didn't happen. The construction was finally completed in 2013 and as per one of the agreement clauses, the buyer was entitled for compensation if the possession was not given by 2013. The commission ordered that the OC be obtained within four months after which the remaining amount can be taken from Singh.
