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HT Correspondent, Hindustan Times
Chandigarh, September 06, 2013
The State Consumer Disputes Redressal Commission has directed real estate developer Emaar MGF Private Limited to pay Rs. 2 lakh as compensation to an Ambala-based couple for delay in delivery of plot. PK Aggarwal and his wife Manju Aggarwal had moved the consumer commission accusing real estate developer Emaar MGF Private Limited, of deficient services.

Disposing off the complaint on September 3, the consumer commission observed, "The complainants booked the plot with the hope of owing a house by raising construction thereon, but their hopes were dashed to the ground.

Even after the expiry of a period of more than three years, from the promised date, June 19, 2010, delivery of physical possession of the fully developed plot has not been made yet. The delivery of possession of fully developed plot shall be made to the complainants; at the original price that was prevailing in 2006-07, when they booked the same."

The consumer commission directed Emaar MGF, to handover physical possession of the fully developed plot, measuring 300 square yards, in Mohali Hills, Sector 109, Augusta Park, SAS Nagar, within three months.

Along with this, the developer has also been directed to pay penalty/compensation at the rate of Rs. 50 per square yard, per month, from June 19, 2010 (the promised date of delivery of possession), till delivery of possession of plot as per clause of Plot Buyer's Agreement.

Apart from the compensation of Rs. 2 lakh the developer has also been directed to pay Rs. 20,000 as cost of litigation.

As per the complaint, the couple applied for a residential plot measuring 300 yards, in Mohali Hills, the project of Emaar MGF Land Limited, in June 2007.

Aggarwal in his complaint said that as per Plot Buyer's Agreement of June 20, 2007, the developer had agreed to handover possession of the fully developed plot, to the complainants, within a period of three years, from the date of execution thereof, failing which they were liable to pay penalty/compensation for the period of delay, beyond three years.

Aggarwal contended that the stipulated period for delivery of possession of the fully developed plot, expired on June 19, 2010, and visit to the site showed no development work such as roads, sewerage, electricity poles, and other basic amenities.

Emaar MGF Private limited in its reply said that the complaint was not maintainable and submitted, "The complainants were offered an alternative plot, in the same sector, in the same project, but they refused to accept the same (offer of possession)."

In its reply Emaar MGF Private limited said that development in the area, where the plot in question was located, could not be carried out, for reasons beyond their control.

Consumer commission while holding Emaar MGF Private limited, deficient in services in its September 3, order said, "Since, the alternative plot, offer of possession whereof was made by developer was not fully developed, the complainants were right, in refusing the same (offer of possession of plot)."