Hyderabad: Aditya Constructions asked to refund ₹82.43L to man who booked flat in its Aditya Capitol Heights project

Hyderabad: Telangana Real Estate Regulatory Authority (TGRERA) has asked Aditya Constructions to refund Rs 82.43 along with 10.75% interest to a person who bought a flat in the company’s Aditya Capitol Heights project.

The Authority concluded that the project is incomplete, unregistered under RERA, and lacking a defined delivery schedule, entitling the buyer to a refund under Section 18 of the Real Estate (Regulation & Development) Act, 2016.

Booking and payment dispute

The complainant, M Vamshidhar, a resident of Begumpet, booked Flat No. 1107 in Block B of the project at Hafeezpet and entered into an Agreement of Sale on March 23, 2018, for Rs 1,02,62,500.

He claimed to have paid Rs 85,55,367, including bank loan disbursement under a tripartite agreement with PNB Housing Finance Limited. The buyer also opted for a “Pre-EMI” scheme in which the builder allegedly promised to service loan instalments until completion.

However, the complainant stated the developer failed to pay even a single instalment, forcing him to bear EMI charges of around Rs 74,000 per month.

Claims of delay and title concerns

The buyer alleged construction delays exceeding six years, absence of an Occupancy Certificate, and failure to stipulate a possession timeline in the agreement.

He further claimed the land under Survey No. 78 was included in the list of prohibited properties under Section 22-A of the Registration Act and was involved in long-standing litigation, contrary to the builder’s assurances of a clear title in Clause 17 of the agreement.

The complainant sought a refund, penalty, compensation, and an inquiry into alleged violations and deviations from sanctioned plans.

Builder’s defence

The developer denied all allegations and accused the buyer of payment defaults that allegedly voided his eligibility for the Pre-EMI scheme.

The company argued that the project was nearly complete, lifts were installed, and an Occupancy Certificate had been applied for. It also claimed exemption from RERA registration, stating the project permissions predated the Act’s implementation.

Authority’s findings

TGRERA rejected the builder’s claims and noted:

No completion or occupancy certificate was produced.

The building permit issued in March 2015 required completion by March 2020.

The sale agreement lacked a possession date, violating Section 13(2) of the Act.

COVID-19 could not be cited as the primary cause of delay because the completion deadline had already lapsed before the pandemic.

The Authority also acknowledged official communication from the District Collector restricting registrations on the project land due to pending litigation.

Final order

TGRERA directed the builder to refund Rs 82,43,085 with 10.75% interest from the dates of each payment. Other requests, including penalties for deviations and allegations of fund diversion, were rejected due to a lack of supporting evidence. Failure to comply will attract a penalty under Section 63 of the Act.