Decided on March 15,2019

Satya Dev Prajapati Appellant
Heritage Cottages Pvt Ltd Respondents


Veena Birbal, J. - (1.) Present is a complaint under Section 17 of the Consumer Protection Act, 1986 (in short, the "Act") wherein it is stated that OP was developing a group housing residential project by the name of Ozone Square at Sector 89, Faridabad, Haryana (in short, the "Project") Complainant had booked a residential flat in the aforesaid project in the year 2007. At the time of booking, complainant had made a payment of Rs.3 lacs on 05.04.2007. Complainant had made an application for allotment to OP at their registered office at Jungpura-B, New Delhi and mode of payment was construction linked plan. The duly filled application alongwith initial money was submitted on 05.04.2007 for which a receipt dated 05.04.2007 was issued. On 23.07.2007, another payment of Rs.2 lacs was made. After submission of application for allotment, a Flat Buyer's Agreement dated 26.06.2008 (hereinafter referred to as the "Agreement") was executed between the parties whereby complainant was allotted Flat No.404 on 4th Floor in Block/Tower D having an area of 1200 Sq.ft. in the aforesaid project, having basic sale price of Rs.21,30,000/- @ Rs.1,775/- per Sq.ft.
(2.) It is stated that as per clause 28 of the Agreement, the possession was agreed to be handed over to complainant within 36 months from the date of signing of Agreement. Further as per clause 29 of the Agreement if there was delay in handing over the possession, OP was liable to pay compensation of Rs.5/- per Sq.ft. per month of the super area for the delay in offering possession. It is alleged that clause with respect to damages to be paid by OP on account of delay in handing over possession was inserted intentionally at a lower rate in order to deny payment of legitimate amount on the consideration amount received from the flat buyers. It is alleged that even otherwise if there is a delay on the part of complainant in making the payment OP had issued demand letters charging interest @ 24% for delay in payment.
(3.) It is stated that agreed period of 36 months was over in June, 2011. Thereafter complainant has been requesting the OP for giving tentative date of handing over of possession. However, OP has so far not given any tentative date as to when they will be able to complete the project. The complainant has sent even a legal notice but OP did not give any reply. It is stated that complainant has performed his obligations by making timely payment. It is stated that OP has also not paid agreed damages for the delay period. Complainant had again sent a notice dated 04.05.2015 to which OP responded vide reply dated 22.05.2015, where it was wrongly alleged that complainant was defaulter in making timely payments. Complainant is aggrieved by the OP's conduct. It is alleged that aim of OP is unjust and unlawful enrichment at the cost of complainant. It is stated that OP has failed to deliver the possession of flat which was agreed to be given by 26.06.2011. Alleging deficiency in service and unfair trade practice on the part of OP, complainant has sought direction to OP to forthwith handover possession of the subject flat in terms of Agreement dated 26.06.2008 and to pay damages towards delay in handing over possession amounting to Rs.21,50,527.50p ( as detailed in para No.16 of complaint) and to pay interest on deposited amount @18% per annum as penalty towards delay charges from date of filing of complaint till the date of actual possession of flat to the complainant. Complainant has also made a prayer for reimbursement of interest of Rs.7,09,820.42p paid by him to LIC Housing Finance Ltd. and compensation of Rs.10,00,000/- for causing mental agony and harassment.;

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