Mumbai: Some buyers unaware of MahaRERA extension to developer

Many buyers who had booked flats in project Clan City Taloja went to the defunct construction site on Friday with the hope of getting possession of their flats but had to return disappointed The developer according to flat buyers had given March 30 as the revised possession date on the MahaRERA portal The earlier possession date was in December 2017Interestingly the developer Ms Supreme Construction and Developers Private Limited had been given an extension by MahaRERA on March 27 for a year until March 2024 which most flat buyers who turned up at the site were unaware of midday in its article titled lsquo5 yrs on Clan City buyers seek reliefrsquo dated February 25 had highlighted the plight of flat buyersJiwat Manglani a flat buyer from Chembur said ldquoMost flat buyers had come from far off places and were hopeful of getting possession today but were disappointedrdquo When asked about the RERA extension time of a year Manglani said ldquoOn March 28 some of us received a WhatsApp message on behalf of the developer intimating us about the extension It was decided in advance to visit the site so we went anyway Also as many were unaware about the latest extension it was more important to meet the other flat buyers and discuss the next course of action Construction activity at the site has been completely halted for the past few yearsrdquoAlso read MahaRERA Only 30 per cent of project constructed but funds overOn March 27 MahaRERA had set aside 11 complaints against the developer of which nine complainants had sought relief under section 18 of RERA for possession of their flats with interest and compensation while two had sought refund of the amount paid along with interest and compensationRespondentrsquos argumentThe respondent refuted claims of the complainants stating that the project was delayed due to various reasons external causes obstacles administrative uncertainty policy paralysis of statutory authorities government departments since this was the first project of rental housing scheme of MMRDA in Navi MumbaiThe respondent also cited delay on part of governmental authorities concerned like MMRDA Panvel Municipal Corporation CIDCO etc In addition the respondent has also contended that the Development Agreement executed by it with the landowners has been challenged before the High Court by the landowner and the Bombay High Court has passed an injunction order on April 26 2022 by which the bank accounts of the respondent have been frozenThe complainants have refuted the claims of the respondent and contended that all delays are the responsibility of the respondent alone and the injunction granted by the Bombay High Court is also because the landowner filed a petition because of the delay Hence they prayed these complaints be allowedMahaRERA orderMahesh Phatak MahaRERA Member 1 passed a 37page detailed order wherein he partly allowed the complaints filed He also directed the respondent to refund the entire amount paid by two of the complainants towards the consideration of the said flats along with interest at the rate of SBIrsquos Highest Marginal Cost Lending Rate MCLR plus 2 per cent as prescribed under section 18 of the RERA Act 2016 from December 31 2020 to the complainantsHowever in view of the order passed by the High Court whereby the bank accounts of the respondent have been frozen the respondent was directed to make the said payment within three months in three equal instalments from the date the accounts were unfrozen by the courtThe respondent promoter is further directed to pay interest for the delayed possession to the complainants nine of them from January 1 2021 till the actual date of possession for every month till the actual date of possessionHowever in view of mitigating circumstances beyond the control of the promoter and also to ensure that the said project is not jeopardised due to the outflow of finances and is completed keeping in mind the interest of the other buyers it is directed that the amounts of interest shall be paid by the promoter to the complainants after obtaining the full occupancy certificateExperts speakAdvocate Shreeprasad Parab expert director State Housing Federation said ldquoReal estate projects involve a number of approvals from various government authorities which is the main reason not only for delay in the projects but also with regards to violation of rules and regulations leading to illegal constructions The State Housing Federation has requested the state authorities to implement a single window system by creating a portal which will include the DCPR rules and regulationsAdvocate Godfrey Pimenta trustee of Watchdog Foundation said The flat purchasers of Clan City are caught in a dispute between land owners and developer It is really a sorry state of affairs for the hapless home buyersrdquo