Refund Rs 32 lakh with interest to client, pay Rs 11.46 lakh penalty: RERA to builder
HYDERABAD: The Telangana State Real Estate Regulatory Authority (RERA) has ordered Bhuvanteza Infra Projects Pvt. Ltd to refund Rs 32 lakh to a homebuyer along with 11.05 per cent annual interest for failing to complete and deliver a housing project as promised.
The authority also imposed a penalty of Rs 11.46 lakh on the developer for violating real estate laws.
The case was filed by Cheruvu Gnana Prasad, who had purchased a flat in the ‘EVK-AURA’ project at Velimela in 2020 for
Rs 32 lakh. Despite paying the full amount, the complainant alleged, the developer had neither completed the construction work nor had he handed over the flat within the promised time. The developer also forced him to sign a development agreement, changing his status from a homebuyer to a landowner, which was a violation of RERA rules, the complainant said.
On reviewing the case, RERA found that the developer had not obtained building permission and the project was not registered with the regulatory authority. The developer also failed to appear for hearings despite being notified.
RERA directed the builder to refund the full amount paid by the complainant with interest and pay a penalty of Rs 11.46 lakh to RERA. The authority also instructed the builder to register the project immediately and stop all sales or promotions until they complete the registration process.
The complainant’s request for possession of a partially constructed flat was denied due to lack of clarity about third-party claims on the property. However, RERA allowed him to seek further compensation through a separate legal process.
