IMPORTANT POINT
Promoter cannot deny possession of Apartment within stipulated period.

V.B. Gupta, Presiding Member—Being aggrieved by order dated 29.5.2013 passed by Karnataka State Consumer Disputes Redressal Commission, Bangalore (for short, ‘State Commission’) Petitioner/Opposite party has filed the present revision petition under Section 21(b) of the Consumer Protection Act, 1986 (for short, ‘Act’)

2. Respondent/Complainant’s case is that petitioner promoted a residential apartment/building under the name and style of ‘MAURISHKA TOWERS’ in the apartment situated in Kadri “A” Village of Bendoor Ward of Mangalore City within Mangalore City. Respondent purchased one apartment situated at ground floor numbered as G-01 in the said building along with car parks number G-01 and G-01A on the basement floor with 2.37% undivided rights in the land and also common areas and facilities. It is alleged that at the time of negotiation, petitioner has promised to provide many amenities and facilities in the said apartment.

3. Apart from the above, petitioner has undertaken to use quality materials, construction and workmanship in the said apartment building. On believing the petitioner, respondent agreed to purchase the apartment and entered into a written agreement dated 22.09.2007. As per the terms of the agreement, petitioner had undertaken to convey the apartment to the respondent with a clear marketable title from all encumbrances. Further, petitioner has agreed and undertaken to deliver the apartment on or before 31.03.2009 and to give copy of the completion certificate in respect of the apartment building issued by Mangalore City Corporation. Respondent has been insisting the Petitioner to complete the apartment as per the terms of the agreement but petitioner has not completed the construction of the apartment. Therefore, respondent made delay in payment of the installment amount to the petitioner. It is further alleged that petitioner had issued various letters to repay the installment amount and also threatened the respondent that if the amount is not paid, he will cancel the agreement for sale and forfeit the advance amount and dispose the schedule ‘B’ apartment to 3rd party.

4. It is further stated that in first week of February, 2009, respondent met petitioner and requested to complete the construction work. Petitioner demanded a sum of Rs.3,00,000/- as the penal interest for the delay payment of the amount and again threatened the respondent that he will cancel the agreement. Thereafter, respondent approached Vijaya Bank, Mangalore and availed a sum of Rs.16,82,500/-as housing loan and paid the aforesaid penal interest of Rs.3,00,000/- to the petitioner and also paid the entire sale consideration of Rs.27,07,500/- and got the sale deed registered on 21.02.2009 in the office of the Sub-Registrar, Mangalore.

5. It is further alleged that inspite of paying the entire sale consideration and penal interest, petitioner has failed to adhere to the various terms of the aforesaid agreement. Petitioner failed to complete the construction of the schedule ‘B’ apartment and deliver the possession and give the completion certificate. Petitioner has also not obtained door number to the apartment and not marked the parking area and failed to mark revenue entries in respect of the properties in the name of Association and failed to form an Association and submit the original documents and other connected documents pertaining to the properties to the building owner’s association. It has also failed to handover the custody of said documents in favour of the association and not furnished necessary guarantee card and documents in respect of material facility provided to the apartment building. Petitioner has also failed to complete the construction of the apartment and handover the possession of the same to the respondent. Hence, he is liable to pay the damages and loss suffered by the respondent to the tune of Rs.25,000/- per month from 31.03.2009 i.e., the date fixed for completion and delivery of the apartment along with