A Mumbai resident who waited nearly three decades for possession of 11 commercial units he booked in 1995 has secured relief from the Maharashtra State Consumer Disputes Redressal Commission, which directed the developer to refund the entire amount paid along with 12% annual interest.
The complainant, Amish Anantrai Modi, had booked 11 commercial shops in a project at Jogeshwari (West) for a total consideration of Rs 25 lakh. According to the complaint, the units were intended to expand his business and generate income through self-employment.
Modi alleged that he initially paid a token amount in cash, which was acknowledged by the builder in the allotment letter, while the remaining payment was made in 2003 through the bank account of his proprietary firm. Despite receiving the full consideration, the developer neither commenced construction nor handed over possession of the promised units.
After several follow-ups over the years, the builder executed a written undertaking on stamp paper dated September 14, 2018. However, the document did not specify when the Agreement for Sale would be executed, and the project remained incomplete.
Claiming deficiency in service and unfair trade practices, Modi approached the consumer commission seeking relief.
After examining the case, the commission held the builder responsible for failing to fulfil contractual obligations. It observed that the developer had accepted the full payment but had “failed to perform their contractual obligation of registering the agreement and handing over possession of the subject premises within the promised period.”
The commission also relied on the allotment letter, which stated that if the allotment was cancelled or terminated for any reason, the builder would refund the amount received along with interest at 12% per annum.
Accordingly, the commission directed the developer to refund Rs 25 lakh with 12% annual interest from the respective payment dates until full realisation. The amount must be paid within 45 days of receiving the order. The builder was also ordered to pay Rs 2 lakh as compensation for mental agony and harassment, along with Rs 25,000 towards litigation costs.
Source: The Economic Times
