Unitech offers plots to three flat allottees of delayed project

NEW DELHI: The Supreme Court on Thursday warned real estate giant Unitech of contempt if it did not hand over vacant plots to three buyers who were promised flats

NEW DELHI: The Supreme Court on Thursday warned real estate giant Unitech of contempt if it did not hand over vacant plots to three buyers who were promised flats in its Burgundy project on the Noida-Greater Noida Expressway.

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Though the buyers opted for an out-of-court settlement with the developer, a bench headed by Justice Dipak Misra asked them to seek contempt against the company’s chairman and directors if Unitech failed to keep its commitment.

“Parties should not be relegated to any other forum but should have access to this court only so that they learn how to behave in a manner so that the settlement is complied with. If there is any breach of the settlement, the chairman and directors of the company shall be liable to contempt,” the bench said, disallowing them to move any other forum if the terms of compromise were violated.

The court struck down a clause in the compromise deed that permitted either of the parties to approach a court in Delhi if the compromise failed.

Unitech offered an alternative plot each to the three buyers in Noida Sector 96. Each plot measures 520 square yards and costs Rs 5 crore, the company counsel AM Singhvi told the court.

The price of one flat in Burgundy was Rs 3.84 crore.

The company has simply allocated the plots to the three buyers but was yet to register them. The realty firm had earlier promised to register the plots within a year.

As per an earlier SC order, Unitech had deposited Rs 5 crore with the court registry after challenging the National Consumer Disputes Redressal Commission’s verdict directing them to refund the buyers for delaying the project.

The SC said it would entertain Unitech’s appeal if only the company paid up.

“If the amount is not deposited, liberty is granted to the respondents to move an application for contempt of this court and in that event, the directors of the petitioner-company may be sent to custody,” the bench had said.

Since Unitech has provided alternative plots in this case, the money with the registry will get adjusted in another case wherein it has to deposit Rs 15 crore with the court in connection with its project in Gurgaon .

On August 17, the court had ordered the company to pay the amount over its delayed Vistas housing project in Gurgaon. It was made clear that the money will have to remitted to those who want it and consumers cannot be made to wait endlessly.

Thirty-one flat buyers who booked their flats in Vistas have demanded refund, as ordered by the national consumer forum.