Housing regulator Maharashtra Real Estate Regulatory Authority (MahaRERA) held that a builder involved in an SRA project cannot hide behind difficulties they face to deny timely possession or refund to homebuyers in a building. The order came after a complaint was filed by homebuyer Radha Arakkal against developer Jayesh Tanna. Arakkal approached MahaRERA seeking a refund with interest from the developer, contending that they had booked a flat in Sapphire 1 project in Kurla and the developer had agreed to hand over possession by July 2015, but failed to do so. The developer, in his reply, contended that it was an SRA project and referred to various dilatory instances regarding the development of the project.

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The developer said he had received the commencement certificate on April 1, 2010, and alleged that slum dwellers weren't vacating the land, due to which the project could not be completed in time. The authority said the agreement for sale with the complainant was executed on January 2015, and all earlier incidences had no relevance. MahaRERA member B D Kapadnis, who was hearing the case, held that the developer failed to deliver the possession of the flat on the agreed date and dismidsed the developer's argument that causes beyond his control kept him from completing the project in time.

The order noted that the developer was aware that of the hurdles in an SRA project: various permissions to seek and revision in plans. "Despite this, the developer entered into the agreement for sale of the flat with homebuyers on January 1, 2015, and promised possession by July 2015. He cannot use difficulties faced as a shield to deny the complainant's claims."

The adjudicating officer asked the developer to refund the amount to the homebuyer with an interest of 10.05 per cent and pay Rs 20,000 towards the cost of the complaint; even the deed of cancellation cost has to be paid by the developer.

(By Varun Singh, DNA)