Haryana RERA Directs Signature Global To Pay Interest To Three Homebuyers For Delayed Possession

Haryana Real Estate Regulatory Authority (Authority) bench, comprising Ashok Sangwan (Member), has directed M/s Signature Global India Private Limited to pay interest to three homebuyers of the affordable housing project named The Millennia, situated in Sector-37D, Gurugram. Background Facts All three homebuyers (Complainants) purchased flat in the builder's (Respondent) project named “The Millennia” situated in Sector 37D, Gurugram. The total sale consideration of their flats were Rs.23,07,430/-, Rs.22,49,267/- and Rs.24,24,331 /- respectively. Further, all three homebuyers have paid the total sale consideration of their respective flats to builder. The builder executed builder buyer agreement on 03.01.2018, 18.09.2019 and 05.03.2021 respectively with all three homebuyers. As per the builder buyer agreement, builder was supposed to handover the possession of the flat by 21.02.2022. Homebuyers further contended that they sent multiple emails and made calls to the builder, requesting possession of the unit. However, the builder did not respond and kept assuring them that the matter would be settled at the time of possession. Further, builder charged maintenance fees from the homebuyers, violating clause 4 (v) of the Affordable Housing Policy, 2013. The homebuyers were charged a delay penalty of Rs. 1,14,918, Rs. 28,104 and Rs. 2,235 respectively. Homebuyers mentioned that builder launched the project in 2017 with the promise of timely delivery. However, Despite receiving more than 100% of the payments, the builder delayed the project and failed to hand over possession after a delay of over 19 months. Therefore, being aggrieved, Homebuyers filed complaint before the authority seeking possession and interest for every month of delay. Observation and Direction by Authority Authority referred clause 5.1 of the builder buyer agreement which stipulated that builder has to handover the possession of flat within 4 years from the date of approval of building plan or from the date of grant of environment clearance, whichever is later. Based on this clause, the authority calculated the due date for possession of the flat. The authority noted that the project received environmental clearance on 21.08.2017. Considering the 4-year period plus a 6-month grace period due to the COVID-19 pandemic, the due date for possession is 21.02.2022. Authority referred Section 18(1) of the Real Estate (Regulation & Development) Act, 2016, which is read as follows: 18. Return of amount and compensation (1). If the promoter fails to complete or is unable to give possession of an apartment, plot, or building, — Provided that where an allottee does not intend to withdraw from the project, he shall be paid, by the promoter, interest for every month of delay, till the handing over of the possession, at such rate as may be prescribed.” Authority noted that builder offered offer of possession to homebuyers on 23.03.2023, 23.03.2023 and 17.02.2023 respectively. Further, the Authority referred to Section 19(10) of RERA, 2016, which obligates homebuyers to take possession of the unit within 2 months from the date of receipt of the occupation certificate. Therefore, based on this, the Authority directed the builder to pay interest at the rate of 11.10% per annum to the homebuyers from the due date of possession until 2 months after the offer of possession.Counsel for Homebuyers - Sh. Akash Godhvani Counsel for Builder - Sh. Mintu Kumar Case – Puneet Khaneja Versus M/s Signature Global India Private Limited A/W 2 others Citation – CR/4606/2023 A/W 2 others Date of Order – 09.10.24Click Here To Read/Download The Order

Haryana RERA Directs Signature Global To Pay Interest To Three Homebuyers For Delayed Possession

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Haryana RERA Directs Signature Global To Pay Interest To Three Homebuyers For Delayed Possession

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