RERA Orders Builder Of ‘Marvel Aquanas’ Project To Complete And Hand Over Flats To Homebuyers

RERA Orders Builder Of ‘Marvel Aquanas’ Project To Complete And Hand Over Flats To Homebuyers

Maharashtra’s cooperative housing society, representing 44 members, had sought justice for themselves

The Maharashtra bench of the Real Estate Regulatory Authority (RERA) has directed a builder to apply for a project extension, complete the construction, and hand over the possession to the homebuyers.

The complainant is a cooperative housing society, representing 44 homebuyers of the ‘Marvel Aquanas’ project.

It contended that the builder (respondent) failed to provide basic amenities and a livable environment despite its obligations.

The April 2018 audit revealed significant discrepancies in the builder’s commitments, and he prevented the complainant from conducting a site survey.

The complainant filed a Conveyance Application, which was allowed on 14.10.2020, resulting in a Sale Deed executed on 20.10.2020.

However, the builder challenged the order, and the Bombay High Court directed the parties to maintain the status quo. Despite multiple extensions, the project showed negligible progress, and the builder failed to deliver possession of the flats.

The complainant initiated several objections regarding the non-completion of the project as per the agreement. It maintained that a penalty interest of Rs.33,70,00,000 was due for the delay against the builder. Still, no progress happened.

Aggrieved by the delay, the complainant approached the RERA, seeking relief under Sections 7 and 8 of the Real Estate (Regulation and Development) Act, 2016.

The bench comprising Ajoy Mehta (Chairperson) observed that it could revoke the registration granted under Section 5 of the RERA Act on receiving a complaint. This was evident, as the promoter defaulted in fulfilling the requirements under the RERA. It could happen if the developer violated the approval terms, engaged in unfair or fraudulent practices, or if the project had lapsed.

The Authority noted that according to the documents uploaded by the builder, it was clear that the project was incomplete. Its registration lapsed on 31.03.2024 without steps taken for an extension. The delay in handing over possession of the Occupancy Certificate (OC) by the builder constituted the RERA Act violation.

Hence, the bench directed the builder to apply for an extension of the project and complete the construction of the flats sold. It also ordered him to apply for the OC and prohibited from selling further units until the existing allottees were handed over the possession.