SC asks Unitech to pay compensation to 39 home buyers

The Supreme Court today directed embattled real estate firm Unitech Residential Resorts Ltd to pay Rs 80,000 each as compensation to 39 home buyers towards litigation cost and causing harassment to them.
A bench comprising Chief Justice Dipak Misra and Justices Amitava Roy and A M Khanwilkar disposed of the appeal filed by the real estate company against the order of the National Consumer Disputes Redressal Commission (NCDRC) and asked it to pay the cost within eight weeks to the home buyers.
The 39 home buyers had booked flats in Unitech's Vista housing project in Gurugram and had sought a refund of their principal amount, totalling Rs 16.55 crore with interest, after the developer, which had promised to give them possession by 2012, delayed it.

The court modified the NCDRC's order on the issue of compensation and awarded the compensation of Rs 80,000, besides the refund of the money invested by the home buyers who had said that they did not want the flats.
Earlier, the firm had told the court that it has complied with the direction on refund of principal and interest to the home buyers of its Gurugram's project.
Prior to this, the court had directed the firm to deposit 14 per cent interest on Rs 16.55 crore invested by the 39 buyers and warned it that failure to pay could invite attaching the realtor's property.

Over two dozen home buyers of Unitech's housing projects in Noida and Gurugram had approached the National Consumer Disputes Redressal Commission (NCDRC) after the builder had failed to give them possession of the flats as per schedule.
The consumer forum had asked Unitech to refund the money to the home buyers with interest.