BEFORE THE KARNATAKA REAL ESTATE APPELLATE TRIBUNAL
K.P. Dinesh, Member (J), P.S. Somashekar, Member (Ad.)
Verghese Stephen – Appellant
Versus
Total Environment Building Systems (Private) Limited and Ors. – Respondents
Appeal (K-REAT) No. 104 of 2020 (Old RERA Appeal No. 120 of 2019)
Decided On : 23-04-2021
Real Estate (Regulation and Development) Act, 2016 - Sections 44(1), 17(1) , 17(2), 19(10) , 43(5) , 12, 14,17, 18 and 19 - Construction and completion of the villa - Executing Term sheet - Builder to refund maintenance fund of INR - Misrepresentation - Appellant has agreed to purchase a villa in project "After Rain Phase-II", a project promoted by 1st respondent, by entering into an agreement by paying entire consideration amount there was no progress in project, appellant demanded refund of amount along with the compensation - Appellant in order to make capital gain under the Income-tax Act, 1961, intended to invest amount which he got by sale of his property - Appellant accepted allotment of an alternate Villa No. 058 in Phase-I of "After The Rain Phase-I" project by executing Term sheet dated followed by an agreement of sale and construction - Appellant requested 1st respondent to execute and register sale deed in respect of a villa agreed to be purchased by him in order to comply with the requirement under Income Tax Act - respondent executed the sale deed for construction and completion of the villa as per agreement – Held, appellant in support of his claim for rentals paid by him has produced photocopies of the lease agreement one more lease agreement executed were produced before A.O - Lease agreements are executed between appellant for a period of 12 months and 11 months on monthly rent - lease agreement of rental agreement dated 1st October, 2018 is concerned, it is executed by one lessees on other part - father name of the lessees is also not mentioned in the rental agreement - Pan number of the lessees shown in rental agreement – Court are of view that compensation payable to the appellant towards rental is restricted to 12 months in respect of lease - appellant has claimed compensation in a sum mental torture - Learned A.O. declined to grant compensation towards mental agony by relying upon judgments of Hon'ble Supreme Court in the case of Ghaziabad Development Authority v Union of India and Lucknow Development Authority case – Appeal is partly allowed.
JUDGMENT :
K.P. Dinesh, Member, J.
1. This appeal is filed under Section 44(1) of the Real Estate (Regulation and Development) Act, 2016 (hereinafter referred in short as "The Act") against the impugned order dated 18-6-2019 passed by the learned Adjudicating Officer, RERA-2nd respondent herein.
2. The facts of the appellant's case in brief are that:
"(a) Grant delay compensation for not giving READY TO MOVE IN POSSESSION from the agreed possession date 1-1-2018 on amount INR 6,30,00,000 (INR Six crore Thirty lakhs) as provided under Section 18(1) till possession with OC.
(b) Direct the builder to refund maintenance fund of INR 20,48,000/- with interest @ 21% from 27-3-2015 till full payment and this amount was collected by the builder on 27-3-2015 by misrepresentation.
(c) Grant compensation of INR 50,00,000/- for mental torture, INR 10,00,000 towards rental paid from January 2018 to April 2019 and INR 2,50,000/- per month towards rental from May 2019 till ready to move in possession is offered with CC/OC."
(ii) The 2nd respondent passed the impugned order dated 18-6-2019 allowing the complaint partly. Being aggrieved by the impugned order dated 18-6-2019 passed by the 2nd respondent the appellant assailing the same is before this Tribunal on the following grounds:
(iii) Grounds of appeal:
That the impugned order is erroneous, contrary to facts on record and law and is liable to be set aside;
It is contended that the impugned order suffers from legal infirmities and procedural irregularities;
It is contended that the 2nd respondent having held that the 1st respondent failed to give possession on agreed date i.e., 31-12-2017, granted compensation at 10.75% only from 1-1-2018 to 18-1-2018 on the ground that the complainant's status changed from allottee to owner from 19-1-2018 in view of the sale deed;
It is contended that from the date of execution of the sale deed, the complainant ceases to be an allottee is incorrect;
It is also contended that the respondent 1 has not complied with Sections 17 and 19 of the Act and bound to pay delay compensation;
It is contended that the compensation shall be provided on the total amount paid by the consumer who is waiting for completion of the project till he is an allottee;
It is contended that the terms in the agreement to sell continues even after the sale deed is executed and till all amenities are provided;
It is contended that appellant through a memo
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