TNRERA directs builder to refund Rs 28.33 lakh to resident

Chennai: The Tamil Nadu Real Estate Regulatory Authority (TNRERA), the statutory body regulating real estate business, has directed a city-based builder to refund Rs. 28.33 lakh to a resident as he failed to complete the construction of a flat within the stipulated period of 30 months.

In her petition, K. Deepa, daughter of M Kumar, activist and a writer in Saligramam, submitted that she had entered into an agreement with Akshaya Private Limited to purchase a flat in their project 'January' at Thaiyur village, Kanchipuram district, in June 2012. They signed a MoU and agreement on June 6, ,2012 for purchase of the flat for a total cost of Rs 48.47 lakh. The builder agreed to complete the construction of the flat within 32 months, including a grace period of 90 days from the date of obtaining building plan sanction. Hoping to get the new flat, she made a payment of Rs 28.33 lakh. But, the firm did not complete the construction of the flat till December 2018. As a result she incurred a huge loss.

She approached the RERA seeking a direction for refund of Rs 28.33 lakh along with compensation for causing her mental agony.

 In its reply, Akshaya Private Limited submitted that the petitioner defaulted in making stage-wise payments as per the payment schedule in the agreement. The project was completed in February 2014 itself and obtained completion certificate. The entire apartment was completed in August 2018. Delay in delivery of the flat was due to various factors including delayed payment by many customers including the petitioner.

Tamil Nadu Real Estate Regulatory Authority adjudicating officer G Saravanan directed Akshaya Pvt Ltd to pay the petitioner a refund of Rs 28.33 lakh with interest at the rate of 10.15 per cent with 9 per cent towards compensation and  Rs 25,000 for causing her mental agony. The amount should be paid within 30 days.