Published on: Apr 30, 2016 @ 22:29
The most common complaint of home buyers against builders is the delay in handing over flats.
Home buyers ’ protests against the developers have increased in recent times as several housing projects have been delayed. Sometimes, the real estate business is not being done in conjunction with the rules. Besides, real estate, which has remained unregulated so far has given rise to manipulation of laws by some.
But now, homebuyers are relieved because the law enforcers are catching those builders who break the law and ethical conduct. This will bring back the confidence among the lakhs of customers. A tighter mechanism of enforcement has to be put in place to stop the fraud and delay as it happens.
The customers’ trust is being invaded repeatedly and they do not know whom to trust. But now the customers who have been affected are thankful that the errant builders are being slammed by the courts.
The lending banks should also do some due diligence to check that all approvals are in place and the rules are being followed. Builders, buyers along with the local authorities should find a solution even as completion certificates remain pending for scores of residential projects. The poor home owner should not be left to pay the price.
Projects of some builders across India have not seen the light of the day even after 5-6 years have elapsed. The most common complaint of consumers against builders is the delay in handing over flats.
Amrapali group faces protest for not fulfilling its promises of civil and electrical works at its Sapphire project in Noida. The group had launched this project with 1000 flats spread across an area of 40000 sqm. in 2009. They had promised that the houses would be handed over in 2011. But, the project wasn’t delivered even after a two-year delay and the residents had to shift to the houses without the occupation certificate in 2014.
So, the residents of the Sapphire project have opened a Twitter campaign against the Amrapali Group. Since Dhoni was their brand ambassador, the residents tagged him in their tweets, requesting the Indian captain to help them. Some residents had asked Dhoni to tell the firm to complete their project. After this incident, Dhoni is no longer a brand ambassador of Amrapali Group.
The buyers have alleged that the company has compromised with the safety of the residents of the project as the firefighting equipment have not been fitted in the buildings. Besides, they also pointed out that several towers do not have lifts.
Realty firm Gaursons also has seen protests from residents of a society in Gaur City of its township project in Noida over maintenance issues as they complained about the upkeep of the project.The Group promised to look into the complaints and claimed that pending works in all residential projects will be completed at the earliest and completion certificate will be obtained.
According to a report published in The Times Of India the Chandigarh State Consumer Disputes Redressal Commission has awarded three years’ imprisonment to two Unitech Ltd managing directors, Ajay Chandra and Sanjay Chandra, for non-compliance of its orders issued last year in a case in which the real estate giant had failed to give possession of a residential unit in Mohali’s Sector-97 to two customers even after they paid for it. As per the agreement, the company was to provide them possession within two years of the execution of the deed. But when the company failed to do it, the two moved the commission.
The commission fined each of the MD’s Rs 10,000, and issued non-bailable warrants (NBWs) against them, “returnable” by May 30. The commission in its order of November 26, 2015, directed Unitech to refund Rs 49.46 lakh and pay a compensation of Rs 3 lakh plus litigation cost of Rs 50,000 to the two complainants. However, nothing was paid to them and they are yet to receive the money . In fact, this is a very shocking news for the real estate fraternity.
Besides, the Greater Noida Industrial Development Authority (GNIDA) has issued a notice on April 11, 2016, to the Realty firm Supertech to seal 1,009 units at its housing project ‘Czar’ in Greater Noida for allegedly constructing them without approval.
Also, in a judgement, the National Consumer Disputes Redressal Commission has ordered Parsvnath Developers to pay a monthly penalty to buyers for delay in handing over flats in Parsvnath Planet, a residential project.
In a recent development, the Noida Authority has uploaded details of reality projects on its website, www.noidaauthorityonline.com. The move will help the homebuyers to get details about the status of projects in Noida on the website. Therefore, the homebuyers will remain updated before they take possession of their property or before investing in any property.
So far, the realty sector was devoid of any regulator and mechanism to protect the homebuyers against some bad practices. But, with the passage of Real Estate Regulatory Bill in Parliament, things are expected to be more transparent and improved. However, We do have some developers and brands that are customer oriented and which follow rules well.
Ajay Verma is a founder and writer of The Housing World, a real estate and mortgage news website. He brings with him 20+ years of rich experience in the real estate and mortgage industries. He has worked in senior roles in Delhi and NCR in the above-mentioned sectors.