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2022 Supreme(Bom) 591

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
S.J. KATHAWALLA, MILIND N. JADHAV, JJ.
Sabhajit Ramyash Yadav & Others - Petitioners
Versus
State of Maharashtra & Others - Respondents
Writ Petition No. 444 of 2022 With Interim Application Nos. 3303, 3307, 3300, 3299, 3298, 29097, 3178 of 2021 Alongwith Writ Petition (L) Nos. 28699, 29063 of 2021
Decided On : 21-03-2022

Advocates Appeared:
For the Petitioners:Mr. Sharan Jagtiani, Senior Advocate alongwith Ms. Shradha Achliya, Mr. Ajit Jakhadi, Mr. Amol Chile and Ms. Akshita Kotian instructed by Mr. Vikram Jakhadi, Mr. Sunny Shah instructed by Mr. Kartik Garg, Mr. Aditya Deolekar alongwith Ms. Shivalee Satam.
For the Respondents: Mr. Hemant Haryan, AGP alongwith Mr. A.L. Patki, Addl. GP, Ms. P.H. Kantharia, GP, Mr. Dishang Shah for Contractor Mr. Narayan Koli, Mr. Anoshak Daver alongwith Mr. Rakesh Pandey, Ms. Tamsin Monis instructed by Mr. Arvind Antu Taral, Mr. Hemendra Mapara, Mr. Mohammed H. Najmi instructed by Sujit Shelar, Mr. Subhash B. Rajora, Mr. Aditya Deolekar alongwith Shivam Satam instructed by Trsna Legal, Mr. Sujit Shelar.

Headnote:

Contempt of Courts Act, 1971 - Section 14 – Possession - Possession of Flats - Writ Petitions are ‘allottees’ as defined under Section 2(d) of the Real Estate (Regulation and Development) Act, 2016 (“the said Act’) who have purchased flats in a project known as ‘HILL VIEW’ being developed by M/s. Reliance Enterprise under registered Agreements for Sale - As Developer failed to handover possession of their flats within the stipulated time, Petitioners filed Complaints inter alia under Section 18 of said Act before RERA - RERA allowed these Complaints and directed Developer to refund the amounts received by them from these Petitioners, within 30 days from the date of the Order – Held, Developer has no intention of voluntarily repaying admitted dues of the Petitioners and that the Petitioners are justified in their apprehension that if interim reliefs to protect the decretal amounts of the Petitioners are not granted, it is very likely that Developer shall deal with or further encumber all their assets and nothing will be left to hands of the Petitioners despite having a decree in their favour - Petitioners have made out a case for grant of interim reliefs and the balance of convenience is in favour of Petitioners and against Developer - Not only has Developer failed to comply with the Orders passed by RERA but has also brazenly violated various orders of disclosure passed by this Court. Despite this Court having given a long rope to Developer to provide a true and complete disclosure of its assets in terms of Order dated 2nd and 3rd December 2021, which were clear and ambiguous, the Developer has till date not fully complied with the said Order - Petition disposal of.

JUDGMENT :

S.J. Kathawalla, Milind N. Jadhav, JJ.

1. This is one more case where the Developers despite collecting an approximate amount of Rs.178 Crores from the innocent flat purchasers, have not provided to them a single flat till date. Though the tenants have obtained Recovery Certificates from the Maharashtra Real Estate Regulatory Authority, Mumbai (‘RERA’) for refund of the sale consideration, due to delay of several years in constructing their flats, the developers have the temerity to state before this Court by themselves and also through their Advocates that “We have nothing to offer to the flat purchasers.”. In any event in view of the completely dishonest conduct of the developers, we cannot trust any of their subsequent statements/promises/ undertakings given to the Court and we proceed to pass an interim order in the above proceedings.

2. As the above Writ Petitions arise out of common set of facts and seek similar reliefs, we considered it desirable to hear all these Petitions together.

3. By the above Writ Petitions, the Petitioners have prayed for a writ in the nature of mandamus or any other appropriate writ or a direction against the Collector, Mumbai and the Tahsildar, Mumbai respectively, mandating them to comply with and execute the Recovery Certificates issued by the Maharashtra Real Estate Regulatory Authority, Mumbai (“RERA”) against the Developer - M/s. Reliance Enterprise and in favour of the Petitioners. The Petitioners in the above Writ Petitions have also sought ad-interim/interim reliefs against the Developer, which reliefs are sought in aid of the final reliefs.

4. Admit.

5. By this common Order, we will consider whether the Petitioners are entitled to the interim reliefs as sought in the above Writ Petitions.

6. Apart from considering whether the Petitioners are entitled to interim reliefs against the Developer, as sought in the above Petitions, we will also consider whether the partners of M/s. Reliance Enterprise viz. Shri Chetan Haridas Mapara and Shri Hemendra Haridas Mapara have wilfully breached and disobeyed the orders of disclosure and injunction passed by this Court and have thereby interfered with the administration of justice, necessitating an action by this Court under the Contempt of Courts Act, 1971 (“the Contempt Act”) against Shri Chetan Haridas Mapara and Shri Hemendra Haridas Mapara.

SUBJECT MATTER OF THE ABOVE WRIT PETITIONS

7. The Petitioners in the above Writ Petitions are ‘allottees’ as defined under Section 2(d) of the Real Estate (Regulation and Development) Act, 2016 (“the said Act’) who have purchased flats in a project known as ‘HILL VIEW’ being developed by M/s. Reliance Enterprise (“the Developer”) under registered Agreements for Sale. As the Developer failed to handover possession of their flats within the stipulated time, the Petitioners filed Complaints inter alia under Section 18 of the said Act before RERA. RERA allowed these Complaints and directed the Developer to refund the amounts received by them from these Petitioners, within 30 days from the date of the Order. However, the Developer failed to comply with the said Orders. Infact in Writ Petition (L) No. 28699 of 2021, the Developer even filed an Appeal before the Appellate Authority which was later withdrawn by the Developer subject to a cost of Rs. 1 lakh to be paid by the Developer.

7.1 Since the Developer failed to comply with the aforesaid Orders passed by RERA, the Petitioners were constrained to file execution proceedings before RERA. The execution proceedings were allowed and RERA issued a Recovery Certificate under Section 40(1) of the said Act read with Rule 3 of the Maharashtra Real Estate (Regulation and Development) (Recovery of Interest, Penalty, Compensation, Fine Payable, Forms of Complaints and Appeal, etc.), Rules, 2016 (“RERA Rules”) in favour of the Petitioners and against the Developer.

7.2 T

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