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NATIONAL CONSUMER DISPUTES REDRESSAL COMMISSION, NEW DELHI
Subhash Chandra, Presiding Member and AVM J. Rajendra, AVSM VSM (Retd.), Member
Brajesh Shrivastava and Anr. – Complainants
versus
Vatika Limited – Opp. Party
Consumer Case Nos.3408 and 3409 of 2017
Decided on 5.12.2024

Counsel for the Parties:
For the Complainants:Mr. Aditya Parolia, Ms. Sumbul Ismail, Mr. Pranjal Mishra and Ms. Anvita Priyadarshi, Advocates
For the Opp. Party:Ms. Laxmi Singh, Advocate

IMPORTANT POINT
Delayed Payment – Opposite Party shall not charge any interest for delayed payment or holding charges in view of the admitted delay on its part.

Headnote:

Consumer Protection Act, 1986 – Section 21(1)(a)(i) [Consumer Protection Act, 2019 – Section 58(1)(a)(i)] – Services – Allotment of Flat/Plot – Delayed Possession – Opposite Party is held liable for deficiency in service in not making an offer of possession and handing over possession of the villa in question within the stipulated period of time or a reasonable period thereafter – It is also liable for the continued delay even after undertaking to hand over possession before this Commission subject to the payment of the balance consideration by the Complainants which was paid on 26.06.2023 – Complainants shall pay the requisite dues payable at the time of possession – However, the Opposite Party shall not charge any interest for delayed payment or holding charges in view of the admitted delay on its part – Levying of holding charges in the absence of an occupancy or completion certificate being on record cannot be sustained – Levying of holding charges can considered to be valid, only if occupation certificate is available and offer of possession made to the allottee has not been acted upon to take the possession – Complaint allowed with directions. [Paras 10 to 25]

Result: Compliant allowed.

ORDER

Subhash Chandra, Presiding Member—This complaint filed under Section 21(a) (i) of the Consumer Protection Act, 1986 (in short, the “Act”) alleges deficiency in service by the Opposite Party in delay in handing over possession of the villa booked by the Complainants in a project promoted and executed by the Opposite Party and prays for the delivery of possession of the villa booked along with compensation for the delay.

2. This common order will dispose of Consumer Complaint Nos. 3408 of 2017 and 3409 of 2017 as the facts and grievances in both complaints are similar and relate to the same Complainants and the same project of the Opposite Party. For reasons of convenience, Consumer Complaint No. 3409 of 2017 is taken as the lead case.

3. Upon notice, Opposite Party contested the complaint by way of written statement. Complainants thereafter filed their rejoinder. Parties filed their evidence by way of affidavit. Short synopsis of arguments was also filed by both the parties.

4. We have heard the learned Counsel for the parties and perused the records carefully.

5. The relevant facts of the case, in brief, are that the Complainants, who are husband and wife, had stepped into the shoes of one Mr. Maneesh Mohan who was an allottee of a villa in the Opposite Party’s project “Signature Villa 2” (previously known as “Bellevue Residences”), Sector 82, Gurgaon on 01.02.2013 by virtue of transfer of allotment in their names that was duly approved by the Opposite Party. Villa No.29/240/Duplex/BR, which was initially allotted to the said Mr. Maneesh Mohan on 20.01.2012 and was subsequently changed to Villa No.19/240/Duplex/ST-82D1-3 vide Allotment Letters dated 20.01.2012 and 23.02.2012, was transferred, vide letter dated 01.02.2013, in the name of the present complainants. The Opposite Party recorded an endorsement of transfer in favour of Complainants in respect of Villa No.19 from the original allottee, Mr. Maneesh Mohan. A fee of Rs 67,416/- for reassignment of property was paid to the Opposite Party and an Addendum dated 05.04.2013 was executed.

6. A Builder Buyer Agreement (in short, the “Agreement”) dated 10.03.2011 had been executed by the initial allottee with the Opposite Party as per which the sale consideration of the said villa was Rs.1,27,09,438/- and as per Clause 11.1 possession was promised within three years from the date of Agreement, i.e. by March 2015. A sum of Rs 82,76,540/- was paid by the Complainants in various instalments. However, as possession had not been offered, they have preferred this Complaint on the ground that despite payment of a substantial amount towards the sale consideration and frequent follow-up including reminders, with the Opposite Party to obtain an indication of the status of the project, no information regarding handing over of the villa was being made available. It was stated that vide another Addendum dated 16.01.2016 executed with the Opposite Party, Villa No.19 had been changed to Villa No. 31 which had been agreed to by them in the interest of receiving early possession. Earlier, on 05.04.2013 also, the Complainants were reallocated to a new location in view of the dispute regarding the land where the earlier Villa had been allotted to them. It is contended by the Complainants that in July 2017 it was conveyed by a member of the Opposite Party’s CRM Team in Gurgaon that the date for delivery of the villa had been extended to December 2017. A Legal Notice was issued on 04.08.2017 seeking, inter alia, compliance of the obligations under the Agreement dated 10.03.2011. However, the Opposite Party, vide its reply dated 23.08.2017, denied the claims and therefore, the Complainants are before this Commission with the prayer to:—

(i) Direct the Opposite Party to grant possession of Villa No.19 in Signature Villa 2 (earlier referred as “Bellevue Residences”) to the Complainants along with compensation/damages owing to delay, compensation for mental agony and harassment and litigation costs amo

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