Builder liable for delay in possession and unauthorized cost increases, with compensation mandated.

1. Heard Mr. Bhupendar Pratap Singh, Advocate, for the complainants and Mr. S.K. Sahani, Advocate, for the opposite party through video conferencing.

2. Dushyant Sood and Smt. Charu Sood (the complainants) filed this complaint for directing M/s. Vatika Limited (the opposite party), (hereinafter referred to as the builder) (i) not to create third party right, interest or title in property, bearing number - 3/240 / Simplex / ST.82D - 18 / Signature 2 Vila, during pendency of the complaint, (ii) declare the demand dated 30.5.2017 as illegal to the extent that it exceeds Rs.5,44,857.27, the amount that the complainants are liable to pay at the time of taking possession, (iii) direct the builder to handover possession of the villa to the complainants on payment of Rs.5,44,857.27 (iv) to pay compensation of Rs.44,59,565.16, (v) to pay compensation of Rs.15,00,000, for mental agony and harassment, (vi) to pay Rs.one lakh as the cost of litigation, (vii) to grant pendent lite and future interest @ 18 % p.a. on the above amounts and (viii) any other relief which the Commission deems fit and proper, in the circumstances of the case, be passed.

3. The facts as stated in the complaint and emerged from the documents are that the builder was a company, engaged in business of development and construction of residential and commercial buildings and selling its unit to the prospective buyers. The builders launched a project of villas in the name of "Bellevue Residence" being developed in Vatika India Next, at NH - 8, Sector - 82, Gurgaon. The name of the project was changed subsequently as Signature 2 Villas. The complainants booked a simplex villa and were allotted Type - Simplex No. 23/240 - S / BR, admeasuring 240 sq. yard and build up area 1,527 sq. ft., basic price Rs.88,60,000, in the said project, tentatively, on 08.09.2009. The complainants opted for "Home Loan Linked Payment Plan", under which 10% of the basic price was to be paid within 30 days, 10% within 90 days and 70% through home loan and remaining 10% at the time of offer of possession. The complainants deposited Rs.5,00,000 on 28.8.2009, Rs.3,55,000 on 28.9.2009 and Rs.8,55,000 on 30.11.2009. Unit Buyer's Agreement (for short UBA) was executed between the parties on 27.11.2010. Under Clause - 11.1 of UBA, the promised period of handing over the possession was 3 years from the date of execution of the UBA, subject to exception as given under Clauses 12.1, 12.2, 12.3, 38 and failure of the applicant to pay instalments in time. In payment schedule for "Home Loan Linked Payment Plan", no pre EMI interest till possession was also assured, in the UBA. The builder, vide letter dated 20.1.2012, informed that due change in lay - out, re - allotment of the villas were required and called the complainants to participate in the process of re - allotment. The builder, vide letter dated 20.1.2012, informed that they had tied up India Bulls, for grant of Home Loan and terms of loan was also sent. The complainants, vide their letter dated 30.1.2012, lodged their protest against re - allotment and amendment of terms of the loan. The builder, vide letter dated 9.2.2012, informed that the complainants were allotted Villa No. 3/240 / Simplex / ST.82D - 1-8 / Signature 2 Villas and sent Addendum, for signature of the complainants. The builder issued letters dated 9.2.2012 and 14.2.2012 along with addendum requiring the complainants to sign it. Thereafter, a meeting was held between the complainants and the management in March 2012 and the complainants were assured that the possession would be handed over within 30 months of extended time and their EMIs will commence only after handing over the possession. On the assurance given by the management and having no other choice, the com