Ranga Reddy: Consumer panel asks Sethus Builders and Developers, Bachupally to pay Rs 33L rent for incomplete project
The developer failed to complete the construction and failed to hand over the six flats which were agreed to by P Sarojini Devi
By Sistla Dakshina Murthy Published on 9 Oct 2024 4:55 AM GMT
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Hyderabad: District Consumer Redressal Commission, Ranga Reddy has directed Sethus Builders and Developers, Bachupally to pay Rs 33 lakh rent to the complainant for the incomplete flat project.
The commission directed the firm to complete the pending works as per the Registered Development Agreement. It also directed to pay a monthly rent of Rs 10,000 for each flat (i.e. Rs.60,000 per month from April 1, 2020).
As of October 2024, the developer has to pay Rs 33 lakh, and till realization. If the firm fails to pay the rent as ordered, the complainant is at liberty to claim the same till handing over the physical possession of the flats.
Apart from that, the Commission directed the developer to pay Rs 5,000 towards the costs of the litigation to the complainant.
Case details
P Sarojini Devi, a resident of Vivekananda Nagar Colony, Kukatpally, Ranga Reddy District. She owns a 266.66 sq. yd plot at Bachupally village. She approached Yarlagadda Venkata Ramana of Sethus Builders and Developers for the construction of an apartment on the plot.
After negotiations, the firm agreed to take on the construction work as per the registered Development Agreement dated March 30, 2019, vide No.8003/2019. As per clause 9 of the agreement, Sethus Builders and Developers had to complete the construction of residential apartments within 10 months from the date of obtaining construction permission from concerned authorities, with a grace period of two months.
In case of failure of the same within the period, the Sethus Builders and Developers shall have to pay rent at Rs 10,000 per month for each flat to the complainant, till the date of completion and handing over of flats. In 2018 itself, the developer obtained permission from Gram Panchayat, Bachupally and it had to complete the flats on March 30, 2020, as per the Development Agreement dated March 30, 2019.
The developer failed to complete the construction and failed to hand over the six flats which were agreed to by the complainant. When the matter was highlighted, the developer promised to complete the work but failed to do so. As the developer failed to keep its commitment, Sarojini Devi approached the Commission for redressal.
Sethus Builders and Developers failed to file a written version. However, it filed written arguments as per the orders of the National Consumer Disputes Redressal Commission (NCDRC). As per the estimation report given by the Civil Engineer the works left were estimated to be completed with an amount of Rs 17 lakh, but the developer failed to complete the pending works as shown in the complaint.
The Court noted that the developer who filed the written arguments as per the orders of the NCDRC failed to mention when the construction was started and when they obtained the permission and also failed to attach any permission either for the construction obtained from the authorities concerned.
As per the complainant, the construction permission was already obtained in December 2018 from Gram Panchayat, Bachupally, but the Opposite Parties failed to utilize the same evaded the completion of the project, and made the complainant suffer. Moreover, Sethus Builders and Developers did not raise any unforeseen incidents to extend the period for a further period from the agreed 12 months.
As such, the point is answered accordingly in favor of Sarojini Devi. The non-completion of work as assured is nothing but unfair and deficient on the part of the developer, as such the Court held this point in favor of the complainant and she is entitled to the reliefs awarded accordingly.
