The State Consumer Disputes Redressal Commission, Chandigarh, has directed SBL Builders Pvt Ltd to refund ₹59.83 lakh along with interest to a homebuyer after finding deficiency in service in connection with delayed possession of a flat in the Sushma Grande NXT housing project in Zirakpur.
The order was passed on a complaint filed by Nitin Goyal who had booked a flat in 2017 for approximately ₹65.83 lakh. According to the complaint, a substantial amount was paid, partly through a home loan obtained under a subvention scheme in which the builder had undertaken to bear the pre-EMI interest burden until possession was offered.
The complainant alleged that the builder failed to pay the assured pre-EMI amounts, delayed construction for several years and did not hand over possession within the promised timeline. He further alleged that despite the delay on the builder’s part, the allotment was later cancelled and additional payment demands were raised against him.
The builder contended that the complainant was an investor and therefore not covered under the definition of a consumer. It also argued that the matter fell under the jurisdiction of the real estate regulatory authority and cited force majeure circumstances, including the Covid-19 pandemic, for the delay in construction. The company further alleged that the complainant had defaulted in making payments.
Rejecting the builder’s objections, the commission held that the developer was deficient in providing services. It directed the builder to refund ₹59,83,243 to the complainant along with 12% annual interest from the dates of deposit until realisation. It further ordered that if the payment is not made within 30 days, the amount would carry an enhanced interest rate of 15% per annum.
{{/usCountry}}Rejecting the builder’s objections, the commission held that the developer was deficient in providing services. It directed the builder to refund ₹59,83,243 to the complainant along with 12% annual interest from the dates of deposit until realisation. It further ordered that if the payment is not made within 30 days, the amount would carry an enhanced interest rate of 15% per annum.
{{/usCountry}}In addition, the commission awarded ₹75,000 as compensation for mental agony and harassment and ₹35,000 towards litigation expenses.
The order also stated that the lending bank would have the first charge over the refunded amount to the extent of any outstanding home loan dues.