Maharashtra consumer forum orders developers to pay Rs 2L compensation to flat buyers

The commission also ruled that 9 per cent interest be paid to the complainants till the handing over of the possession of the flats. (Representational image)

The State Consumer Disputes Redressal Commission directed that a couple, who had bought a flat in Mulund, be paid Rs 2 lakh as compensation for not being given possession of the flat by the developers. The couple approached the commission against six opponents, including the company to whom the development rights of the property were given under the Slum Rehabiliation Authority project, to another company to which it was subsequently transferred for the construction of the building and other partners.

According to the complaint, they booked a house in Mulund for over Rs 51 lakh in May 2010. Some amount was paid at the time of the booking and later from time to time. In October 2010, an allotment letter was issued to them, acknowledging a receipt of Rs 30 lakh. The complainants said while the possession should have been given within a reasonable time, it was not done till late.

They urged the court to direct the developers to hand over possession of the flat, or other flat of the same size, quality and specification in the same building or the vicinity in Mulund.

“It is admitted position that till date no agreement is executed and possession of flat is not handed over to the complainants. Thus, there is clear cut deficiency in service on part of the opponents,” the commission said and directed that 9 per cent interest be paid to the complainants till the handing over of the possession of the flats, apart from the compensation of Rs 2 lakh. “As the complainants could not get possession of the flat booked by them, they must have suffered mental agony. Hence, complainants are entitled to some compensation on that count,” the commission said, while stating that the demand of Rs 10 lakh as compensation made by the complainants, however, was ‘exorbitant’.