The Tamil Nadu Real EstateRegulatory Authority (TNRERA) has entertained an application on a leased property, ordering the developer to pay back the homebuyer as the project reminds of a non-starter.
The case concerns a project
called 'UTSAV' contracted by New Chennai Township Private Limited at Vellore in
Cheyyur Taluk of Kanchipuram district. In a recent order, G Saravanan, an
assistant officer of TNRERA said, R Thenmozhi and S Sriram booked a flat and
paid it in advance in February 2011. The developer had created a lease deed in
support of the complainants to grant the lease for the flat. A period of 99
years which was to be made by the former.
While the total lease fee was
Rs 16.69 lakh, the home buyers paid Rs 12.82 lakh. The possession of the flat
was determined within 3 months from the date of receipt of the entire lease
amount, as per the deed recorded in 2012 after one year. Although the flat's
lease value was 80% of the total fee paid, the order stated that the developer
neither started construction nor handed over possession of the apartment so far.
The complainants issued a notice for cancellation of the lease deed in 2016 and asked for refund of the entire amount including interest. However, the developer failed to repay the amount. The complainants have taken bank loans to make their payments, which have been allowed to provide relief.
As per the order, the
complainants are entitled to refund Rs 12.82 lakh with interest at the rate of
10.15% for the amount paid by the developer from the date of payment till
repayment. Rs. 1 lakh has been fixed as compensation for the mental anguish and
inconvenience caused to the complainants by the developer". For
registration and litigation expenses, Rs 16,790 and Rs 20,000 have been given
respectively.