HERO REALITY PRIVATE LTD Punjab RERA Complaint

This post covers RERA Punjab Complaint against of HERO REALITY PRIVATE LTD where refund was sought with interest & Litigation expenses.

Case Title- KAPIL TADON Vs. HERO REALITY PRIVATE LTD

Also Read- Open Forum about Hero Homes, Mohali – Commonfloor.com

FACTS OF THE CASE:

Kapil Tandon who is also referred to as the complainant has filed a complaint against Hero Reality Pvt. Ltd, along with the documents alleging that he booked a flat no. 202, Tower 6, Plot No.1, in project which was named as Hero Homes, Mohali Phase-1 and paid an amount of Rs. 19,01,888/- to the respondent. The respondent then issued an allotment letter dated 04.02.2016 and the possession of the flat in question was to be delivered on 04.09.2019.

However, as the complainant moved out of Chandigarh and under compelling circumstances, the complainant was to cancel the said deal. When he demanded back his principal amount, the respondent deducted the money on the account of GST credit, brokerage and interest and the complainant had to sign the letter under compelling circumstances, though, the respondent deducted Rs. 10,00,000/- out of the total amount which was 19,01,888/- and also the amount was not paid within 90 days. Hence the said complaint has been filed against the respondent.

Also Read- Nidhi Gupta v. M/s Hero Reality Pvt. Ltd. – Casemine

ORDER OF THE COURT:

The complaint is partly accepted to the following extent:

• Refund amount Rs.13,80,430/- subject to adjustment of the amount, if any, already paid or refunded to the complainant.
• Simple interest at the state bank of India which the highest marginal cost of lending rate plus 2%non the principal amount from the date when the amount became due to the complainant till realization.
• On account of litigation expenses Rs. 25,000/- needs to be paid.

The respondent is directed to pay the above-said amount to the complainant within sixty days from the date of this order.

Also Read- UERC – M/s Hero Realty Pvt. Ltd.

CASE SUMMARY:

Section 7 of the PAPRA deals with the registration of the agreement. So, one thing that is clear from these provisions that no promoter can accept more than 25% of the sale price without getting the agreement registered in accordance with the manner prescribed in this Act.

In this case the promoter was liable to refund the Rs.19,01,888/- as per clause 7.5 of the prescribed provisions of the act, if the promoter was not at fault, he can forfeit ten per cent of the total amount of the consideration money, interest and other dues payable for the allotment for which there is no such evidence on record.

As such, the respondent is also liable to pay interest at the prescribes rate as per Rule 16 of the Rules that is State Bank of India highest marginal cost of lending rate plus 2% from the said date.

And further appeal was filed before REAL ESTATE APPELLATE TRIBUNAL, PUNJAB AT CHANDIGARH in Appeal no. 77 of 2019 where it was withdrawn. You can read the order here.

Thus the complaint was partly accepted with refund and simple interest. Also litigation expenses was awarded. You can read the order of Real Estate Regulatory Authority Punjab here.

For case specific advice, please connect with Top Best Expert Legal Consultants Attorneys in Real Estate/Property Estate/Consumer Court and Consumer Protection Dispute/ Consumer Grievances and Complaints/RERA Lawyers Advocates in Chandigarh Panchkula Mohali Kharar Derabassi Zirakpur etc.

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