Sell assets of firm’s directors to recover homebuyers’ dues: K-RERA Bench

BENGALURU: In a first such verdict, the bench of Karnataka Real Estate Regulatory Authority (K-RERA) recently ordered that the personal assets of seven past and present directors of Ozone Urbana Infra Developers Pvt Ltd be acquired to pay the compensation due to homebuyers of one of its residential complexes. The total amount the builder has to pay home buyers is over Rs 170 crore.

The compensation had been ordered through Revenue Recovery Certificates by K-RERA, but had not been recovered from the builder, said Reynold D’Souza, advocate for a section of home buyers at Ozone Urbana residential complex at Devanahalli, which has 1,800 flats.

Responding to the complaint filed by home buyers Vinod Kumar and Parul Chaudhary, K-RERA member Neelamani N Raju said allottees have invested their hard-earned money with the company with a fond hope of owning a house.

“To suppress mischief and to advance the cause of justice, it is quite necessary to lift the corporial veil and to bring the persons behind the incorporeal person before the law to make them answerable for the acts done under the cover of 1st incorporeal person,” her verdict said.

The following respondents who were directors of the company at the time of execution of agreements of sale are mainly responsible to comply with the terms and conditions. It listed the following directors as responsible for the acts of the company - Vasudevan Sathyamoorthy, Priya Vasudevan, Sathya Moorthy Sai Prasad, Rajeev Bhandari, Srinivasan Gopalan, Durbhakular Vamsi Sai and Seewaoosagar Nemchand.

Ozone Urbana topped the defaulter list released by K-RERA on its website last month. It was accused of double selling 65 flats leaving original and new home buyers in distress over actual ownership. Rohit Patel, owner of a 3BHK apartment in Ozone Urbana project since 2017, said, “Hope the money realised by liquidating the personal assets will be soon handed over to all home buyers.”