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NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION, NEW DELHI
V.K. Jain, Presiding Member
Pankaj Malik —Complainant
versus
Ireo Victory Valley Pvt. Ltd.
and Ors. —Opp. Parties
Consumer Case No.1172 of 2017
Decided on 31.10.2019
For the Complainant:Mr. Shailesh Madiyal, Ms. Vrinda Kapoor and Ms. Urvi Kuthiala, Advocates
For the Opp. Party:Ms. Renu Gupta, Mr. Aksheya Ganpath and Ms. Aismalya S., Advocates
IMPORTANT POINT
Allottee cannot be expected to keep on paying more and more money to Developer if he finds that Developer is not in a position to complete construction within stipulated time or even within a reasonable time thereafter.
Headnote:
Consumer Protection Act, 1986 – Section 2(1)(g), 2(1)(o) – Real estate – Allotment of residential flat – Denial of possession despite substantial payment – Allottee cannot be expected to keep on paying more and more money to Developer if he finds that Developer is not in a position to complete construction within stipulated time or even within a reasonable time thereafter – Complainant is entitled to refund of entire amount which he has paid to opposite parties alongwith compensation in form of appropriate interest notified under Rule 15 of Haryana Real Estate (Regulation And Development) Rules 2017 – OPs shall refund entire principal amount to complainant alongwith compensation in form of 10.3% simple interest from the date of each payment till the date of refund – OPs shall pay a sum of Rs.25,000/- as cost of litigation to complainant. (Paras 11 and 15)
Result: Complaint allowed.
ORDER (ORAL)
V.K. Jain, Presiding Member—On 6.8.2010, the complainant applied to the OP for allotment of a residential flat in a project, namely, ‘Ireo Victory Valley’, which the opposite parties were developing in Sector-67 of Gurgaon. Vide allotment letter dated 17.8.2010, flat No.B-0503 in the above-referred project was allotted to him for a total sale price of Rs.20896128/-. The parties then executed an agreement on 6.7.2011 incorporating their respective obligations. The price of the flat was to be paid in installments linked with stage of construction. The said payment plan reads as under:-
| “Linked Stages | Basic Sale Price % | Others | Basic | Others | Total |
| At the time of booking | 9.58% |
| 1788660.00 |
| 1788660.00 |
| Within 45 days of booking | 9.58% |
| 1788660.00 |
| 1788660.00 |
| On commencement of exaction | 7.61% | 50% EDC | 1419945.00 | 513015.93 | 1932960.93 |
| Casting of Basement Roof slab | 7.61% | 50% EDC | 1419945.00 | 513015.93 | 1932960.93 |
| Casting of 1st Floor Roof slab | 7.61% | 50% IDC | 1419945.00 | 42598.35 | 1462543.35 |
| Casting of 6th Floor Roof slab | 7.61% | 50% IDC | 1419945.00 | 42598.35 | 1462543.35 |
| Casting of 12th Floor Roof slab | 7.61% | 50% Parking | 1419945.00 | 400000.00 | 1819945.00 |
| Casting of 18th Floor Roof slab | 7.61% | 50% Parking | 1419945.00 | 400000.00 | 1819945.00 |
| Casting of 24th Floor Roof slab | 7.61% |
| 1419945.00 |
| 1419945.00 |
| Casting of 32nd Floor Roof slab | 7.61% |
| 1419945.00 |
| 1419945.00 |
| Casting of top Floor Roof slab | 7.61% |
| 1419945.00 |
| 1419945.00 |
| On completion of Stone/Tile | 7.61% |
| 1419945.00 |
|
|
| Flooring in Apartment |
|
|
|
|
|
| On offer of possession | 4.79% | RFMS | 894330.00 | 313800.00 | 1208130.00 |
| Total | 100% |
| 18671100.00 | 2225028.56 | 20896128.56” |
2. Clause 13.3 of the Agreement pertains to delivery of possession of the flat and reads as under:-
“13.3. Subject to Force Majeure, as defined herein and further subject to the Allottee having complied with all its obligations under the terms and conditions of this Agreement and the Allottee not being in default under any part of this Agreement including but not limited to the timely payment of the total Sale Consideration, Stamp Duty and other charges and also subject to the Allottee having complied with all formalities or documentation as prescribed by the Company, the Company proposes to hand over the possession of the said Apartment to the Allottee within a period of 36 months from the date of approval of the Building Plans and/or fulfillment of the preconditions imposed thereunder (“Commitment Period”). The Allottee further agrees and understands that the Company shall additionally be entitled to a period of 180 (One Hundred and Eighty) days (“Grace Period”), after the expiry of the said Commitment Period to allow for unforeseen delays in obtaining the Occupation Certificate etc., from the DTCP under the Act, in respect of the IREO-Victory Valley Project.”
3. The complainant made payment of Rs.14366374/- on different dates, the last payment having been made on 2.9.2013.
4. Vide demand letter dated 26.9.2013 which was later followed by reminders, the OP-1 hereinafter referred to as the “Developer”, demanded payment of the 9th installment which was payable on casting of the 24th floor roof slab. The said installment was not paid despite reminders. Vide letter dated 5.1.2015, the Developer cancelled the allotment forfeiting more than Rs.45 lakhs out of the amount paid by him and informed him that only a sum of Rs.9723281.34 would be refundable to him and the cheque for that amount would be sent to him in due course.
5. The complainant sought restoration of the allotment and on his request, the Developer vide letter dated 21.9.2015 agreed to restore the unit subject to his making payment of outstanding
