Maharashtra RERA Orders Refund to Homebuyer Due to Delayed Possession by Goel Ganga
The Maharashtra Real Estate Regulatory Authority has directed Goel Ganga to refund the homebuyer's amount with interest due to failed possession of the flat within the promised timeframe.
MahareraGoel GangaRefundHomebuyerDelayed PossessionReraReal Estate MaharashtraJul 06, 2024
The homebuyer booked the flat by signing an agreement for sale on May 30, 2016, with a total price of Rs. 1,20,02,820/-. The homebuyer paid Rs. 1,03,90,483/- for the flat, Rs. 7,20,000/- for stamp duty, and Rs. 30,940/- for registration charges. The builder promised to complete the project on time and had already finished Phase I, handing over possession to the buyers.
However, the builder failed to hand over the flat by December 2017, as promised in the agreement. The homebuyer repeatedly asked the builder for a refund, but the builder did not respond. Therefore, the homebuyer filed a complaint before MahaRERA seeking a refund, along with interest, compensation, and costs under the provisions of RERA.
The authority observed that the builder, being experienced in the real estate sector, knew the market risks when starting the project and signing the agreement with the homebuyers. The authority noted that even if force majeure caused the delay, the promoter could have sought a six-month extension under the Maharashtra Ownership Flats (Regulation of the Promotion of Construction, Sale, Management and Transfer) Act, 1963. However, the promoter still failed to complete the project by that date, violating section 18 of RERA.
The authority referred to section 18(1) of the Real Estate Regulation and Development Act 2016, which states that if the builder fails to complete or is unable to give possession of an apartment, plot, or building, they shall be liable to return the amount received by them in respect of that apartment, plot, building, as the case may be, with interest at such rate as may be prescribed, including compensation.
Therefore, the authority directed the builder to refund the amount paid by the homebuyer to purchase the flat with interest as per section 18 of RERA, 2016.
Information
Goel Ganga is a renowned real estate developer in India, known for its residential and commercial projects.
Maharashtra Real Estate Regulatory Authority (MahaRERA) is a regulatory body established under the Real Estate (Regulation and Development) Act, 2016, to regulate and promote the real estate sector in Maharashtra.
Frequently Asked Questions
What is MahaRERA?
Maharashtra Real Estate Regulatory Authority is a regulatory body established under the Real Estate (Regulation and Development) Act, 2016, to regulate and promote the real estate sector in Maharashtra.
What is the purpose of RERA?
The purpose of RERA is to regulate and promote the real estate sector, protect the interests of homebuyers, and ensure transparency and accountability in the sector.
What is the penalty for delayed possession under RERA?
Under RERA, if the builder fails to complete or is unable to give possession of an apartment, plot, or building, they shall be liable to return the amount received by them in respect of that apartment, plot, building, as the case may be, with interest at such rate as may be prescribed, including compensation.
Can a homebuyer seek refund under RERA?
Yes, under RERA, a homebuyer can seek a refund, along with interest, compensation, and costs, if the builder fails to deliver possession of the flat within the promised timeframe.
What is the role of MahaRERA in protecting homebuyers' interests?
MahaRERA plays a crucial role in protecting homebuyers' interests by ensuring that builders comply with the provisions of RERA, and by providing a platform for homebuyers to file complaints and seek redressal in cases of delayed possession or other violations.
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