Mumbai man books Panvel flat for Rs 50 lakh in 2015, waits nearly 10 years for possession; consumer commission orders developer to refund Rs 86 lakh with 9% interest

MUMBAI: Observing that a flat purchaser “cannot be expected to wait indefinitely” for possession and that the developer’s failure to hand over possession by the agreed deadline amounted to deficiency in service, a district consumer commission has directed M/s Soundlines Eco Homes and its partners to jointly and severally refund Rs 86.37 lakh (inclusive of interest) to a homebuyer over delayed possession in the “Sound Delight” project at Panvel. The commission allowed the complaint filed by Mulund resident Tapan Visaria. The pay out included the paid amount of Rs 45 lakh alongwith nine percent annual interest calculated from Dec 31, 2016, the contractual date of possession, until actual realization. He will also receive Rs 75,000 towards costs of litigation and mental agony.The commission refused to separately award Rs 5.23 lakh towards interest paid on the housing loan, relying on the Supreme Court’s decision. It was observed that the complainant had independently availed of a loan from the State Bank of India and was contractually liable to repay the loan with applicable interest. “The mere fact that the complainant incurred interest expenditure to arrange funds for purchasing the flat does not, by itself, make the opposite parties liable to reimburse that expenditure,” the Commission said while rejecting that head of claim.Visaria had booked the flat measuring 876 sq ft. carpet area, on the third floor of D-Wing in the project at Village Aashte, Taluka Panvel, District Raigad, for a total consideration of Rs 50.52 lakh. The agreement for sale was executed on Aug 7, 2015 and subsequently registered. According to the complainant, the developer had promised possession on or before Dec 31, 2016, but repeatedly extended the timeline, with the MahaRERA website later reflecting an extension up to Sept 30, 2026.The complainant alleged that he paid around Rs 45.45 lakh towards the flat consideration, apart from Rs 1.38 lakh towards VAT, GST and other taxes, Rs 2.53 lakh towards stamp duty and Rs 30,000 towards registration charges. He also claimed that amenities advertised in the project brochure, including an entrance gate with waterfall, clubhouse, rooftop shamiyana, amphitheatre and children’s play area, were either cancelled or not provided as promised.The opposite parties, including the partnership firm and its partners did not appear despite service of notices. The matter was therefore proceeded ex parte by order dated April 16, 2024. Taking note of the unrebutted material placed by the complainant, the commission said the agreement, bank statements, demand letters, email correspondence, photographs and loan interest certificate established that the flat had been booked and substantial payment had been made. “The evidence on record establishes that the opposite parties failed to deliver possession within the agreed period and have not furnished any satisfactory explanation for the delay. Such failure amounts to deficiency in service,” the commission held.You Can Also Check: Gold Rate in Mumbai | Silver Rate in Mumbai | Bank Holidays in Mumbai | Public Holidays in Mumbai | Mumbai AQI | Weather in Mumbai | Petrol Price in Mumbai | Diesel Price in Mumbai | CNG Price in Mumbai | LPG Price in MumbaiStay updated with the latest Mumbai news. Download the TOI App.