Haryana regulator asks 4 developers to hand over flats in 90 days

Companies may appeal against directive with RERA Appellate Tribunal, according to expert

Haryana's real estate regulator has ask four developers to hand over flats to buyers within 90 days and to pay around 11 per cent annual interest on the invested amounts

 

Haryana Real Estate Regulatory Authority (RERA) warned Raheja Developers, Ramprastha Developers, Tashi Land Developers and Sunrays Heights they will face legal action if they don't follow its instruction.

 

The regulator said its investigation had found that investors, who had the developers between Rs 13 lakh and Rs 1 crore, faced delays well beyond the delivery dates stipulated in their contracts.

 

“While the adjudicatory decisions under RERA aim to uphold the principles of justice and equity, the true efficacy of the statute is contingent upon the expeditious execution of these orders. Prolonged delays in enforcement contravene the intent of the legislation, imposing additional financial and psychological hardship on consumers who have already suffered due to non-compliance by the builders,” said Ashish Deep Verma, managing partner at Vidhisastras, Advocates & Solicitors.

 

 

Regulator's cases against developers in Gurugram

 

Raheja Developers: Allegedly failed to hand over a Rs 74 lakh flat in Shilas, Sector 109, to Delhi residents who bought it in 2010.

 

Ramprastha Developers: Delayed possession of a flat in Primera Society, Sector 37D, booked in 2013 for Rs 1 crore.

 

Tashi Land Developers: Yet to deliver possession of a flat in Capital Gateway, Sector 111, booked in 2015 for Rs 76 lakh.

 

Sunrays Heights: Failed to hand over a flat in 63 Golf Heights, Sector 63A, scheduled for possession in 2021.

 

“Developers may choose to appeal the directive with the RERA Appellate Tribunal, which could further delay relief, though this process mandates a deposit of the imposed fine. While these orders indeed benefit buyers by offering rightful compensation, the challenging enforcement process often compels them to settle with developers for reduced amounts, resulting in partial justice,” said Yatharth Rohila, advocate and partner at Aeddhaas Legal LLP.

 

“Given the fact that the RERA is a quasi-judicial tribunal, i.e., it is not vested with as many powers as that of a civil court established under the CPC,  such as issuing arrest warrants among others. Hence, the homebuyer is left with no other remedy than to either seek for attachment of properties of the defaulting builder to recover the amounts claimed by them, or, they can seek for the issuance of a recovery certificate which is sent to the concerned District Collector who forwards it to the concerned Tahsildar so that he can recover the specified amount from the defaulting builder as arrears of land revenue,” said Christopher Manoharan, Partner, Cornerstone Law.