Home buyers cannot be made to wait indefinitely: Delhi Consumer Commission

Image
Press Trust of India New Delhi
Last Updated : Jul 22 2019 | 6:41 PM IST

The Delhi State Consumer Commission has observed that home buyers cannot be expected to wait indefinitely for possession of flats after making payments.

The observation came after it asked real estate giant Unitech to refund over Rs 9 lakh to a Gurgaon-based home buyer for failing to hand over the possession of an apartment.

It directed Unitech to refund Rs 9,79,326 lakh paid by Gurgaon resident Ravinder Midha within 45 days along with simple interest at 10 per cent per annum for the six year delay in handing over the possession of the apartment.

The commission noted that Unitech failed to construct and deliver possession of the flat even after six years despite taking payment for it, thereby "indulging in unfair trade practice" and "retaining the hard-earned money" of the buyer.

"The opposite party (Unitech) is not in a position to offer possession of the flat, it shall be liable to refund the amount with simple interest of 10 per cent per annum (from the date of payment by the purchaser) without any further liabilities," the commission's presiding member Justice Veena Birbal and member Salma Noor said.

"There is no dispute that Unitech has failed to construct and deliver the possession of the flat till today," they said.

"The complainants cannot be expected to wait for possession of the flat for an indefinite period," they added.

According to Midha's complaint, he had booked a 2BHK flat in Unitech's 'Unihomes' project on May 21, 2011 for Rs 23,80,824, out of which he had paid Rs 9,79,326.

He said even after receiving substantial payment, Unitech failed to deliver the possession of the flat to him and he is presently staying in a rental apartment.

Midha also issued a legal notice in 2017 to the builder to which no reply was given.

In his complaint, he alleged that the project, which is a multi-tower complex, is yet to be completed and none of the flat buyers, including him, has been offered possession.

Disclaimer: No Business Standard Journalist was involved in creation of this content

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Jul 22 2019 | 6:41 PM IST

Next Story