Navi Mumbai builder gets six months to deliver flats delayed by 8 years

The State Consumer Disputes Redressal Commission (SCDRC) has directed a builder to give the possession of two flats booked by the complainant within the next six months. Upon failing to comply with the order, the builder will be liable to give the flat buyer a refund of the Rs 7 lakh deposit coupled with nine per cent interest, Rs 3 lakh compensation and Rs 25,000 litigation cost.

Manoj Kanojiya, a Sion resident, had booked two flats, with areas 523 sq ft and 340 sq ft, for Rs 16.14 lakh and Rs 10.52 lakh, respectively, in a Panvel-based project helmed by the M/s S M Enterprises Builders and Developers.

In May 2014, the builder issued allotment letters for both flats. Thereafter, Kanojiya paid them Rs 7 lakh on the promise of getting possession of flats within two months from the issuance date of allotment letters.

Following a continuous delay in possession, Kanojiya made several follow ups between 2014 and 2016 with the builder who kept on giving assurances. Irked, he filed a complaint with the SCDRC and also presented the project's brochure containing an advertisement by the developer, allotment letters and receipt of the Rs 7 lakh paid.

The commission, while hearing the case, stated, “It's necessary to mention that all the evidence led by the complainant has gone unchallenged as the opponent has not led any evidence in rebuttal nor filed any written version on record.”

The commission then ordered the developer to complete the flats in all respects, and after obtaining necessary occupancy certificate and also payment of balance consideration on the part of the complainant, provide the flats within a period of six months from the date of receipt of the order copy.

“If the developer can't do that, he will have to refund Rs 7 lakh with nine per cent interest from date of payment till realisation,” read the order passed by Justice S P Tavade and SCDRC president A Z Khwaja on September 27.