Panckula realty firm’s director awarded 1-year jail
The consumer panel had in 2020 told him to refund ₹47.72 lakh to an allottee for failure to hand over possession of a flat, but he didn’t comply
The State Consumer Disputes Redressal Commission, Haryana, has awarded one-year jail to the director of a real estate company for not complying with the panel’s orders.
In 2020, the commission had directed Virender Bagai, director of Samar Estates Private Limited, Sector 20, Panchkula, to refund ₹47.72 lakh to one Ranbir Singh of Mauli village, Panchkula, for failure to hand over possession of a flat.
Ranbir Singh, who was represented by his counsel Vikram Jain, had booked a flat worth ₹67.7 lakh at Ess Vee Apartments, a project being developed by Samar Estates, and paid ₹47.72 lakh for it. The flat-buyer agreement was executed in October, 2011, and the firm had assured completion of the project and handover of possession within 36 months, but failed to do so.
The commission had directed Bagai to pay ₹47.72 lakh to Singh along with an interest of 12% per annum from the date of its respective deposits to its realisation. It was also mentioned that if the payment wasn’t made in 45 days, the complainant will further be entitled to an interest of 15% per annum for the defaulting period.
Also, Ranbir Singh was awarded compensation of ₹50,000 for mental and physical agony and ₹20,000 litigation charges. However, the orders were not executed.
On March 4, 2022, Bagai had stated in court that he will pay ₹1.10 crores within six months in equal instalments from April to September. However, only ₹11 lakh has been paid to Ranbir so far.
The order mentioned that a number non-bailable warrants have been issued against Virender Bagai and managing director Vinod Bagai, but they have been evading arrest on “frivolous grounds”.
For failing to execute the order, the commission has awarded imprisonment of one year with a fine of ₹10,000 to Virender Bagai for “not paying outstanding balance amount to the complainant till date and not complying with the order passed by the commission.” Police was directed to house him in Ambala Central Jail.
Samar Bagai, son of Vinod Bagai, said that over 300 allottees have not paid over ₹200 crore to them as per agreement, because of which they were not able to refund the money.
Samar said that the firm has successfully completed 11 group housing projects in Sector 20, but some wealthy businessmen are behind the delay in the completion of Ess Vee Apartments.