MahaRERA asks Skyline Construction of RNA Group to Refund Rs85 Lakh with Interest to Kiku Sharda for Delay in Possession of a Flat

Aditya Joby 01 July 2019

Consumer Interest

Raghuvendra Sharda, a.k.a Kiku Sharda, a popular comedian from The Kapil Sharma Show, recently played a part in a very favourable judgment under the Maharashtra Real Estate Regulatory Authority (MahaRERA), not only for him, but also for countless homebuyers.

Mr Sharda had booked flat No. 2102 in Skyline Construction Company’s “RNA Exotica”, located in Oshiwara. He was promised possession of this flat by the end of December 2013, which was then extended to December 2017. However, even after December 2017, Mr Sharda was not given possession of the flat for which he paid nearly Rs85 lakh.

Despite repeated queries, the builders were not ready to enter into a registered agreement. To top it off, the builders even alleged that the jurisdiction of section 18 of the RERA Act did not apply, because there was no agreed date for possession, and that they had revised the date to the end of December 2019!

BD Kapadnis, member and adjudicating officer of MahaRERA, ruled that the builder was wrong, and referred to a judgment of the High Court in saying, “The delay in handing over the possession would be counted from the date mentioned in the agreement for sale entered into by the promoter and the allottee. Hence, the revised date which is unilaterally decided, is unilateral act of the respondents and it would not bind the complainant.”

Mr Kapadnis also ensured justice, by expanding the definition of “false statement” under Section 12 of the RERA Act, to include any verbal falsities, in addition to notices, advertisements, brochures, model apartments or any plots of a building, as it is now considered as a form of advertisement.

Another important point that the order raised, was the definition of agreement being interpreted to include oral agreements. However, in Mr Sharda’s case, there was consideration of Rs78 lakh, and letters that acknowledged that this money was for booking the flat, in their project.

Mr Kapadnis held that Mr Sharda was to be paid a grand total of Rs84.95 lakh including interest of 10.75% per annum, from the date of the first payment, and Rs20,000 for the cost of the complaint.

This judgment by MahaRERA would help several homebuyers who do not have a written agreement, and have been facing several delays in their projects, because the builder is able to delay the project by several years using tactics like the ones seen above, and countless other methods.

Last year too, the MahaRERA had directed Skyline Construction to refund Rs1.58 crore along with an interest of 10.55% to one Manish Mody for delay in possession. (Read: MahaRERA asks Skyline Construction of RNA Group to Refund Rs1.58 crore with Interest to Flat-buyer Even Though There was No Sale Deed)

Here is the link to the judgment…

Comments

User

Mayank Kumar

6 years ago

Question is if Builder refunds money. Even after RERA passing orders in favor of home buyer, people arent getting money back. Builders are first defying the order after which we need raise a order execution request, which again followed by an RC certificate and then also builder has an option to move to High Court.