Mumbai News: Commission Orders Construction Firm To Pay Compensation To Ghatkopar Man For Not Providing Flats On Time

A district consumer commission in two different orders has directed a partnership construction firm to pay a Ghatkopar resident interest on the amount he had deposited for two flats he and his family had booked. At the time of complaint with the commission in January 2022, the interest amount stood at over Rs 61.63 lakhs. The commission stated that interest at the rate of 18 percent per annum be paid to the complainant as per the terms of the agreement from November 2018 to date of actual payment. Additional compensation of Rs 4.04 lakhs was directed to be paid towards mental agony and litigation cost.

The two orders dated July 28 were passed by Ravindra Nagre, president and S V Kalal, member of District Consumer Disputes Redressal Commission, Additional Suburb. They were passed on two complaints by Ghatkopar resident, Bharat Mistry against M/s Shagun Reality, Mahesh Poddar and Deepak Rangani.

Mistry and his family members had booked two flats in a redevelopment project by Shagun and others in Ghatkopar. The two flats Mistry booked measured 673 sq ft each. He got an agreement done in 2015 and paid a total of Rs.1.28 crore for both flats and was promised to get the flats in three years from agreement. The agreement stated that if he did not get the flat in a three years period, interest on the money he paid will be given to him at the rate of 18 percent per annum.

When Mistry did not get the flats, he sent a notice that was not replied to. He then filed a consumer complaint. An ex-parte order was passed when Shagun and others did not respond to the commission's notice. The commission observed that Mistry had paid money and filed documents. It stated that redevelopment permissions were in place by 2014 and agreements were made in 2015. Possession of the flat was expected to be given by October 2018. However, the complainant did not get it which is a deficiency in service and unfair trade practice on part of Shagun and others. It then directed the interest amount be paid on the amount Mistry had paid with other compensation.