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NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION, NEW DELHI
V.K. Jain, Presiding Member
Arun Datta & Anr. —Complainants
versus
Unitech Ltd. & Anr. —Opp.Parties
Consumer Case No.359 of 2015
Decided on 6.4.2016

Advocates:
Counsel for the Parties:
For the Opp.Parties:Mr. Sandeep Sharma, Advocate

IMPORTANT POINT
It is obligatory for builder to obtain requisite environment clearance before accepting any booking in project.

Headnote:Consumer Protection Act, 1986—Section 21—Real estate—Buyer’s Agreement for purchase of flat—Non-construction of building in which flat was located—It was obligatory for builder to either obtain requisite environment clearances before accepting any booking in the project or at least to inform buyers that construction would commence only after obtaining requisite environment clearance and that they were yet to apply for obtaining clearance—This would be more necessary in a case where builder is promising a particular time frame for delivering possession of house to buyer—Construction of project is yet to commence—However, opposite party has been demanding and accepting construction linked installment from buyers in the project—Since time stipulated in Buyer’s Agreement for delivering possession to complainants has already expired and opposite party has not commenced construction, complainants cannot be asked to want indefinitely and they are entitled to refund of amount paid by them to opposite party along with appropriate compensation—Opposite party shall refund entire amount paid by complainants along with compensation in form of simple interest @ 14.16% per annum—Compensation of Rs. 2 Lakhs and cost of Rs.10,000/- also awarded. (Paras 7 to 10)

       Result: Complaint allowed.

       

ORDER

V.K. Jain, Presiding Member—The complainants, who are father and son, booked a residential flat with the opposite party-Unitech Limited on 20.06.2011 paying a sum of Rs.8 Lakhs by way of a cheque. A Flat No.F-00-0060 in Anthea Floors, Wildflower Country, Gurgaon was allotted to the complainants and the parties entered into Buyer’s Agreement dated 12.12.2011 incorporating their respective obligations. The total sale consideration of the flat was agreed at Rs.1,52,10,514/- and the complainants have so far made the following payments to the opposite party:

Dated

Cheque No.

Amount (Rs.)

20/06/2011

20/06/2011

482456

01/09/2011

01/09/2011

763484

16/09/2011

16/09/2011

763485

16/09/2011

16/09/2011

763486

19/10/2011

19/10/2011

763487

19/10/2011

19/10/2011

763490

06/01/2014

06/01/2014

000014

2. As per Clause 4(a) of the Buyer’s Agreement, possession of the flat was agreed to be delivered within 36 months thereof. The opposite party however had a grace period of three months to deliver the said possession. Since the Buyer’s Agreement was executed on 12.12.2011 the stipulated period of delivery of possession including three months grace period expired on 12.03.2015. Not to talk of offering the possession of the flat, the opposite party, according to the complainants, has not even taken up the construction of the building in which the flat sold to them was to be located. Being aggrieved the complainants are before this Commission seeking the following reliefs:-

A. It is prayed that the Opposite Party be directed to give the possession of floors immediately in the complex Country Township colony at Sector 70, Gurgaon, Haryana with necessary compensation to the complainant on a/c of various losses incurred by the complainant on arranging the funds on interest. or

B. If at all the above floors cannot be allotted due to non commencement of construction of the floors the total consideration money amounting Rs.62,73,786/- be returned to the complainant along with interest at the rate of 18% which is appropriate in the circumstances and applicable on both the seller and purchaser by virtue of law equity in case of any default as per buyer agreement, in the light of facts that the complainants have raised loan from financial institutions like Bank etc for payment of installments.

C. It is further prayed that the OP’s may be directed to compensate the complainants from the date of failure of OP’s to deliver the possession to the complainant i.e. 11/12/2014 as per their agreement till the date of actual handing over of the possession of the floor. Further OP may be directed to pay litigation charges of Rs.55,000/- to pay for mental agony of the complainants.

3. The complaint has been resisted by the opposite party on several grounds including that there was delay in grant of environmental clearance required for the aforesaid project. Other grounds taken in the reply are identical to those which this Commission has repeatedly considered and rejected in a number of consumer complaints. The opposite party has however not disputed the booking made by the complainants or the payment made by them. This is also not the case of the opposite party in the reply filed by it that it had started the construction after receiving the environmental clearance and the said construction is progressing. In fact the reply contains no explanation of the opposite party for not starting the construction even after receipt of environmental clearance. The learned counsel for the opposite party states that since EDC charges, being demanded by the State Government, have been disputed by the builders including the opposite party, the building plans have not been sanctioned on account of non-payment of the said EDC charges and therefore construction could not be taken up.

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