Apex Consumer Court told Unitech to refund 3.04 Crore for not giving posessesion

In the major setback to the builder Unitech Limited the National Consumer Disputes Redressal Commission while hearing the case of a retired Army personnel and his wife has directed the Unitech Limited to repay/refund the massive amount of Rs. 3.04 crore along with 18% interest per annum for not delivering the plot on time.

The apex consumer court said it is a case of gross deficiency and passed the order against one of the biggest real estate company. The Unitech Ltd. was also directed last year by the same Court to refund the amount to the complainants but the same was not refunded except 45 lakhs to Lt. Col Anil Raj (retd) and his wife. While imposing a penality of Rs. 5 Lakh on the real estate company Unitech Limited for not complying with its earlier interim order of refunding the amount to the complainants.

The Supreme Laws Consumer Lawyer at Chandigarh Pradeep Sharma said that such decision will certainly prompt the real estate companies to complete the project within the stipulated time frame. Like any other citizen the complainant Lt. Col Anil Raj (retd) and his wife has also a dream to own a residential house and for this purpose he along with his wife booked a residential plot in 2011 with the Unitech Limited new project at Mohali. On the assurance given by the builder that the project will be completed within 12 months and the possession of the same will also be delivered within 12 months the complainant borrowed a housing loan of Rs. 2.5 crore and paid Rs. 3.04 crore to the Unitech Limited. When the project was not completed on time and in future also there was no scope to complete the project the complainant served the legal notice to the real estate company and thereafter 2013 he filed complaint against the Unitech Limited and its Managing Directors before the NCDRC.

While speaking on the penalty the court observed that “…it is a fit case where, while sparing from a stringent action of attachment of assets, in terms of Section 25 of the COPRA, exemplary costs should be imposed on it. Accordingly, we direct Unitech to pay complainants costs of Rs 3 lakh and deposit a further sum of Rs 2 lakh in the Consumer Welfare Fund by way of a demand draft drawn in favour of the PAO, Ministry of Consumer Affairs, New Delhi.” the bench said.

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