Introduction

Imagine the excitement of buying your dream home, eagerly waiting for its completion and possession, only to face delay after delay, broken promises, and endless frustrations. In such cases, consumers may file a complaint seeking relief from the concerned authorities. The case of ‘Vahe Imperial Gardens’ is a classic example of a consumer complaint against a builder for delayed possession. One such case viz., Manmeet Kunwar and Trapta Chauhan and Ors., v/s. M/s. Vahe Projects Private Limited before the National Consumer Disputes Redressal Commission is summarized as follows:

Case Summary

The Consumer Complaint (CC) involves Complainants who had booked apartments in ‘Vahe Imperial Gardens,’ a project by the Opposite Party (OP), a builder in Bangalore. The complainants filed a CC against the OP seeking possession of their flats without delay, along with compensation for delay, promised amenities, illegal charges, and mental harassment.

The OP had promised possession of the flats within 24 months from the date of sanction of license and plan by the BBMP, Bangalore, with a grace period of three months. However, they failed to deliver possession despite taking almost the entire sale consideration from most of the complainants. They also failed to obtain the Occupation Certificate (OC) and kept misleading the complainants with progress reports that did not mention any delay or reasons for the delay. The builder had not provided the facilities and amenities promised in the Agreement and had charged illegal amounts for car parking and service tax. The Complainants were issued demand notices for payment regularly, even though the progress of construction was delayed or stopped. 

Frustrated with the continuous delays, broken promises, and lack of amenities, the Complainants filed a consumer complaint seeking various reliefs before the Consumer Court.

Arguments Presented

The Complainants argued that the OP had violated the terms of the Construction Agreement by failing to deliver possession within the allotted time frame and not providing the promised amenities. The Complainants presented evidence of the BBMP notice that revealed incomplete and unfinished facilities along with the communication from the OP admitting the pending work and delay in possession. They sought relief in the form of possession of completed flats, compensation for the delay, amenities as per agreement, refund of illegal charges, and association formation under the Karnataka Apartment Owners Act, 1972.

Verdict 

The court found that the OP had failed to provide possession of the flats on time, although they had taken almost 100% of the sale consideration amount from most of the Complainants. The court also found that the OP had charged the complainants illegally for car parking and service tax. Furthermore, the facilities and amenities that were promised to the Complainants were not provided. The court held the OP is responsible for mental harassment and agony caused to the complainants and ordered them to compensate the Complainants for the same.

The National Consumer Disputes Redressal Commission (NCDRC) directed the opposite party to pay compensation to the Complainants in the present complaint as well as other similarly placed allottees of the project on whose behalf/for whose benefit the complaint has been filed, in the form of simple interest @ 6% per annum from the committed date of possession (18.09.2015 with grace period) till the date of possession and further that, OP shall charge maintenance charges only from the date of actual physical possession and refund excess charged, if any, with simple interest @ 9% from the date of payment till the date of refund. 

Conclusion:

In conclusion, this case highlights the importance of consumer protection laws in safeguarding the interests of homebuyers. The onus is now on developers to fulfill their promises and deliver projects within the agreed timelines. Failure to do so not only leads to financial losses but also causes mental harassment and agony to the buyers. The NCDRC’s order in the present case is a step towards protecting the consumers’ rights and upholding justice.

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