Pune Builder to pay Rs 45 Lakh to Flat Buyer for a Flat worth Rs 6.5 Lakh
In recent, a best case has been seen how the builders/developers exploit the consumers. In February 2001, Prashant Kulkarni booked a flat measuring around 975 sq ft for Rs 6.5 lakh in a building which was to be constructed by the builder Vijay Wagh at Kothrud. The possession was to be handed over on or before May 2001. However, possession was not granted on time. At this point Wagh demanded Rs 6.9 lakh as against Rs 6.5 lakh the amount as per the agreement. Kulkarni had paid Rs 6.2 lakh. He alleged that Wagh deliberately did not complete the construction and not hand over the possession of the flat.
The Maharashtra State Consumer Disputes Redressal Commission has ordered a Pune-based builder to pay a flat buyer Rs 45 lakh for a flat he purchased for Rs 6.5 lakh in 2001 but never received possession. The commission also reprimanded the builder for creating third party interest by selling the same flat to another buyer. The commission stated that it is just and proper to compensate the flat buyer with an amount to match with the existing market price for similar property.
When Wagh did not pay heed to a legal notice sent by Kulkarni, the latter filed a consumer complaint praying for possession on payment of Rs 70,000. In 2005, the District Consumer Disputes Redressal Forum, Pune directed Wagh to hand over the possession. Aggrieved, Wagh filed an appeal in the state commission in Mumbai. In the commission, Wagh’s counsel stated that as Kulkarni had failed to pay the remaining amount, Wagh had terminated the agreement. The counsel further contended that the flat had been sold to the third party after termination of the agreement.
The commission however observed that a stipulation in the agreement stated that Wagh could not terminate the agreement without giving Kulkarni a 15 day notice along with the reasons for the termination. Since Wagh did not abide by this, the termination was neither legal nor proper, the commission said. “The builder with a malafide intention has sold the flat to a third party. It amounts to deficiency of service and unfair trade practice,” the commission observed. The commission also ordered Wagh to pay Kulkarni Rs 10,000 towards legal costs.
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Dear Sir,
I was purchased under construction flat in July 24th 2010 and the cost is 1695000.00 up to sept. 17th 2010 i was paid to builder 401000.00 as decided and after that i was demanded to builder for property paper to sanction the home loan but builder was not able to issued that papers and in April 2011 builder was demand for sale agreement and for that i was also paid 98000.00 & in may 20th may 2011 I was received the property paper from builder after that builder was demanded for vat and service tax then i was also paid 60600.00 and now i was paid to builder 10 laks through bank loan and after received the check builder was demanded to me Rs.1lak for interest otherwise cancel the flat so please suggest and guide to me.
Please reply
Looks like a good case we have a similar case in chennai against max worth in velachery
Its a slap by the Hon State commision to the builder asking extra money from the purchaser. I think builder should take lesson from this judgement.
I am also facing same type of probem. I booked a flat with M/s Uviversal developers ( Lohegaon) Pune, in Jan 2007. even after paying 100% payment to builder, he did not register the flat, even after judgement by Distt forum and state commission. at present the exceution application has been filed and likely to issue non bailable warrant against all partners on 08/09/2011.
M C Saini
9637108990