Flat handover delayed: Pay 8% annual interest to buyers, says consumer forum
In its order, NCDRC has also asked the Logix Group to finish the project by December 31, 2018. Builder to challenge the order in a higher court.noida Updated: Nov 16, 2017 22:47 IST
The national consumer disputes redressal commission (NCDRC) in Delhi has directed realty firm — Logix Infrastructure Private Limited — to compensate homebuyers with a simple interest at 8% annually for delay in giving possession of flats.
The NCDRC order came in response to a plea filed by a group of 17 homebuyers who could not get flats on time promised by the builder.
The NCDRC order on October 25 also asked the builder to finish the project by December 31, 2018.
“Builder shall pay a compensation to allottees in the form of simple interest @ 8% per annum with effect from the committed date of possession, till the date on which the possession in terms of this order is actually offered. The compensation due and payable in terms of this order shall be adjusted out of the demand which the builder may raise strictly in accordance with the terms of the builder-buyer agreement executed between the parties (sic),” said the order delivered by VK Jain, presiding member, NCDRC.
“There shall be no escalation in the cost of construction unless otherwise permitted under the builder-buyer agreement. The OP (builder) shall also pay a sum of ₹25,000 as cost of litigation to the complainant,” the order further said.
The Logix Group had launched Blossom County in Sector 137, comprising 17 residential towers, in 2010. The project, spread over 25 acres along the Greater Noida Expressway, has 2, 3 and 4-BHK flats and penthouses. Some towers of the project are delivered to buyers and some towers are yet to be finished.
The builder has decided to challenge the order in the higher court.
“The NCDRC order is appealable so we will file a case in the higher court to seek a stay on this order. We have delivered some towers and the remaining towers will be delivered soon,” the legal head of Logix Group said.
First Published: Nov 16, 2017 22:47 IST